Civil servants are placed on a permanent basis for civil servants. Their job is very safe and they can almost never lose their job. That alone is enough for many banks as collateral to grant a loan to public sector employees. There is no need for additional collateral. Banks often place the condition that old loans and other payment obligations are only repaid before the loan is freely available.
Bank loans of various types
Banks lend to public sector employees with very favorable terms. At some banks, the loan seeker can get the loan at their free disposal, but at others the loans are earmarked. For example, this includes real estate loans and investment loans. But there is also the possibility of taking out various loans that are tied to funding guidelines.
A high degree of flexibility can be achieved with investment loans. They differ from fixed and variable interest rates. So-called working capital loans are just as popular. These can be compared to an overdraft facility as found in private accounts. Once this loan has been set up for civil servants, the applicant can access it at any time.
Official credit for this professional group
Public service employees, like everyone else, want to fulfill wishes and make larger purchases in the private sector. A loan for civil servants can also be taken out in the form of a civil servant loan. The conditions are very good, the interest is low and the repayment rates can be configured flexibly. It must be noted here that the installments of the loan are not repaid monthly, but contributions from a life insurance.
This is issued when the contract is concluded with the loan and runs as long as the loan. The saved contributions repay the loan at the end of the term. You also have the option of applying for a normal installment loan from the bank if the loan amount is not too high.
Large selection comparison
If you have such a large selection of loans, you should make a comparison. This is particularly important if the offer is so large. The offers are all very different and can vary considerably. The annual percentage rate reveals the total cost of the loan, so that the borrower knows in advance what costs to expect and can thus calculate his monthly total costs better.