Applying for a loan – even a modest one – is not a problem for someone who has average credit to excellent, things get complicated when you are out of work for a long time.
If you are unemployed, being denied a loan may seem like an insult to injury. You need funds to get out of difficult situations or even to meet your basic needs, but lenders do not want to take risks. You can not prove yourself and build a better life without help, but luckily, there are opportunities for easy approval.
Whether you choose not to work, need to stop working due to circumstances, or decide to retire early, options are always available. Read on to find out more about the five types of loans that unemployed people may be entitled to.
Personal loans are more likely to be issued for a short period (18 months or less) and at a higher interest rate. This unsecured loan is generally available to regular customers of banks or credit unions who wish to borrow a small amount of money ($ 5,000 or less) and have a good credit and payment history. You can also get a personal loan via peer-to-peer lending platforms where other consumers (not the banks) assume the risk of the loan.
Here are three reputable companies that have proven themselves to their clients in terms of short and long term personal loans.