Who grants loans in difficult cases? You’ll find the answer here. We provide information about providers and show you step by step how to get the cheapest possible loan despite difficult creditworthiness. Many borrowers believe that only a bad Credit Checker leads to difficulties in borrowing.
The surprise is all the greater when banks are reserved when it comes to lending, even though everything is fine with Credit Checker.
Negative Credit Checker information always leads to big problems when granting a loan. Many banks close their books when finished or even open negative Credit Checker characteristics are found. But negative characteristics are not the only reasons that banks can refuse to accept loans.
There are a number of other issues outside of real credit issues
Irregular self-employed income, existing pre-obligations, fixed-term contracts, loan applications during the probationary period or training, sufficient but low income to name a few important reasons for rejection.
Loans for agency workers, lone parents, pensioners, sickness benefit recipients, and applicants during parental leave also have significant difficulties obtaining a loan.
If you include yourself in one of these groups, the signs for lending are not particularly good. But a loan is not entirely out of the question.
You have the best chance if you proceed systematically and take into account all financial service providers who, in addition to other loans, can also obtain loans in difficult cases.
Check creditworthiness before requesting credit
You do not know in advance exactly what criteria banks consider your credit rating to be sufficient to grant a loan. However, a self-assessment is possible, through which you can prevent unnecessary loan refusals.
If you have any indications that the lending could possibly fail due to Credit Checker problems, it is advisable to request a free copy of the data or even to invest about ten dollars for a fee-based self-disclosure.
This gives you an overview of all Credit Checker entries and the calculated scores. As already indicated, unfinished negative characteristics make lending extremely difficult.
Hard negative features such as an affidavit, warrant or bankruptcy or negative features, because a pre-loan was not properly serviced, are absolute grounds for excluding credit.
The next step is a checkout
Compare your income with expenses. The difference is the freely disposable income, which is theoretically available for the payment of the monthly installment of the desired loan.
A free tool from the Internet will help you with the household bill. Also, keep in mind that most banks are very reserved if you have no attachable income. A look at the attachment table provides information.
However, some banks are more generous. Sometimes they are satisfied with a regular monthly income of, for example, $ 600, $ 850 or $ 1000. These are all amounts that clearly fall into the attachment-free income.
Of course, only small loans will be possible with a small income. The credit institution will often expect additional collateral, for example, the signing of the loan agreement by another person or a personal guarantee. Your household bill doesn’t have to match the calculations of the banks.
Some banks work with lump sums. For example, an amount of $ 800 is set for the first person living in a household and $ 200 for each additional person. The cost of the apartment is added.
For example, if you are still in training and live with your parents, you will not be charged with any costs of living. That is why some banks are satisfied with lower income. You also have a credit opportunity as a trainee, especially if you are at the end of your apprenticeship.