Can someone who is unemployed get a loan?

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What lenders are looking for is evidence that you have enough assets
to repay the loan without defaulting on it. For most people, that
means a job. However, if you are retired/unemployed, with considerable
financial assets, you would also qualify.

For example, I have an acquaintance who quit working at age 35, as he
had become a millionaire. He was able to purchase a house, and qualify
for a mortgage over $100k without a job. However - he had qualifying
assets which made employment unnecessary.

Another example, My father is a retiree who works part-time simply as
a means of keeping busy. His annual income from work is less than $10k
a year, but his IRAs, retirement and Social Security were enough to
allow him to refinance his home, and withdraw $20k in equity.

Chances are, however, that you are referring to someone who is
unemployed with no visible & stable means of repayment, and in a
financial crunch. A person in *that* situation is highly unlikely to
be given a loan.

It all comes down to a simple question - how are you going to pay this
back? If the answer is "I don't know", the bank's answer will be "no".

 

[Richard Henry]

What lenders are looking for is evidence that you have enough assets
to repay the loan without defaulting on it. For most people, that
means a job. However, if you are retired/unemployed, with considerable
financial assets, you would also qualify.

For example, I have an acquaintance who quit working at age 35, as he
had become a millionaire. He was able to purchase a house, and qualify
for a mortgage over $100k without a job. However - he had qualifying
assets which made employment unnecessary.

Another example, My father is a retiree who works part-time simply as
a means of keeping busy. His annual income from work is less than $10k
a year, but his IRAs, retirement and Social Security were enough to
allow him to refinance his home, and withdraw $20k in equity.

Chances are, however, that you are referring to someone who is
unemployed with no visible & stable means of repayment, and in a
financial crunch. A person in *that* situation is highly unlikely to
be given a loan.

It all comes down to a simple question - how are you going to pay this
back? If the answer is "I don't know", the bank's answer will be "no".

Reminds me of a sign on the wall at the corner 7-11:

We will cash checks up to $20 providing you have 6 forms of ID and
leave a $50 cash deposit until the check clears the bank.