A loan commitment requires a corresponding income. If the income is below 1000 Euro, a loan commitment is very unlikely. Even banks abroad are out of the question, as they require a wage or salary of about 1,100 euros. The possibilities for those affected to obtain a loan with 800 Euro income are explained here.
Loans from private individuals
For several years, two portals on the Internet have made a name for themselves. Creditend and Astrofinance are among the financial service providers that lend privately. This is a completely new way of lending, because in the background are private investors. Depending on the amount of the loan, a loan with 800 Euros of income can become reality. After registration, the user can express his request for credit. Now it only remains to be seen whether there are enough financial backers who are already eligible for a loan with 800 euros income.
Why do banks not lend money on low incomes?
Even if the private credit review is positive, it becomes difficult with a loan approval. Each bank creates a budget for the eventual borrower. After deduction of all monthly costs, there must still be enough money to make a living. With an income of 800 euros, this should be difficult. The money is barely enough to pay rent and to feed. It then raises the legitimate question of how consumers should pay installments for a loan in this situation.
In such a situation, it would be helpful to have a second borrower whose income could be taken into account. The life partner could be such a co-applicant. If his private credit turns out positive and the income is high enough, this is simply taken into account. Both co-applicants are responsible for the repayment.
Another problem is the garnishment-free amount. This is at € 1,073.88 (as of summer 2016). Every two years, this amount is raised to offset rising prices. With an income of 800 euros you are well below. In an emergency, this means for the bank that it has no right to an attachment if the borrower can no longer pay. That’s one of the reasons why banks refuse a loan of 800 euros in income.
Only a mini loan can help. However, these are limited to a loan amount of 600 euros. For the application, the income may be sufficient. One should be aware, however, that a mini-loan must be repaid within two months. This can be done in two installments or in one sum. A private credit information is also obtained in these loans. Nevertheless, a negative commitment may lead to a loan commitment, depending on the type of entry.
With a low income, you should think twice about how much additional financial burden you can afford. It would make more sense to ask the relatives or friends. To earn a living 800 euros almost not enough. It then raises the legitimate question of how even installments should be paid.