Citizen's allowance: When is there a loan from the job centre?

People who receive income support often have few financial reserves. But what to do if a unexpected expense is pending, e.g. a Additional electricity payments or a broken washing machine? In such cases the Job centre a loan grant. Here you can find out when and how you can apply for a loan.

When can I get a loan from the job centre?

The job centre grants a Interest-free loanif:
✔ An urgent & irrefutable need exists
✔ No money to cover the needs is present
✔ The standard benefit is not sufficient

Examples of unavoidable requirements:

✅ Back payment for electricity: Avoiding an electricity cut-off
✅ Broken household appliances: Replacement of washing machine, fridge or cooker
✅ Urgent purchases: Winter clothing for children, necessary repairs
✅ Loss due to theft or fire: Replacement of damaged items

Not unavoidable requirements (no loan)

❌ Television (not absolutely necessary, as information is also available via the radio or other media such as the Internet).
Tumble dryer (laundry can be air-dried)
❌ Dishwasher (dishes can be washed by hand)

How do I submit an application?

A loan must written application to the job centre be made. The application can be made informally, but many job centres require that it is submitted in detail with information on the reason, purpose and amount of the loan required.

• Justification of the need
• Amount required
• Proof (e.g. cost estimate or invoice)

How is the repayment made?

The loan must be repaid from the standard rate. From 1 July 2023, 5 % of the standard rate will be withheld each month. The repayment instalment may vary in the event of sanctions or changes to the standard rate. Several loans can be repaid at the same time, whereby the total repayment instalment may not exceed 5 % of the standard rate.

Conclusion

A loan from the job centre can be Emergencies help, but must applied for & repaid become. Anyone who needs to bridge financial bottlenecks should seek advice in good time.