For some people, the path to a loan is much more rocky than for others. This is especially important for people who want a loan without a permanent contract. The problem with a bank with such a variant is that the borrower’s creditworthiness cannot be guaranteed. A self-employed, unemployed or white-collar worker with a fixed departure date usually wants a loan without a permanent employment contract.
The loan without a permanent employment contract: The applicant is self-employed
The self-employed person has no employment contract at all and, to make matters worse, he first has to establish his company on the market. So he also has no secured credit rating because he has to build up medium and long-term customer loyalty. However, this is precisely what costs money, for which he actually always needs loans.
If banks give loans to the self-employed at all, banks request at least the business evaluation (BWA) and the voluntary self-disclosure. Additional collateral, such as real assets and guarantors, simplify lending. In addition, the self-employed person should make it clear that the loan clearly helps their own company (for example, new machines can produce more).
The loan without a permanent employment contract: the applicant of the unemployed
For understandable reasons, even an unemployed person does not have a fixed, let alone permanent employment contract. If he needs a loan, the bank leaves the company because of the lack of creditworthiness, unless the unemployed wants a very small amount and does not sign the loan contract alone. If he needs a loan, he can either contact a private individual or the state. However, the latter option only works if the borrower intends to use the money to leave the unemployment situation. The state specifically supports projects that are intended to help unemployed people make the leap into self-employment.
The loan without a permanent employment contract: the applicant worker
Temporary contracts are becoming increasingly common on the labor market. These are papers with a fixed exit date. With lending, however, this is only a problem if the fixed exit date is before the end of the loan term. Anyone who has signed a five-year contract but would like to repay their loan in three years will generally have no difficulties. It is more complicated if you have a three-year contract but want to pay off the loan in five years because the last two years are not covered by a salary.
In this case, too, the usual procedures are available to get the loan: This means either using a guarantor to grant the loan or scoring with other collateral. However, your job also plays an important role. For example, doctors are never long unemployed these days. The same applies to nursing staff or IT specialists. Those who belong to such a professional group can hope for a great deal of courtesy from the bank, even if they only have a temporary employment contract.