Social Welfare can hit anyone. Praise is quickly lost these days. And if a new job cannot be found in a very short time, you can get Social Welfare faster than you’d like. Or you are sick and can therefore no longer work in the profession you have learned.
Here, too, you usually only have the unloved Social Welfare. But this is only a basic security. Large financial jumps are just as impossible as large-scale savings. But something unpredictable can always happen that requires an investment. A loan from Social Welfare is needed. But that’s usually easier said than done.
The banks won’t help
So you shouldn’t expect that even a reputable bank will grant Social Welfare credit. No matter how important the credit is: with Social Welfare you are not entitled to it. There are always offers on the Internet that suggest a loan even if you only have to live on Social Welfare.
However, such offers are more about brokers and alleged donors making a lot of money. A loan rarely comes about. And if it does, it comes with very high interest and processing fees. You should therefore stay away from such offers and look for serious alternatives.
The state helps
As a Social Welfare recipient, you have the right to have the state help out in really urgent cases. He grants an interest-free loan to Social Welfare if the purchase made cannot be deferred. A defective washing machine or a broken stove is always a reason for a loan. It is important that you can always prove the defect and that you do not have a replacement device. A second washing machine will not be financed.
The borrowed money can then be repaid to the state in small installments. The application for the loan is made through the job center. The relevant forms must be filled in here. The office examines the application and occasionally stops by at home to assess the damage and the amount of the investment. If the money is approved, the receipt for the purchase must be presented so that the money does not flow into other channels, but is really only used for the purchase.
If the state refuses the loan, you can be sure that the investment is not necessary. In such a case, you shouldn’t borrow anywhere else. You would most likely just fall into the debt trap.