The effects of the Covid pandemic have been suffered in all sectors of the economy. In particular, tourism has been one of the hardest hit by the restrictions imposed on the departure and arrival of tourists, both in Spain and in the rest of Europe, along with the fear of travelers of exposing themselves to contracting the virus during their vacations .
A hard blow for the Canary Islands
The drop in tourism across the country has been especially pronounced in regions that depend almost exclusively on the arrival of tourists to sustain themselves throughout the year. The Canary Islands have experienced a sharp decline in the arrival of foreign visitors, a key driver for the local economy.
Even smaller islands like La Gomera, which is touted as an ideal destination for lovers of nature and outdoor activities, have essentially relied on domestic tourism to sustain a fragile economy. The unemployment rate in the autonomous community of the Canary Islands has reached tragic levels in the last year, putting heavy pressure on the pockets of families who, in many cases, experience difficulties to make ends meet.
The situation is particularly harsh for the thousands of temporary workers who subsist thanks to seasonal jobs, such as cooks and waiters in bars and restaurants, and the cleaning and gastronomy employees of La Gomera hotels.
Quick access to credit to cope with the bad time
A solution that has been strongly installed among the unemployed in the area is the application for personal loans, of relatively low amounts, to compensate for the loss of income suffered in recent months. This type of credit has the advantage of having few requirements for approval; It is enough in most cases to be a resident in Spain and have a good credit history.
With an unemployment rate that grows day by day, applications for approval of new personal loans have experienced exponential growth since the start of the pandemic. These are people who seek to cover their basic needs immediately, and who do not intend to incur superfluous expenses that could compromise their ability to pay back the money in the future.
For working families like those affected by the economic crisis, with low levels of indebtedness and the promise of finding a new job soon, these products are ideal. They can be requested from banks, financial companies and private companies, and offer the alternative of receiving an injection of money (of up to a few thousand euros), which can be returned in comfortable installments, according to the payment possibility of each applicant. .
A market with great competition
An advantage from the point of view of the client who wants to apply for a personal loan is that this can be done quickly and from home, after evaluating different offers. The appearance of numerous financial technology companies has made financial products and instruments available to all kinds of people, so requesting a loan from the Canary Islands does not involve an effort greater than a few clicks and having the necessary documentation.
The wide variety of entities from which it is possible to borrow money has also resulted in lower annual interest rates, more flexible approval requirements, and even longer repayment terms.
Once you decide to take the step of applying for a loan, after seriously evaluating the need to do so and other viable alternatives, it is essential to compare the available offers.
In the current context of unemployment in La Gomera, a personal loan of rapid evaluation and long repayment period could represent a significant help to overcome these difficult times. However, it can also be a high-risk temptation if families go into debt with high amounts and high interest rates, since the initial relief could turn into a heavy financial burden if the ability to pay is not recovered in the short term.
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