Having bad credit is not fun when it comes to a need to borrow money. While your circumstances might have changed drastically since you earned a bad credit score, some lenders do not take account of this. Sure, you might be able to get a guarantor loan but you might not want to bring anyone else into your financial world or perhaps you do not have anyone you can ask. If this rings a bell in your case and you only want a small loan that can be repaid within 12 months you might want to consider applying for 12 month loans for bad credit no guarantor.
Consider a Short-term Loan or Personal Loan
Two types of loans you might want to consider are the short-term loan and the personal loan. Which might be more suited to your circumstances would depend on how much you want to borrow.
Borrow £500 to £1,000 with the Short-term Loan
A short-term loan would allow you to borrow between £500 and £1,000. Lenders usually allow you to spread the cost of short-term loans over a period of 12 months but this would depend on the lender.
Short-term loans can be taken out to cover just about any reason. Lenders are not usually interested in what you want the money for, just that you have a regular income coming in and the loan repayments are going to be affordable.
The lenders we work with are going to check your credit file but they also understand that things might have changed for you and a loan may be affordable. To ensure you can afford the loan the lender will check on the amount of money you have coming in each month and what you pay out each month. Income that is left is called disposable income and this is what the monthly loan repayments would be taken from.
Borrow £1,000 to £5,000 with a Personal Loan
If you wish to borrow up to £5,000, you might wish to give some thought to a personal loan. Whether you will get approval for a personal loan will depend on your credit rating and the amount you want to borrow.
A personal loan can be spread out for up to 36 months with our lenders and money can be borrowed for any reason. One thing to be taken into account when choosing the term of the loan is that the longer you take the loan over the more interest is going to accumulate on the loan.
Interest is added to the loan based on the APR, which is the annual percentage rate. Bear in mind that lenders typically offer a representative APR, this means the interest rate you may be offered on a loan might be higher. Always ensure that you know the interest rate you will pay on a loan and how much will be added on over the year.
Eligibility for 12 Month Loans for Bad Credit No Guarantor
There are some eligibility requirements that you have to meet in order to be eligible for a loan. These may differ between lenders but overall you can expect to have to:
- Have a regular income coming into the home;
- Be at least 18;
- Have a UK bank account;
- A debit card and be in a position to set up direct debits.
Lenders will check your credit file, as the law asks them do so. However, as you are asking for a 12-month loan and are going to be repaying the loan back fairly quickly, they may only make a soft credit check. This means they will not look too deeply into your credit file but instead take into account your circumstances right now.
If the lender believes that you can repay the loan after looking at your income and outgoings, they may be in a position to offer you a loan over 12 months.
When you make an application with us, we will search with the lenders we work with for 12 month loans for bad credit no guarantor based on the information you gave us. We do not offer loans ourselves, instead, we work alongside a panel of lenders offering competitive rates and loans that are affordable.
Things to Consider When Looking for A Loan
When looking for 12 month loans for bad credit no guarantor bear in mind that the APR, annual percentage rate, is going to determine how much you will pay in interest on the loan. When it comes to the APR, lenders generally show the representative. This means that the rate of interest is what is offered, or a lower rate, to over half of customers applying.
The APR of the Loan
The important point to bear in mind is that the representative APR is not always the rate that you are offered. It might be more and in this case, you might have to pay a higher rate and so in total the loan is going to cost you more.
Typically, the poorer your credit rating the higher the rate of interest. The APR is not the only thing that determines how much the loan is going to cost you in total. Fees will be added onto the cost of the loan and so determines how much it will cost in total.
Ensure the Loan is Affordable
Along with the total cost of the loan you also have to consider the monthly repayment to make sure that the loan is going to be affordable. Generally, the longer you take the loan over the less the monthly payments will be but the more the loan will cost in total.
How We Can Help You to Find A Loan
We can help you to find a loan by searching with a panel of lenders from the UK. One of the main benefits to this is that you only need to make one loan application to gain access to numerous lenders, all of whom offer some of the most affordable rates and loan options.
We Work with Multiple Lenders
If one lender turns down your application, we can move straight to another lender. If you were to search for loans on your own you might be turned down again and again and all searches would be indicated on your credit file. This can go against you as lenders think that you are desperate.
By allowing us to match you up with a lender, it can save you a great deal of time and stress. You get an instant decision and funds from the loan are paid out fast.
Applying for A Loan Online With Our Help
To begin your application for 12 month loans for bad credit no guarantor needed you first have to choose how much you want to borrow and the term of the loan.
Lenders that we work with will generally offer up £5,000 but it may be possible to get more money.
Leave your name, address, age, bank and debit card numbers and we can then go ahead and try to match you up with one of the lenders from our panel of lenders.
Check the Details of the Loan Then Sign Up
If we find a match, you can then go ahead and check out the details of the loan on the lender’s page to check it is suitable for your needs. Again, you need to check the monthly loan repayments are affordable, you know exactly how much the loan will cost in total and how long the loan is being taken over. If all is fine you can go ahead and sign up the loan. Funds are generally paid out fast as the loan application is undertaken completely online, which means you don’t have to wait for the paperwork.
Apply with us today for 12 month loans for bad credit no guarantor, it’s fast, and you get an instant decision. We work alongside a panel of UK lenders who will take your current circumstances into account, along with your credit rating. If they think you have the ability to repay a loan, there is nothing to suggest you will not be approved.