Banks do not have special housing loan offers for clients working in the education sector. Teachers in selected banks can get a better offer of a regular cash loan for it. Teacher loan offers more attractive conditions, but not everyone can afford it. Not every university employee will also be allocated a loan for academic teachers. Check what criteria must be met to get a teacher loan 2019.
Loans for teachers
Each loan carries a risk for the bank. The rule is that the higher the risk, the more expensive the loan. But loans for professionals with public trust (including teachers) can offer better conditions. Why? Banks see teachers as trustworthy borrowers, i.e. those who have stable employment and regular income .
It is well known that a teacher is an educated person, responsible and caring for his reputation, therefore it can be assumed that the probability of delays in paying off subsequent loan installments is much lower than in the case of other professional groups. Hence, there are offers on the market such as interest-free credit for teachers.
Special offers for education employees
Some banks offer a cash loan for teachers. Usually it offers more attractive conditions, thanks to which employees of education can receive a reduced interest rate.
As part of the loan offers specially prepared for teachers, you can count on simplified documentation of income, lower loan price and faster process of granting decisions on granting a loan . To obtain such a loan you will need a copy of the employment contract or a copy of the certificate of professional degree.
Housing loan for teachers
Unfortunately, education workers are not entitled to a housing loan for teachers due to their profession. The only facilitation may be reduced treatment of public trust professionals when applying for a housing loan. It applies to the period of employment.
A bank client applying for a mortgage for teachers, just like any other, must prove stable employment and present an employment contract. By default, the minimum seniority for applicants for a loan is 3 months, but not for education employees.
A mortgage for teachers may be granted after a month of work, provided that such a person maintains continuity of employment for at least a year .
For teachers, it is common practice to work for a limited period, usually for a year or 10 months, if it is a substitute. This applies above all to teachers who are just starting their adventure with this profession, at lower professional levels – trainee teachers. A contract teacher, appointed teacher and certified teacher can count on stable employment, but not always.
Car loan for teachers
A teacher planning to take out a loan to buy a car should not count on special treatment. Car loan for teachers is not currently a fixed offer of banks.
You can use the cash loan comparison website and find the cheapest loan offers on your own or arrange to speak with a bank representative and mention your profession during negotiations.
Non-returnable loan for teachers
It is worth starting with what a non-repayable loan is all about. It is a kind of subsidy or co-financing for people e.g. starting their own business. A non-returnable loan, however, is nothing but a regular loan that you will need to return.
Because if the customer does not have to give back the borrowed capital, he must pay back interest that often exceeds the borrowed capital. An education worker should not count on a non-returnable loan for teachers, but it can do well.
When applying for a loan for professional groups, show off your professional position as a teacher. Perhaps the bank will not offer you any benefits in this respect, but there is a good chance that if you want to take out a cash loan you will be treated in a reduced price.
For banks, a borrower exercising the profession of public trust is less risky, which is why they are more likely to offer better credit terms. You won’t lose anything, but you can only gain.