Can You Get a Personal Loan (Lån Uten Inntekt) Without a Long-Term Job?

Although you may obtain an unsecured loan without employment, you should know that the process is not the wisest decision, because you will put yourself at a significant risk, especially if you cannot afford it. Besides, it may be challenging to qualify for it as well, while you will always get a higher interest rate.

The main reason for that is that an income is one of the most important requirements for obtaining a personal loan. Still, some lenders will allow you to take advantage of a loan without income, or help you use the income you receive without the income you can qualify.

Therefore, before you make up your mind, you should understand everything on how lenders qualify, meaning you can consider the potential risks that may happen with taking a personal loan without being empoloyed.

Should You Apply for It Without a Stable Income?

Remember that if you do not have a job or any other form of income, the chances are high that you cannot afford to take a personal loan. It is important to avoid accumulating debt until you reach a point of having a reliable income each month.

In some situations, you may have another form of income including retirement funds or Social Security, meaning you can afford it in theory, but it is important to understand all rights and wrongs before making up your mind.

Things Lenders Consider When You Qualify for a Loan?

If you wish to determine if you can qualify, it is vital to remember that lending institutions will consider a few factors that will analyze risks and your chances of repaying the amount you need. Some of the most common options include DTI ratio, overall gross income, credit score, and history.

Since a personal loan is an unsecured option, it means lenders will consider these factors before approving your application. In case a lending institution approves you, then they will provide you with the relevant fees, interest rates, and terms based on a few factors, such as:

1.   Income

Before offering you a loan, you should remember that lending institutions will require you to offer income proof as well as tax returns, pay stubs, and bank statements. Having a stable and consistent income will show that you can handle monthly installments.

Besides, everything depends on the income requirements, but that will determine the money you need for the process. Suppose you do not have a stable income and job. In that case, you can use other means that will help you qualify for loans, such as:

  • Social Security
  • Dividends and Interest
  • Child Support and Alimony
  • Long-term Disability
  • Rental Property
  • Trust Fund
  • Retirement

Therefore, if you do not have a job, you can use these money flows you obtain the personal loan or forbrukslån uten fast inntekt for your specific requirements. In rare situations, you can obtain personal loans without relevant income verification, but you should avoid taking them because it may be challenging to repay the amount.

2.   DTI

You should remember that the DTI ratio is a measurement of the monthly debt you must pay compared with the overall income you make. Therefore, a lender will use this calculation to determine whether taking a new loan will put a financial strain on your financial situation.

The main idea is to divide the monthly income by the gross income, meaning you will get a percentage that will help you determine the best course of action. For instance, if you earn two thousand dollars and you pay a thousand dollars for all bills, rent, and additional credits, you have a fifty percent DTI.

The higher the percentage of the ratio, the riskier you will be to a lender. Although everything depends on the lender you choose, the most preferred option is thirty-six percent or below, while some institutions will approve the applicants with forty-five percent, but they will get a high-interest rate as a result.

3.   Credit History

When lender reviews loan application, they will check out your credit history to check out the ways you managed past obligation, and deal with the current one. For instance, if you have a lot of late or missed payments, the lenders will consider this as bad aspect. At the same time, if you have not established your history, the chances are low that the lenders will approve you.

4.   Credit Score

Another important consideration is credit score, because lenders will check out the points credit bureaus will calculate and create to determine the level of risk you are. The most commonly used model is the FICO scoring option which ranges between 300 and 850.

Therefore, if you have an excellent score, which is at least 670, you will receive the best rates possible. Remember that it will calculate the score based on numerous factors such as the debt owed, payment history, length of credit history, credit mix, and number of credit accounts.

Risks of Getting a Personal Loan Without Stable Employment

Although it may sound interesting and effective to get a personal loan without proper employment, you should understand the risks and problems that may happen throughout the process. The most common options include:

  • Credit Score Issues – Suppose you cannot repay or you end up defaulting. That way, you can cause severe damage to it. That will affect you from qualifying for a more significant loan such as a mortgage in the future because the default will remain in your history for the next seven years at least.
  • Get the Lowest Amount Possible – When you do not have stable employment, the chances are high that a lender will offer you the smallest amount possible, for which you will be eligible. That may not handle your goals and help you achieve everything you want. That is why you should boost your score and then apply to ensure to qualify without issues.
  • Higher Fees and Interest Rates – Lenders will compensate for ensuring a high-risk borrower gets money by charging you more significant interest rates and additional expenses than other people. The main idea is to pay a high interest rate, which will increase borrowing expenses. At the same time, paying a significant origination fee due to a lack of income that may affect the overall amount you take, since you will deduce it from the amount.


You can choose a few ways to get a debt without income including taking advantage of a family loan, where a person within your family will act as a co-signer. Before borrowing money, the main idea is to talk about terms and conditions with a family member and ensure the best course of action. After checking here, you will learn more about this topic.

On the other hand, you can choose a wide array of secured loans, which are simpler to qualify since a lender will repossess a collateral you take to repay the amount you owe. Remember that we can differentiate numerous secured loans including share-secured, CD, or 401(k) loans among others.

Finally, you can tap the home equity through either refinancing or taking a second mortgage in the form of a home equity loan or line of credit. The main idea is building equity on your property, which will help you tap the difference between the property value and the amount you owe in the mortgage.