Installment or consumer loans are very popular. Whether for moving house, dream trip, or buying a car, small loan amounts can be applied quickly and easily and are in the account after a few days. If you have a regular income, you will normally have no problems applying for a loan.
The situation is completely different for the unemployed, who can hardly afford the purchase of various consumer goods. A loan is often urgently needed here but is difficult to access for people without a fixed income. The chances of getting a loan are less from a reputed institution, as unemployed people pose an increased risk to the bank. However, you can minimize this risk by offering the bank certain guarantees, such as a co-applicant or guarantor. There is also the option of taking out a loan from the Federal Employment Agency.
For most credit providers, income is considered solid security and the basis for granting loans. Although unemployed receive unemployment benefits I or II, the bank does not consider this to be income. As a result, you usually only get a loan despite unemployment from dubious providers.
Where to apply for the loan
Loans for the unemployed are rarely granted by ordinary credit institutions in Germany. Instead, there are various providers that specialize in such types of credit. Their unemployed people have a much better chance of getting the money they want. If you need some money now you can contact slick cash loan.
There are two options here, far away from the usual institutes’ credit platforms or credit intermediaries. Individuals lend their money on online credit platforms and therefore determine themselves to whom they lend it. Therefore unemployed people have a good chance of getting a loan here. Credit intermediaries help find a lender who also lends to the unemployed.
Even if the loan offers to seem tempting at first glance, you should definitely consider whether the loan is really urgently needed, for example, if existing debts need to be quickly repaid. Because without a fixed income, it will be more than difficult to find serious loan offers.
In addition, there should be no additional financial burden in such a situation. If there is no prospect of a job, repayment of the installments is almost impossible. You should exercise caution, especially when it comes to loan offers without loan information and guarantors, as this entails high-interest rates and additional liabilities.
How to find the right unemployment loan
Normally there are special requirements for applying for a loan. These include:
Employees with a regular wage or salary can provide the bank with the assurance that the loan can be repaid. This becomes more difficult for retirees, temporary jobs, or if the applicant is still in the trial period.
Whoever wants to take out a loan should have good creditworthiness. If, for example, deviating payment behavior for previous or current credit contracts is noted negatively, this can lead to rejection.
As the unemployed cannot meet the first point, in particular, the bank lacks collateral as the basis for lending. In order to obtain a loan without a regular income, other collateral must be presented that can significantly increase the chance of a loan.