When thinking about the installment loan, we should take into account that the service provider will check whether we will be able to cope with it. It has its assessment method in the form of scoring and we can be convinced that it will take into account not only our age or credit history. Our source of income is also important.
Labor market and non-bank sector
Non-banking institutions can undoubtedly adapt to the client’s needs. It can even be said that they often deal with it better than banks. They take into account aspects such as the specificity of the labor market. Seeing that many people work on the basis of a contract for a job or for a work, they adapt their offer to their needs. Of course, loan companies have their requirements for customers and they are very diverse. Our financial situation is important, but at present, the lack of an employment contract does not necessarily close the possibility of taking an online loan . By default, non-banking institutions will pay attention to whether our account is regularly paid for with the payment. If we earn a national minimum or we only keep up to 500+, our chances of a positive consideration of the application are relatively small. Nevertheless, the range of options available is larger than if we applied for a bank loan.
As it has already been mentioned, lenders usually understand stable employment slightly differently than banks. They take into account that potential borrowers do not have to have a contract of employment to have a stable financial situation.
Is only a contract of employment a fixed source of income?
When we decide to apply for financial support from the bank, usually it is about larger amounts, which is accompanied by a longer repayment period. Granting an untrusted loan or long-term loan involves risk. That is why banks very carefully check our credit history in terms of financial arrears and, consequently, the presence in the debtors’ registers. They pay no attention to the past but also to the present. Therefore, very often, for the only reliable source of income, such financial institutions recognize an employment contract for an indefinite period.
Paradoxically, even if we earn more by working on a contract for a work or contract, the work will always be a more solid basis for a positive consideration of the application. Therefore, there may be a situation where the bank did not give us a loan or credit despite the stable financial situation. We should not give up applying for the money we need, but we should consider other options than the bank.
Contract of commission or task for loans
The financial industry does not end with banks. There is a solid background in the form of a non-banking sector. It offers quick loans, also installments, which we will receive based on an online application. Online loans are granted taking into account only basic data. Numerous certificates, rather basic information about a fixed source of income, are not required from us. Being a client of a non-bank institution, we are not subject to such a strict assessment as at the time when we use the services of banks. Of course, we are verified in the debtors’ registers. However, we do not have to be employed on the basis of a contract of employment.
Non-bank loan for rent and alimony
Loan companies risk less than banks, so they are more forgiving. Some of them also take into account other sources of subsistence in the form of non-standard contracts, annuities as well as alimony. Also pensioners can apply for the loan . Fixed income is defined by many of them as a regular profit for our account. It will allow us to pay off the installment loan on time , without prejudice to our budget. That is why more and more people tend to pay for installments and loans in installments, available as part of non-bank services.