Credit despite garnishment

Who plans a major purchase, for which the use of a credit often can not be avoided. Many expensive purchases are necessary and only possible through lending. In most cases, banks also allow loans easily. However, there are some exceptions that make lending very difficult. These exceptions include, for example, fixed-term employment contracts, which unfortunately are no longer a rarity in today’s world of work, as well as garnishments or debt collection claims.

If a customer is affected by one of these circumstances, his chances of getting a loan from a bank are reduced. Nevertheless, it is not completely impossible to obtain a loan even under such difficult circumstances. Thus, under special conditions, a loan is possible despite seizure. The following is therefore to be explained in more detail, which is the difficulty of a loan despite garnishment and how to hire it as a customer best to get such a loan despite seizure.

Why is the seizure hampers lending

Why is the seizure hampers lending

Banks usually lend to clients who have sufficient credit, ie who are also solvent. You should have a regulated income of a certain amount and a permanent contract of employment. With these customers, a bank takes the least risk and can expect that the loan will be repaid regularly and on time. In addition, there are many bank customers who do not meet these requirements. Especially in the case of a wage garnishment, lending for people is often existentially important, but for banks, it represents a high risk of loss: If there are arrears, the banks involved often have difficulties to collect the missing money.

When a loan is possible despite garnishment

When a loan is possible despite garnishment

Nevertheless, lending is also possible for many banks in the event of a seizure. In such a case, however, the customer needs a guarantor who has a steady and sufficient income. If the borrower can not pay his installment, the guarantor is required to settle the amount in his stead. This is at the same time an additional security for the bank and the borrower, but of course it puts a strain on the guarantor. In addition, not all banks agree to a guarantee.

If the customer has left a good impression with his bank so far, this is usually endeavors to keep him as a customer and may grant him a special regulation. Reliable bank customers, who have not been in conflict with their bank in the past, can count on a lot of goodwill on the part of the company. However, if this is not the case, it is possible to look for an alternative bank.

In addition to the banks, there are more and more private credit intermediaries, whose services could be used in the case of a loan despite garnishment. However, it is urgently advisable to look closely at the terms of the lending, to think carefully and, if necessary, to talk to a specialist about it. Because often hidden behind such offers immense costs. The deciding factor should therefore be the so-called annual percentage rate. Those who exercise caution with cheap online offers and seek a conversation with a specialist can protect themselves from nasty surprises.