A few years ago, when a loan was granted, the decisive factor was the security that the borrower could provide. These criteria have lost much of their importance today – on the other hand, creditworthiness seems to have become more important as a measurement.
The creditworthiness recorded in this way is primarily recorded by two things: firstly, the previous reliability in repaying installment loans influences the creditworthiness; on the other hand, income decides. What is important to the banks is not just the total amount of income, but rather the ratio of income to expenditure. So if the debtor is confronted with substantial earnings due to rent or maintenance costs, this naturally has a very negative impact on the decision to lend. In any case, this means that a loan without a salary certificate hardly seems possible from a bank.
Increase in the overdraft facility even without a salary certificate
Basically, the bank advisors have a certain scope of action. Anyone who has proven to be a long-term, reliable customer has quite a chance of getting a loan with a lower credit rating. In this case, however, collateral should actually exist. The ideal is the existence of cash or a property. Even younger used cars up to the age of around seven years are suitable for securing an installment loan. If the bank also posts regular payments to the account, a loan without a salary certificate appears in the possible range.
An increase in the overdraft facility is also conceivable if there are regular incoming payments. You can usually choose a height that corresponds to three to four times the monthly incoming money. Experience shows, however, that this allocation is chosen according to very different criteria – in some cases the criteria are interpreted here as strictly as is the case with an installment loan. If there is no such relationship of trust, the prospects for a loan deteriorate considerably. Because even the Swiss banks that help customers with negative Credit Bureau entries require proof of an income.
Surety secure loan commitment
If there is a person in your circle of friends or acquaintances who has sufficient creditworthiness, a loan can be taken out without a salary certificate. For reasons of cost, a direct bank on the Internet should be preferred. Because such credit institutions do not have a network of branches and therefore have to employ fewer staff, they offer the more favorable cost structure and can also pass this price advantage on to customers. There is almost always the possibility to look up an installment loan on two people who are then jointly and severally liable. In concrete terms, this means that the bank is entitled to assert its claims against both persons.
Provided the creditworthiness of the second borrower is correspondingly high, very cheap loans can be obtained in this way: With sums of around 10,000 USD, effective annual interest of around 6 to 8 percent is quite common, provided the term is kept short. Depending on the loan amount, repayment should be made in 48 to 60 months if possible. A longer term means a certain degree of uncertainty for the bank, because developments in the capital market are more difficult to predict in the long term. However, it is not a loan without a salary certificate, because at least the second borrower must also disclose his income in this variant.
Private credit: No proof of income required
There are no such restrictions with a private loan: Those who do not lend money for commercial purposes can decide for themselves whether they consent to a loan without a salary certificate. Corresponding portals on the Internet have specialized in brokering private borrowers and lenders. With a loan without a salary certificate and without proof of possible collateral, the costs are of course correspondingly high. This variant is therefore particularly recommended for smaller loan amounts up to 3,000 USD. Then, of course, the comparatively high interest rates hurt less: Up to 16 percent effective APR does not appear to be uncommon if no collateral can be offered – private lenders thus protect the comparatively high default risk.
The high costs make it clear that such a loan should be one of the last means for urgent capital needs. In the case of private loans, care should also be taken to ensure that the reasons for the loan are as comprehensible as possible. Because unlike a decision by a bank that links lending to clearly defined criteria, a private lender decides at his own discretion – a circumstance that the borrower should use for himself if a loan without a salary certificate is required.