Debt restructuring for self – employed persons

Debt restructuring for the self-employed serves to replace an existing loan contract with a new loan. As a rule, the new loan contract is concluded with another provider who offers more favorable terms. But what should I pay attention to now?

Thorough information is essential

Thorough information is essential

It is important to know first of all whether debt restructuring makes sense for the self-employed in their own case. This is always the case when a short-term bank loan – for example, the current account overdraft facility – is to be changed to a long-term loan. Even if fixed interest rates for a current loan expire, the borrower can reschedule if higher interest rates are estimated. Be careful if there are prepayment penalties for the existing loan, because they can cause high costs!

Self-employed are the least popular customers

Self-employed are the least popular customers

Since the self-employed do not have a fixed income and also generally have an entrepreneurial risk, they are not the most popular customers at banks. Debt restructuring for the self-employed is therefore more difficult than for employees or civil servants. It is important for debt restructuring, especially for the self-employed, that they present their economic situation transparently.

Anyone wishing to effect the debt restructuring should therefore come up with conclusive balance sheets with the potential lender and also have a structured and promising future forecast. The more secure the economic situation of the company appears, the easier it is for the self-employed when rescheduling with the new lender. A clearly structured list of liabilities in the private sector as well as a profit and loss account of your own company are clear facts on which debt restructuring can be built.

Specialized providers

Specialized providers

The market is now reacting to the problem of loans for the self-employed. The result is that some providers have now specialized in this type of loan. Many direct banks, which do not necessarily have to be located in Germany, offer debt restructuring for the self-employed. It is important, however, that you as a loan seeker check the conditions carefully. Offers that are connected with upfront costs should be turned down immediately, because these are dubious free-riders on the market who only focus on collecting the processing fees, but do not seek credit brokerage. Reputable banks provide an offer that is conclusive and that is not linked to conditions and costs in advance of the loan.

Debt restructuring is also possible for the self-employed, albeit with higher hurdles. It is important to carefully examine the large number of providers, because the opening up of internal European borders has also increased competition on the credit market, which means that even the self-employed have real chances of getting the credit they want.

Payday loan comparison 2019 – cheap payday loans online

Interest on loans is cheaper than it has been for a long time. Take the opportunity now and secure your cheap payday loan directly online.

Whether it is overdraft facility compensation, a new car, the financing of long-cherished wishes or the repayment of expensive loans, the payday loan is ideal. The loan amount and term can be flexibly combined so that the fixed, predictable rate fits optimally into the monthly budget.

What is a payday loan?

What is a personal loan?

The payday loan is a conventional installment loan that is applied for from a bank and used for any private purpose. The payment is linked to a fixed term and the repayment is made in constant monthly installments. Depending on the bank, loan amounts of between 500 and 75,000 USD are available and borrowers can choose between twelve and 84 months for the term of the contract.  

Credit comparison provides an overview of the supply jungle

Credit comparison provides an overview of the supply jungle

The biggest problem when looking for a suitable loan is the growing variety of offers. You can take out loans online or at a local bank branch. And even these two options offer dozens of variations. Instead of exploring the countless ways in laborious small work, a payday loan comparison is the better choice and is also recommended by the consumer advice centers. The offers for payday loans can be compared quickly and easily in this way. Depending on the loan amount and term, you can immediately determine the expected interest charge and the monthly rate. This procedure not only provides an initial overview, but ultimately also saves money – because this way, the risks of overpricing can be reduced in advance.

Requirements for a positive credit decision

Requirements for a positive credit decision

In order for a payday loan to be granted at all, conditions apply that are the same for almost all banks. Basically, if you do not have a credit rating, you will not get a loan. The creditworthiness can be on the one hand in the income or in the collateralization with assets. Another option would be to provide a guarantor who is liable for the loan amount if the repayment fails to materialize.

The applicant must be of legal age, have his main residence in the Federal Republic of Germany and have an income. For employees, pay slips are sufficient as proof, for self-employed or freelancers, for example, business evaluations must be sent as proof of income (in general, however, it is more difficult for the self-employed, as their income is not constant and secure). As a rule, you must not be over 65 years old and have no negative characteristics in your Credit Bureau file. If these conditions are met, the first threads for the desired loan can be drawn from the payday loan comparison by informing yourself about the conditions.

Apply for payday loans in just a few steps

If you have decided with the help of the comparison, which providers you want to get offers for payday loans, there are only a few steps. A loan calculator that almost all banks offer can be used to select the loan term and the sum. When submitting the application, personal data and information on the financial situation, in particular on income, are then collected. This data, which is of course treated with absolute confidentiality, leads to an immediate, non-binding commitment. Once all the documents have been checked, you receive the offers and can then decide with whose help you want to open the door to your personal wish privately.

To reschedule credit (s)

To reschedule credit (s)

Balance current account – reduce rate burden – save interest costs – reorganize liabilities

Lending rates are currently record-breaking low, which also makes debt restructuring interesting. Borrowers can thus replace expensive loans – even several – with a new and cheaper loan and thus save considerable interest. In addition, the monthly financial burden is tidied up when there is only one installment to pay instead of having to service several installment loans in parallel.

Banks take high interest rates of 10 percent and more, especially for overdraft facilities. If this is overdrawn, it goes into the money. Debt restructuring through a payday loan offers considerable savings potential.

Further information: Debt restructuring »

Credit from private

Credit from private

As an alternative to the normal installment loan, it is now also possible to request a private loan online. This is done through special marketplaces.

With this type of loan, it is not banks but private individuals who make the money available for the loan. Unlike the conventional payday loan, which is available for free use, you have to specify and describe the purpose of the loan – the so-called loan project – for private individuals. In addition, the borrowers determine the interest rate themselves. If this is set too low, it is difficult for private donors to invest in the loan project.

With good to average creditworthiness and a Credit Bureau file without negative entries, a payday loan via the credit comparison is usually cheaper than a payday loan. The self-employed and freelancers, on the other hand, have a better chance of obtaining a loan through a credit marketplace.

8000 USD credit cheap loans

An 8000 USD loan is usually easy to take up since it falls into the area of ​​small loans. Since small loans are not earmarked, they are ideal for almost any loan requirement. Even with a relatively low income, an 8000 USD loan can be approved by a bank if the term is chosen accordingly so that the loan can also be easily transferred.

Small loans compare

Small loans compare

It is worth comparing small loans in particular, because both banks and credit intermediaries offer interesting offers in this area. For example, the Best bank starts with an 8000 USD loan with an interest rate of 4.29 percent to 9.99 percent, depending on the creditworthiness. With a term of 48 months, the monthly charge would be $ 181.38. Best bank is also known for a high acceptance rate, so the chances for the cheap dream loan are very good.

In addition to the Best bank, online loan also offers a cheap small loan. Online credit starts at an interest rate of 4.35 percent to 10.90 percent. The monthly charge here is $ 181.58 if a term of 48 months is selected and the cheapest interest rate can be claimed due to the good credit rating. These two providers are closely followed by Lite Lender, which offers an interest rate of 4.40 percent to 11.95 percent on an 8,000 USD loan. In the best case scenario, the monthly credit rate is $ 181.76. In addition to these three top providers, there are numerous other interesting offers on the market that are well worth a look.

Framework conditions must be met

Framework conditions must be met

In order to take out a small loan, some basic conditions should be met, otherwise the loan application will be rejected. All banks insist on a permanent employment relationship, which must be demonstrable. The employment relationship is considered a fixed employment relationship if it has existed for 6 months and is not limited in time.

Another point is that a residence in Germany must be demonstrably available. In addition, a loan application can only be made from the age of majority. In addition, there can be no negative Credit Bureau entries, since all providers carry out a Credit Bureau query and negative entries marked with done are considered grounds for rejection of a loan.