Bank offers credit for young families.
Young families experience an exciting and exciting time. Not only that they are expecting or already have a child, the first preparations are made so that everything is available as soon as the child is born. But this is associated with costs, because a baby needs its own bed, clothes to put on and diapers.
It is not uncommon for the apartment to be changed, as it simply becomes too small for several people. Those who have to cope with these costs know how expensive it can really be when a child is on the move. Many parents choose a loan for young families before they are born. However, there are a number of things to consider when applying, because banks are not always ready to grant a loan to young families.
What to look out for when borrowing
Young families have to consider that their income is above the garnishment allowance and that there is still enough money to pay off a loan installment. Many do not consider that child benefit or parental allowance is not counted as income and could be below the garnishment allowance. So a budget should first be drawn up, either at home or with the bank. This makes it easy to find out whether the income will be enough to pay off the loan for young families.
In addition, the borrower is checked for his Credit Bureau. There should be few or no negative entries here. The Credit Bureau is staggered by a traffic light system. The best conditions for a loan are those that are classified in the green. Those in the yellow area often have to provide collateral to get a loan for young families. With the red rating, borrowing is excluded. If you are not noticed negatively here, you can count on taking out a loan for young families.
Improve creditworthiness – outside help
Those who do not do so well in the credit check can improve their creditworthiness. The easiest way is with collateral, such as a bank guarantee. The bank also approves life insurance, which can be deposited as security. The borrower must take care of a guarantee himself. The person can either be a family member or a friend. It is only important to the bank that the guarantor is solvent enough to assume a bank guarantee.
The income and the Credit Bureau are checked. Here the income must be above the garnishment allowance and the Credit Bureau must not have any negative entries. In addition, there must be an unlimited employment relationship and the place of residence must be in Germany.
No credit – are there other ways?
If you have no credit opportunities, you have to think of alternatives to get out of the difficult financial situation. The best way would be a personal loan that comes from a trusted person. This is the only way to guarantee that nobody falls for black sheep and really gets a loan. This can then be repaid in monthly installments, often without interest.