Lightning credits for the self-employed

Most providers only give lightning loans to employed borrowers and not to the self-employed. However, taking out a quick loan for this group of people is not entirely out of the question. One reason for the hesitant lending of lightning to self-employed and freelancers is that this group of people can partly provide information about their own income according to their own assessments and can also easily gloss over it.

What is a lightning credit?

What is a lightning credit?

In the case of a lightning credit, the money applied for is paid out within two bank working days. The prerequisite is that the borrower submits his completed loan application by the time specified by the bank and has the Postident procedure carried out at any post office. If the loan is granted by a bank registered in Luxembourg, the processing period can be shortened to one banking day, since in this case the fax copy of the ID card is sufficient as proof of identity for normal loan amounts.

The quick payout of a lightning loan is associated with higher interest rates compared to loans with longer processing times. Credit customers willingly pay an appropriately high interest premium for quick processing, but this must not be too high.

How do self-employed get a lightning credit?

How do self-employed get a lightning credit?

The rapid processing of a lightning credit means that the information in the loan application cannot be checked. Consequently, many lenders refrain from submitting proof of earnings for lightning loans, so that the self-employed in the loan application state their average income without reference to their employment relationship. With this procedure, applications for lightning credits for the self-employed are regularly approved, however the applicant violates his obligation to provide correct information in the loan application.

This procedure becomes problematic if the subsequent loan repayment does not take place as agreed and the lender carries out a subsequent check of the lending. In this case, he may immediately reclaim the loan paid out under false pretenses. If repayment is correct, the incorrect information in the loan application is also illegal, even if the bank is unlikely to perceive the incorrectly completed order as such.

The better solution

The better solution

The honest and at the same time better solution is to search intensively for the self-employed. A few lenders explicitly accept self-employed and freelancers as credit customers, so that they can take out a lightning loan from them.

In addition to processing the loan via the Internet, which is common for fast loans, lightning loans for the self-employed can also be applied for in a bank branch. In their statutes, regionally oriented Volks- and Raiffeisen banks and savings banks have expressly committed themselves to promoting the local economy, including the self-employed and freelancers. Lightning credits for the self-employed are mainly available online for entrepreneurs who have been self-employed for at least three years.

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