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Old 10.10.2020, 15:44
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Do Swiss banks share debt records between countries?

When one has a mortgage in Switzerland and apply another mortgage in overseas, will the Swiss bank ever share the debt record among the countries?

Do Swiss banks have any such agreement with EU countries or non-EU countries by sharing the debt record, similar like the AEOI? Or is the debt record already included in the AEOI?

https://www.efd.admin.ch/efd/en/home...i-/fb-AIA.html
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Old 10.10.2020, 15:52
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Re: Do Swiss banks share debt records between countries?

Swiss banks do share information, what exactly I do not know.

But then, if you apply for a mortgage you have to declare your financial situation and not mentioning another mortgage could lead to having that mortgage cancelled.
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Old 10.10.2020, 16:38
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Re: Do Swiss banks share debt records between countries?

Under certain circumstances Swiss banks will share financial information with tax authorities in other countries. I doubt they would share information with anyone else.
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Old 11.10.2020, 16:12
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Re: Do Swiss banks share debt records between countries?

I'm taking a mortgage out to buy a house in the UK. My Swiss mortgage provider isn't interested, since it's not secured on my Swiss house, and the UK mortgage provider only want to know that the loan is affordable to me (which means I tell them of my Swiss mortgage), since that loan will be secured on the UK house.

So in answer to the original question - it seems that they don't even care.
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Old 11.10.2020, 19:06
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Re: Do Swiss banks share debt records between countries?

Anyway, I don't believe that it is a direct exchange of information between banks. In the case of the Automatic Exchange of Information, it always goes via tax authorities.

https://www.efd.admin.ch/efd/en/home...on--aeoi-.html

At least, that is what is implied in the diagram in the above link.
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Old 11.10.2020, 20:21
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Re: Do Swiss banks share debt records between countries?

OP - are you suggesting you will apply for a mortgage in another country and not admit to having one in Switzerland?

Several things spring to mind, apart from the simple fact that it's dishonest.

1. Falsifying your financial status will get your credit status blacklisted if you get found out.

2. Your mortgage would become immediately repayable if you get found out, and you won't get another one in that country based on 1.

3. Unless you have an independent income stream in the other country, they'll probably work it out from the cash flows.
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Old 11.10.2020, 21:28
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Re: Do Swiss banks share debt records between countries?

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OP - are you suggesting you will apply for a mortgage in another country and not admit to having one in Switzerland?

Several things spring to mind, apart from the simple fact that it's dishonest.

1. Falsifying your financial status will get your credit status blacklisted if you get found out.

2. Your mortgage would become immediately repayable if you get found out, and you won't get another one in that country based on 1.

3. Unless you have an independent income stream in the other country, they'll probably work it out from the cash flows.
In addition to the above, I'd say that not disclosing means that if the second bank accepts, you're exposing yourself to a potentially unrealistic amount of debt overall. In these uncertain times, that could prove disastrous. There are reasons banks check how much you owe compared to how much you make.
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Old 11.10.2020, 21:48
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Re: Do Swiss banks share debt records between countries?

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When one has a mortgage in Switzerland and apply another mortgage in overseas, will the Swiss bank ever share the debt record among the countries?
If you intend to borrow in the EU, you should be aware of the EU Mortgage Credit Directive and the restrictions it places on lenders who wish to lend to borrowers who do not earn their income in the currency they wish to borrow in.
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Old 11.10.2020, 22:04
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Re: Do Swiss banks share debt records between countries?

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If you intend to borrow in the EU, you should be aware of the EU Mortgage Credit Directive and the restrictions it places on lenders who wish to lend to borrowers who do not earn their income in the currency they wish to borrow in.
Thats why peoples a broker to fudge the figures as they know how to lie so the loan is accepted & the broker can collect 1-2% commission plus what he makes selling a life insurance policy to reduce the mortgage
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Old 11.10.2020, 23:00
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Re: Do Swiss banks share debt records between countries?

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OP - are you suggesting you will apply for a mortgage in another country and not admit to having one in Switzerland?

Several things spring to mind, apart from the simple fact that it's dishonest.

1. Falsifying your financial status will get your credit status blacklisted if you get found out.

2. Your mortgage would become immediately repayable if you get found out, and you won't get another one in that country based on 1.

3. Unless you have an independent income stream in the other country, they'll probably work it out from the cash flows.

I'm posing this question to see who will make the assumption like you did Joke aside, I'm posing this question as I'm curious to what extent the banks will share information with each other as I know people who possess multiple mortgages in different countries yet based on the total amount of the mortgages it would be hard to imagine how they could afford them, unless the banks have no idea about these multiple mortgages or possibly as NOTALLTHERE mentioned, the banks are not interested to know.
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Old 12.10.2020, 08:15
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Re: Do Swiss banks share debt records between countries?

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I know people who possess multiple mortgages in different countries yet based on the total amount of the mortgages it would be hard to imagine how they could afford them, unless the banks have no idea about these multiple mortgages or possibly as NOTALLTHERE mentioned, the banks are not interested to know.
Well assuming that they have mortgages would put the joke on you, since most banks in Europe are not going to offer a mortgage to a non resident... most likely they are using other forms of financing.

Mortgages are a special type of loan intended to help help people acquire a PPR and come with a lot of consumer protection. Once it is not a mortgage the lenders are not restricted in the offers they can make.

I have used “back to back” for instance in the past to buy stuff in the past.
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Old 12.10.2020, 12:23
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Re: Do Swiss banks share debt records between countries?

My mortgage is joint with a UK resident, so that probably makes it easier. Jointly and severally liable.
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Old 12.10.2020, 13:07
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Re: Do Swiss banks share debt records between countries?

Swiss banks, or foreign banks, including UK banks for that matter, do not share financial information between them. Sometimes a bank will want a reference letter from a foreign bank, but you have to give your permission and obtain it from the bank and then forward it to the requesting bank.


I've had mortgages in 5 countries, including the UK and CH. Never have I been asked to declare mortgages elsewhere. The banks just looked at my financial record with them, did a credit check in the respective country and that was it.
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