Important to the loan for trainees
- Takeover prospects increase credit opportunities
Anyone who has the prospect of a takeover after training can often increase the chances of obtaining a loan application.
- Requirements unavoidable?
Everyone must fulfill the requirements for a loan as an apprentice. Exceptions are hardly possible.
- Seek additional guarantors
Signatories improve your chances of successful lending – from the bank’s perspective, guarantors often reduce the risk of default.
A trainee salary is usually too low for larger purchases. It is just in this phase of life often major issues. For example, those who move to another city for training have to make a move, which is costly. Anyone who does not receive a cash injection from their parents or relatives will often have to rely on getting a loan. That’s not easy, but possible if you know how to improve your chances.
How to find the right loan for apprentices
If you urgently need the deposit for the first home or a car for the way to work, can hardly afford a narrow apprentice salary. Getting enough money aside is tedious, sometimes too tedious, for example if a mobile pedestal is needed for the commute at short notice. But such things are often obligatory at the beginning of the training and the first steps on the career path. If the parents or close relatives do not want or can not support it, a loan for apprentices can fulfill such sensible wishes.
A trainee loan is a special form of consumer credit and is usually used as a installment loan. It is characterized by maturities of a few years, low interest rates and low loan amounts. Collateral as with other large installment loans or loans are often not available for trainees With the loan comparison, the appropriate loan can be found.
- Age and residence
A person who is resident in Germany and has reached the age of majority and full capacity at the age of 18 only gets a loan. As a rule, banks reject minors as credit customers.
- Sufficient credit rating
If you have positive Private credit entries, so always punctual and conscientious all loans and, for example, paid mobile phone contracts, another requirement for credit is given. Incidentally, once a year you can also request a free data overview from Private credit to check what information the credit reference agency has collected about you.
- Regular income
These include regular income such as salary, interest on assets, income from letting and leasing, as well as monetary benefits in kind such as rent-free housing. Not including care and housing allowance, child allowances or capital assets under 7,600.00 euros.
- Parents as guarantors
You do not necessarily have to include your parents in the credit agreement if you are already of legal age. But a loan for trainees is often difficult to obtain without guarantors. So, if your parents vouch for you with a good credit rating, it increases your chances of getting a loan.
- Probation period over
If you have survived your probationary period and may even have a firm commitment that they will be taken after the training, the chance of getting a loan increases.
Difficulties for trainees in borrowing
The taking up of a loan should always be carefully thought out. Because if you can no longer repay the loan, for example because you drop out of training or the employer goes bankrupt and as a result you become unemployed, over-indebtedness threatens.
In such cases it is good to have a residual debt insurance. This can be concluded with many banks and savings banks together with the loan agreement. Of course, insurance premiums are incurred. A residual debt insurance can make a loan much more expensive. Consumer advocates advise against taking out such insurance at all costs and only taking out a loan if it is easy to repay it.
If you are still in the probationary period, it is generally unlikely to get a loan. Even with a duration beyond its training, the bank could legitimately have doubts as to whether repayment remains secure after training. After all, not every trainee is subsequently taken on or finds a new employer seamlessly.
Increase opportunities through takeover prospects
If you are doing well in your apprenticeship, you can sometimes get a commitment from the boss at an early stage as to whether he can count on a permanent position following your apprenticeship. Theoretically, it is enough if the boss has made you a verbal commitment to a job. This already legally corresponds to an orally agreed employment contract. But you need witnesses and a lender who recognizes that.
On the other hand, those who have written confirmation from the instructor can also offer this to the bank as collateral. This evaluates it as a plus point, if it is foreseeable that the apprentice will receive a fixed salary even after completing the apprenticeship and can continue to repay his loan installments.
Those who do not have such a commitment will usually only get loans with a term until the end of their education. He must have repaid the loan by the latest salary at the latest. Loans that run only for a few years and may not cost so much per month because of a small salary are usually small loans with amounts of up to 5,000 euros.
Employer as a lender
Some employers also offer loans for their employees, maybe even yours. Questions do not cost anything.
Advantages of co-applicants
If you are not creditworthy on your own, for example because you do not earn enough, or if you can not convince the assumption of your boss, you should not give up immediately. Look for creditworthy support – someone with the best possible credit rating, who signs the loan agreement with you or vouches for you.
If you include a second borrower in the loan application, you may even be able to get a higher loan. Ask someone who has their full confidence. He must also be fully capable of acting, so be at least 18 years old. As a rule, parents or other elderly relatives are well-suited to such requests if they are sound households, creditworthy, and have a regular income. A guarantee is even mandatory for most trainee loans. The guarantor concludes another contract with the lender and agrees to be held liable with his assets if the borrower can not repay his loan.
In both cases, the bank receives additional legal security, as guarantor and co-signer commit to repay the money in an emergency. With the signature, he takes over the responsibility, if you can not fulfill the repayment, as it is provided in the contract.
Step by step to the loan for trainees
- Get information and checkout
Get an accurate overview of your financial situation! It is best to keep a list of all income, financial obligations, and all expenses, such as taxes, rent, insurance, etc., for several months. This is the only way you can get a full picture of how much money you have available each month and what rent and other regular costs. accrues. If you have little left, a loan, which usually has to be repaid on a monthly basis, can lead to debt. If there’s still some bottom line after deducting the cost of living, you’ll know roughly what the monthly loan installment might be. If in doubt, Consumer Advice Centers or Debt Counseling also provide clues as to how you are financially resourced and help you decide if borrowing is really necessary.
If you are not sure yet how much money you have left in the month, how high a loan could be and how much you want to repay, let us advise you. Banks and other advisers can figure out how much credit they could get and what the monthly installment should be. With the help of a credit comparison, you will then find various offers and can compare them.
- Emergency solution Credit without Private credit from reputable provider
For example, if you are unsuccessful with multiple branch banks, you can try to get a loan without a Private credit from a reputable provider. However, do not embark on any offers in which you need to make financial advances.
- Nothing rush when signing the contract
If you have made a decision for a particular loan offer, have a look at the fine print, the terms and conditions and sleep another night. Only then should you submit a loan application. For further information, the providers inform on the phone, in person or on the websites.
- The credit is here
If your application is accepted, you will receive a confirmation and a transfer to the account that you have agreed with the provider. Make sure that you pay back the installments on time so that no late fees or negative Private credit entries are incurred. A standing order can help with this, with which the rate is deducted from your salary account every month.
Which form of loan is advisable for an apprentice?
In addition to installment loans, there are also framework loans. For framework loans, a fixed amount is usually stored in a separate account. You only pay interest on the amount you actually withdraw from that account. However, due to the temporary income situation of trainees, the bank will most likely not grant them this.
Trainees usually only get a small loan. The means of choice should then be consumer or installment credit, which exists with different providers. Advantage: The installment loan is clear and the monthly charge, ie the installments that are due, remain the same over the entire term. This also corresponds to the income situation of most trainees. Since the loan amount is not as high as, for example, mortgage or other long- or medium-term loans, the term is kept within narrow limits and the monthly rate must be low, providers have less leeway for different forms of credit.
Pay attention to the effective interest rate. He is the measure of things in terms of price. Contrary to the nominal interest rate, the providers have to include almost all possible costs in the effective interest rate. That makes offers comparable. Also, the account maintenance fees, which requires some providers in addition, should pay attention. After all, these can significantly increase the price of a tempting offer, especially with the small loan sums of apprenticeship credit. When choosing a loan offer, it also matters whether you want to make special payments or take out a residual debt insurance.
Stay away from the dispo
Disposition credit, which is standard on many current accounts, is not an option for longer-term funding. The interest rates are relatively high and can be as high as 13 percent.
Even so-called private-to-private credit intermediaries, so-called P2P credit portals, have established themselves on the market. These platforms only provide lenders and borrowers. The lenders are usually private individuals who earn money with the interest. Similar to the deposit at the bank, they earn the interest and, if all goes well, the borrowed amount back. Again, the credit rating is checked, usually a Private credit information.
You should figure out whether they are more favorable, because the portals sometimes charge two percent of the total loan amount. In addition usually monthly costs come up and in some cases even an annual fee on top. Here you should exactly calculate
With the P2P credit portals you make an anonymous request online, in which you describe your desired conditions and justify what they need the money for. Here you can sometimes get to the train faster. You can start with lower interest rates and then increase until someone responds to the offer.
questions and answers
Does it make sense to take out a loan from the bank where I have a checking account?
Banks need customers. Young customers may be the most solvent customers of tomorrow. As a result, the bank where you hold your checking account may be more open to your loan request because you want to keep it as a customer. It can be a great advantage to be able to get personal contact and advice in a branch. But also online or direct banks score sometimes with favorable offers. However, nobody is required by law to be loyal. Go to the terms of the offers. It does not always have to be the bank where you also have your checking account. Attention: Sometimes lenders charge extra for account management when they provide a loan for trainees.
What speaks against a loan for apprentices?
Loans are a short-term relief and a longer-term liability. At the beginning of many over-indebtedness are loans. So be sparing, realistic and modest when determining the amount of a loan.
Who determines the term and interest of the trainee loan?
Banks will make you specific offers on request, depending on your financial situation and your credit rating. The better your credit rating, the less you pay interest. But you alone decide if you accept an offer. The other way around is the P2P portals, where you can anonymously publish a loan application, a so-called credit project. You have to introduce yourself and your concerns and determine your own term and interest. If someone wants to invest in your loan project and lends them money, you may be able to benefit from lower interest rates than a regular bank.