Unemployment is the toughest phase to encounter. It requires one to manage expenses despite falling income. Moreover, seeking and giving interviews become tasking. It is because new expenses like travel, professional resume creation, skill updates, etc., add up. It makes it hard to budget for and thus delays the most anticipated joining.
Additionally, it may take up to 5-8 months to find the right job. This is especially true if applying after a long-term unemployment period. How will you manage the expenses meanwhile?
Furthermore, giving interviews entails transportation costs, travel expenses ( if travelling to a new city for the job), internet costs, etc. How would you finance that being unemployed? Here, facilities like loans against benefits help. Individuals leveraging minimal government benefits may tap these for quick cash fixes or jobs.
The blog lists how loans for the unemployed with benefits help cater to job search expenses. It protects you from missing an incredible job offer. Let’s see how:
What are loans for people on benefits?
Unemployed individuals leveraging certain benefits may qualify for these loans. If you use benefits like- universal credit(unemployed), Child tax credit, working tax credit, child benefit, incapacity benefit or disability Living benefit, etc., you may qualify.
It is a short-term loan exclusively for individuals with an income of at least £700-£1000/month. It helps the people on benefits get additional cash flexibility. You may get up to £1500 for your regular needs or emergencies. The loan approval depends on the affordability.
If the borrower can repay the loan amount with interest costs timely, he gets it. The terms and repayment amount stay fixed. However, you must maintain regular payments to ensure this is the case. Additionally, these are same-day loans that you get with instant approval. The unemployed have a higher chance to qualify than other loans.
How do loans for people on benefits help finance job needs?
The most important expense after a resume is choosing the attire. If you have not shopped for long due to low income, do now. You may bridge some savings with the loan amount to purchase professional attire. It is critical to have a lasting impression on recruiters. Here are other things loans for people on benefits may help you with:
1) Marketing your skills
To attract potential recruiters to your profile, you need solid proof. You cannot just say I know how to do coding. You need to prove it, right?
Thus, marketing helps you present the best experiments and previous work experience for recruiters. It helps them analyse your skills and decide the best. If it meets their requirements, you may grab the job. However, for marketing, you need a portfolio. The loans may help you create one.
2) Manage multiple interview rounds
Finding and landing a job isn’t easy. It requires you to be consistent throughout the interview session. Sometimes, the interview lasts over 3 days. For example, if your face-to-face round was good, you may be required to be up for a Group discussion round.
It requires double transportation expenses. Thus, if you need more cash flexibility to manage transportation costs, the swift and no-document loan may help. It prevents you from losing the lead.
3) Upskilling yourself with trends
In the ever-changing world, employers search for multi-talented individuals. Thus, there is a growing competition to counter and grab the best job offer. Amid this, unemployed individuals may back out due to cash challenges.
However, you don’t need to, as the loans may help you with that. Update yourself with the best skills in the industry and land your dream job. The loan is easy on your finances and budget.
4) Seek professional resume services
Your resume is the first thing that employers shortlist your candidature. It must be attractive with all the elements that attract recruiters. For that, you need professional resume services. It is because the experts know what exactly an employer looks for in a resume.
They help you design the best resume, given the details. Moreover, the presentation also makes an impression. Thus, if you want to impress the recruiters first, leverage the opportunity.
5) Attending job events and networking
Job events and networking run simultaneously when one seeks a good job opportunity. If you ar exploring the online job options, try offline. It could be disheartening to receive a mail stating- “Sorry, we cannot move forward with your application”.
However, you don’t need to worry. Explore events and job fairs and extend the network. It will help you meet new recruiters in the market. You can showcase your expertise on a single platform amid multiple recruiters. It increases your chances of getting a suitable job. Thus, you may need extra cash help to get the fair passes or tickets. Thus, these loans may help there.
6) Attending the Counselling sessions
If stuck between the best career options, counselling may help. Individuals, after a long unemployment phase, seek a career shift. They wish to start from the beginning and grow anew. The counsellors may help you by analysing your interests, qualifications and previous job expertise.
However, the educational or career counselling sessions may last 10 days. It may prove a massive expense for your existing situation. The average cost of the 1-hour session is 150. So, if according to 10 days session, it may cost £1500.
However, the cost may change according to the requirements. Sometimes, the session may be extended if the confusion persists. Here, these short-term loans would not be sufficient. As an unemployed, getting cash higher than £5000 requires additional effort.
You can consider joint loans for bad credit scores to finance the costs. Individuals with some part-time income may apply jointly with someone with a healthy and regular income. It will help you finance the fee and dilute the confusion regarding career choices.
7) Finance recruitment services
Paid recruitment services improve your profile visibility on job portals. They share your profile with employers seeking individuals with similar skills. It reduces the chances of getting rejected or spending extra on transportation. Moreover, signing up with these grants you the opportunity to check exciting and good package job offers that other portals don’t reveal. It helps you get better for your worth and talent.
Bottom line
These are some popular reasons why a loan for people on benefits may help the job search. You may encounter at least one of the above financial challenges during your job search. Thus, keeping yourself financially sound and updated will help you grab a suitable offer quickly. The loans for benefits eliminate the mid-term financial glitches and smoothen up the job-seeking journey.
Jessica William operates as a Senior Consultant and Chief Content Editor for 10 years at 1Onefinance. She assists the firm in getting a grip on the new lending laws and regulations. She does so by researching the trends, consumer requirements, and new audience preferences. Jessica is responsible for making important financial and administrative decisions.
Apart from helping consumers with the best solutions, Jessica Williams helps them ensure financial stability. She analyse the business data, finances, expenses, and revenue/ income of customers and determines necessary changes. Jessica finished her Doctorate in finance and law and implements her knowledge to the best interest of the firm and customers.
