Getting a loan as an unemployed person is not easy. Banks are vehemently opposed to this, but there is a great alternative for unemployed people to get a loan.
Despite good unemployment figures in Germany, job security is often very at risk. 10 to 15 years ago, things looked very different, but today, in times of bankruptcy, large corporations have to worry about their jobs if they have to shrink in the event of an upcoming bankruptcy. Then there is also at least temporary unemployment for the employee, which can still be bridged with unemployment benefit I, even if this is only 60 percent of the income at that time.
Difficult times of unemployment
The worker faces considerable difficulties in these situations. This is quickly noticeable, for example, when entering into contracts that were actually not a problem with a permanent employment relationship. In the financial sector in particular, it is extremely difficult for unemployed people to apply for finance or a loan. Due to the lack of creditworthiness and often the lack of security from the unemployed applicant, banks hardly ever grant a loan. The risk of the bank that the potential borrower can no longer repay the money is simply too great.
Despite all of this, unemployed people also need financing. Because you know it: important household appliances such as the washing machine or the refrigerator often break down when you are already in a financial emergency. Or an almost more tragic example: You need a car to be able to take on or get to the new job, but either there is no car or it just stops working. And the repair is not easy to pay from the household budget.
Unemployment Loan: The Alternative to a Bank
As you always like to make a flat rate if you have never been in an unemployed situation: in these circumstances, you should only limit yourself to necessary purchases, you cannot make a principle of it here, because unemployed people often also need financing. How do you get a loan as an unemployed person? Since the banks are not suitable as lenders, it is important to look for an alternative here – and this does not mean an unemployment loan, because the banks do not lend something like this twice. The alternative to a bank loan is a personal loan.
Personal loans for the unemployed
Individuals act independently of the banks and it often happens that when individuals really see that it is essential funding for the unemployed that they say the loan. This happens even more often than you think, because the principle behind a private loan is often that the risk is widely distributed and does not burden a lender. It is rather the case that several parties lend the money to the borrower. In other words, if you need a loan of over 1,000 dollars, it can happen that five people throw 200 dollars into the pot and this is then paid out to the borrower as a bundle.