Personal loans without paychecks are funds specifically designed for those who do not have a demonstrable salary and do not have any income guarantee to offer to the lenders.
Although it seems impossible, the banks provide this type of personal loans even if with some difficulty. Obviously this is an opportunity reserved for those who need limited amounts , for example up to less than € 5,000, a figure that allows banks not to expose themselves too much but to meet certain customer requests. However, if the sum to be requested is higher, even if the personal loan without a pay slip is obtainable, but alternative guarantees are needed.
To clarify the topic and allow everyone to access the world of credit, we wanted to make this guide.
Personal loan without paychecks: who can request it?
Personal loans without paychecks can be requested by housewives, unemployed, students, illegal workers, self-employed workers, young entrepreneurs or even by employees who have an almost fully paid salary. For all these categories, the financing can be obtained also for amounts exceeding 5000 euro thanks to alternative guarantees that may consist of a property on which a mortgage, a lease or a monthly fixed income can be lit, or a guarantor that insures the payment of installments in case of insolvency .
They are called, in technical jargon, ancillary or alternative guarantees . Obviously the bank reserves the right to evaluate these “alternative guarantees” and it is not said that it always approves the financing. Precisely for this reason it is very important to understand the mechanisms that regulate this type of loans.
When a credit institution makes a sum of money, it is interested in only one thing: to get it back with interest. The bank, said in plain words, does not affect our house or any other property we give as collateral, because it would be a problem in terms of management and costs. This is why the paycheck is the tool preferred by lenders as a guarantee of a loan.
It is no coincidence that when a property is secured as a guarantee, the credit institution’s valuation always tends to devalue its value. If I need 100 thousand euros I will have to give as security a building that is worth at least 140 thousand, as well as proving to be able to pay the agreed monthly installments.
Loans up to 5000 euros: alternative guarantees
In the event that the applicant does not possess any of the aforementioned guarantees, a personal loan can be granted without a bill payable . This type of loan provides for the payment of installments with bills that, if not paid on maturity, give the bank the right to execute even in the event of failure to pay a single installment. Another solution in case of lack of alternative guarantees is the loan without a paycheck with guarantee pledge: it is in fact possible to put as a pledge valuable goods, such as jewels or precious stones, and use them as collateral for the loan without a paycheck and immediately obtain liquidity even in the absence of income.
In order for the bank to accept this type of loan, it must be considered that the value of the asset that is intended as a guarantee must be able to cover the value of the financed capital. If I have an asset worth 10 thousand euros and ask for a 15 thousand euro loan, no credit institution will give me confidence. Things change if I ask 5 thousand euros giving a guarantee of 10 thousand good.
As we said, in fact, the ultimate goal of the banks and financial institutions is to return as quickly as possible the money paid and, of course, to see interest paid. We must not forget, therefore, that the best form of ancillary guarantee is that represented by the guarantor. If we have a guarantor with a good income (the pension one, for example, is perfect) we can actually get a loan without a paycheck even for large amounts.
How to find the best loan without collateral
Before concluding our guide on the subject we want to give some simple advice to quickly find the best financing . It should be said, for the avoidance of doubt, that the best loan is the loan that best suits your needs. It is obvious that if I have a payroll of 5 thousand euros a month and ask for a loan of 10 thousand euros I will succeed in obtaining an interest rate totally different from the artisan with a minimum income.
That said let’s see how to find the best product quickly and easily. The basic advice is to use the loan comparators that are on the internet. These services, totally free, allow you to compare dozens of loans in a few minutes and to choose the one that has the best value for money. Once you have identified the product you can proceed with the request with a few simple clicks.
Beyond payroll loans, in fact, a recent survey has verified that in the last 12 months the number of loans provided directly via internet has increased by 12% on an annual basis. An absolutely not negligible data that allows us to understand how much Italians appreciate the web for the ease of use even when it comes to complex banking products such as personal loans.