How to Get Financial Assistance When You are Unemployed?

Unemployment can be the worst phase in the life of an individual. It can be frustrating for people, who have completed their education from good colleges and universities to keep searching for jobs from one place to another.

They suffer from credit crunch or shortage of cash to satisfy their basic needs and those of their family. For unemployed single mothers, help is absolutely essential, so that they can use the money for running their household and educate their children.

Financial help can mostly come in the form of secured loans sanctioned by banks and financial institutions. However, the fact is that, no bank gives priority to unemployed people while advancing loans, as there is always a fear of default, if he/she fails to earn well. Seeking loans can become somewhat easy, if you have strong assets and bank balances.

Your bank accounts would be thoroughly checked, before your proposal is finally accepted. The properties you own will be considered, and their detailed analysis will be carried out by finding their current market price through careful and systematic valuation process. Investment in gold and shares can come handy in such situations.

It is possible to pledge your shares with the bank and seek money, if you can fulfill the necessary prerequisites. Previous credit score is also considered before sanctioning the loan amount. If you have successfully repaid all loans before your unemployment, the chances of sanctioning the loan amount obviously increase due to a good credit history.

Financial aid will always be given after obtaining a suitable collateral. Also, it has been observed that the rate of interest offered to students is much lesser and the repayment program is decided in such a way that, it does not put tremendous pressure on them. Same day loans for unemployed can be granted to those, who have completed eighteen years of age.

Under this scheme, an amount of around USD 1500 may be sanctioned to the needy person with the condition that, he will repay the entire amount in a period of thirty days. However, this scheme might not prove to be very effective, as getting a job in just thirty days is not very easy.

In such cases, when the borrower is unable to repay the entire amount, the lender can increase the tenure of the loan, which is termed as 'rolling over the loan', however the rate of interest charged to the borrower, rises significantly in such cases.

To get financial help, you will have to approach lenders with a duly filled application form, your past salary slips, tax payments, employer details, etc. The lender would scrutinize the documents and loans may be sanctioned after a few days.

In some cases, people also receive government grants to deal with unemployment. Most of the programs providing such help continue till you get a decent pay. Also, by taking advantage of schemes floated by the government, you can improve your financial position to a great extent.