Not creditworthy despite the employment relationship – this experience must be made by workers who are still in the probationary period, which lasts between 3 to 6 months. During this time, the employee can be terminated within two weeks, there is no protection against dismissal and no notice period, so that the repayment of any loan granted would not be secured. Banks, however, need collateral for lending, such as the borrower’s regular income, which up to a certain amount can be seized by the respective bank in case of late payment.
One way to obtain a bank loan despite probationary period, the so-called disposition credit, which represents a tolerated or agreed overdraft of the personal checking account. The scope of this disposition credit will not exceed the amount of the monthly income during the probationary period.
Thus, the bank can assume that if the dispolimit is extended, the current salary compensates the loan. The prospect of obtaining a higher loan amount can be greatly improved by the applicant, especially in the first months of his employment, with the help of a guarantor. Although the guarantor does not guarantee that a requested loan will be approved by the bank, a guarantor who has a regular, secured income is a security for the bank.
Because the guarantor is liable with his salary and his assets in default of payment for the borrower. The guarantor in this case can be both a relative or spouse and a public figure.
How can borrow on the loan?
However, if you do not want to be dependent on a guarantor, the car loan offers the opportunity to take out a loan even during the probationary period. The borrower can, on the one hand, offer the car, which is his property, as collateral to the bank, so that in case of insolvency the car is given in payment for the sum owed.
Originally, however, the car loan refers to the purchase of a car. Thus, the granting of the loan is conditional on the use of the borrowed sum for the purchase of a car. The buyer is merely the owner of the car, because he must leave the vehicle registration document to the bank, which is the owner of the vehicle until the loan is repaid.
Furthermore, any assets that an employee possesses, especially during the probationary period, are considered as collateral for the bank and increase the chance of obtaining a loan. As collateral here are primarily life insurance, real estate and land to name. Another advantage when applying for a loan is a positive private credit information, which certifies a sufficient credit rating.
If, when applying for credit, the employer confirms that the employee will be placed in regular employment after the probationary period, the commitment to the loan is generally considered to be problem-free.
Likewise, banks generally do not see the probationary period of a public sector employee as a hindrance to applying for a loan. For here, the probability of early termination is much lower than in non-public employment. Even if the loan application during the probationary period can be associated with some obstacles, the applicant has a variety of options to obtain a bank loan shortly after a new appointment.
Why is the loan problematic despite the probationary period?
The probationary period is a risk for all involved. Because the employment relationship can be solved at any time without giving reasons. That is why loans during the probationary period involve a special risk for banks, but also for the borrower. Depending on the employment relationship, the allocation of credits during the probationary period will be treated differently.
There are jobs that are very difficult to replenish or that are in great demand on the labor market. In these cases, banks are probably more generous and also employees look to the whole relaxed. There are also other decision criteria, such as the creditworthiness of the applicant and his payment behavior.
Requirements for borrowing
The granting of loans is a case-by-case decision and depends on a large number of individual criteria. The type of loan plays an essential role. If the application is a real estate loan, a car loan or consumer loan.
Continuing education plays a central role in our professional life, therefore, educational loans are useful and possible. Although further education institutes offer installment payments, the student immediately realizes when calculating precisely that a loan would make more sense at the bank. Short-term loans to avoid payment bottlenecks are often in demand between service. Unfortunately, after separations and divorces, there is an increased demand for loans.
Those who are interested in credit have the best chance of negotiation when the employment relationship is reasonably secure and has been going on for some time. If collateral is available, such as real estate, cars, jewelry, securities and pension funds, the likelihood of better conditions increases.
How can you increase your chances of getting a loan?
A guarantor is always a good choice for larger inquiries. Demand for loans makes a difference according to age. Persons over 50 in unsafe employment conditions get worse conditions than people around 30th In addition, the maintenance issue is still to be clarified. If children are still of school age, parents have to pay increased obligations and payments to schools, sports clubs, etc. Single parents need good arguments for credit.
The last three pay slips are needed to calculate the loan. In addition, wages or salary confirmations may be required in addition to or in addition, indicating, on the one hand, the average monthly income and, moreover, important information for the credit institution. Because the addition that employees are in an unfinished employment relationship, provide additional security at a credit institution.
A certain net income and the fact that there are not many more creditors are basic requirements. Because in case of any accidents, banks want to have a chance of repayment. Ultimately, the argumentation of the borrower decides on the payment and the condition of the requested payment.
The difference of each loan in numbers
For a real estate loan, a term of up to 40 years is foreseen. At 30,000 euros, this equates to a monthly repayment of 74-85 euros at an interest rate of 0.875 – 1.625%. For a new car purchase for 30,000 euros, the maximum term is 10 years – which corresponds to a monthly rate of about 289 euros and a return of around 3%. A rescheduling is favorable compared to the car purchase, because for € 30,000 customers pay monthly in 25 years 115 € with 0.875% interest.
Five tips for a cheap loan
A comparison helps to save costs
If possible, a loan should be planned. If the end of a relationship is already apparent, the first affect should not be used in the first affect. A comparison of the individual institutes makes sense, since a lot of costs can be saved in this area. It is not only the interest rate that has to be taken into account, but the services provided by the institute.
Often, favorable offer to true cost traps develop, since initially it is not mentioned, which additional fees may be incurred in contract signing. Even if it is annoying, read the contracts before signing and compare exactly.
Wait for the probationary period in the new employment relationship
If a new employment relationship is closed, the employee and the employer are in a probationary period for the first month, which can be resolved by both parties without stating a reason. That is why it is especially advisable to be cooperative in this phase.
Special overtime and special benefits should be paid especially in the first three months after starting work. Because the remuneration of all special services increases the monthly fee and thus the credit rating at the bank. Because the basis for calculation is the last three months.
Mitigate any risks with insurance
Before borrowing or signing a contract, it is advisable to take out insurance against various risk factors. So there is an insurance that pays the installments in case of any periods of unemployment. Even the demise or a bad accident can take the burden of debt from the remaining family members.
On maternity leave, a mother needs all the strength for her newborn child. This should not be associated with financial worries. That is why credit institutions protect women against this risk. There are various savings insurance possible. This means that you save at the same time from the first installment and, after payment of the loan, you transfer another available amount to the account of the depositor.
Involve a person of trust in the project
Loans are often larger projects. It may be that real estate is purchased or a costly car. It is a particular advantage if a person of trust as a guarantor enters the contract. This means that in case of default, this person is liable for the outstanding amount of the loan. Therefore, it must be clear that unconditional honesty is required and that trust can not be exploited.
The other person may use the purchased item on equal terms. These can be partners, friends and siblings. If the risk is shared between two people, the credit rating automatically increases.
Absolutely improve the credit rating
Often, a larger purchase is already known in advance. In the past, bills may not have been paid in and collected through a collection agency. Such individual cases affect the credit rating.
If such records exist and already done, it is absolutely advisable to remove these entries from the register. Even if this measure is associated with a certain effort, cheaper than a loan without private credit this is expected in the long run, definitely.