Is a loan possible despite credit bureau and social welfare?
Those who live exclusively by social welfare have very few opportunities to get a loan. Of course, it is possible to file an own initiative application with banks and savings banks. However, credit institutions always require proof of income in the form of regular income such as wages or fees.
Debit interest rate of 4.83% – 15.49% (depending on creditworthiness) fixed for the entire term, effective annual interest rate: 4.90% up to a maximum of 15.99%, net loan amount: 1,000 – 100,000 euros, contract period: 12 – 120 months. Representative example: borrowing rate fixed at 7.98% for the entire period, effective annual interest rate: 8,29%, net loan amount: 10,000 euro, contract period: 72 months, monthly installment: 175,29 euro, total interest cost: 2620,68 euro, total repayment ( including all fees): 12.620,68 Euro.
Apply for credit despite social welfare at banks and savings banks?
This step is worthwhile if a potential borrower has a positive credit rating at credit bureau. To provide collateral to the credit institution, assets must be listed. These include, for example, an own vehicle, inheritance rights, interests in real estate or capital values in the form of insurance. In addition, one additional person must be listed as applicant or guarantor. A co-applicant must have a secured earned income that covers the loan installments less own use.
From small-credit to crowdfunding: solutions for social welfare recipients
The so-called micro or mini credit is suitable for persons who want to finance a small purchase or urgently have to pay bills. Here is a minimum income of 601 EUR necessary and the sum is limited to the first application. Worth for applicants, in addition to the social welfare achieve a small income from employment or so-called GAL II Aufstocker.
Despite difficult economic income relationships, private individuals are often willing to provide credit in such cases. Investors are also interested in financing such loans. The conditions depend on the particular situation of the applicant. In addition to credibility, a borrower’s willingness to repay is crucial in order for private investors to provide funds.
Anyone wishing to gain a foothold in their working life through unemployment through their self-employment benefits can also have their idea of starting a business financed by crowdfunding. It is important that a business idea has real chances to establish itself in the desired market. Despite the risks due to lack of capital of the founder, more and more companies and private individuals participate in such start-ups.
Online loans despite social welfare
There are several good portals on the internet that may help in very difficult cases:
To get a cheap credit, good credit is important, otherwise the interest rate rises.
Note: Reputable credit intermediaries never charge a pre-cost refund or agency fee!
Credit despite negative credit bureau and social welfare
Despite social welfare we recommend a credit comparison on our website. On the one hand, because we have listed very different providers who help in various life situations with loans and, on the other hand, because the credit comparison is formulated transparently and comprehensibly. We leave no back doors open and point out the real possibilities for social welfare receivers.