Would you like to take out a loan with a child or in spite of several children? Is your loan search aimed at regular loans with low interest rates? Or are you looking for a chance to get credit at all? Do you need a large loan amount or just a bridging aid?
With information on different loan offers we would like to lead you on the track of the financing that suits you best. There are various credit options for both parents and single parents with children or children.
Child Loan – Regular Loan
Finding a child loan is not equally difficult for every borrower. The requirements for lending are basically the same for all borrowers. In principle, parents and single parents only have to overcome the same credit hurdles as singles or childless couples to borrow. These requirements can be summarized in a few words:
Loans may only be granted if it is proven that lending is secure. In order to prove that lending for regular installment loans is secure, the income from work must be secure. This results in the request of many credit institutions for permanent employment. In addition, the credit bureau credit rating must demonstrate that the credit default risk is minimal. The amount of net income should sustainably exceed the attachment limit.
Problems with child lending
At this point, the loan with a child becomes a problem. Real wages have increased little or no in recent years. Single parents with children also cannot always “balance child” and full-time work. The disposable net income from work decreases if you only work part-time. At the same time, the garnishment exemption limits have been increased.
The purpose of increasing the income protected against attachment is that people are not left with nothing when it comes to attachment. They keep as much money from the salary as they arithmetically need to live. Logically and consistently, the untangeability of government lines for families is also thought through. The state pays parental allowance and child benefit to support families, not to satisfy a creditor.
The loan with a child is difficult because the basic income should be protected. At the same time, however, the bank expects that the demand for secure lending would have to be met by attaching the income. This becomes a Gordian knot, especially for single parents with children.
Credit with children – way out with regular credit
The current income protection system does not only benefit borrowers. The strictly enforced guidelines prevent borrowers from getting the credit they can really afford. There is, of course, no reason not to refuse a loan that would overwhelm the borrower. But, as individual as the life models are, the real repayment ability of the individual is as individual.
One way to get a regular, low-interest loan that a family can afford despite having children would be guarantors. The guarantor guarantees the basic security of lending. He vouches for the repayment of the borrower with his good reputation. The guarantor is fully liable in the event of problems. As long as the borrower pays as agreed, the loan guarantee does not have a negative impact on him.
Fast credit with poor credit rating – bridging help
Lone parents, in particular, have one problem with loans with children. Disposition limits with poor creditworthiness are only very low and are not designed to compensate for a larger bill. If the overdraft limit is reached, the clerk cannot be softened to increase the overdraft facility. A quick, uncomplicated loan would be needed to bridge the time until the next payday.
The solution to this problem is the business model for credit providers such as Cream bank, Agree Bank or Best bank based in Berlin. All of the credit providers mentioned open up access to quick mini-loans despite their limited credit rating. Subjectively, Agree bank offers the most comprehensive range. Lending can be possible from a monthly net income of just 500 USD.
Initial applications may include a loan volume of 100 to 500 USD quick credit despite children. The term for initial loans is generally 30 days. But after the first successful lending business, Agree bank is making its offer more flexible. Up to 3000 USD short-term credit with a term of up to 6 months would be possible. The mini loan can also be given the spurs. Loan applications, credit decisions and loan disbursements would be possible in 30 minutes for an additional charge.
Loan with child – installment loan without guarantor
The general credit situation in Germany is not easy for many millions of citizens. Loan requests from single parents with children make up only a small proportion of those who have to expect problems in the system of regular banks. Astro Finance offers a reputable central contact point for loans with difficult omens. The credit portal is considered the market leader in credit brokerage from private to private.
Loans with children, even without guarantors, should be applied for from a monthly income of 1000 USD net. Additional sources of income, such as income from self-employment as a sideline, may also be added to working income. Real credit opportunities arise for two reasons. On the one hand, private investors are clearly more willing to take risks than banks.
The second reason is on the human level. Instead of a computer using a score, the majority of people still decide on a private loan with a child. Irreplaceable funds, such as child benefit, are given higher priority. – Because, in effect, they ultimately enable repayment.