Are there ways to get a loan without Credit bureau despite Social Welfare?

Creditworthy people have reached the age of 18, have a permanent place of residence in Germany, no negative Credit bureau entries and have been working for at least 6 months. While the first two requirements are often met without any problems, the latter two pose a real challenge.

Banks and credit institutions require a corresponding credit rating to grant a loan and this includes a regulated and secure income from a professional activity. What if money is urgently needed but only Social Welfare is purchased? 

How do you get a loan without Credit bureau with Social Welfare?

How do you get a loan without Credit bureau with Social Welfare?

People who receive Social Welfare are generally classified as low-income by credit and banking institutions. It is therefore almost hopeless to get a loan. As a rule, Social Welfare recipients do not have any property, which can be given as security. Nevertheless, there are numerous offers on the Internet that are explicitly aimed at Social Welfare recipients and offer a possible loan.

If you are looking for a loan without Credit bureau despite Social Welfare, you can quickly be tempted by these offers without being sure of seriousness. Dubious providers often charge their borrowers upfront costs and high fees without a loan agreement being concluded.

In the case of such offers, a loan without Credit bureau is only realized in 99% of cases, despite Social Welfare, if a co-applicant who has a good credit rating is added. This co-applicant acts as a guarantor, so to speak, and stands for the loan if the actual applicant no longer pays or cannot pay his loan installments.

There are these options

There are these options

People who want to get a loan without Credit bureau despite Social Welfare in the conventional way, ie from a bank, have no chance of getting a loan without guarantors or appropriate collateral such as property. However, if a guarantor is used, a bank can also grant a loan without Credit bureau despite Social Welfare. However, it should be noted here that the guarantor fulfills all of the above requirements.

Another option for a loan despite Social Welfare is the personal loan. Such a personal loan or personal loan is offered in most cases by close friends or relatives. In the meantime, however, there are more and more offers on the Internet, which also include strangers as private lenders. Investors as well as borrowers benefit from this type of “money transactions”. The lender gets a much higher interest rate than his bank and the borrower gets a loan even if the conditions are bad.

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