How do I build a credit history in Spain?

Your UK credit record stays in the UK. Spanish lenders look at two main kinds of record, the Bank of Spain’s risk register and private default lists, plus your payslips and your history with the bank.

Why you start from scratch

Lenders in Spain must assess whether you can afford to repay before they lend (responsible lending). With no Spanish history, they rely on what they can see: your employment contract and payslips (nóminas), your tax return, your residence status and how your Spanish bank account is run. That is why a first credit card or loan can be harder to get in your first year, and why opening a bank account early matters. See Opening a bank account in Spain.

CIRBE: the Bank of Spain register

• CIRBE (Central de Información de Riesgos del Banco de España) records the loans, credit lines and guarantor commitments (avales) that banks and other lenders hold with each customer
• It is not a list of bad payers. Each month it tells lenders the total risk of people whose combined borrowing is over €1,000
• A bank can check your CIRBE data when you ask it for a loan, a mortgage or similar credit
• You can see your own report free on the Bank of Spain’s website. Nobody else can request your data
• If something is wrong, ask the lender that reported it to correct it; if that fails, complain to the Bank of Spain

Default lists: ASNEF and Badexcug

Private credit information systems hold details of unpaid debts. The best known are ASNEF, run by Equifax, and Badexcug, run by Experian. Spanish data protection law sets the rules:

• The debt must be certain, overdue and payable, and not under a formal dispute
• The creditor must have told you, in the contract or when asking for payment, that you could be listed
• The system must notify you within 30 days of the listing and tell you your rights
• The entry can only stay while the debt is unpaid, and for no more than 5 years from the due date
• Only a company you have a contract with, or have asked for credit, can check it

Phone, energy and other unpaid bills can end up on these lists, so a forgotten bill when you move flat can follow you. You can check your data and exercise your rights free through each company’s consumer service.

Credit cards

Spanish banks offer debit and credit cards. With a credit card, check how you repay:

Check which method your card is set to before you use it, and switch to full monthly repayment if it isn’t. The Bank of Spain has a simulator showing how long a revolving balance takes to clear.

Mortgages for foreigners

Buying is covered in Buying a home in Spain. In brief:

• Lenders must give you the standard European information sheet (FEIN), which is a binding offer, at least 10 calendar days before signing
• During those days you see a notary of your choice, who explains the contract to you in person, free
• The lender pays the notary fees for the mortgage deed, the land registry fees and the processing agency (gestoría); you pay for the valuation
• Law firms report that banks typically lend non-residents 60% to 70% of the price, and tax residents up to about 80%. Terms vary by bank

Cheques and Bizum

Spanish banks still handle cheques, but you are unlikely to need a chequebook: rent and bills are usually paid by bank transfer or direct debit (domiciliación). Bizum is the instant payment system built into the apps of the main Spanish banks: you send money to a mobile number in seconds. It has over 31 million active users and also works in some shops and online. You need a Spanish bank account to use it; each bank sets its own limits.