What Is Creditworthiness?
Creditworthiness (Polish: zdolność kredytowa) is a bank's assessment of your ability to repay a loan with interest within the agreed term. In Poland, banks calculate it in line with the Financial Supervision Authority's (KNF) Recommendation T and their own credit policies. There is no single formula — each bank uses its own scoring algorithm.
Key Factors Affecting Creditworthiness
1. Net Income
The most important element. Banks prefer:
- Permanent employment contract (UoP, indefinite term) — the best-rated form of employment; banks count 100% of net salary.
- Fixed-term employment contract — income is counted if the contract has at least 6–12 months remaining and renewal is likely.
- Sole trader (JDG) — banks analyse average income from the past 12–24 months (PIT return), often applying a 20–30% reduction.
- Civil-law contracts (zlecenie/o dzieło) — treated cautiously; continuity for at least 12 months is required.
2. Existing Obligations
Banks deduct all existing loan repayments, alimony obligations, and credit card limits (banks assume at least 5% of the credit limit as a monthly obligation, even if you never use the card).
3. DTI Ratio (Debt-to-Income)
KNF Recommendation T states that total instalments should not exceed:
- 40% of net income for incomes below the national average,
- 50% of net income for incomes above the national average.
With a net income of 6,000 PLN, the maximum total monthly instalment is 2,400–3,000 PLN.
4. Credit History (BIK)
The Credit Information Bureau (BIK) holds your repayment history. Arrears, collections, or many credit enquiries in a short period lower your BIK score and may lead to rejection. Check your BIK report regularly — you can download a free report once every 6 months.
5. Down Payment
For a mortgage, the minimum down payment is 10–20% of the property value. A higher down payment (30%+) increases your creditworthiness and improves loan terms (lower margin).
How Banks Calculate Creditworthiness — Simplified Model
Max instalment = (Net income − Obligations) × DTI ratio Max loan = Max instalment × Annuity Factor(n, r)
The annuity factor for 25 years at 7.5% is approximately 135. With a maximum instalment of 2,400 PLN, the bank may lend up to about 2,400 × 135 = 324,000 PLN.
How to Improve Your Creditworthiness
- Pay off existing loans — reduces monthly obligations.
- Close unused credit cards — banks count them as potential liabilities.
- Switch to a permanent employment contract — if possible, before applying.
- Increase your down payment — a smaller loan is easier to qualify for.
- Wait for a raise or additional income source — each extra 500 PLN net typically adds 70,000–90,000 PLN to your borrowing capacity.
- Improve your BIK history — 12–24 months of on-time repayments significantly boost your score.
Calculate Your Creditworthiness Online
Use the creditworthiness calculator on Liczbnik.pl — enter your income, obligations, and preferred loan term, and the calculator will estimate the maximum loan amount available to you.
Summary
Creditworthiness depends primarily on your income, existing obligations, credit history, and down payment. It is worth spending 6–12 months actively improving your credit profile before applying — this can mean a higher loan amount and better contract terms.