The world of trainees changes suddenly when they start their apprenticeship. They live an independent life, move into their first apartment, earn their first money and want to get a driver’s license or buy their first car. All of this is exciting, but always involves costs.
These costs can be partly covered by the training salary, but it won’t be enough for all things. For example, the trainees either have to forego some purchases or take out a loan for trainees. Banks see today’s inexperienced customers as tomorrow’s high-earning customers.
Conditions that banks place on apprentices
Lending is not possible without conditions that are not met. After all, banks want to be sure that they will get the borrowed money back from the trainee. For example, they have to meet certain requirements for a bank to grant a loan to trainees.
A distinction must be made as to whether the trainee is of legal age or not. If he is not, he must bring his parents with him when applying for the loan, who will sign the loan agreement. Minors do not receive a loan in Germany, so the signature cannot be waived.
In addition, the applicant must sign a document in order to give the bank permission to test the Credit Bureau. This is always checked, because only in this way can banks see whether contracts already exist or whether payment obligations have not been met. The trainee brings his apprenticeship contract with him when applying. This enables the bank to see whether the trainee is already from the trial period and how long the training will take.
Bad credit rating – what to do?
It may well be that a trainee already has negative entries in the Credit Bureau. This can be the case, for example, if he has a cell phone contract and does not pay his bills. Then the bank must inevitably assume that the trainee does not take his payment obligations seriously and rejects a loan application.
In this case, it only helps to ask the parents to take out a loan for trainees so that the trainee can make his or her purchases. Parents are not always willing to do this, because a loan means to incur debt. And debts at a young age should not be underestimated, because it is not uncommon for young people to be so indebted that they can hardly get out of this lousy financial situation.
How can the loan amount be reduced?
The lower the loan amount, the lower the monthly costs. If the trainee knows exactly how much money he needs, for example for the driver’s license, he could reduce the loan amount. If he has one or two driving lessons for free for his birthday, Christmas or Easter, it no longer has to be included. The actual loan for trainees then shrinks and the costs become manageable.