Loans without upfront costs that are suitable for the unemployed can come from different providers. Only the private loans of the large portals are excluded. Depending on the purpose, a loan offer with only 1.33 percent APR is possible.
Loans free of charge for the unemployed
Loans without upfront costs, which are particularly suitable for the unemployed, are used for further training or the establishment of a company. For example, a student loan from the Lite Lender bank can be used to achieve a higher level of education. Despite the favorable interest rate of 1.33 percent APR, no collateral is required.
The loan is intended for people who have already learned a profession and would like to learn again through a full-time degree. Unfortunately, the student loan is only possible up to the age of 36. Those who are older will still find another opportunity to finance their training. For example, the age limit does not apply to the Meister-BAföG, another Lite Lender bank loan model.
A business start-up loan is another way to find your way out of unemployment. For a good business idea with good chances of success, the financial scope for such a loan is almost unlimited. Depending on the amount of the loan, the entrepreneur must bring collateral with him.
In comparison to free financing, the collateral required is very low. Lite Lender bank bears 80 percent of the risk to the paying commercial bank. Although no equity capital is necessary, an ERP loan is only offered with an effective APR of 2.89 percent.
Consumer credit despite unemployment
As long as the borrower receives ALG 1, loans are generally possible for unemployed people without any upfront costs. The approval of a long-term loan is already problematic in this phase. The risk of permanent unemployment is undeniable. Long-term loans can only continue to be used through a solvent guarantor.
The overdrafting of the current account remains unproblematic despite the unemployment. Restrictions, up to the complete deletion of the MRP, only have to be feared when moving to ALG 2. The difference between the ALG 1 insurance benefit and the ALG 2 social benefit then has an effect.
Mail order loans are available to an ALG 1 recipient almost without restriction. It can only be problematic if the unemployment benefit is not in the area or above the seizure allowance. Another reason to prevent credit would be a negative Credit Bureau entry. He would cut off the mail order credit as a source of credit.
Loan with ALG 2
No loan can be repaid by Hartz 4. Normal loans with no upfront costs for the unemployed in ALG 2 – are therefore excluded without exception. The realistically remaining credit opportunities are the loan with social hardship and the loan from the pawnshop.
Charities and the churches can grant social loans. Such a loan is only granted in exceptional cases, there is no legal claim. A little consolation, social loans can only be granted without interest.