End of monopoly banks: let tax authorities determine people's creditworthiness

The government knows precisely the financial situation of taxpayers through the tax return. Why should the government not be able to use that knowledge to guarantee the creditworthiness of people and companies?

Monopoly position of banks due to credit check

The tax authorities have all the information to determine how creditworthy someone is. So banks are not necessary for that either.

One of the main reasons banks maintain their monopoly is that they are able to check the creditworthiness of customers. Many an investor would kill for the simple and lucrative returns that banks get on personal loans, revolving credits and the pinnacle of lucrative banking services: being overdrawn. Personal loans and revolving loans quickly come to eight percent interest. Being in the red already offers a dream return: fifteen percent. Private and corporate investors would of course like to get these returns on their savings, but their information advantage makes it easier for banks to issue loans.

The tax authorities already have all the data
The tax authorities know how much debts someone has, how many assets and how much income. Providing incorrect information to the tax authorities is punishable. Private individuals will certainly not pretend to be richer than they are before the tax authorities, because then they will have to pay more tax. In short: if someone is creditworthy according to the tax authorities, there are good reasons to believe that this is more than correct.

The advantages
Banks have a monopoly position and have made themselves indispensable. This has given them a powerful position with which to blackmail the Netherlands. They regularly abuse this dominant position. In fact, the banks have a stranglehold on businesses and private individuals in the Netherlands. By refusing to grant credit, they can force the government to provide state aid. The reality in 2010. This monopoly position must come to an end. Offering an alternative credit facility offers this advantage. Anyone, not just a bank, can provide loans if someone's creditworthiness is known.

This also creates a new incentive to be honest with tax returns. For example, if you want to buy a house, it is better to report all sources of income to the tax authorities in order to increase their creditworthiness. If the tax authorities also pay a basic benefit, it is also easier for creditors to recover. Creditors who have borrowed money without reporting it to the tax authorities are placed at the back of the queue. Attachment and the like is no longer necessary if the tax authorities work as a collection agency.

Debt issues over
It can also prevent people from taking irresponsible risks. Companies can also be warned at an early stage that they will be in financial difficulties. Bankruptcies do not usually come out of the blue, but are a process that takes years. If it is known at an early stage that a company is not creditworthy, the bankruptcy is prevented from attracting many people. The entrepreneur also knows immediately that he must take measures to prevent worse.

4 thoughts on “Einde monopolie banken: laat fiscus kredietwaardigheid mensen vaststellen”

  1. mathieu van leeuwen

    Het voorgestelde in de tekst is zinloos.
    In welke vorm je het ook giet: Besluitvorming in dit proces is beinvloedbaar.
    Secundaire factoren kunnen zomaar primair worden, aangezien krediet wordt verleent van mens naar mens.
    En zoek maar niet naar abstracte oplossingen….
    daar hebben mensen nog steeds een broertje dood aan.
    En misschien wel terecht.
    Steek je licht maar eens op bij zo’n prutser als Sepp Blatter…

  2. Dit klinkt als een heel aardig idee. Temidden van de overvloedige uitleg wat er allemaal mis is dit een heel concreet voorstel voor een oplossing en dat is wel verfrissend. Helaas ben ik er niet genoeg in thuis om de eventuele valkuilen te zien. Hopend op meer constructieve reacties…

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