Unemployed loan: borrowing money while being unemployed?.
In Belgium, many Belgians live with credits and this is not a bad thing when they are very well managed. Take out a loan to finance a project, a wedding, a car, even a house? it’s common today. Unfortunately, it is not always possible to obtain or own the entire sum in cash by not going through a credit institution. In the vast majority of cases, people wishing to make a financing / a personal loan or any other form of loan subscribe their financing knowing that it will not be refused with their stable employment.
Everyone has in mind a bank refuses a person without a job. Why would she lend money to someone who can not repay? Forgetting this idea, banks also lend to people without jobs. That is to say unemployed people. There are special loans: the unemployed loan.
Moreover, the banks grant this chance to unemployed persons as long as they fulfill certain conditions, for example for some cases (large amount) to have 10% of the sum but this is not always applicable, not do not worry.
Several solutions exist for an unemployed loan:
When you are unemployed and want to borrow for a vehicle or for any other project, you can call on certain organizations and helpers present in Belgium.
✔ The loan of honor:
This type of loan is obtained through the family allowance fund. It only grants this type of credit to people who are registered at home unemployed. For the simple reason that the refund of this “credit” is directly deducted from the monthly payments paid to the unemployed. The interest rate is obviously 0, the goal is to help unemployed people and give them a chance to revive with a financial contribution. This help is very popular in Belgium and allows unemployed people to better manage the loan.
✔ The micro credit
If you are refused for a loan of honor, there is also the solution of personal micro-credit. This is a type of credit for people in great need or jobseekers. This one is granted by the financial institutions, with a low interest rate. For example, if you ask for a micro credit to purchase a car to get to work, it increases your chances of acceptance. Any evidence of motivation is well seen. The micro credit exists to help people who are really in a very delicate situation. The state feels it is his duty to help people get back up.
✔ The downstream loan
If none of the above two situations suits you, it is also possible to put a bond or a guarantor act as a guarantee for the unemployed person to borrow. This guarantor must in no case be stuck to the national bank of Belgium for overindebtedness.
What are the essential supporting documents for an unemployed loan application?
It is obviously logical that an application for an unemployed loan will be stricter than a request for a normal personal loan. However, do not panic, it’s just about formalities. Do not forget that each information will be important to convince the organization to lend you money despite your “precarious” situation.
For receipts, they are the same as a conventional loan. You must provide all the information on his identity, a certificate of unemployment, proof of residence, various statements of energy bills for the last three months and statements of account. The list is not exhaustive and some banks may ask for other essential parts depending on your request.
I am refused for an unemployed loan, what to do?
So, after having tried all the above solutions, do you still refuse your request? We advise you to go through a broker or credit intermediary who can support and make your application even more serious than it already was.
It is sometimes essential to use the services of an expert in the field. It can guide you to the best possible solutions for this type of financing. This will increase your chances of getting your application.
Is there a way to borrow without a bank?
Yes, recently Crediterion offers this type of service to help people to borrow.
Crediterion is your ally for a personal loan for example. They commit themselves every day to offer you a personal loan at the best conditions. As a lender, broker and credit intermediary. Crediterion guarantees fast and efficient processing of all credit applications. Flexibility is the asset at Crediterion!
The Crediterion philosophy: Nothing prevents an unemployed person from taking out a loan. The only condition is that it must be able to repay the monthly payments of auto financing in time and hours.
This is why Crediterion understood this well and offers an installment loan to answer this problem. No need for a bank. Thanks to Crediterion, you have the possibility to borrow for the purchase of your vehicle for example even unemployed. (under certain conditions).