Since the end of 2016, at the beginning of 2017, new rules apply to BKR registrations. In this article we list what exactly this means!
New rules concerning BKR registrations
The Credit Registration Office (BKR) is responsible for registering credits in the Netherlands. Payment arrears are also reported by lenders to this authority. This means that the BKR can trace money problems early and protect the consumer against themselves. It is therefore not possible with a negative BKR registration to take out a new loan. This should prevent people from having to bear too much interest and continue to get into the payment problems. With the same aim, the rules concerning the BKR registration have been tightened since this year.
How do the new rules regarding BKR registrations work?
Previously, all credits were recorded above 500 euros with a term of more than three months. From now on, the BKR also records overdrafts above 250 euros with a term of more than one month. In short: the adjustment of these rules must ensure that not too many unobtrusive loans are closed. Many small loans together can ultimately contribute to considerable payment arrears. With the tightening of the rules payment problems are signaled earlier.
Why new rules regarding BKR registrations?
In addition to the fact that the tightening of the rules has to cope with money problems, there is also another reason why the regulations have been adjusted since this year. The rules also had to be adapted in order to continue to comply with European regulations. Previously, the policy of the Netherlands was not in line with European regulations, but from 2017 onwards with the new rules.
What do the new rules about BKR registrations mean for you?
You may wonder what exactly changes in practice with these rules concerning the BKR registrations. If you have a credit and pay interest and repayments on a monthly basis, nothing actually changes. A registration with the Credit Registration Agency is not necessarily negative. If, however, you have payment arrears of more than three months and a credit of more than 250 euros, you will be registered with the BKR. The result is that you often can not just take out a new loan and that you can also get a lower mortgage. If you have had arrears and have made up for it, the report will be registered for another five years in the register of the BKR, with all the negative consequences that entails. It is therefore important to make your payments on time, also with a small credit.
What can you do best with payment arrears?
Are you in debt and do not know what you can do to catch up on your payment arrears? We advise you to go to the Credit Bank of your municipality. The municipality offers free and no-obligation advice and assistance with debts. You can make an appointment via the website, or go along during a walk-in hour. With a member of the Municipal Credit Bank you can then look at your personal situation and the next steps to resolve your debts.
Do you want to take out a new loan but are you afraid of a negative BKR registration? Take a good look at the risk measurement from Nibud, to see which loan fits into your budget.