Even though we can record very low unemployment in Germany, there are many people who have to make do with very little money. Although they go to a regular job, but have to settle for a low salary there. The reasons can be different.
On the one hand, it may be because the job comes from the low-wage sector and therefore sometimes only the minimum wage is paid. However, it may also be due to the fact that the number of hours is very low and therefore in total no high salary can be achieved.
If you are looking for a low-salary loan from such a position, you may have to put up with some cuts. Because the range of loans in this sector is not very big. In addition, not all offers have an honest character.
Why is a fair loan so hard to find despite its low salary?
The salary is the basis for borrowing. Only if this is available in an attractive amount, the loan can also be repaid to the bank or the other donors. A problem when the salary is very low and therefore does not meet the expectations.
Due to the low salary, there are only a few collateral. The default risk around the loan is very high. A fact that is also known to the lenders and therefore usually show little interest in lending. Despite all this, a loan is not impossible despite its low salary. You just have to know where it is and what conditions go with it.
The dealer credit as a payday loan despite low salary
Many dealers in our country give out loans. They want to strengthen the purchasing power of customers and ensure that they buy one of their shops. The dealer credit, which is often referred to as consumer credit, is a special purpose loan. It can only be used for the things that it wants to finance.
This feature makes it possible for the lenders to even turn a blind eye to the salary. Because the dealer credit can also be taken as a loan despite low salary.
The traders get their collateral from other sources. So of course the private credit must be positive. In addition, the financed goods are recognized as collateral so that they are simply demanded back in the event of a default. A possibility that hardly exists with a conventional loan.
What other options are there?
But the loan, in spite of low salary, can be taken up differently. So much can be done with the help of a guarantor or a second borrower. However, it is important that the guarantor or second borrower can show a decent salary. It should be well above the salary of the actual borrower who is in charge of borrowing.
If this succeeds in involving such a person in borrowing, then small loans, even with a low salary, are quite possible. However, larger loan amounts should not be requested in this way. They are unlikely to be forgiven under such circumstances. And if offers of this kind can be found, then these are associated with bad conditions.
Our tip: A residual debt insurance increases the chances of a loan despite low salary. Before closing, however, some bids should be obtained by means of a settlement, as such hedging can be quite expensive. In addition, it is only worthwhile if the employment is fixed at the time of the conclusion of the loan. Otherwise, the insurance would not pay in the event of a claim.