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Problems Of Getting Personal Loans For People With No Job

If you have a good solid job and have not had any problems in the past which have led to your credit score being lower than you would like, then the opportunity to borrow money from banks, or credit unions are likely to be easy to come by.  Of course the problems really come when you do not have a job and cannot demonstrate to the bank or lending company exactly how you intend to repay the loan you are asking them to advance to you.  It is surprising how difficult personal loans for people with no job can actually be.

So, what are the important aspects of being able to get hold of a loan in these circumstances.  Well, the fact of the matter is, whether you like it or not, this is all about risk.  As you are in the unfortunate position of not having a job to prove your ability to repay you represent a risk to the lender; the risk of default.  This does not mean that no lender will ever lend any money to you, only that you need to be able to address the risk that you present to them and satisfy them that you will repay the loan on time and in full.

The problem is that proving your risk worthiness is not all that easy if you have no steady income to point to.  As an alternative therefore you really have to be able to point to something else and, in effect, dont worry, if I do not repay you then at least you can get your money back that way.  In almost every case, “that way” will  be some form of collateral, some thing that the lender can take title to and in the event of a default they will endeavor to sell the item in order to recover their outlay.

The exact item that you end up pledging will of course depend almost entirely on the amount of money that you need to borrow.  As a general word of advice if you are out of a job then it may not be a good idea to borrow a large sum of money, rather stick to smaller sums that you can more easily repay.  You would not want, say to risk you house on a large loan that you had little chance of repaying.

In any event hopefully this has explained the problems associated with getting personal loans for people with no job and that you can put the response of lender, especially if they are negative, in context.

Advice Before Taking Personal Loans For People With No Job

Being unemployed, or having no job is hard enough.  But the desperation associated with not having sufficient money because of your lack of employment is almost certainly worse.  If you are therefore on the search for personal loans for people with no job then you will likely have encountered more than a couple of websites that have encouraged you to go to this lender or that lender for the best, instant decision deal, low rates of interest etc.  The reason that they do this is that they will almost probably not be doing so because they have your best interests at heart, but instead they are being remunerated by you taking their advice and taking whatever company or offer they are suggesting you take.

This is not illegal, or even unfair.  After all money is only ever lent to adults and adults should be capable of making their own decisions and accepting responsibility for those decisions.  However, there are times when desperation can prevent a person from making a rational decision, when in the absence of desparation that decision would be easy and obvious.

So a word of advice.  If you are looking for personal loans for people with no job then you should be aware that the lenders that occupy this niche of the lending market are not being altruistic or really care about you situation at all.  They simply see an opportunity to lend money to potentially vulnerable people at rates of interest that make the eye water and would certainly not be possible if the folk borrowing the money from them were not in severe financial distress.

That is not to say that you should spurn the idea of ever borrowing money from such lenders.  This is not the intention of the advice in this article.  Only that if you do find yourself in the situation where you need personal loans for people with no job then you take on the loan with your eyes wide open in full knowledge and understanding of the risks you take and the total amount you will end up having to pay on the loan in order for you to be free of it later.

If you can make sure that you do this then you need have no fear.  But if you are careless, or rush the process then the market of personal loans for people with no job may well claim another victim and you could well find yourself with further misery on top of your current problems.

Personal Loans For People With No Job

If you are in the unfortunate position of not having a job but nonetheless you need to find some money fast then you fall into a category of people who are interested in personal loans for people with no job.  The question is whether there is any chance of such people being able to borrow money without a job, or whether there is abolutely no chance.  If there was absolutely no chance then to be honest it would be great to simply know that.  Not knowing whether you have a chance of raising some money despite not having a job would save you from hours, days and potentially weeks of looking for personal loans when you needn’t have bothered to do so.

Unfortunately, as with many things in life the answer is not as clear cut as many would like it to be.  In truth there are such things as personal loans for people with no job but you have to know where to look for them and what to look for when you find them otherwise they can be a seriously expensive mistake to take one out.

The easiest type of personal loan for people with no job would be a simple secured loan, with the loan security not perhaps your home as there is no assumption that you have a home, although having stated that the security of a home would be a powerful asset to be able to pledge.  However loans secured on properties tend to be quite large and the repayments still required so the absence of a job would preclude any silver bullet type loan from being granted.  No, the type of loan being envisaged here is essentially the loan from a pawnbroker, for which you pledge a possession of yours that has some value.  In essence you pledge the item, leave it with the pawnbroker and agree to pay the original sum plus a financing charge at an agreed date in time.  If you fail to make repayment the broker will sell your item.  Harsh, but nevertheless allows you access to personal loans with no job.

The other sort of loan you might consider are specifically unsecured personal loans for people with no job, which are essentially very short term loans for which no assets are pledged but for which repayment, plus a financing charge would be required in a short time, perhaps as little as a few weeks.  The danger of these type of loans is twofold, if you do not find yourself stumbling into the hands of a loan shark then you will still suffer extremely high rates of financing for the privilege of borrowing the money and you should take great care before taking out such finance.