Car loan for the unemployed, don’t fall for lure offers
Do you get a car loan as an unemployed person? It is very difficult for the unemployed to get a loan if they want to overcome a financial bottleneck. Unemployment benefit – by the way, it does not matter how high it is – is not attachable and is only paid over a limited period. For this reason alone, it is difficult to get a car loan for the unemployed unless you can provide other guarantees. wordtrustinternational.com has examples
When the car is a prerequisite for a new job
An unemployed person usually has other concerns than wanting to buy a new car on credit. But it may still be that the old car gives up and a repair is no longer worthwhile, so that a new mobile pedestal is needed, because it is often already stated in the job offer that a car is the basic requirement to get the job or that the car is needed to expand the radius for job hunting and to be mobile. The banks are not really interested in the motives and motivations for which an unemployed person applies for a loan. They want collateral, otherwise they don’t lend.
Loan for unemployed with a guarantee
The easiest way to get credit as an unemployed person is to apply with a solvent guarantor. This can be the working spouse, a member of the family or a good friend. It is important that the guarantor can prove a regular attachable income and does not already have so many obligations that his freely disposable income is too low.
If no guarantor is found, there are still alternatives that can be used to get a car loan for the unemployed, for which a bank does not have to be asked first. Of course, there is always the possibility to borrow the money for a new car from friends or relatives, of course, this is only possible if someone has the appropriate capital and is willing to give so much money to someone for a certain period of time who are not sure how they intend to make the repayment. But it’s definitely worth a try. If it is not possible to raise money for the new car from relatives or friends, hope still does not have to be given up entirely.
Loan the existing life insurance
Many are unaware of the opportunities that exist when life insurance with a corresponding surrender value is available. Such a life insurance policy can already be partially used, even if it is not yet due by lending it and practically taking out a loan on the life insurance policy. This has the advantage that creditworthiness is irrelevant in such cases because the insured person borrows only his own money and the insurance company therefore does not take any risks. Similar options are also available if you have a home loan savings contract or securities in a securities account. They can also be lent with a security loan, the creditworthiness is irrelevant because you only get as much credit as you can at least hold securities in the portfolio as equivalent.
It makes sense to build up reserves
Basically, it always makes sense that in times of employment, reserves are built up in one way or another that serve the great goal of pension provision. These can be used when there is sudden unemployment and it becomes financially tight. If you have sufficient savings or can provide the banks with collateral, it will not be so difficult to get a car loan if you are temporarily unemployed.