If you are unemployed, you are one of the thousands of individuals who are struggling for getting the necessary resources in order to fulfill the basic needs of their life. The loans for unemployed will be providing you an opportunity to fulfill your needs and even find a new calling in life. If you want a buy a new car, pay your bills or even start a new business, the loans for unemployed should be the first thing that you should think about getting. It is common knowledge that an unemployed person has no chance of getting a traditional loan because the loan companies do not wish to take a risk with people who do not have any earning capacity.
Loans for unemployed is a very new concept that is helping hundreds of unemployed people to bring their life back on track. If you do not wish to take a loan simply to fulfill your needs, then you could be thinking about taking a loan and investing it in new venues so that you can live a better life. The loan is always available to you. However, what you wish to do with the loan amount is completely your choice. There are two kinds of loans for unemployed. The secured loans are good for people who have lost their jobs recently. These people are not earning a monthly income but they have some assets for sure. They can use these assets as collaterals in order to get a secured loan for a bigger amount and a lower rate of interest.
If you are not earning and do not even have any assets to be put forwards as a collateral, then too you will be getting loans for unemployed. In this case, you will be getting loans unsecured loans. The rates of interest for these loans are slightly higher. However, when you are really in need, these loans can be achieved very easily. Therefore, they will also be providing you enough of utility. The loans for unemployed is essentially a leap for faith. The lenders believe that those who are unemployed will not remain the same for a very long time. They trust the availability of jobs and expect you to find employment to pay back their loans. The loans for unemployed are quite similar to the student loans. However, you must note that the people who have been unemployed for a very long period of time will not be able to secure such loans.
All the loans that we review or recommend all have:
- Minimum period of repayment: 6 months. We do NOT recommend taking any loan with repayment period of less than 6 months, as you will have difficulties paying back
- Maximum period of repayment: 3 years
- Annual Percentage Rate (APR): less than 12%. Any rate higher than this will negatively impact your finance
- Below is an example of the loan mentioned in this article, with a loan amount of $20,000
|Flat Interest Rate||7.50% p.a. (Effective Interest Rate of 14.39% p.a.)|
|Total Interest Charged for the Loan||$20,000 x 7.50% p.a. x 3 years = $4,500|
|Loan amount + Total Interest||$20,000 + $4,500 = $24,500|
|Monthly Instalment||$24,500 / 36 = $680.56|