Zero percent financing: you have to pay attention to that

With zero percent financing, sellers attract their customers. It is often worth paying for a product with interest-free rates. If there is a backlog, however, there is a risk of a SCHUFA entry. You can find out everything else you should know about it here.

The most important thing about zero percent financing

Zero percent financing is more than just an installment purchase:

• Zero percent financing is an interest-free loan.
• Your department store has a contract with a financial company. This gives you an interest-free loan and gets money from the department store.
• For this it wants your personal data, will obtain SCHUFA information and also make entries in your SCHUFA.
• Zero-percent financing terms are usually a fixed term with a fixed monthly repayment rate.
• Your advantage is that you don't have to spend a large amount of money in one fell swoop, but you make a regular financial commitment.
• The lender earns a bit of the credit through the dealer, but bears the credit risk.
• The retailer acquires customers who would have hesitated to pay immediately, but in return reduces its profit margin a bit.

Then the zero percent financing is worth it

Zero percent financing sounds like a win-win-win. It is not worth it for you in all cases:

• If you don't have enough money at the moment, but you have a sufficient income, an interest-free loan is better than an interest-bearing loan.
• Even if you have enough capital, you can put it back as a cushion and possibly even get interest on it.
• Due to inflation alone, it is often worth paying off things interest-free in the future. A couch that costs 1000 euros today can cost 1200 euros in a few years.
• But: department stores already take into account in the price calculation that some people will get interest-free loans or make warranty claims.
• So diligently compare prices. Because zero percent financing of an overpriced product is ultimately not an advantage.
• Also keep in mind that you transfer your personal data to a financial company and get an entry in the Schufa.
• In addition, you must either issue a direct debit authorization, set up a temporary standing order, or make a monthly transfer.
• Think about whether this is worth the effort.

Improve Schufa Score: With these tricks it works

In another practical tip, we will show you how you can make an installment purchase despite a poor SCHUFA score.