Loans without proof of income are an ideal option for clients who do not have a permanent income or do not want to prove their salary to the bank. The most frequent clients are women on maternity leave or unemployed applicants. This is a very popular product, but its advantages in the form of non-proof of income will be outweighed by their price or interest, because there is a significant risk of applicants.
You do not have to document income
Loans without proof of income are very attractive. You can get these loans without paperwork, without documenting the previous few months about your salary. You do not have to provide the institutions with any documents other than your name and usually two identity cards. Administratively, this loan is very simple and can be arranged within 24 hours . Everything takes place almost immediately and the money is credited to your account immediately. However, this speed and simplicity pays slightly higher interest rates than comparable bank loans with full proof of creditworthiness and income. Use caution when processing loans without proof of income, as the risk of encountering a dishonest provider increases.
Loan clients without proof of income
An unsupported loan is used by people in a difficult life situation or in a situation where they get a new job, but they cannot prove their salary for the last three months because they have spent this time at the employment office. Furthermore, these loans are also suitable for pensioners or women on maternity leave.
Interest rate on loans without proof of income
It is important that you understand the interest rate correctly. For example, companies often attract only a few percent to the interest rate. However, if you study the contract and the label carefully at this rate, you may find that it is, for example, monthly interest, so that the loan comes in tens of percent of interest annually. Plus, you should keep an eye on the annual percentage rate of charge (RPMN) , because it is this number that shows how much you will actually pay for a given loan per year.
Liability for loans without proof of income
At low amounts, you need virtually no security. Everything is covered by high interest rates and a contractual relationship that is enforceable almost immediately. For higher amounts, where there is a greater risk and even execution will not help, a third party or some movable or immovable property is usually guaranteed. The most common form of liability for large amounts is a car or a house. However, with such a higher guarantee, it pays to try another credit product that is suitable for financing such a large burden.
Risks of loans without proof of income
Loans without proof of income or also loans without proof of income are usually provided by non-banking institutions. That is, institutions without a guarantee from the National Bank. Of course, there are quality, stable and trustworthy providers and many others on the market.
However, there are also unscrupulous providers on the market, who often plan to entice the client to potentially advantageous conditions. These conditions will subsequently turn into a unilaterally unfavorable contract to the detriment of the debtor, who no longer has the possibility of appeal after signing the contract. In short, it must meet the conditions arising from the contract, otherwise it is exposed to the risk of execution.