Credit installments despite parental leave

Parental leave serves as an exemption from work in the first months after the birth of a child. Instead of pay, parents receive parental allowance, the amount of which in most cases amounts to sixty to sixty-seven percent of the net earnings lost.

The reduced income is offset by additional expenses for the maintenance of the baby and, at least for the first child, for the purchase of basic baby equipment. Since the corresponding costs as well as parental allowance are predictable, the need for a loan in spite of parental leave can be avoided by taking out a loan in good time. It is important to plan the credit installments so that future parents can pay them during parental leave.

Borrowing from a bank during parental leave

Borrowing from a bank during parental leave

Parents often assume that the bank grants them a loan despite their parental leave, as they will return to their employer afterwards and will receive their previous salary again. This view is not in line with the interpretation of most financial institutions, which tend to regard parental allowance as a provisional state payment and the resumption of work as secured.

In fact, the employer is obliged to keep the employee employed after parental leave, while the employee can decide to leave the job temporarily. For this reason, despite parental leave, commercial banks are most likely to grant a loan if the customer can present an already concluded agreement on future work performance or if both parents apply for the loan together.

Borrowing during parental leave through private lenders

Borrowing during parental leave through private lenders

As an alternative to a bank loan, the application for a loan can be made via a website for the granting of private loans despite parental leave. The private individuals registered there as members base their decisions on a high percentage of social criteria and therefore prefer credit inquiries from parents.

Formally, a recognized commercial bank acts as a lender, but the actual decisions are made exclusively by private lenders. The platform operator, on the other hand, handles the practical handling of the private loan, so that the lenders and loan applicants do not get to know their contact details and bank details. This ensures data protection regardless of the extensive information about the reason for a personal loan application.

Credit free of charge and without Credit Bureau

Preliminary costs are fees that a loan broker charges for the start of his activity and not only for a successful loan brokerage, they are fundamentally inadmissible. Credit Bureau serves to increase credit security by providing authorized members with information about possible financial misconduct, but also about existing liabilities.

German financial institutions provide Credit Bureau information before each loan and notify the loan security of the loan payment. A loan without upfront costs and without Credit Bureau is not only useful for applicants with negative Credit Bureau entries. Credit Bureau-free loan processing is also an option if comprehensive financing is planned within the next six months, since recently taken out loans affect the Credit Bureau score as well as the assessment of creditworthiness by many financial institutions.

Apply for Credit Bureau-free loans directly from Swiss banks

Apply for Credit Bureau-free loans directly from Swiss banks

Consumers will certainly receive their credit without any upfront costs and without Credit Bureau if they apply directly to a Swiss or Liechtenstein bank. The Credit Bureau-free loan applied for directly from a federal bank is limited to a total of mostly 3500 dollars, few financial institutions have extended the maximum amount to 5000 dollars.

A Swiss or Liechtenstein loan with no upfront costs and no Credit Bureau is not a foreign currency loan, as it is processed in the local currency, the dollars. As a result, the borrower bears no exchange rate risk. It is not possible to indirectly increase the loan amount that is available free of Credit Bureau by taking out several loans from different federal banks, as the Swiss credit information center registers the lending.

Apply for Credit Bureau-free loans through an intermediary

Apply for Credit Bureau-free loans through an intermediary

Through an intermediary, consumers can apply to Swiss and Liechtenstein financial institutions for a loan free of charge and without Credit Bureau for loan amounts higher than 3500 dollars. The credit intermediary may charge an appropriate performance fee for its activity as soon as the bank has transferred the loan amount. The calculation of a fee dependent on success is not permitted, so that its calculation can be regarded as a reliable indication of the poor reliability of the agent.

If a loan brokerage does not broker the desired loan without upfront costs and without Credit Bureau, there is a risk that it will not make serious efforts to broker the credit after receiving the customer payment. A placement that works correctly without any preliminary costs, on the other hand, only generates income if it is successful and is therefore itself interested in a loan payment.