A loan without a salary certificate is not equally easy to find in all life situations. Nevertheless, there are credit options for which a salary certificate is not required. The article provides more information on backgrounds and credit options.
The initial situation seems extremely difficult when looking for a loan without a salary certificate. Credit security is at the top of all credit decisions. Anyone who cannot guarantee the security of the investment vis-à-vis the lender will not get a loan. Every normal loan offer requires a sufficiently high and secure income. The wage and salary statement is usually used as a salary certificate. But payroll is not the only way to prove your income.
The retirement income is equivalent to the income from employment. Proof of income is not provided by a salary certificate, but by the pension certificate. The self-employed and freelancers could issue a salary certificate themselves, but it would not be a valid proof of income for the desired loan. The easiest way to prove income from this professional situation is the income tax notice.
Credit providers, such as Barclaycard, even explicitly advertise the loan with an income tax return. When it comes to lending and interest rates, at least that’s what the advertising promises, no difference is made.
Loan without regular salary payments
Finding credit is particularly difficult if there is no regular income from work. Examples of this could be the reference to Social Welfare or the time of study. Students face financial constraints, especially at the end of their education. Preparing for the degree reduces the opportunities to earn something in addition to German State Funding or parental maintenance. An education loan could be the solution for students. Proof of creditworthiness is not required for the student. Even the parents’ income is disregarded for this loan option.
Social Welfare customers usually have no chance of credit. Your income is an irrevocable social benefit. Nevertheless, the house bank sometimes trusts the willingness to repay small amounts of credit. It grants an approved overdraft. Even though the overdraft line remains at zero, the account can be overdrawn. Unfortunately, this loan is not cheap without a salary certificate. This overdraft costs around 17.5 percent APR.
It would of course be cheaper to use the loan offers from the loan comparison. Without a valid proof of income, the loan application could be made together with a solvent co-applicant. Favorable interest rates, for example an effective fixed interest rate of 2.89 percent effective, would be possible again. It is irrelevant for the credit institution who actually repays the small loan from the two applicants. The important thing is that the loan installment is paid on time.
Loan without proof of income – emergencies
A loan opportunity that is granted regardless of income and living situation is the loan of a pawnshop. The mortgage lending value determines the amount of the possible loan amount.
The interest on the loan from the pawnbroker is calculated monthly. Usually, the interest on the mortgage loan is 1 percent per month. In addition, a monthly remuneration, as defined in the pawnbroker ordinance, must be paid.
The loan without a pawnbroker’s salary certificate cannot make any great wishes, but it is helpful as a loan for emergencies.