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same day loans for bad credit UK
9 Jan 2019

A Guide to Same Day Loans for Bad Credit

Same day loans can be one way of stepping out of a financial hole in the short-term. That is to say, if you find yourself short of money in an emergency, say as the result of a repair, the same day loan could be the answer. However, what if you have a bad credit rating? Well, believe it or not, there are lenders who offer same day loans for bad credit.

The fact is around 10 million UK households have no savings to fall back onto in a time of emergencies. For these 10 million households, if the unexpected crops up life becomes difficult, along with stressful.

If they suffer a major appliance breakdown such as a freezer or find their car needs emergency repairs, they have one choice, to find a loan. This is where same day loans can come into their own. In the past, those with bad credit have struggled to get approval for a loan, but times are changing and there are lenders who will now consider people with bad credit. We work with lenders who care more about a verifiable income than your credit score.

To be eligible to apply for a same day loan in the UK you must:

  • Be 18 years of age or over;
  • Have a regular source of income;
  • Have a bank account;
  • Debit card;
  • Set up a direct debit for repayment.

Does The Same Day Loan Really Pay Money The Same Day?

The same day loan really can pay money the same day. This varies between lenders of course but in general, the money is paid quickly into your account once you have received approval.

One of the main reasons same day loans can be paid out fast is there is no paperwork. The application for the loan, including same day loans for those with bad credit, is made entirely online.

While all lenders in the UK will undertake a credit check, this might only be a soft credit check. This means they do not look deeply into your credit file. The application is fast and easy, just minutes and you get an instant decision.

How Do Same Day Loans for Bad Credit Work?

The same day loan is generally taken out and repaid over one to three months. The short-term loan is not intended for those who wish to borrow thousands of pounds and repay over many years. In this instance, a personal loan would be more suited.

The short-term loan is aimed more at people who need to get their hands-on cash fast in an emergency. Anyone taking out a loan of this nature needs to make sure that they could repay the loan out of one or so pay checks. This type of loan is also referred to as the payday loan.

To put it simply a payday loan bridges the gap between a lack of cash now and your next payday. However, there are lenders who allow people to extend the cost of the same day loan out over more paydays.

Situations Where a Same Day Loan Comes In Handy

As mentioned previously the same day loan should be considered as an emergency loan. It should not be taken out on a whim. There are many situations where a loan of this nature would come in very handy and here are just some of them:

  • A large gas or electric bill has fallen on the doormat and needs paying;
  • Your old car has packed in and needs repairing;
  • Your child reminds you that the deposit for the school trip needs paying today;
  • Your cooker breaks down and needs repairing;
  • Something came up unexpectedly and you need cash fast;
  • You find you have overdrawn at the bank and the charges will be high.

In any of the above situations, the same day loan could be taken out to cover the cost and ease the stress and you simply repay the loan in one to three months.

The loan allows you to avoid having to ask friends or relatives for a hand out until you are paid. While friends and family may be willing to assist, it can be embarrassing having to ask and can cause hard feelings. A loan can also be an alternative to paying the bill or obtaining cash through a credit card, which may have higher rates of interest.

Taking Out the Same Day Loan

A Guide to Same Day Loans for Bad CreditHere at Bonsai Finance, we work with numerous lenders, all of who offer some of the most competitive rates to those with bad credit.

The lenders we work with offer loans from £100 up to £5,000. Depending on how much you borrow you could spread the cost of the loan over 1 month to 36 months.

The application process is easy and fast, and we match you with lenders offering same day loans to those with bad credit. We undertake all the hard work of applying for a loan and all that is needed from you is a few details.

In Conclusion

No one knows when he or she might need to get their hands-on emergency cash. What is generally guaranteed is that unexpected bills often come at the worst time possible, when you have no spare cash.

We work with lenders offering competitive rates, who don’t focus on your credit rating, but who take your ability to repay into account.

Bonsai Finance understands the pressures and worries a bad credit rating brings and aims to make access to financial solutions easier and less stress-free. If you find yourself short of cash, have a bad credit rating but need to get your hands-on money the same day, apply for same day loans for bad credit with our help.