Not only people with constantly changing jobs, but also employees with temporary contracts, do not have a permanent job in the view of the banking industry. Furthermore, some financial institutions also do not consider employment with a temporary employment agency to be a permanent job, which contradicts the labor law character of the employment contract for temporary workers.
Borrowing with special employment contracts
A loan without a permanent job in the sense of a current temporary employment contract is easiest to take out if the loan is repaid by the end of the current employment relationship. In this case, the borrower has a secure income until his liabilities have been repaid and is also protected against redundancies caused by the company due to the time limit. Temporary workers make sure that the credit bank they prefer does not generally exclude them as loan customers. According to their own understanding of labor law, they already hold a permanent job, albeit with changing jobs.
Day laborers are most difficult to get a loan without a permanent job because they lack the security of finding a new job every day. If the partner has a permanent job, borrowing via this partner is the only borrower or at least as a co-applicant. Instant loans without proof of salary are a possible solution for borrowing without a permanent job, but the prerequisite is that the applicant provides the correct average income. Deliberate misstatements mean that a financial institution can terminate any loan when it is discovered, even if it has been properly repaid.
Alternative credit options without a permanent job
When granting an overdraft facility, most banks evaluate the average monthly cash receipts without paying close attention to their origin. If the Credit Bureau information is positive, many credit card issuers issue an initially low credit limit without proof of income. These variants lead to a loan without a permanent job, but are significantly more expensive than installment loans. Another alternative is borrowing via a platform for personal loan brokerage. The loan seeker describes his personal situation and the purpose of the loan in his loan demand.
Private members of the relevant platform who are registered as donors often fulfill credit requests because they support the goal of borrowing and at the same time want to promote applicants who are only partially able to borrow from a bank. Ordering installments in retail also leads to a loan without a permanent job, since there is hardly any demand for the employment relationship. Borrowers without a permanent job make sure that they can pay the loan installments even when they are temporarily out of work.