MonthNovember 2019

Loan with permanent employment contract.

Do you need credit? With an open-ended employment contract, you meet one of the basic conditions that lenders require for lending. Unfortunately, the employment relationship is not the only criterion that lending institutions look at.

We explain in advance which requirements there are for regular lending and which exceptions can be permitted. Then it is a matter of alternative solutions if not all requirements can be met.

Loan with a permanent contract – what’s missing?

Loan with a permanent contract - what

In the application conditions for a loan, credit institutions specify the minimum requirements for applying for a loan. Each credit institution is free to decide which requirements an applicant must meet. The usual condition for credit is to assume an unlimited employment contract, usually at least 6 months from the trial period.

Other standard specifications would be:

– Applicants at least 18 years and fully legally competent
– Sufficiently good creditworthiness based on the score
– clean Credit Bureau
– income subject to social security contributions above the seizure allowance
– Main residence in Germany
– Workplace and salary account in Germany
– Lending for private use only

Don’t give up right away – check alternatives


Since each bank has different requirements, it is important to read through the application conditions before making an application. For example, some credit institutions not only allow loans with permanent contracts. In the case of a temporary employment contract, lending would also be possible if the repayment date is before the expiry of the time limit.

For those with low incomes, the garnishment exemption limit represents a major hurdle for lending. For example, a single person without dependent dependents would have to earn at least 1,080 USD net in order to have a garnishable income component. A few lenders are willing to make concessions on this point as well.

Installment loan can be approved from a net income of just 601 USD. (Provider Good Bank). Rummaging around and comparing is worthwhile if borrowers cannot meet all the requirements of the first provider in the loan comparison. There is probably a provider in the free credit comparison that offers more suitable access requirements.

Choose the right financing – installment loan is not everything

Choose the right financing - installment loan is not everything

Classic installment loan (annuity loan) is offered from a loan volume of USD 1,000 with a term of 12 to 144 months. The advantage of the classic installment loan is the predictable loan repayment in equal installments and the very cheap financing interest. A disadvantage is the flexibility of the installment loan. Loan requirements and terms can only be freely selected when the loan is taken out.

Subsequent changes are often difficult to achieve. It would also be problematic to finance only very small loan requirements with a short term as installment loans. Apart from the installment loan in the mail order business, the loan with a permanent employment contract, with small amounts, is a short-term loan. Borrowing via the overdraft facility or credit card would be customary.

If it is only certain that there is a larger loan requirement, but no exact amount or clear repayment concept yet, short-term credit would be too expensive. The credit line would be optimally designed for this case. As with the overdraft facility, the credit institution grants a credit limit in advance. The money can be used immediately in a total or partial amounts. Interest is only payable for funds actually called up.

In terms of interest rates, the framework loan is significantly cheaper than any comparable short-term loan. However, it is somewhat more expensive than an inexpensive installment loan of the same amount. In addition to the advantage of retrieving partial amounts at will, repayment is no less straightforward. The principal is redeemed at its own discretion, only the interest must be paid on time.

Avoid credit hurdle – secure low interest rates

Avoid credit hurdle - secure low interest rates

Applying for the desired loan with a permanent employment contract does not automatically guarantee that there are no obstacles. In the case of very high loan amounts, despite a clean Credit Bureau, personal creditworthiness through the income from work is not always sufficient for lending. Additional collateral would have to be offered to the loan provider in order to agree to the loan agreement.

The easiest way would be to apply for the loan together with a co-applicant. If two people are liable for the loan, the creditworthiness for lending increases by leaps and bounds. Large financing requests, such as building a house, can usually only be shouldered together by couples. An alternative that ensures the best interest rate at the same time would be a loan with a land register entry.

With a first-class entry and credit requirements below 60 percent of the lending limit, providers of low interest rates are literally in line. The unencumbered house is the safest guarantee for any large loan. Borrowers who want to save the cost of registering the land register apply for the loan without a land register. Without a land register, the loan becomes a little more expensive, but still remains cheap.

Loan with a permanent contract of employment – problem solving

Loan with a permanent contract of employment - problem solving

Not every wish for a loan with a permanent employment contract is equally welcome with credit institutions. The decisive factor can be the person with whom the employment contract was concluded. Credit requests are often excluded in the loan terms if the employer is a temporary employment agency. Despite all the “benefits” of past reforms, agency work is not secure.

“Hire and fire” together with the low income of a temporary or agency worker significantly reduce the personal creditworthiness for lending. Interested parties are often only creditworthy with the employment contract of a temporary employment agency if they have a special loan from a risk-taking bank or private lenders.

Our recommendation for problematic credit with a permanent contract is Good Bank. A bank loan or a private loan can be approved via the portal.

A loan of up to 5 minutes on an account is not a dream, but a reality

Do you want to arrange a loan and not wait unnecessarily? In just a few moments, it can be easily handled!

They do not choose financial problems and can affect us at any time. But mostly they come uninvited and make a lot of complications. How can we solve them effectively so that we do not burn ourselves and fall into a debt trap? The non-banking sector offers a helping hand that is also very fast. Borrowing money in this way means ensuring the necessary cash, even in a matter of a few minutes. And virtually anywhere where you can have a stable Internet connection. You do not need to go to a branch or make a phone call that could exhaust all your remaining mental powers.

No questions or filling in extensive forms


There is no reason to ask relatives or neighbors for a little financial help, especially when gossip is carried in any case – you will have a debtor sticker, whether you want it or not. Isn’t it better to arrange everything a little more discreetly? The question of where to get money can be easily solved even at some of the really proven non-banking companies. What is your job or which generation do you belong to? This is actually rather irrelevant for non-bank loans. It is sufficient to prove the age of majority and permanent income, as well as fill in the basic contact details, without which the identification of the applicant is not possible – and for many understandable reasons not only the current legislation requires it. What must not be missing in the application?

  • How much you want to borrow and for how long. Of course, that is the very foundation of a loan!
  • Email and telephone contact as well as permanent address and other personal information.
  • Proof of permanent income. Whether you are self-employed or receiving an old-age pension, it is no longer so important.

How much can you actually borrow? The online loan will allow the applicant to raise up to fifteen thousand dollars for up to four weeks. The payment deadline can be postponed if the family budget so requires, just paying a small fee and postponing the deadline for another four weeks. No queues, phone calls, or things that take too much time. A few minutes and money is on the way.

Free choice, it could just be a thousand

financial loan

Is the loan somehow limited? Of course, it has its limits, the lowest possible submission is a thousand dollars and a maximum of fifteen thousand dollars. Everything over the Internet, discreetly and securely, because encryption on the web of non-bank lenders is at an exceptionally high level – hackers have no chance. In fact, you will not give them any opportunity, as the application will only mention the current minimum of personal data. And that’s what it’s all about, a simple negotiation that doesn’t take too much time. We do not have free time during the week, so why not spend it unnecessarily?