Practical tips to help you improve your credit rating and avoid expensive high interest loans
However, with so many different ‘bad credit loan’ formats now on the market, choosing the right one to keep your costs down has taken on greater importance than ever before.
With this in mind, we have drawn up the following article to highlight 4 of the best options currently available.[vc_message color=”alert-info”]
Bad credit loans have been created to allow people to with a bad credit rating with the opportunity to borrow money where they would otherwise have struggled.
However, to counter the higher risk the lenders are exposed to, bad credit borrowers will, unfortunately, be expected to pay the price for their previous financial mishaps – typically in the form of a higher interest rate.
Because you will be faced with a number of loans which are only available at less competitive rates, it is absolutely essential that you take the time to compare some of the options which are available to make sure you get the best possible deal.
To help you along the way, we have drawn up a quick guide to 4 of the highest profile and most accessible options when looking for loans with poor credit:
Turning to our family and friends to help us through difficult financial times can offer one of the best options. Peer to peer lending is increasing in popularity and below we listed some of the positives and negatives.[vc_message color=”alert-success”]
If you feel a little too embarrassed to ask someone close for a loan or they would like to help but cannot afford to lend you the money directly, guaranteed loans may offer the ideal solution.[vc_message color=”alert-success”]
Credit unions are non-profit organisations which pass along their earnings to members in the form of lower fees and a higher level of customer service.[vc_message color=”alert-success”]
For more information on Credit Unions, please check out dedicated Wikipedia Credit Unions page.
Payday loans are the marmite of the bad credit loan world (people either love them or hate them!).
When used as intended, they can offer a highly effective short-term financial fix. However, due to the high interest rates and charges associated, payday loans are fraught with danger.
The negatives surrounding payday loans are well documented but the FCA (Financial Conduct Authority) is currently addressing many of the issues.
To see exactly what the FCA had to say, please visit the following article to see how the FCA sets out in detail how it will regulate consumer credit.
Commenting specifically on payday lenders, Martin Wheatley said: “Today I’m putting payday lenders on notice: tougher regulation is coming and I expect them all to make changes so that consumers get a fair outcome. The clock is ticking.” [vc_message color=”alert-success”]
Regardless of your preference, always make sure that you compare loans from several different lenders to ensure that you find the best possible interest rate before signing the final paperwork.[vc_message color=”alert-success”]
Filling in countless loan application forms can be time consuming and boring. This is why we have streamlined our application process to allow you to submit a single application to the UK’s very best bad credit lenders.
All you have to do is use our Loan Calculator to see what you can afford to borrow and then complete and submit our simple application form.
Within minutes of hitting the submit button, you will start to get loan offers delivered directly to your e-mail address!