Proof of income usually belongs to the documents to be submitted with a loan application. In some cases, banks do not request pay slips, especially when applying for instant loans online. A fast loan payment is often equated by customers with an instant loan that is paid out within two bank working days after the application. In contrast to instant loans, there is no generally accepted definition for quick credit.
Why payroll is waived
A quick credit without pay slip has always been approved when a customer in the department store or at a mail order company wanted to arrange payment in installments. The mostly small amount of the ordered goods does not justify the effort to request proof of earnings. In brick-and-mortar retail, spontaneous installment purchases are made in addition to planned.
This would no longer be possible with the basic obligation to provide proof of income, since consumers usually do not have their last pay slip with them when shopping. When issuing instant loans via the Internet, the waiver of the submission of the pay slip serves to simplify the processing.
Because of the promised fast loan processing, the lender does not have the time to carefully check the submitted proof of income, so he immediately refrains from presenting it. Of course, a quick loan without pay slip is only granted up to a amount to be determined by the respective lender. Depending on the provider, the corresponding limits are between 1,500 and 10,000 dollars.
The declaration of income is required
Even if a quick loan is given without a pay slip, the credit bank has to inquire about the applicant’s income as it is obliged to check the ability to repay. She trusts that her customer provides correct information regarding his income. Small differences in the determination of the wage amount relevant for the loan application between the calculation method of the customer and the standard calculation formula occur frequently and are harmless.
In the event of wage fluctuations, some banks make the lowest income budget statements of the past three months, while customers tend to give the average. Furthermore, in contrast to applicants, most banks do not take into account the regular income they generate. It happens that bank customers deliberately state a significantly excessive income for loans without payroll.
Such behavior is of course forbidden and will lead to a criminal complaint if it is discovered. Even with regular repayments, the bank can terminate a loan that has been obtained under false information without notice if it accidentally learns of the incorrect information, which customers sometimes make possible through their own stories or online publications. Only a few people are aware that a quick loan obtained under false information without a pay slip in the event of personal bankruptcy is an obstacle to the desired debt relief.