Month: August 2018

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Can Unsecured Loans Help Me With My Bad Credit Score?

In today’s fluctuating financial situation of the people, it is considered problematic to find the adequate funds. Unsecured loans with no guarantor and no credit check seem to be the help in a similar situation. These loans provide the money to those in need on an unsecured basis. There are an ample number of first-time loan borrowers, who do not have a credit score. For such people, these loans are an opportunity to gather the funds without a need to get a guarantor or a credit check done.

How do unsecured loans help?

With time, it has become evident that the loans offered on an unsecured basis are comparatively more helping than the ones offered on a secured basis. Are you wondering how are they better? Here are certain facts that will let you know the same –

They offer money to the bad credit borrowers

Credit score plays a great role in deciding the fate of the loan application. That is, whether the application will be approved or rejected. There are people, who have a bad credit score and there are some, who do not have any credit score. Often, when it comes to lending and borrowing of money through banks, the people, who have a bad credit score, go through a bias treatment. On a contrary, direct lenders offer unsecured bad credit loans to the people with no credit check.

They offer money without the involvement of a guarantor

Unsecured Loans

One of the most important requirements while borrowing the money from an external financial source is to have a guarantor. A guarantor is someone, who willingly wants to be indulged in your loan and is responsible for the times when the actual loan applicant falls under his/her ability to repay the amount. Getting loans from the direct lenders does not have any compulsory requirement of a guarantor. Usually the people going through a bad credit score find it difficult to get the guarantor. That is when these loans help such people.

No need to provide collateral

The loans that are offered on an unsecured basis do not even ask you for the collateral. Most of the lenders when find that the borrower is not in a condition to provide a guarantor, usually ask for providing the collateral that can be used at the time when the person falls short of making the payment. The case is not the same, when it comes to the direct lenders and the unsecured personal loans for bad credit

It is in this way, the loans from the direct lenders help the people with shortage of funds and urgency in requirements. Normally, when these loans are applied on an unsecured basis, the interest rates are higher than the other types of secured loans. A simple reason for the same is no credit check, no guarantor and no collateral facility provided by them. This increases the risk element for the lender, which adds on to the costs of the loans and thus results into the higher rates of return.

 

Loans with No Credit Check

Getting no guarantor loans with no credit score serves as one of the most helpful ways to support a person going through a financial crisis. For someone with a need for the loan for the first time having no credit check can prove to be a problem. Not a lot of banks offer the loan to the people with no credit score or a bad credit score.

The first and the foremost step that the lenders often consider is the availability of the guarantor. A guarantor plays the vital role of showing the willingness against the borrower in the condition if he/she fails to pay the loan amount at the time of repayment. An unavailability of the guarantor often results in rejection of the loan application.

Direct lenders and the FinTech lenders are the ones those, who offer very bad credit loans with no guarantor and no broker. Even when you are going through a bad credit score or no credit score, these lenders offer easy loans with no guarantor and no involvement of the broker. Those who already have a prevailing situation of lack of money can definitely not afford the broker charges that are usually involved in the bank loans. But, on the other hand, in the case of direct lenders, loans are offered on an instant basis without a guarantor and a broker.

Easy steps to get fast loans

If you are in a dire need for money and you require a loan instantly, this facility is also available with these lenders. You simply need to follow the following simple steps –

To avoid any kind of future situations full of debt, the first step involves a thorough research regarding the lender from which you should borrow the loan. Try to compare various websites offering the loans and then opt for the best one.

Once you are done making a choice, the next step involves the analysis for your needs. Borrow the amount as per your needs. Borrowing more can result into the situation of debt in future while borrowing less can leave you in an unsatisfied situation.

1  To avoid any kind of future situations full of debt, the first step involves a thorough research regarding the lender from which you should borrow the loan. Try to compare various websites offering the loans and then opt for the best one.

2  Once you are done making a choice, the next step involves the analysis for your needs. Borrow the amount as per your needs. Borrowing more can result into the situation of debt in future while borrowing less can leave you in an unsatisfied situation.

3  After making a choice for the loan amount, the next step, taking place is the application of the loans for unemployed with bad credit. A simple minute consuming application form is to be filled in order to get the loan amount with all the necessary details as requested in the form.

4  After the lender accepts application, the simultaneous step would be the approval of the loan without any kind of credit check. As there is no credit check involved in the approval, the process is easy and fast.

Guess what? That is it. Yes, you heard that right; no further steps, just welcome the money in your savings account and fulfil your needs that you have. Whether it is travelling, or it is starting your own start up business, your need for money is now settled. So, if you are suffering from a monetary crises, it is time for you to apply now to get the fast loans from these direct lenders.

unemployed loans

A need for money emerges in each one’s life. Have you ever noticed how easy it is for an employed person with an amount of income, to avail a loan to settle his/her requirements? The process is not the similar when it comes to the unemployed people. They have to go through the struggles of finding the adequate money for themselves. When it comes to bank loans, banks are quite particular and adamant with their policies. Having no source of income often results in getting the loan applicants rejected.

Another alternative of arranging funds when you do not have a job or any source of income are the FinTech lenders that provide the money with no broker involvement. They offer various unemployment loans in UK to help such people with their funds and offer them a better living. If you are unemployed and looking forward to get the help from these lenders, you can avail one of the following loans as per the situation –

Payday loans

If you are presently unemployed but you have an offer letter for the job, these loans might be the appropriate choice. You can get the funds to fulfil your short-term money related requirements. The repayment of the loan is made on the next payday, that is, when you receive your salary. These loans are suitable for the people with an assurance of a job. The reason being, the comparatively high interest rates. The lenders make consideration to the following details of the applicant –

  • He/she must be a resident of UK
  • Minimum age should be 18 years
  • A valid bank account
  • Citizenship of UK is mandatory

Bad credit loans

The basic trouble faced at the time of unemployment is the crashing of the credit score. Excessive borrowing and late payments result in the good credit score to change into a bad one. When the need for money increases, and another new loan is necessary, this credit score becomes the devil in the story and results in rejection. Loans for unemployed with bad credit act as an aid in such a situation. One can get the loan without any credit check. The lenders only conduct a soft credit check and offer easy loans to these people. Following details are mandatory for the approval –

  • The minimum age should be 21 years
  • Collateral is necessary to secure the amount of loan in case of failure of repayment.

 

UNEMPLOYED LOANS

Guarantor loans

Another simple possible choice that can be used to soothe the journey of unemployment is the guarantor loans. A guarantor is someone, who shows his willingness to pay on your behalf when you are not able to pay and thus securing the loan. Your family, friends or acquaintances can be the ones, who can play the role of a guarantor and get you the money. While convincing someone to be your guarantor, you have to be sure about the following details of your guarantor –

  • Guarantor must be a property holder.
  • He/she should not be on IVA
  • The minimum age should be 18 years.
  • A guarantor should not be in a bankrupt situation

Unsecured loans

These are the loans offered without any security that is, guarantor or collateral. If you are an unemployed tenant residing in the UK, these unsecured loans for the unemployed tenants can help you get the money to settle your requirements. The interest rate of these loans is higher than other types of loans for the unemployed people in the UK. The main reason for this is that there is no security with the lender at the time of non-repayment. He/she cannot get the money back through the sale of property. To get these loans, it is important to consider the following points –

  • A good credit score
  • Ability to pay high interest rates
  • Repayment is necessary

 

Unemployment

These different kinds of loans can help you acquire money for the difficulties that unemployment intertwines in it. If you are going through the unexplainable burden of funds applying and availing to one of these loans can succour the situation. These direct lenders keep in mind the hardships suffered by you and hence offer cheap and simple loans. Therefore, it is time for you to apply now and release the stress and sorrow of unemployment.

bridging loans

Bridging loan aims at helping people by bridging the gap between the funds required for selling and buying of a property. It helps the home shifters, when there emerges a gap between the selling and the buying dates. In such a hectic situation, a person can use bridging loansto buy the house.

These loans can be the best option that provide you a helping hand in making urgent buy at an auction or make a quick sale after the renovation of a house. When taking a closer look at them, bridging loans are the ones that are designed basically for the people, who are the landlords or the amateur developers of property.

The interest rates involved with the loans are usually higher than other loan types when compared. Also, while a person apply for them, he/she might come across the difficulty of charging heavy administration fees. To enjoy the best experience at these loans, it is beneficial to know them in depth and then make a thoughtful decision.

How to Calculate Bridging Loan Interest Rates

Every short term bridging loan is offered over certain important factors, and interest rate, is one of them. The biggest confusion that people go through is the calculation of the interest rate. Many of them do not know what might be the interest rates over these bridging loans. Rate of interest is something that usually depends over the lender, you are borrowing the loan amount from.

Some lenders charge the interest rate on a monthly basis from their borrowers. A specific percentage that is pre-decided is added to the actual amount of the loan. This rate is then added to each monthly payment, which finally increases the gross balance of the loan.

Apart from these calculations, a lender or a borrower can also calculate the interest rate to the loan by using the online bridging loans calculator. The question that arises is how to use these calculators? Well, it is simple; all that is required for a person to do is fill in the details that are being asked. These details include the following –

  • Property value
  • Mortgage outstanding
  • Required amount for loan
  • Lender arrangement fee
  • Exit fee of lender

Who offers bridging loans?

The market flourishes with an ample number of bridging loan providers. Here are some of the prominent names:

Santander Bridging Loan: It provides its customers the easy and fast bridging loans to finish the bridging gap between the transactions.

Personal Loan Lender: Apart from Santander, many growing direct loan lenders like Personal Loan Lender deal in reputable FinTech lending. It offers the money to its borrowers that they need by its easily affordable bridging loans.

NatWest Bridging Loan: Another famous and well-known lender for these types of loans is NatWest Bridging Loan, which offers the money to the borrowers at an interest rate cheaper than other loan lenders in the market.

So, if you have to buy a property and the funds are the only obstruction in your way, it is time to apply for these loans by a reputed lender and get your property with the money you are going to receive.