You’ve probably heard of the concept of borrowing without UC. What UC stands for in this context, however, is not everyone is aware of. Many people think it is synonymous with credit reporting, but that is not the case. Regardless of whether you apply for a loan with or without UC, the lender will request a credit report on you. However, when you apply for a loan without UC, the lender instead requests credit information from other credit reporting companies – companies such as Cream Credits and Fine Bank

There are benefits to applying for a fast loan without UC, but there are also some differences between whether it is done with Cream Credits or Fine Bank Here we go over what these are so that you can make an informed decision when applying for a loan.


Why apply for a loan without UC?

apply loans

UC stands for Upplysningscentralen and is the largest credit information company in Sweden. The company is largely owned by the Swedish major banks, which is why they turn to UC just when they are going to process an application. All information is recorded in UC’s register for up to 1 year and can be viewed by other lenders whenever a new information is requested.

To clarify:

  1. You apply for a loan from a fast loan company and a credit report via UC is made on you.
  2. Some time later, you apply for a loan from another loan company that also uses UC. This company can then see that the first lender has made a credit report on you, which “reveals” that you previously applied for a fast loan.

The more credit requests made, the more reluctant lenders may be to grant you a new loan. Using UC can therefore reduce your chances of getting a loan in the future, but also affect your housing situation when landlords also request credit information. A history of quick loans can discourage them from renting out to you despite the payments being made.


Different valuation models


On behalf of the lender, the information company collects information about you from actors such as enforcement authority. The company then analyzes this information to find connections and patterns that can be used to determine your credit rating, which is the same as your future ability to pay.

To obtain a credit rating, the companies use different valuation models, or scoring models. In these models, all factors that are considered to be significant are scored, such as age, income, marital status and payment notes.


Which option is best?

loan option is best?

On the whole, all credit reporting agencies work the same. They analyze information about you that may affect your ability to pay and then give the lender a rating that represents your credit rating. However, one important difference is that Fine Bank does not base its rating on how many applications you have made. In their system, only the credit information for the lender or bank that has ordered it is visible, which means that the number of loans will not reduce your credit rating.

Cream Credits acts as UC and registers all inquiries, but since most companies use UC, it can still be advantageous to take out loans with Cream Credits The credit requests that are registered there will not affect your UC rating in the event that, for example, a landlord would request a credit report from you via UC.