Negative loan – Understand how it works and know the options

Do you need credit and have a dirty name? If you didn’t know, it is possible to apply for a loan even if you are negative. See below how the negative loan works and what is needed to hire.

How does the negative loan work?

How does the negative loan work?

The negative loan is a credit line provided by financial institutions to people who have restrictions. Through a consultation with credit protection agencies, the financial institution is able to identify whether a person has a negative name.

And it is for this reason that most financial institutions reject this type of customer due to the higher risk of default. But there are some credit options that can be requested by the person with a restriction.

Personal loan options for negative

Personal loan options for negative

1. Payroll loan

This is the most common way to get a loan for those who are negative, but it can prove fixed monthly income. In the payroll loan, the installment payment is deducted directly from the applicant’s account, making the risk of default lower.

But be warned, this option is only available for those who are retired, pensioner, public servant or employee of a private company.


  • Lower interest rates
  • Fixed monthly installments
  • No guarantor or guarantor is required
  • Wider credit limit


  • It is not possible to cancel the payroll loan
  • The installment payment date cannot be renegotiated

2. Loan with vehicle guarantee

This is a type of loan where the vehicle is sold to the creditor institution until the end of the loan payment, just like the financing of a car. In this case, in addition to the vehicle having to be in your name, it also needs to be paid off.

Here, the loan amount granted can vary between 50% to 90% of the car’s value, but in case of default, the institution can take your vehicle.


  • Competitive interest rates
  • Simplified hiring
  • Longer payment term


  • It is not advantageous for those who own vintage cars
  • Loss of vehicle in case of non-payment

3. Loan with collateral of own property paid off

Also known as property refinancing, in this type of loan, as the name implies, it is necessary to place a property as payment guarantee and apartments, houses, commercial properties and land are accepted. In this modality, it is necessary that the asset is in the name of the requesting person and, with this guarantee, interest rates fall considerably. It is important to know that the asset will be sold and you will not be able to sell it during the loan repayment period.


  • Longer payment term
  • Lower interest rate
  • Higher loan amount
  • No need to vacate the property


  • It is necessary to have a property in your name
  • Loss of property in case of non-payment of the loan

4. Personal loan for self-employed negative

There are financial institutions that offer this loan alternative, but it is important that the applicant finds a way to prove his income.

Therefore, documents that prove your financial transactions, such as bank statements and proof of contribution, for example, can help you get the loan.

Thus, it is possible to apply for this type of loan from banks, finance companies or fintechs:

Banks: they are more restrictive in their conditions and many do not usually offer personal loans to those who are negative. Find out which banks offer this type of loan and compare the interest charged.

Financial: they have less restrictions, however, interest rates are usually quite high.

Online: loan fintechs also tend to be less restrictive when offering personal loans to negative and / or self-employed people, however, as with financial ones, interest rates can be expensive for your pocket.

It is worth comparing all the proposals before closing the deal!

How much does the credit for negative?

If your goal is to get out of the red, the negative loan may be a good option, but you need to keep an eye on interest. Many financial institutions refuse the negative customer because they consider the risk of this person not paying the loan very high. In addition, a survey by the National Association of Finance, Administration and Accounting Executives concluded that lending to negative people is much more expensive for consumers when compared to other types of loans.

The interest charged on the personal loan for negatives is up to 20% higher than the interest on a personal loan, for example. Therefore, the recommendation is that, before you opt for the negative loan, check your expenses and see what is the amount of the installment that fits in your pocket and will not compromise your budget.

Care when applying for a personal loan for negative

Care when applying for a personal loan for negative

Often, the lack of information and the moment of vulnerability can favor criminals and fraudulent companies. Therefore, being aware of scams is the first care that we must take when applying for any type of loan.


  • Research the reputation of the financial institution and whether it is authorized by the bank to make loans
  • Watch out for sites that do not provide contact information like phone and email
  • Escape proposals that require advance payment deposit
  • Be wary of sites or communications that have spelling errors
  • Avoid answering unknown emails
  • Communicate with the financial institution only through official channels and in case of doubt, contact directly by the telephone number on the website
  • Compare options – to do this, use the personal loan comparator for negative

Personal loan for negative is worth it?

The personal loan for negative payments is one of the types of credit that has the highest interest rates on the market and not all financial institutions offer this product to their customers.

As explained above, this is because the negative customer is seen as someone with a high risk of default. However, most institutions consult the credit score to approve or disapprove a loan application. Therefore, if the applicant’s score is high, chances are that the loan will be granted. It is often more advantageous to negotiate the debt so that you can get a good discount and split the outstanding amount.

If the outstanding debt is due to overdraft or credit card, it is worth using the loan to pay it off, since both products have the highest interest rates in the market: 306.6% pa and 318.3 % aa respectively.

How to hire the best loan online for negative?

Before hiring, compare different credit options at different banks and finance companies. To help you with this, use personal loan comparator for negative. With it you can find loan offers for negative payments from different financial institutions and even compare interest rates and requirements to apply for your loan.