Loan for trainees: 5 options as an apprentice

Whoever starts an apprenticeship as a young person usually comes directly from school and has little or no savings. Depending on the situation, there may be sudden costs for the first apartment, a driver’s license or a car. If the parents cannot or do not want to support the training financially, it will be difficult to master the start of a career. In this article you will learn how you can apply for a loan as an apprentice, which financial support is available and what you should pay attention to when it comes to financing.

In this article you will learn how you can apply for a loan as an apprentice, which financial support is available and what you should pay attention to when it comes to financing.

Classic installment loan from the bank

Classic installment loan from the bank

With a installment loan, a bank grants certain loan amounts to private individuals. The loan is repaid to the bank in the form of a monthly installment over a certain term (eg 36 months). The installment loan is interesting for trainees because the money required is paid in one sum and is directly available for the necessary purchases.

Choose the term and loan amount carefully

Choose the term and loan amount carefully

If you choose an installment loan, two criteria must be taken into account when applying for a loan and decide whether to approve or reject it: the amount of the loan and the duration of the repayment. Due to the low income, trainees can only consider small amounts of 1,000, 2,000 or a maximum of 3,000 dollars. The term should be at least 12 and a maximum of 36 months. Please note: the shorter the term, the higher the monthly charge!

Personal loan for trainees

Personal loan for trainees

For some time now, special online platforms have been established that bring investors and borrowers together. On these platforms you can advertise and justify your desired loan. If investors consider your application to be interesting and the return you have specified is correct, investments will be made in your “project”. If your loan application has already been rejected by several banks, this option is often worth trying, but it is also not the cheapest solution.

Increase chance of acceptance

Many banks reject apprentices’ loan applications because their income is low and often no collateral is offered. Consider the information in the following checklist to increase the likelihood of acceptance:

  • Second borrower: Apply for the trainee loan together with a second person, e.g. your parents. This increases the likelihood of full repayment for banks.
  • Wait for a trial period : If it is financially possible, only apply for a loan after your trial period and will also prove this to your bank.
  • Purpose: If possible, describe to the bank what you need the money for. For example, the purchase of a car is supported rather than the commission for a real estate agent, since the bank gets a security here.
  • Loan amount: calculate exactly what amount of money you need. On the one hand, you avoid an excessive monthly charge.

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