Almost every German is confronted with the Schutzgemeinschaft für allgemeine Kreditsicherung - SCHUFA for short - at least once in his or her life.
The SCHUFA collects all kinds of (credit-relevant) data about the citizens of the Federal Republic and evaluates them.
This evaluation results in the well-known and often feared SCHUFA score, also known as credit score.
If you have a bad credit score, you are very likely to have at least one negative entry with SCHUFA.
Although there are also positive entries, the colloquial expression for a negative SCHUFA entry is simply SCHUFA entry.
Although the SCHUFA advertises transparency, there are still many myths, misconceptions and misunderstandings surrounding the topic of SCHUFA entry. How long does it remain, how does it come about at all and what can I do to meet the SCHUFA deletion deadlines to circumvent the SCHUFA deletion deadlines - we have the answer to all these questions.
How does a SCHUFA entry come about?
Before we look at the SCHUFA deletion periods and the question how long a SCHUFA entry remainsafter everything has been paid, we will first look at how such a SCHUFA entry is created in the first place.
The most common cause of negative entries at SCHUFA is unpaid bills.
However, you don't have to fear for your credit score if you forget to pay an open invoice within the payment period.
The good news is that some criteria have to be met before SCHUFA is allowed to make a negative entry.
This means that you have not settled a payment. However, before the SCHUFA entry is made, the following scenarios must have occurred:
- Finally, you received at least two written reminders after the end of the payment period.
- You have received the reminder notices four weeks apart
- In one of the reminders received, a negative SCHUFA entry was announced
- The receivable was not paid until the end
As you can see, you don't have to panic immediately if an invoice is lost in the stress of everyday life.
Nevertheless, you should pay attention to other factors that could negatively affect your SCHUFA, such as:
- Your bank has cancelled your loan because you have not paid your installments
- They are entered in a debtors' register open to the public
- Collection proceedings are initiated against you
- You must file for personal bankruptcy
In summary, it can be said that a negative entry at SCHUFA is always imminent if you do not meet your payment obligations and you violate contractual agreements.
However, if you know how a negative SCHUFA entry comes about, you can also take some preventive measures. So you do not have to wait for eternal SCHUFA deletion periods after an entry has been made.
How can I prevent a SCHUFA entry?
In order not to get into the "claws" of the SCHUFA, one should consider some density.
The most important thing: Keep the overview!
Of course, it can happen that an invoice goes missing or you think that you have already paid it, but this is not the case.
Both the biller and SCHUFA know that this can happen. That's why you don't get a negative entry directly if you miss the payment deadline, but only if the above criteria are met.
However, if you also ignore or slut up your reminders, it can end badly.
Therefore:
Pay your bills
Most invoices have a payment term of 14 days before the first reminder flutters into the mailbox. You should adhere to this whenever possible.
Should it ever happen that you are not liquid and therefore cannot settle a payment within the standard period, do not bury your head in the sand trembling, but actively seek a conversation with your creditor.
Explain your (emergency) situation and that you will not be able to pay until a later date.
You will see: In many cases, the biller is very understanding and will agree with you on an extension of the payment deadline or a mutually agreeable installment payment.
The most important thing is that you proactively approach the creditor and do not wait until the child has fallen into the well, i.e. the negative entry is in your SCHUFA.
Object to unjustified requests for payment
No company or bank is perfect. Despite accurate software, errors still happen frequently.
For example, you may receive an invoice incorrectly, you may be sent a duplicate invoice that you have already paid, or you may receive an invoice whose amount is incorrect.
However, instead of getting angry and simply ignoring these invoices, you should object to the claim in any case - preferably in writing!
So put in writing why you will not pay the bill.
Example:
"Dear Sir or Madam, On 20.02.2020 I received your invoice no. 192837465 for 199,99€. However, this invoice appears to me to be incorrect.
The following invoice item appears in your invoice: Hollywood swing (Art.Nr.:78341), 1 pc., 199,99€ (incl. VAT.) However, I have neither ordered nor received this product.
I hereby expressly object to your request for payment. I consider this matter to be settled if you have not provided me with proof of contract within two weeks. I will also not respond to any further letters from you.
Sincerely yours,
Max Mustermann"
If you receive further payment reminders or ultimately receive mail from the debt collector, object again.
If the other party then threatens you with a lawyer and a bailiff, don't be intimidated. Because if you really have no obligation to pay and the invoice is incorrect, nothing can happen to you.
The most important thing is only that - if it comes to a report and investigation - you can prove that you have objected in writing.
This is also crucial with regard to your SCHUFA.
In fact, negative entries may only be noted at SCHUFA if it is an undisputed This is a claim that you have not objected to.
Therefore, no report may be made to SCHUFA if you justifiably deny your payment obligation. If this should happen anyway, SCHUFA must delete the entry again.
Even if it is annoying that you have to deal with it, even though you are in the right: If you do nothing, the hassle of the investigation will be many times greater and more time-consuming.
How long does a SCHUFA entry remain after everything has been paid?
When are SCHUFA entries deleted and how long does a SCHUFA entry remain after everything has been paid?
There is no universal answer to this.
If you have received a SCHUFA entry because you initially failed to meet a payment, this entry will remain for a while - even if you have settled the claim in the meantime.
The period over which these entries are stored depends on various factors.
However, the entries must be deleted after a certain period of time, otherwise they can become too burdensome.
However, depending on the type of note, different SCHUFA deletion periods.
If you have not met contractual payment obligations, this will be noted for three years.
If you were unable to make contractual payments, these are stored for three years. The period begins when you serve your claims again.
Once you have repaid a loan 100%, your entry will remain in the SCHUFA register for three years. However, this 3-year period only starts at the end of the year in which you settled your loan debt. If you do not settle an overdue payment installment until January 2021, the deletion period will not start until the end of the year 21/22, so the SCHUFA entry will exist for three years from then on and will be deleted from the register on January 1, 2025.
For payment claims of less than €2,000, the situation is a little different with the SCHUFA deletion period. If you have not paid such a claim, this will be noted, but the entry will be deleted immediately as soon as you have paid the outstanding amount.
Furthermore, there are still some "special cases", for which also special SCHUFA deletion periods apply:
- Private insolvency: If you are forced to file for private insolvency, this procedure will take 6 years. The SCHUFA deletion period - 3 years - only begins at the end of this procedure. Thus, your SCHUFA entry is available for a whole 9 years.
- Inherited debt: As soon as you have paid an inherited principal debt, the entry will be removed immediately.
- Public records: Records from the debtor directories of the courts also remain for 3 years. Then these are normally deleted automatically.
Conclusion
It is important that you both keep a good overview of your payment obligations and regularly order your SCHUFA information on a regular basis.
This enables you to intervene at an early stage in the event of a SCHUFA entry. How long it takes until this is deleted, you know now.
Therefore: Keep control so that unpleasant SCHUFA entries do not hang over you for a long time!