The Credit Checker negative list (known in the common language as “BAR list or BAR list”) is a list of credit default customers of the Central Credit Information System . The Credit Checker service is a credit information database in which Hungarian banks and credit institutions keep records of the credit agreements of their clients, and also share information about credit failures in a separate query. It is practically a financial blacklist that no one wants to put on because it is even more difficult to get out of it, and it is almost always a reason for exclusion when applying for a loan.
The number of debtors on the list has been decreasing since 2014: according to the information provided by Portfolio.hu there were 1,698 million defaults at the end of 2018, of which 1,426 million were outstanding and the other 272 thousand were already extinguished. It is important to note that the debtor is still on the Credit Checker negative list for 1 year after the debt settlement .
Credit Checker list: you need to know about the debtors database
In the Central Credit Information System, all customers are – retail customers and entrepreneurs – who currently have a credit or debt. It is a constantly updated database , which is always up-to-date as all credit institutions are obliged to record all credit agreements and credit-financing contract data due to statutory regulations. Credit Checker for Retail Customers contains statutory information that is:
credit default information,
bank card abuse data
registration of credit applications rejected for fraud.
Checking the Credit Checker list when applying for a loan is one of the most important steps for banks to filter out customers who already have a default in another bank, so they are unlikely to be able to repay. In addition, active loans are taken into account when examining the customer’s debit capacity. The credit information system not only protects the banks but also the customers, as it is less likely to get into a deeper debt spiral. In the system, all banks see the same data , so that the bank examining the credit application will not be able to know if you have an active loan with another bank or if you have a larger backlog.
When do you need to keep up with the negative debtor list?
The 2019 Business Code of the CCIS states that a negative debtor list will be added if the amount of your overdue debt exceeds the minimum monthly minimum wage valid at the time of the delay, and the delay in excess of the minimum wage has persisted for more than ninety days. Your debt will then enter the system as an active default. If a loan or guarantor has been involved in the loan, he or she will be added to the list with active status.
If you settle your debt, you will still be on the Credit Checker list for one year after the settlement, but as a passive debtor. The bad news is that active and passive omissions in most banks are also a reason for a loan claim, so if there is one way, try to avoid it. It is important not to wait until the problem is big, but start communicating with the bank at the beginning of the financial difficulties . If you work with them and pay back the installment, for example, in smaller installments than you have in the contract, you are already in a better position and are less likely to be added to the dreaded Credit Checker list.
In addition to credit debts, misuse of credit cards or unauthorized use also results in the listing being added, and in this case there is no active and passive status, and negative information will be included in the database for 5 years. You can get into trouble with these actions:
if you declare your bankcard lost but you continue to use it,
if you use a stolen or found card
if there is a final court decision against the cardholder.
A person who uses financial products or services with false information will also be added to the negative list for five years.
How is Hungary’s blacklist now?
According to information, most active omissions were in Hungary in 2014, exactly 1.894 million, with a total of 2.211 million in passive omissions. In 2015, the number of active failures decreased, but with the passive omissions, there were 2.217 million population failures in the system. Since then, there has been a downward trend in the number of outstanding and discontinued failures, with 1,426 million active and 272,000 discontinued failures at the end of 2018.
It is important to know that you can not only be a negative debtor on the Credit Checker list, but also a good debtor . On the basis of a so-called visibility statement, you can contribute to the details of your contract with another credit institution. If you do not contribute, then the bank will not see these data, but in this case you will also see that you have an active loan! In addition, you can also say that BISZ can still store your data for five years after your credit is closed. If you decide that you want your credit claim information to appear in the system, this may result in more favorable terms and faster judgment for a subsequent loan application. It is important, however, that if you have any arrears, it will automatically be included in the system , you will not be able to “hide” this information.
Decide well and avoid trouble!
If you are already on the Negative Debt List of the Central Credit Information System, the primary consideration is to have your active status passive, that is, to settle your outstanding debt as soon as possible. Until then, you may not want to start again with a loan request, but if you choose this solution and you think that the repayment will not be a problem in the future, consider your decision well: use the personal loan calculator and compare the available offers so that you can choose the best one!