If you have a poor credit history then you might think that there is no point in applying for a loan as you will not get one. However, this may not be the case, it is worth doing some investigating as you may find that there are loans that are available to you. In fact, there are some loans which require no credit check and so you should be able to get those. You may even find that you will be accepted for a standard loan though. Just make sure that you credit report is right and then you can investigate what loans might be available so that you can then pick the best one.
your credit report is correct
It is best to start by looing at your credit report and checking it. Your credit report will have details of regular payments that you make such as mobile phone contracts as well as any loans you have and any missed payments or CCJ’s. The lender will look at this and use it to decide whether they feel you are too risky to lend money to. As all lenders have slightly different criteria, then you cannot cheat the system but as long as everything is correct then you are off to a good start. If there is a mistake then get it corrected before you start to think about applying for loans.
It can be worth having a look at standard loans just to make sure. You may feel that you will be ruled out of all of them, but there may be some that you can apply for. The trouble with applying for loans is that if you get turned down it appears on your credit record. Then if you apply to someone else that lender will see you have been turned down and might be more likely to turn you down. So do not apply for loans, but if you see one you think you would like to take out contact the lender. Ask them whether it is worth you applying and see what they say. Some lenders are much stricter than others and so it is always possible that you might be able to get a loan if you ask. There are some lenders that will now tell you if you will get accepted or not without doing a credit check so it is worth looking into those as well.
bad credit loans
Even if you can get some standard loans, check out bad credit loans as well. These could offer you something that you prefer the look of anyway. They differ a lot from standard loans and so you never know whether they will be the best for you unless you take a look. Think about what you want from a loan, how much you want to borrow, what repayment schedule would suit you and things like this and with this in mind look at what there is available. Until you think about what you want; you will not be able to decide what is best for you.
Bad credit loans do have a reputation for being more expensive. However, some forms of borrowing are even dearer so you need to look at the loans on an individual basis. It is also worth noting that cost is not the only important factor when looking for a good loan. You also need to think about the value for money that you are getting and whether you will be able to afford the repayments.
I get a loan?
Even if you can get a loan or perhaps you have several to choose from, this does not mean that you should necessarily get one. You need to be really careful to make sure that you make the decision that is right for you. It may be that if you do get a loan, you will find that you will get into problems with managing the repayments and so things will be hard for you. Perhaps you will get stressed all the time about paying it back and this will make you unwell. On the other hand, the loan may allow you to buy something which will have a positive impact on your life. It could make a really massive difference and you might be confident that you will be able to repay it easily. Only you will know which category your loan will fit in to and so the decision will be very personal. However, if you are finding it hard to make a decision then discuss it with someone else. It can be easier for someone who is not personally involved to help you as they will not be emotionally involved. Do make sure that you are aware of your current finances and your monthly outgoings so that you can calculate if you will be able to cover the repayments.