Credit without salary

The conditions for obtaining a loan are regular income, a positive credit bureau statement and a permanent employment. These conditions quickly show that banks do not grant a loan without salary. The risk of repayment defaults is too high for banks with an applicant who does not qualify for a loan.

There is no salary that can serve as collateral or that could be seized in case of defaults and arrears on repayment. Exceptions to receive a loan without pay are collateral such as life insurance policies, real estate or the mention of a guarantor.

Alternatives to a bank loan

An alternative to a non-salary loan at a bank is to ask friends, family or acquaintances for a private loan. The repayment is usually made without interest if a private loan is granted in the circle of acquaintances or by family or friends. Consider the emotional aspects of friendships that may suffer from the borrower’s poor payment habits. Friendships are put to the test. If the private loan without salary is not repaid, a friendship can break. Therefore, it should be well considered in advance, how much money is needed, what should be financed with it and whether this acquisition is really necessary. Another point is the exact costing for the eradication. The borrower should take accurate account of the repayment and record its expenditure plan.

If the eradication is threatened by financial constraints, no private loan without salary with friends or acquaintances should be completed. If a loan is provided by friends, family members or friends, a written agreement should be reached. In this it must be recorded, how long the repayment is and how long is the term for this private loan.
A second alternative, if the bank does not grant credit and no private loan can be provided by acquaintances or friends, is the pawnshop. There you can give any existing valuables such as TV, stereo system or computer as well as jewelry and receive a corresponding equivalent in cash. With this alternative one has to consider that the pawnshop sells the items to auctions after a fixed deadline, if one does not pick up the items again before the expiration of this period by the payment of cash. The deadline for collection of valuables against payment of cash is usually three months.

Tips before applying for a loan

Basically, it should be considered carefully, what should be purchased with the loan without salary and whether this purchase is really necessary or whether this can not be postponed to a later date, although again a regular and fixed income is achieved.