Please note: advisory meetings and the service itself are provided in Hebrew only. These guides are here so you can read and understand the topic in your own language.
When you apply for a mortgage, the bank checks your credit history: how you repaid loans in the past, whether there were arrears, and how much debt you have today.
The credit data registry
Israel has a credit data registry managed by the Bank of Israel, which collects information on loans and payments. Licensed credit bureaus (for example BDI and others) receive data from it and produce reports and ratings that banks can use, with your consent.
What hurts the rating?
- Late payments on loans or credit cards.
- Bounced checks or standing orders.
- Enforcement Authority (הוצאה לפועל) proceedings.
- High use of credit lines over a long period.
What helps?
- Paying on time – the most important thing.
- Reducing debts and closing small loans.
- Moderate use of credit lines.
- Time – negative information loses its effect over the years.
Check yourself
You are entitled to receive your own data. Check it before applying, to discover errors and correct them in advance.
Elia's tip: If you have an old debt you forgot about, deal with it before applying, even if it is small. Small unpaid debts in particular create a bad impression.
More: after a rejection, getting out of overdraft.
This article is general information and is not personal advice or a commitment. Rules, interest rates and taxes change from time to time, so check the current situation and your own figures before any decision.