Instant credit of Social Welfare
The global economy appears to be moving towards a recession. Almost every day, new negative news from the EU debt crisis is heard in the media. In addition, jobs are being cut everywhere, and unemployment is at a record level across Europe. Here in Germany too, there are a large number of people who receive social benefits from the state due to the loss of their job or severe wage cuts.
Social Welfare recipients find difficult to cover all expenses
People who purchase Social Welfare find it particularly difficult to cover all living expenses because the economic situation means that the costs of food and rents are increasing. Social Welfare recipients are often unable to meet important payment obligations on time.
Anyone affected should be aware of the impending consequences of unpaid bills – enforcement measures are initiated, which in turn result in additional costs. In this way, those affected are drawn into a financial downward spiral. Often, these consequences for Social Welfare recipients could be avoided from the outset if they could obtain liquidity through loans, at least in the short term. Urgent payments could be made on time. However, banks are extremely reluctant to grant loans to Social Welfare recipients. Many recipients of social assistance even assume that it is almost impossible to get an immediate loan as a Social Welfare recipient in order to be able to meet current payment obligations. They have given up hope of still being able to get short-term liquidity from somewhere. Unfortunately, many Social Welfare recipients give up far too early, because an instant loan with Social Welfare is not an impossible thing.
There are certain requirements for an instant loan with Social Welfare
Even if most domestic banks generally refuse to lend to Social Welfare recipients, it is possible under certain conditions to obtain an immediate loan with Social Welfare. Credit institutions often allow exemptions when granting credit to Social Welfare recipients if certain collateral can be provided. As a Social Welfare recipient, one should, therefore, clarify with the bank if appropriate collateral, such as real estate or transferable insurance policies, exists, whether they do not qualify as collateral for an immediate loan.
Because when credit companies see that the loan amount is secured in every case, they also grant people who purchase Harz 4 the desired liquidity. If the applicant then defaults, they can still draw the money made available from the collateral, such as property ownership. Another way to get an instant loan with Social Welfare would be if the applicant provides a guarantor. The guarantor is then liable with his private capital should the applicant fail to pay.