A loan with Social Welfare without Credit bureau cannot be obtained from any Agree bank or savings bank. Even a foreign bank will only grant a loan if appropriate collateral is available. This primarily includes a fixed and secure income that a Social Welfare recipient cannot prove. In addition, the balancing capacity is so tight that it leaves no scope for the payment of credit installments. This applies even if the Social Welfare recipient does a part-time job.
Loans from the employment agency
It often happens that a Social Welfare receiver has urgent financing needs and has to replace a broken washing machine or a broken TV, for example. In this case it is possible to take out a Social Welfare loan without Credit bureau from the employment agency. The contact person is usually the person who is also responsible for the payment and the calculation of the monthly Social Welfare service. Anyone interested in a loan from the employment agency should explain the reasons in detail and, in this context, point out that there is really no other alternative.
If the service supervisor comes to the conclusion that the requirements for a Social Welfare loan without Credit bureau are met, he will approve and pay out the loan within a very short time. A peculiarity is the fact that this loan may only be used for its intended purpose and in no way inappropriately.
Upon request, proof of use and / or an invoice must be submitted to the employment agency. An individual agreement is made about the repayment. In contrast to a bank loan, no interest is charged here. If there are rent or energy debts to be offset by the loan, the employment agency may conclude that it is better to transfer the loan amount directly to the landlord or the energy supplier.
In certain circumstances it may be worthwhile to take out a Social Welfare loan without Credit bureau in a private circle of friends or acquaintances. Anyone who is considering hiring a private loan broker to find a loan should exercise extreme caution. Under no circumstances should any fees be paid before the actual lending.
A credit broker who insists will most likely be a dubious credit broker who is only interested in capitalizing on other people’s needs. Lending will certainly not come about here.