Successful lawsuit against Volkswagen Bank GmbH at the District Court of Braunschweig
The specialized law firm of Dr. Schulte and his team from Berlin and Munich has scored another success in the deletion of negative Schufa entries.
Specifically, a lawsuit against Volkswagen Bank GmbH was filed at the District Court of Braunschweig and has now been successfully concluded in the court of first instance.
Unjustified entries by the German credit reference agency Schufa continue unabated and jeopardize the creditworthiness of numerous consumers. Consumers affected are often taken unpleasantly by surprise and feel they have been treated unfairly. But anyone can be affected, even if precautionary contracts have been concluded between contractual partners. The installment payment agreement creates a framework in which the contracting parties can operate with protection, but unfortunately things sometimes turn out differently than one might expect, as this case illustrates:
The District Court of Braunschweig ordered Volkswagen Bank GmbH to delete a negative entry, stating that the claim was not completely due as a result of a previously concluded installment payment agreement. The court considered the installment payment agreement to be a deferral agreement in accordance with § 271 (2) of the German Civil Code (BGB), which would postpone the due date of the total claim. The court ruled that the defendant bank should not have made the negative entry because the criterion of the due date was crucial in accordance with Section 28 a (1) of the German Federal Data Protection Act (BDSG).
Fulfilment of the purpose of the entry
If the defendant bank enters into an installment payment agreement, the court ruled, the purpose of the entry in accordance with § 28 a (1) BDSG is no longer fulfilled, because according to the purpose of the law, potential creditors have an interest in being informed about the inability and unwillingness of potential debtors to pay. However, the defendant bank had no doubts about the plaintiff’s ability or willingness to pay if it entered into an instalment payment agreement and did not terminate it.
Attorney Dr. Thomas Schulte and his team commented on the judgment as follows: „The court has answered an important legal question in favor of those affected who enter into an installment payment agreement with a contractual partner or a collection agency. It is often disputed whether a claim for which an installment payment agreement exists may be entered in the credit reference agency. This is no longer possible following the decision of the Regional Court of Braunschweig. This is a great success for people who are trying to reduce their debts and diligently pay installments.“
The decision is not yet legally binding. It remains to be seen whether Volkswagen Bank GmbH will appeal.
Negative Schufa entry? Your legal options explained
Introduction: What does a negative Schufa entry mean?
A negative Schufa entry can have a significant impact on your daily life: whether renting an apartment, signing a cell phone contract or applying for a construction loan – a negative entry often has a far-reaching effect on your creditworthiness. However, not all Schufa entries are based on correct or current data. Incorrect or outdated entries can seriously disadvantage consumers. It is therefore essential to know your rights and to take active steps to challenge any discrepancies. This article provides you with a sound insight into the legal basis, current court rulings and practical tips for correcting or deleting negative Schufa entries.
1. Legal basis: data protection and freedom of information
The General Data Protection Regulation (GDPR) forms the basis for the protection of personal data – this also includes the information stored by Schufa. The key provisions include:
- Art. 15 GDPR – Right of access: Consumers have the right to find out free of charge what data about them is stored by Schufa.
- Art. 16 GDPR – Right to rectification: Incorrect or incomplete data can be corrected.
- Art. 17 GDPR – Right to erasure: Obsolete or unlawful data may be deleted.
- § 31 BDSG: Specifically regulates the storage of creditworthiness data and their deletion periods.
Typical deletion periods:
- 3 years for titled claims after settlement
- 6 months for non-titled claims after payment
2. Current court rulings and developments at a glance
ECJ ruling of December 7, 2023 (C-634/21): Transparency in scoring
The ECJ ruled that automated credit ratings without human review may violate Art. 22 GDPR. Consumers have a right to transparent information on how their scores are calculated.
Shortened storage periods from 2025
From January 1, 2025, the following will apply: In the event of a one-time payment default and quick settlement (within 100 days), the negative entry will be deleted after 18 months.
Judgments on deletion periods for settled claims
- Berlin II Regional Court, December 30, 2024 (Case No. 63 O 56/24): Deletion of two settled claims enforced.
- LG Traunstein, 14.02.2025 (Az. 6 O 1888/24): Storage beyond six months not permitted.
- LG Mönchengladbach, 02.09.2024 (Az. 10 O 158/23): Success for plaintiff in deletion and score adjustment.
Changes to the Schufa score from fall 2025
Schufa is introducing a digital dashboard that makes the twelve most important score criteria transparent – e.g. address duration, number of accounts or payment delays.
3. practical tips – how to take action against incorrect Schufa entries
- Request disclosure: Free of charge at www.meineschufa.de.
- Check entries: Watch out for unknown, outdated or duplicate entries.
- Object in writing: Refer to Art. 16 and 17 GDPR and enclose supporting documents.
- Contact creditors: Also address the original contractual partner.
- Hire a lawyer: If the original contractual partner refuses to take action or fails to do so, the only thing that often helps is legal enforcement.
4. Conclusion: Strengthen your rights as a consumer
A negative Schufa entry is not inevitable. Thanks to new legal standards and recent court rulings, consumers today have more opportunities than ever to successfully defend themselves. By regularly checking their data, reporting errors and knowing their rights, consumers can effectively protect or restore their own credit rating.
Sources and further links:
- ECJ, judgment of December 7, 2023, Az. C-634/21
- Federation of German Consumer Organizations
- Tagesschau: Shortened storage periods