In addition to the question of whether there is a loan in spite of parental allowance, it is also interesting to ask whether it would make sense to take out a loan at this time when the parental allowance is being paid. Both questions are followed up and provide detailed information in the following article.
It is a fact that young parents, in particular, are usually not wealthy unless they have inherited. Then, when the child is born, there are some important things that must be purchased. It starts with the stroller, goes from a child’s room to a new car, in which a stroller can also be stowed. Although the state has created financial improvements by introducing parental allowance, there is a handicap for young parents when they apply for a loan. Parental allowance does not count towards income and is therefore not taken into account in the household bill. Parental benefit is not attachable as a wage replacement benefit that is paid only temporarily.
When a loan is granted despite parental allowance
Still, not all young parents have the same problem. A loan in spite of parental allowance is always granted by the banks without any problems if the income of the parent who continues to work is so high that the small family can live well and pay the installment. A loan that includes parental allowance is always possible if the term of the loan is no longer than the payment of the parental allowance. There are also banks that grant a loan if the recipient of parental allowance can provide a written confirmation from the employer that from then and then the return to work and the salary will be made.
Possible alternatives that remain young parents
What is described here primarily applies to cash advances that are paid directly from the bank to the checking account and are free to use. The chances for young parents are somewhat better if they want to take out a loan despite parental allowance in connection with the purchase of consumer goods. With this loan, a child’s room or a pram can be purchased in a furniture store or mail order. In trade, it is much easier for young parents to get a loan. This has to do with the fact that the goods are viewed as additional security in retail. This only becomes the property of the customer when the associated loan has been repaid in full. If a customer does not pay, the goods will be picked up in case of doubt. The only requirement here is that the parents must already be creditworthy in principle.
Loan despite parental allowance with a guarantee
If all of the options described are out of the question, there is still the option to provide the bank with other collateral in the form of a solvent guarantee. But even in this case it is important to note important things: Young parents should, especially when it comes to a long term of the loan, only have the guarantee limited in order to give the guarantor the opportunity to get out of the guarantee if they do Parent who uses the child-raising period returns to work. If the time limit is missed when the loan is taken out, it will be difficult later if the guarantor wants to be released from the guarantee during the term.
It makes sense to take out a loan during parental leave
This question is difficult to answer in general. It always depends on the overall situation and the needs. Certainly there are consumer goods with which young parents can wait until the financial situation has relaxed again. It also always matters how risk-taking consumers are. Anyone who relies too much on the calculation of freely disposable income that everything is the same after parental leave runs the risk of being wrong. There are many reasons why, for example, a woman who previously worked full-time can only work part-time afterwards. Such things should always be taken into account before deciding to apply for a loan despite parental allowance, so as not to fall into debt trap.