You are going to spend a lot of money, but you don’t have money to finance it. The solution is a loan. We compare two options: a loan from a workplace and a bank loan.
Flat renovation, car purchase, private treatment, going on vacation or even holidays are some of the reasons for taking out a loan. Banks attract customers with more and more attractive offers. Meanwhile, full-time employees can take advantage of money borrowed by the workplace in which they are employed. However, this option does not apply in every enterprise.
A loan from a workplace
Employees based on an employment contract can count on a loan from the workplace. Another condition: there are at least 10 people (there may be more) in the company who agree to create a help and loan fund. They do not have to be employees who belong to a trade union. However, if the company has few people (eg 9 or less), but the staff would like to have such a cash register, it is possible to cooperate with other enterprises and establish a joint cash register.
Persons declaring joining the relief and loan fund are obliged to complete the membership declaration and to pay the registration fee in the previously determined amount. Members must also pay the premium of the declared amount. For example, it is 2 percent of the monthly salary. These can be payments made by the employee themselves or deductions from the payroll. These contributions will be refunded to the employee if he wants to withdraw from the loan and assistance fund.
Anyone who intends to get a loan from their workplace must write an application. It is necessary to recruit two people who agree to become guarantors. This is in case the borrower would not be able to repay the loan for various reasons (primarily random). These people cannot be accidental. They must be employees of this enterprise, and they must be members of the help and loan fund. Retirees and pensioners are usually excluded. There is usually a limit to the guarantors. Well, they can’t guarantee loans more than, for example, three people at the same time. In a situation where an employee wanting to apply for a company loan has no one who could become his guarantor or found a willing person, but only one, then it is possible in some workplaces to take the pledge instead of the guarantor. Another solution – if there are no guarantors,
Each company has a separate statute for a loan and assistance fund. This statute specifies, among others maximum loan amount. It can be eg USD 5,000 or eg several thousand. USD, depending on the internal arrangements of the particular workplace. The period covering repayment of installments (eg 20 installments), early repayment conditions or debt collection procedures in the event of failure to comply with the terms of the contract are also described in the cash register’s statute. Most often, however, at the request of the indebted member, you can postpone repayment of the loan installments, eg up to two months.
Whoever repays one loan has a chance to take another loan. There is no shortage of potential borrowers, because the loan from the loan fund is granted on preferential terms, usually much more favorable than the loan from the bank. The loan from the workplace is practically at cost.
Who has no chance of a company loan, and in this situation there are people employed under civil law contracts (mandate contract and contract for specific work) whether they are unemployed, have a chance to take advantage of a regular cash loan, granted by a bank or other financial institution. It does not matter in what workplace the person wishing to get a loan is employed. On the other hand, constant income is important.
To attract customers, some financial institutions also offer loans to the unemployed. Granting a loan depends largely on a positive assessment of your creditworthiness. Banks argue that their cash loan offer is based on promotional terms. However, this is often an advertising gimmick. Relatively frequent practices include exorbitant interest rates or APRC (current annual percentage rate) of, for example, attention – almost 500 percent.