One of the most important conditions for taking out a loan with a bank is having a permanent job. But what if you have an interim job or a temporary contract? Do you not have a chance of a suitable loan? We discuss it extensively in this blog.
To get straight to the point: for many banks it is crucial to have a permanent job . If a bank gives a loan, it takes a risk. And that risk is simply lower for someone who has an open-ended contract.
The bank is certain that this person has enough financial income each month to be able to pay off the debt. The bank has less security with someone who has no fixed contract and therefore no fixed income.
Nevertheless, a permanent contract is only one factor that the bank takes into account. After all, the bank also looks at:
- the amount you want to borrow,
- the installment period,
- how much you earn,
- your age
- and your reputation.
Interim job, temporary contract or payroll system
Anyone who works on the basis of interim contracts, temporary contracts or a payroll system does not have to despair immediately. Every bank is an individual company with its own conditions. For example, it is sufficient for many banks that you can prove that you have worked continuously for a certain period.
It does not matter whether you have been active with one or five different employers during that period: as long as you have no long breaks in unemployment.
An important tip for those who have a temporary or interim contract: when taking out a loan, you can ask your employer whether he wants to prepare a document that demonstrates that he wants to give you a permanent contract in the long term.
Do you not have a steady job, but do have a nice saving cent? Then of course you are more likely to get a loan from the bank. The greater the part of the asking price that you can enter yourself, the smaller the risk that the bank takes.
Partner with a permanent contract
Are you taking out a loan with your wife, husband, girlfriend or boyfriend? And does he or she have a permanent position? Then the bank will undoubtedly make fewer problems with your lack of an open-ended contract. Although of course everything depends on the size of the loan amount.