Leasing, credit cards and existing loans in a new application
Record existing loans, leases and card instalments correctly: balances, monthly payments, settlement plans and the impact on a new loan assessment.
Updated on · Budgetcredit
Existing commitments belong in every new lending decision
Existing financing generally reduces room for new payments. A proper assessment therefore needs more than net salary. Ongoing loans, leasing agreements and instalment facilities in use must be declared fully. The monthly payment and the amount still outstanding provide different information.
A small monthly amount may conceal a long remaining term or a substantial balance. Conversely, a high instalment on a contract ending soon does not automatically mean a long-term burden. Record the amount, instalment, end date and planned treatment of the commitment. This shows whether it will continue or be settled from a new loan.
Why a loan’s outstanding balance matters
When a cash loan is assessed under the Consumer Credit Act (KKG), assumed amortisation within 36 months also applies to earlier consumer loans to the extent they remain unpaid. Merely subtracting the actual small contractual instalment on an old long-term loan from a free monthly budget is therefore insufficient. The lender must account for the existing commitment in the statutory assessment.
Distinguish the original loan amount, current outstanding principal and settlement amount for a specified date. These values may differ. Refinancing requires an up-to-date statement from the existing provider. The total of all remaining scheduled instalments is not automatically the correct settlement amount, because it may include future interest.
If new financing is to replace the existing loan, the application must state this explicitly. Otherwise it may appear that two commitments will run in parallel. A calculated scenario may include settlement, but your intention alone does not mean the old debt is cleared. Only confirmed completion establishes that.
Declare credit cards and instalment purchases correctly
A credit card whose bill is paid in full each month differs from ongoing use of revolving credit. Record the outstanding balance, repayment method and any current instalment purchases. A card limit is not the same as money already drawn. Both details may nevertheless matter for the provider’s assessment.
IKO records certain information under statutory reporting duties. However, a commitment missing from a report is not necessarily irrelevant to your personal budget. Do not rely solely on a database check. Even smaller instalment arrangements can together consume a substantial part of the monthly surplus.
A common mistake is counting a card purchase in an expense list and its repayment instalment again as the same ongoing burden. Conversely, an actual instalment obligation must not be omitted because the item was bought earlier. Clearly separate current consumption from repayments of earlier spending.
Leasing involves more than the monthly instalment
The leasing instalment forms part of ongoing commitments. Your personal car budget also needs insurance, electricity or fuel, servicing, tyres and other operating costs. The lease may include mileage, return and early termination conditions. A new personal loan does not automatically remove these costs.
If a lease is to end, you need a specific settlement calculation. The stated residual value of the vehicle is not automatically your contractual purchase price, nor necessarily the full exit amount. Obtain the conditions in writing. Our article Car loan or leasing explains the financial comparison.
A short overview prevents misunderstandings
- Provider and type of commitment.
- Current monthly payment and outstanding amount.
- Scheduled contract end or confirmed settlement date.
- Continuation or planned settlement from the new loan.
- Additional costs, arrears and conditions still unresolved.
An example: you need 8'000 francs for a new purpose and also want to settle 12'000 francs of existing debt. Before other items, the new financing need is 20'000 francs. The extra payout for your project remains 8'000 francs. This distinction prevents confusion between the requested cash and the total agreement.
Then check the entire remaining repayment. Consolidating several loans can improve clarity, but a longer term can also make it more expensive. Keep existing payments running until the change is confirmed. An enquiry does not change a contract or stop a due date.
Frequently asked questions
Is the old loan’s monthly instalment enough for the assessment?
No. The outstanding balance and contract details also matter. The statutory assessment may differ from the actual old instalment.
Is an unused credit card limit already a debt?
No. The limit and drawn balance are different. The provider may request both for its assessment.
Can I immediately remove a loan earmarked for settlement from the budget?
Not as an already completed obligation. The planned settlement must be documented and subsequently confirmed as actually completed.
Sources and information date
Information as of 13 October 2026. The applicable rules, individual assessment and contract documents are decisive.
Credit must not be granted if it would lead to over-indebtedness. A budget calculation provides a non-binding indication, not a loan offer.
