Loans for people with disability can be a real lifeline in difficult times. Living with a disability already brings great challenges. When, in addition, money starts to run out, everything becomes even more complicated. The lack of money for basic needs, such as the purchase of medicines and all other daily costs, weigh heavily on them. Is that your situation? If so, know that loans for people with disability can help you.
Today we will cover everything you need to get an option that really meets your needs and without compromising your budget.
Applying for one of the loans for people with disability, at first, may seem bureaucratic. However, know that it is not. You will see that everything is simple. Read on to find the best alternative for your current moment in life.
After all, what are loans for people with disabilities?
Loans for people with disabilities are basically a way to get quick money to cover day-to-day expenses. While taking care of health, home or family.
They work like traditional personal credits, but with some advantages for those who are temporarily or permanently unable to work, or have a reduced income due to physical condition.
You can use the money to pay rent, pay bills, buy medical equipment, repair your car. Or even to adapt the bathroom to the wheelchair.
Waiting for the benefit? What if it takes time?
Those who depend on disability income know that the process is slow and often frustrating. And then comes the unsettling question, “how to pay the bills?”
A personal loan can be of great help in this case. It guarantees temporary relief and, best of all, it can be paid early without penalty, if the benefit comes out ahead of schedule.
Attention! You shouldn’t go out signing anything. The ideal is to calculate how much you can pay per month, without breaking your budget. Credit is not a gift, it is a commitment.
No warranty? With warranty? Calmly, we explain
There are basically two types of loans for people with disabilities:
- Unsecured personal loans: These are the most common. You don’t need to offer your house or car as collateral. However, as a result, interest rates may be higher;
- Personal loans with collateral: In this case, you will be lending an asset as collateral. In exchange, you earn lower interest rates, longer terms, and higher amounts. It is ideal for those who have a property or vehicle in their name and need a more robust value.
Which is better? Depends on. If you have nothing in your name, no guarantee is the way. If you have an asset and need a higher value, consider a second option.
Best Loans for people with disability
Not every loan is the same, and knowing how to choose the ideal one makes all the difference in your financial life and even in your quality of life.
There are options aimed at people with disabilities, each with its advantages, conditions and purposes. And yes, despite the bureaucracy, these options can be much more affordable than they seem.
These are some of the most solid options, designed to help those who face challenges greater than the monthly bill. It is worth noting that all options are online loans with monthly payments.
Let us now look at the options.
1. Fannie Mae HomeReady
First and foremost, Fannie Mae HomeReady is great for those on a lower income. To get the credit you must have a credit score of 620 and pay only 3% down payment.
And the best: the program accepts the benefits of SSDI and SSI as a source of income.
Another interesting point is that, if you have a family member willing to help, the program allows co-borrowers who don’t even need to live with you. A brother or father, for example.
2. FHA home loans (Loans for people with disability)
Now, if your score is low, the FHA Home Loan is more suitable. It allows down payment of only 3.5% with a minimum credit score of 580, as well as accepting your disability income as proof.
In this case, you can also receive help with the down payment and financing costs through assistance programs or even donations.
3. VA home loans
This line of credit does not require a down payment, waives the financing fee (when the disability is related to the service) and still accepts the disability income of the VA itself.
The credit requirement is between 580 and 620, which makes it much easier.
Undoubtedly, this is one of the most interesting programs for those who served the country and now need stability to rebuild their lives.
4. USDA home loans
And if you live in a rural area, you may not even know it, but you have a very advantageous alternative, USDA Home Loans.
They were created to facilitate access to housing in rural regions, with zero down payment required and credit scores starting at 640.
- There are two categories within this program:
- Guaranteed option (for those with moderate income);
- Direct (focused on low-income people).
In addition, the terms can reach 38 years, with subsidized payments, greatly reducing the value of the installment.
5. HUD Housing Choice Vouchers (Loans for people with disability)
Another alternative that many are unaware of is the use of Section 8 vouchers, in the HUD Housing Choice Voucher program.
If you are already a beneficiary of this program, you can use it to buy a house, not just to pay rent.
What’s more, HUD covers part of the mortgage, taxes, maintenance, and even essential adaptations such as ramps and accessible restrooms.
6. USDA single-family
Finally, if you already have a house and the problem is to renovate, adapt or repair the roof, for example.
The Single-Family Housing Repair Loans & Grants program is primarily aimed at seniors over the age of 62 and low-income.
It offers fixed-interest loans of just 1% for up to 20 years and grants that don’t need to be repaid, which can be as high as $10,000.
Conclusion (Loans for people with disability)
Applying for a loan should not be a reason for shame. Especially when it comes to taking care of health, safety or your right to live with dignity.
Loans for people with disability are not about luxury, but about necessity. It’s about not having to choose between buying medicine or paying the electricity bill, for example.
Of course, taking on a loan requires care. Make a good plan, with your feet on the ground. Credit is no longer a trap and becomes a way to meet urgent needs.
