Frequently Asked Questions

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  4. Why is the interest higher than a ‘normal’ bank loan?

Why is the interest higher than a ‘normal’ bank loan?

Guarantor lenders specifically helping those with a poor credit rating 😀

  • This means that they can help millions of customers, who by often no fault of their own find themselves battling with:
    • A less than perfect credit score and who;
    • The more conventional lenders will not lend to
  • But overall this type of lending comes with a higher level of ‘risk’, which means that the lenders need to charge;
    • A higher rate of interest, as;
    • On a small percentage of loans, they won’t get their money back;
    • So the higher interest rates reflect this.

It’s worth remembering that a guarantor loan can still be up to 25 times cheaper than a payday loan, so it’s all relative!

 


> Bad Credit Score? See Loan Options <


 

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