Loan with employment contract with a pay slip

An employment contract is a prerequisite for borrowing unless the borrower earns his income as a freelancer or self-employed. In addition, most direct banks and some branch banks only lend to dependent customers. A second variant of a loan with an employment contract is that a bank or credit agency requires the contract to be presented for loan processing.

The employment contract offers the security of loan repayment

The employment contract offers the security of loan repayment

The fact that most banks only grant a loan on the basis of an employment contract is based on their obligation to test the borrower’s ability to repay the loan. If you have an employment contract, you will receive a monthly income of the same amount with a pay slip or within a manageable fluctuation range with a pay slip.

In most cases, proof of the existing employment contract is provided by submitting the last three pay slips. Self-employed and freelancers submit proof of earnings instead of the payroll, however, these are easy to design compared to the income from an employment contract and do not offer the security that the borrower will generate comparable income in the future.

Why some banks want to see the employment contract

Why some banks want to see the employment contract

In the narrower sense, the loan with an employment contract means that the lender actually wants to see the contract, so that the customer submits a contract copy with his application documents. The advantage for the bank is that it can tell whether the employment contract is temporary, because the payroll does not usually show a time limit. In the case of employment contracts with a pay slip, the bank also becomes aware of a contractually stipulated number of minimum hours. Call centers and restaurants in particular are increasingly using contract models with a minimum number of hours, which is regularly exceeded if the order situation is good.

Since they compensate the benefits going beyond the contractual minimum working hours at the usual hourly wages and not as overtime that is better paid, the actually agreed contractual minimum working performance cannot be found in the salary slips. In this case, banks use only the income resulting from the minimum working hours in their household accounts, even if their customers have actually been doing more than this for years and, according to prevailing case law, can also claim higher working hours at any time due to common law.

Without the submission of the employment contract, the bank would assume that its borrower would have received approximately the same salary over the past three months, so that the loan with the employment contract and its submission to the financial institution has a negative impact on the loan applicant. Furthermore, financial institutions generally only grant loans to customers with temporary employment contracts if the repayment is made within the time limit.

When banks only request a pay slip, borrowers often keep the time limit secret, even if this behavior is wrong when there is an explicit request for the status of the employment relationship. In fact, more and more companies only limit employment contracts with new employees as a precaution, so that if contracts develop poorly, they can expire and do not have to terminate their business.

A loan for an apartment only for the rich and young?

The ideal candidate, to whom banks are most willing to grant a mortgage, should be: young, with sufficient income, married, unaccompanied, able to cover 20 percent. own contribution.

On the other hand, people earning abroad should think about foreign currency loans – it results from the analysis carried out by the Good Finance comparison engine.

The biggest obstacle to getting a mortgage

The biggest obstacle to getting a mortgage

Good Finance analysts believe that the biggest obstacle to getting a mortgage is currently the amount of the required own contribution, which is usually 20 percent. real estate value (this is the case, among others, in the case of Mortgage Loans at Good Finance or GFI).

Assuming that an apartment in Warsaw, several tens of meters, costs USD 500,000 on average, you must come to the bank for a loan with USD 100,000 in your wallet. Several banks are still setting the maximum LTV (max. Loan-to-value ratio) at 100 percent, but the conditions that a potential customer must meet are increasing. The financial barrier is not the only one that can make it difficult to get a mortgage.

Age can also be an obstacle. The record-long loan period can only be counted on – to get a 50-year mortgage at Fortis Bank or Good Finance, you must have at most 25 or 30 years of age at the time of taking the loan. At GFIC or Good Finance, the 70-year-old will receive a housing loan, but for a maximum of 10 years.

Even if someone meets the above two conditions – he is young, and he can finance the required amount of own contribution thanks to the savings or support provided by, e.g. parents – that does not mean that he will receive the dream loan. For banks, the most important condition for determining a loan is the current income per capita.

A better chance of getting a loan

A better chance of getting a loan

Theoretically, a person living alone will have a better chance of getting a loan than a marriage with two children – in such a family the income is divided into four people. On the other hand, however, the installments repaid jointly by husband and wife are secured by the earnings of both of them, so if one of them loses his job, this does not necessarily mean that the bank has a delay in repayment.

Under the appropriate conditions, young couples can also take advantage of preferential loans with a government subsidy under the “Family on their own” program. Good Finance analysts also point to the decreasing availability of credit in foreign currency.

Other banks are increasing their margins or are withdrawing from the offer of foreign currency loans. In this situation, singles – the largest group among migrants working outside of Poland – have a definite advantage over families living in Poland when it comes to the chance of getting a loan in a foreign currency.

Grant loans denominated in foreign currency


Many banks (including GFIC) now grant loans denominated in foreign currency only to people earning abroad. “A weak zloty is helping immigrants again. Those who plan to stay, for example, in the United Kingdom for longer and have full legal capacity there, may apply for a loan there.

In addition to the low Good Finance for the local currency, it is also encouraged by margins that are not growing as drastically as in Poland. ” Data on the product offer quoted in the analysis were obtained on the basis of information from banks until March 9, 2009.

Consequence of refocusing the zero-rate loan in 2018: less 30% of beneficiaries!

After refocusing the free loan in 2018, unsurprisingly, Good Lenders Credit, 3rd National Credit brokerage network with over 200 branches, is a decline of one-third the number of beneficiaries and a reduction of 10% of the amounts granted with a stronger impact in the new than in the old. The government’s objective of lowering the cost of housing subsidies should therefore be achieved, to the detriment of first-time buyers, who are the first to suffer from the rise in prices. Estimates from SGFGAS (Management Company for Financing and Guaranteeing Social Home Ownership), cross-referenced with Good Lenders Credit statistics.


PTZ renewed in 2018 but revised downwards

loan rate

In 2018, the PTZ was renewed for 4 years but in the new one, it was refocused on the tense areas (areas A, A bis and B1) where the amounts of PTZ still reach 40% of the operation but lowered to 20% in zones B2 and C until 2019. From 2020, unless changed, relaxed zones should no longer be eligible for the PTZ.

In the old one, under work conditions, the system was refocused on zones B2 and C with the maintenance of a funding share of 40%. The so-called tense areas (A, A bis and B1) are no longer eligible.

The objective of this refocusing was, according to the government, to have a device “better targeted to build faster in tight areas and support revitalization in relaxed areas” but also to reduce the cost …


A 30% drop in the number of zero rate loans!

A 30% drop in the number of zero rate loans!

In 2018, according to estimates by SGFGAS, the Management Company for Financing and Guaranteeing Social Home Ownership, the number of PTZs granted in 2018 should stand at around 90,000, compared to 123,477 in 2017, ie a drop of 27% … In 2019 , the drop should continue, the government providing for the granting of 88,200 PTZ.


The drop reached 35% compared to 21% in the old

credit loans

Good Lenders Credit, a credit brokerage network, confirms this drop in the number of zero-rate loans obtained by its customers in 2018 with a more marked decline in new than in old. “In 2018, the number of credit files with a zero-interest loan decreased by 32% across all operations. In the new sector, the drop reached 35% compared to 21% in the old one. This shows that limiting the funding quota to 20% of the amount of the operation in relaxed areas has penalized first-time buyers more than its elimination in the former in tense areas … This is the construction sector in at least tense areas which suffered the most from this refocusing… ”analyzes Sandra Allonan, spokesperson for Good Lenders Credit.

Thus, the PTZ in the new (VEFA and construction) only represents 69% of the PTZ against 75% in 2017. Even more revealing, in the house / apartment distribution, the houses only represent 50% of the PTZ in 2018, against 61 % in 2017, further confirming the impact of the drop in PTZ in zones B2 and C…

On the side of the loan amounts granted, Good Lenders Credit notes that they are also down in 2018, by 10% on average, but with a decline there even more marked in the new (- $ 6,111) which is explained by the fact that the amounts granted do not exceed 20% of the amount of the operation in relaxed areas, where first-time buyers have the least difficulty in buying because of the price level and therefore where the demand for PTZ is strong …

In the former the amounts of PTZ logically also decreased, because the device no longer exists in tense areas, where prices were the highest.


First-time buyers and low-income households penalized

First-time buyers and low-income households penalized

“After the abolition of APL accession, the refocusing of the PTZ has also penalized first-time buyers and low-income households who see that once again, an effective system is threatened … We are waiting to know if it will be maintained beyond 2019 in the new in relaxed area.This is an issue for the future owners, but also and of course for the builders of individual houses impacted by the refocusing of the system ”concludes Sandra Allonan.

Account debt or cash loan?

It is worth considering the available forms of credit before making your final choice. Very often advertised as extremely attractive, loans or cash loans have high commissions and hidden fees, e.g. for insurance against death or loss of a job.

On the other hand, the possibility of debt in the form of an overdraft is possible primarily for people who have an account at a given bank and in addition receive regular inflows for a minimum of several months.

Conditions for obtaining a loan and account debt limit

Conditions for obtaining a loan and account debt limit

To get a cash loan, it is often enough to have some free time and a document with a photo. This is the case with Good Finance, for example, where one visit to a branch and one document is enough to get a loan (and if you do not have an account, just present a second document with photo, e.g. driving license). The bank also does not require any sureties or other additional collateral. As you can see, the path from the need to get cash is extremely short.

Greater requirements must be met to obtain the possibility of current debt in the current account (savings and settlement account), i.e. account limit. Such a limit can be obtained by a customer who has had an account for at least several months and can also document his employment and the amount of remuneration in the form of a salary certificate.

The option of obtaining an account limit is also available to new customers. In this case, however, it is required to transfer the current account and document a positive history of the account service. What’s more, the new Bank may grant such a customer a higher credit limit than he was entitled to in the previous bank, such as in E-Money in the “same limit +” option, where the limit may be increased by 20% from the current one. E-cash has an attractive revolving loan offer in its account among its financial products, which does not require submission of an earnings certificate from the employer, as long as the customer has made regular payments to his account for six months.

It is also worth paying attention to the fact that the cash loan is granted for a period of several to several dozen months, while the loan in the account is granted for 12 months and automatically extended if its servicing went smoothly. In both cases, it is not necessary to state the purpose for which the money will be allocated.

The amount of debt in the account and the loan amount

The amount of debt in the account and the loan amount

Customers applying for a cash loan can get much higher amounts than a revolving loan. Good Lender Bank may grant a loan of up to USD 150,000 if the customer has such creditworthiness or is supported by a guarantor.

Credit limits on ROR accounts in most banks depend on the amount of monthly inflows to the account. Good Finance and Good Credit set limits equal to 6 times of monthly inflows. Of course, for customers with a shorter bill history, the amount will be lower than for those who present a positive, unquestionable account opinion.

Comparison of interest rates, commissions, and fees

When analyzing the interest rate and additional costs of the loan, revolving loans are much more favorable here, as their monthly interest rate is usually lower than that offered in traditional loans.

The commission for granting a loan is also lower, because with ‘cash’ the commission is usually 5%, and with a revolving loan it ranges from 0.5% to 2%. Other fees in the case of a revolving loan are a commission for increasing the limit during the term of the contract, a commission for extending the repayment date or fees related to securing the loan.



The cash loan is repaid through predetermined installments, the amount of which can be fixed or decreasing. A loan in the ROR account is a permanently available and renewable credit line.

The only condition is not to exceed the allocated limit. What’s more, the granted revolving loan can be used many times, as each payment to the account simultaneously reduces the debt and renews the limit of available funds.

Overdraft or cash

Overdraft is a more interesting solution for people with a long and positive account history at their bank. It allows permanent use of the loan when the financial situation requires it without unnecessary formalities. You do not have to remember about installments, because the loan is repaid through current inflows to your account, which makes it even cheaper.

Finally, it is worth adding that both forms of financing may prove to be an expensive solution due to the high costs of e.g. commission for granting or renewing an account loan, which is why you must always use this type of solution carefully. Each time we also carefully read the contracts and regulations (often there are many so-called “hooks”) and compare offers available on the market.