BIK is a Credit Information Bureau, i.e. a database gathering all information about borrowers and some borrowers in Poland. When analyzing the creditworthiness of customers, banks use BIK to assess the client’s financial situation and check whether he will be a reliable borrower. However, can you get a cash loan without BIK?
Bank’s creditworthiness and assessment
Based on the Recommendation T of the Polish Financial Supervision Authority, which deals with good practices in managing the risk of retail credit exposures, banks in Poland are required to thoroughly assess the client’s creditworthiness and creditworthiness before they decide to grant them a cash or other loan.
In Recommendation 6 of Recommendation T, the PFSA indicated that the bank must examine the customer’s creditworthiness in terms of quantity and quality before making a decision on granting a loan. Quantitative analysis consists in determining the amount and stability of sources of repayment of the credit obligation.
Qualitative analysis, on the other hand, is an assessment of the characteristics of a retail customer that have a significant impact on his willingness to repay a loan commitment. The analysis of customer quality features includes:
- analysis of client characteristics such as age, marital status, number of dependents, education, occupation or seniority;
- analysis of the history of cooperation with the bank;
- analysis of the customer’s credit history on the basis of information available in external, including interbank, databases built by banks, and if justified, also on the basis of data available in business databases.
It follows that in the process of crediting and assessing a customer’s loan application it is necessary for the bank to obtain information from the Economic Information Bureau.
The bank grants a cash loan after a positive assessment of creditworthiness. It checks BIK and analyzes whether the customer can afford the loan he is applying for. Negative entries in the BIK databases, proving the late repayment of credit and loan obligations, mean that the bank will refuse to grant another loan.
It is not possible to obtain a cash loan without BIK at banks or cooperative savings and credit unions. Online loans are an alternative because the companies that grant them are not covered by the recommendations of the Polish Financial Supervision Authority.
Loan, not cash loan without BIK
If the client has wrong entries in the BIK and was considered an unreliable debtor, then there is no chance of a loan in the bank. However, he can apply for a loan without BIK in non-bank companies. Sometimes you may encounter a situation where loan companies will advertise their loans as “cash loan without BIK” and without certificates. These are popular financial products among many customers.
Non-bank companies are not covered by the Banking Law or KNF guidelines. That’s why they generally don’t have to be so restrictive about verifying their clients’ creditworthiness. They can afford to grant a loan without controlling the BIK. However, in such a situation they can also reach the databases of economic information bureaus operating on the Polish market.
As you can see, there is not one central economic information office, but there are several similar institutions. It is worth checking before submitting an application for a non-BIK cash loan to a non-bank company if it does not check other databases that may contain information about delays in repayment of financial liabilities. Then you have to take into account the refusal to grant the loan.
Cash loans without BIK and without controlling other databases can be granted to customers conveniently online, which allows you to quickly obtain the desired funds with the payment directly to the client’s bank account.