As a rule, banks will reject an application for a loan without payroll. That’s because of the conditions that have to be met for a loan. These include a positive credit information, a regular income and a permanent employment.
Loan without payslip
If these conditions for a loan are not met, the risk for the banks is too high, that it can lead to arrears in the repayment of the loan or that the borrower is completely insolvent. In the case of a loan without payroll, the bank has no collateral in order to be able to seize any arrears if necessary. Obtaining a loan, even though there is no payroll, is only possible if the borrower can provide other collateral such as life insurance or guarantor.
Alternatives for a bank loan
If the banks refuse credit without payroll, a private loan from family, friends or acquaintances is an alternative. As a rule, these do not charge interest. For the private loan, a written agreement should be made. This includes the loan amount, the term of the private loan and the amount of the monthly repayments.
Both parties should then sign this written agreement. However, before contacting friends or acquaintances and asking them for a private loan, one should consider whether it will be possible to make the agreed repayments in the future. If there are delays in the eradication can quickly lead to a dispute. In addition, the aspect of the need for a loan should be taken into account. The focus is on questions of the size of the private loan and the need to purchase the loan.
In addition, an expenditure plan should be drawn up with the monthly commitments to see if the monthly repayments can be made for a private loan. Maybe the necessary acquisition can be postponed to a later date, if you have a regular income again.
Another alternative, if banks grant a loan without payroll and family, friends and acquaintances can not afford a private loan, is the pawnshop. There, valuables such as jewelry, hi-fi, TV, computer or cell phones can be handed out for money. These items can be redeemed within a fixed period with the pawnshop against payment of this money. As a rule, this period is three months. If you do not cancel the items within this period by a payment, they will be sold at auction to third parties.
Loans from dealers and department stores
If you need a non-payroll loan for earmarked purchases, such as furniture, computers, televisions, washing machines, or refrigerators, some retailers and department stores will fund these products.
The product prices are usually not more than 1,000 USD and in addition to the presentation of a valid identity card usually no further documents such as salary or the like are required. In addition, you should pay attention here to current offers for zero-percent financing. So you pay only the product price and there are no further costs for interest. The repayment of the product purchase takes place like a conventional loan through the payment of monthly installments. The amount of the loan, the duration and the amount of the monthly installments, as with any other loan, are recorded in a written contract that the buyer enters into with the department store.