Unstable economic conditions and increasing needs make it difficult for people to meet all their needs. Looking for a loan to cover needs is an alternative choice that is very attractive to the community, especially when they have very urgent needs. However, problems arise when your documents are complete, but you are not a permanent employee. You only rely on temporary work or you are a contractor. Some loan service providers require us to have a permanent job so they believe that we can pay off the loan. However, some other loan companies do not require permanent work so that we are free to borrow money.
Is It Possible?
Of course, there is always a chance to get a loan despite you only have a temporary job. Even though there are so many requirements to apply for a loan, you still have the opportunity to borrow money with a temporary job. However, you may not be able to get a loan from a bank because most of the banks require a permanent job with a good salary. The only solution to get a loan with a temporary job is to count on an online loan provider. Nowadays, there are so many online loan providers available. Moreover, the conditions or requirements are easier than the bank loan. The online loan only requires you to have an ID card and phone number. Then, you can fill the registration form online by visiting the provider’s website. Do you want to get an online loan? Well, you can check this website to borrow money online.
What Are The Requirements To Get A Loan?
Administrative conditions for applying for a loan must be met to make a submission. After the file is complete, then the lender like a1credit a legit online lender continues the loan submission process to the next stage, which is analyzing credit. Each provider can set different requirements for credit applications. However, in general, the conditions requested are:
General Conditions, including:
Fill in the application form.
- Photocopy of identification like ID card, Passport, Driver License, etc.
- Photocopy of marriage certificate (for those who are married).
- Photocopy of family card
- Photocopy of a bank account in the last few months.
Meanwhile, for the particular requirements, you also have to meet several necessary documents. However, this condition also depends on the provider policy. Some examples of particular conditions are like salary slip, a working certificate from the company, a Certificate of income details, and much more. The loan provides may require this condition in a certain case. This is so important when you want to borrow a large amount of money. Many banks require these conditions, but some small loan providers do not require it.
What Are The Basic Principles Of A Loan Being Accepted Or Rejected?
There are some factors for how your loan application is approved or rejected. A credit analyst is a person who will make sure that you are qualified. But, there are some basic principles that they commonly pay attention to such as:
1. Character
This principle is seen in terms of the personality of the prospective debtor. This can be seen from the results of interviews between customer service to prospective borrowers who want to apply for credit, regarding the background, life habits, lifestyle of prospective borrowers, and others. The core of this character principle is to assess prospective debtor candidates whether they can be trusted in undergoing cooperation with banks.
Banks usually use credit history to find out the character of prospective debtors. The process, the credit history of prospective borrowers is sought by accessing the Debtor Information System of the central bank. All history of people who have applied for credit is stored in the database.
So, if a potential debtor has been in arrears, don’t expect the credit application to be approved. However, that does not mean that you are the first to apply for credit, then you will be approved by the bank. There are still many other considerations that will determine.
2. Capacity
This principle assesses potential borrowers for their ability to run finances, both as employees and entrepreneurs, whether a prospective debtor has experienced financial problems before or not. That way, banks can find out the ability of prospective borrowers to pay credit.
To measure capacity, calculate and compare income and expenditure every month. Remember, if you want your credit application approved, try to ensure that all credit installments covered do not spend 30% of your income every month.
3. Capital
This is related to the condition of assets and wealth owned, especially those owned by prospective debtors as entrepreneurs. Capital is assessed from the annual report of the prospective debtor. From this assessment, the bank or the lender can determine whether or not a potential debtor gets a loan. Or how much credit will be given?
4. Collateral
This principle needs to be considered by prospective debtors if they cannot fulfill their obligations in paying credit installments. If this bad thing eventually happens, according to the existing provisions, the bank will confiscate the assets that have been pledged as collateral.
This collateral can be in the form of land, buildings, motor vehicles, gold, or deposits. In principle, the value of collateral assets must be higher than the loan nominal. If a bad credit occurs later, the collateral will be auctioned off by the bank to pay off your remaining credit. Banks generally have a standard loan requirement of a maximum of 80% of the collateral value.
5. Condition
This principle is influenced by factors outside the bank or prospective debtor. That is, the economic conditions of a region or country are very influential. Therefore, this principle is referred to as the precautionary principle in analyzing the potential risk of disruption to the income of prospective borrowers due to economic conditions.
Economic conditions are usually associated with the work of the prospective debtor. For example, prospective debtors work in the tourism service sector. Let us say that the tourism sector is currently not good. Banks may conclude that these conditions have an impact on the income of prospective borrowers. And it is risky if the bank gives a loan to this kind of debtor.
