Unemployment Loan – Can You Borrow Money Without a Job?
Posted on | October 26, 2009 | 1 Comment
Getting an unemployment loan is a financial process that has gotten very popular over the last few years. As the unemployment rate continues to rise many of these unemployed America are wondering if they can borrow money without a job. As the economy continues to struggle many bad credit lenders are actually starting to offer unemployment loans.
The biggest problem any borrower is going to have getting an unemployment loan is that having no money coming in causes major problems. Not only are you unable to make payments on your loans but you are unable to make payments on any of your bills. This is where an unemployment loan comes in play. These companies are willing to let you defer the first payment until you actually get a job.
Due to the fact that you do not have a steady income and you are not in the best financial shape you are going to find you will get a high interest rate on these loans. You are extremely risky when it comes to a borrower because you have absolutely no way to start paying on the loan today. Even if you have great credit you are still a very risky borrow.
One thing that you need to understand is that interest is going to build up on this loan until you get a job. If you get a high interest rate unemployment loan and you do not find a job for several months you are going to find that the interest builds up very quickly. If your interest rate is 25% or greater, you are going to see one quarter of the amount of money you borrowed added to your loan if you cannot start paying if off.
Sometimes we just need a little bit of extra money in the bank to make it much easier to sleep at night. If this is the case then you are probably not worried about the interest rate. That is a problem that you will deal with in the future when you get back on your feet financially. Even if this is the case, it is still important to get the lowest interest rate you possibly can.
Please check out our unemployment forum where we encourage you to post comments below whether it be a strategy you used to get a job, possible tips or links to those who are unemployed or even a rant about your previous employer and how they laid you off. Anything goes as long as there are no obscenities or direct insults to other posters.
Author: Jeremy North
Comments
One Response to “Unemployment Loan – Can You Borrow Money Without a Job?”
Leave a Reply
October 26th, 2009 @ 8:54 am
[...] Subscribe to the comments for this post? [...]