If you don’t have a job, you have to live from the state. Payments are very low and are often not enough to pay all important bills. This often leads to overindebtedness or financial bottlenecks. In such cases, unemployed people go to their bank and want to apply for a loan without a job. This loan could help pay the most important bills and afford consumer goods. But banks will not accept the risk of lending to these people. Why is that?
No chance of a loan
Banks cannot apply for a loan if there is no income. Unemployed people often think that unemployment benefit is an income, but are wrong here. This money is part of social benefits provided by the state and therefore cannot be seen as income.
If the unemployed have little money to support themselves, there will be no money to pay off a loan. Therefore, banks do not grant credit without a job because they fear that the loan cannot be paid off. In addition, the unemployment benefit is not attachable. A attachable income is one of the basic requirements for a bank to grant a loan.
Bank refuses loan application – what to do?
With banks not lending without a job, it will be difficult to find an alternative. Money is needed, but often cannot be obtained. Many are so desperate that they are looking for a direct bank on the Internet. There are providers who advertise that it is very easy to get a loan without a job. Unfortunately, it must be stated at this point that it can never be a really serious provider.
Often, people only speculate on the needs of those affected and award expensive insurance policies. A personal loan or a pawnshop offers opportunities to get cash for a short time. The personal loan can be given by family or friends. Some apartment items could be brought into the pawnshop. However, it must be borne in mind here that it can be very expensive if the things are not redeemed quickly because of high interest rates.
Banks will have no way of getting a loan if there is unemployment. Dubious providers on the Internet should be avoided. The family should be asked for help here so that a small amount can be borrowed.