Can unemployment make you vulnerable to getting loans?
Being unemployed, you could be a weak borrower in the eyes of the lender. The absence of a steady income stream is the biggest obstacle to getting loans. As it directly influences the loan repayment chances, loans are not easily obtainable for anyone who is no more salaried.
Some lenders might have an optimistic outlook about your financial potential. They would like to offer loans for the unemployed living on benefits.
How can that be possible? The financial assistance you are receiving from the government can again help you in getting loans.
It shows how you can approach a lender despite being dependent on benefits. The flexibility in the lending conditions is what you should thank for. Do not expect the same kind of support from major banks.
Private lenders are ready to mak...