Loans for the Unemployed – Unemployment and Creditworthiness
Are you worried about unpaid bills or dream of holidays abroad? Unfortunately, your financial situation does not look good because you have recently lost your job, but this is no reason to worry. that offer us their help.
Are you worried about your financial situation and you can not find a job for a long time? Or maybe your income is not well documented, because you work on the basis of the so-called junk agreement. You realize that banks are reluctant to provide loans to people who are not financially credible. That is why it is worth checking what the offer of financial institutions is characterized by.
The creditworthiness of an unemployed person
The Central Statistical Office recently recorded a record low unemployment – 7.0% – especially in the provinces, where this problem was the most serious. However, the situation on the labor market is still unsatisfactory.
Many people in the country work on a contract of mandate or work, which means they have little chance of getting a loan. The consumer with such a contract has a lower salary and bears the higher costs of the loan taken.
If you want to apply for a loan, it is best to have various documents confirming our income, the history of transfers or a message from the employer who certifies our employment in the future. Before accepting the application, banks need to know our creditworthiness to be sure that the installments of debt will be repaid within a specified period.
Do non-bank institutions provide loans to the unemployed
The unemployed have to look for different ways to get cash urgently. When it turns out that banks are unable to provide credit, more than one person wonders what to do. Unfortunately, we do not always have the opportunity to find a job again in a short time.
Loan companies provide loans for the unemployed. Their requirements are not as strict as in the case of banks, which is why they are popular. Non-bank loans are characterized by speed, simple rules, flexibility and minimal paperwork. The innovative idea is online loans, where money can be obtained even within 15 minutes.
However, it is worth considering the choice of a loan when you lost your job and we do not have large savings. The consumer should remember that the installments should be repaid within the set deadline. When paying for debt, no institution will take into account the fact that we do not have a fixed income. It is therefore necessary to realistically assess your financial capabilities.
A loan pledged or a loan with a guarantee for the unemployed
For financial institutions, an unemployed person is not a beneficial customer. They are aware that such a person will not be able to pay a larger loan than the one he borrowed. Loan companies want to have any certifications that in the future the borrower will be able to pay off the debt. One of the solutions is a loan with a guarantee for the unemployed or for pledge.
With a secured loan, the borrower must set up a valuable asset. It is a guarantee for the lender that the person will be able to pay the debt. However, if the obligation is not changed, the given thing becomes the property of the institution.
Another form of security, if there is no repayment of debt, is a loan with a surety. It is based on the fact that the guarantor is obliged to pay installments in the event that the debtor fails to comply with the contract.