Credit capacity

Credit capacity refers to the ability of an adult borrower to repay a loan within 36 months using the attachable portion of their income. The actual loan term selected is not taken into consideration here.

The credit capacity check is required by law for loans that are subject to the Consumer Credit Act and is designed to protect against over-indebtedness.

The attachable or seizable part of the income is calculated by deducting the subsistence minimum (according to the guidelines of the canton of residence) from the borrower's net income.

The old age and survivors’ pension (AHV), invalidity insurance (IV) benefits and similar benefits are not attachable. This is why pensioners, for example, are not usually approved for loans.

Both credit capacity and creditworthiness are assessed within the scope of a credit check.