If you need money now but have no income because you are unemployed, taking out a loan for emergency needs might be necessary.
Cash advances are the preferred alternative for crises, as the one-week repayment term means some online lenders might approve a loan without job verification.
Cash advance apps offer the lowest costs, while online payday loans are more accessible to people displaced from their jobs.
Meanwhile, installment loans with monthly payments might be out of reach for borrowers with bad credit or those wanting a lender that does not pull a copy of your consumer report.
Emergency Cash Advances
Unemployed individuals will find that cash advance loans are the more viable source of emergency money without job verification. You repay the cash advance within one week – per the state benefit schedule. The short period is less risky for lenders.
Free government benefits for household expenses might be a better way to raise emergency cash because you do not have to repay the money. In this case, lost income while unemployed works to your advantage, as eligibility for these programs hinges on your projected earnings.
Cash Advance Apps
Select cash advance apps allow you to get an emergency loan without job verification before your subsequent unemployment check deposits into your checking account. An app is the software you download to your mobile device (iPhone, Samsung, etc.) with features that help young adults manage finances more effectively.
Only one cash advance app accepts unemployment benefits nationwide, while most require evidence of an employer’s periodic, automatic bank account deposit.
| Cash Advance App | Accepts Unemployment |
| Albert | No |
| Branch | No |
| Brigit | Uncertain |
| Chime | Varies by state |
| Cleo | Uncertain |
| Dave | Uncertain |
| Earnin | No |
| Empower | Uncertain |
| Klover | No |
| MoneyLion | Yes |
If eligible, a cash advance through one of these apps has nominal costs as many are advertiser-supported, accept donations, or charge membership fees.
Payday Loans
Payday loans that accept unemployment benefits online without job verification are a second source of emergency cash advances. Instead of requiring regular checking account deposits from an employer, these subprime lenders accept recurring payments from a state agency.
In most states, online payday lenders know unemployment benefits end after twenty-six weeks. Therefore, expect them to require bank statements from the last six months or a copy of your award letter so they can confirm your ability to handle the obligation.
Payday loans are more expensive, as they charge an origination fee averaging $15 per $100 borrowed. These charges add up quickly if you cannot repay the entire amount when your next unemployment check arrives and need to roll over the balance.
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Emergency Installment Loans
Installment loans can raise emergency cash for the unemployed, although finding a lender to approve your application may prove difficult without a job verification.
Installment loans have monthly payments, making it far more likely that your unemployment benefits might end before you can retire the obligation. Lenders hate the uncertainty.
Installment loans for SSI and SSDI recipients do not have this constraint because there is no fixed endpoint on the regular government checks. Consider this aspect if out of work for medical reasons.
Bad Credit
Installment loans for the unemployed with bad credit are unrealistic, with no job verification. Lenders are unlikely to approve applicants with a derogatory payment history who require government support that ends after twenty-six weeks.
Bad credit loans of $3,000 or more require applicants to have enough excess income to balance their qualifications. You have to show something positive to outweigh the negative.
Unfortunately, people without a job rarely qualify for installment loans with bad credit history and low scores.
No Credit Check
When unemployed, approval for an installment loan might prove impossible with no credit check and job verification. You are asking lenders to ignore their two most critical underwriting criteria.
No-credit-check loans require employment to stabilize the application. A lender might approve someone without pulling a copy of their consumer report if they shine in the second area: their ability to afford the monthly payment.
Unfortunately, people without a job rarely qualify for installment loans without a credit check because lenders typically require significant income.
