Excessive debt is not in the interest of the card issuer
Swisscard AECS GmbH carefully clarifies the creditworthiness of every single customer using a credit check. In its own interests, the credit card issuer does everything in its power to ensure that the credit issued can also be repaid by the consumers. One single customer who cannot pay their credit card bill costs Swisscard as much as income from 200 solvent customers.
Swisscard AECS GmbH uses internal and external data sources for the credit check. Besides income, other key figures for financial security are also checked, for example assets and current commitments.
Customers are assessed based on their risk profile. For young adults (minimum age at Swisscard: 18 years) stricter assessment guidelines apply, which leads to a higher rejection rate. Consequently, the average age of cardholders at Swisscard is just under 50.
With free credit cards, Swisscard AECS GmbH checks the customer’s creditworthiness just as carefully as with cards with an annual fee.
Swisscard AECS GmbH does not issue any credit cards if the applicant has certificates of unpaid debt. The origin of the certificates of unpaid debt is irrelevant.
The spending limit is determined based on the individual credit check. The credit issued is in proportion to the customer’s financial situation.
Every month the principal cardholder receives a statement and settles this by the payment deadline without any interest. Compared to other credit card providers, Swisscard AECS GmbH offers a longer payment deadline of 22 days from billing.
If the statement amount is not paid or is only partly paid by the deadline, interest is charged on all charges (except for accrued interest) until an installment payment is received and afterwards on the outstanding balance until payment is received for this.
If a customer does not pay their credit card statement and their credit limit from the installment facility has been used up, the credit card is temporarily blocked. The card can only be used by the customer again once they have settled their debts.