Guarantor loans do have a place for anyone with a bad credit rating who needs to borrow a large sum of money. Often, this is the only type of loan offering a substantial amount of money that people with a poor credit rating can find approval for. However, you might not want to borrow many thousands of pounds. In this case, is there such a thing as bad credit loans no guarantor no credit check?
Borrowing Would Be Easier, but Sadly, No
It would be easier if there was such a loan of that nature but sadly, this is not the case, well not in its entirety anyway.
There is no specific loan with the title of bad credit loans. However, there are such things as no guarantor loans that people with poor credit rating can apply for and the approval rate is on the good side.
However, all loans come with a credit check.
So to break that down:
- There is no specific loan with the name of bad credit loans;
- There are loans that people with bad credit can apply for without a guarantor;
- Lenders will always check your credit rating to some extent.
Bad Credit Loans No Guarantor No Credit Check = Not Possible
The extent to which lenders will check your credit rating depends on the type of loan you apply for and the sum of money involved. If you only want to borrow a small sum of money, you could apply for a payday loan or short-term loan.
Both have a good approval rating for people with a poor credit rating.
With payday loans, and possibly short-term loans, the lender will not want to look too deeply into your credit history but they will still check. Often they will make a soft credit check instead of a hard credit check. However, if you applied for a personal loan to borrow thousands of pounds, the lender is going to spend time taking a much deeper look into your credit file.
Payday and Short-term Loans without a Guarantor
Both the payday loan and short-term loan are loans not needing a guarantor. You can apply for either of the two loans in your name only. However, there is no guarantee that you will be approved for the loan as it is going to depend on the lender and affordability to repay the loan.
We work with a panel of lenders who will consider your circumstances and affordability of the loan. Lenders offer some of the most competitive rates online and numerous loan options.
There is No Single “Bad Credit” Loan by Name
When looking for a loan you can type in the search term, “bad credit loans” and the search will reveal many loans. However, none of the loans has the actual name of bad credit loans.
Bad credit loans refer to loans that lenders will consider approving those with a poor credit rating for, but they are not limited to just people with bad credit.
As mentioned above two of the most popular types of loans are the payday and short-term loans. However, people with good or bad credit can apply for them.
With the payday loan, you can apply to borrow between £100 and £500. Loans of this nature are excellent if you are met with an unexpected financial outlay and you do not have money in the bank, but you know you could cover it when payday came around.
In this instance, you could apply for the money needed now and pay it back when your next payday came. This could get you out of a very tight spot, providing you knew without a doubt that the loan could be paid off in full. If it would leave you tight, you might choose to spread the loan over three paydays.
One word of warning though, this would make the loan more costly as interest is added daily onto the loan. Another thing to consider is if you failed to repay the loan on the agreed date or dates, the loan would be rolled over and it would incur fees. This could make it a very expensive way of borrowing.
Other Criteria for Borrowing in the UK
There are criteria that all people have to meet when they want to take out a loan in the UK. This applies to people with both good and bad credit ratings. To be eligible to apply for any loan you need to:
- Provide us with your age – you have to be at least 18;
- Give us your address – it must be in the UK;
- Tell us about your income – you must have a regular income;
- Give us your bank account details – The lender pays funds into the bank if approved;
- Have a debit card attached to the bank account – the lender takes the repayments back through it.
If you meet all of the above, you can go ahead and apply for a loan in the United Kingdom.
Why Not Apply With Our Help?
You could search online for a loan yourself but this can take a lot of time and this might not be something you have if you need a loan fast to take care of an unexpected financial outlay. You might apply with many different lenders before you are approved, even if you manage to find approval and an affordable loan.
Another option is to allow us to match you up with a lender. Why not allow us to help you find an affordable loan with the most competitive rates of interest. Along with this, the lenders we work with offer numerous loan options so there is more chance of you finding a suitable loan and you get an instant decision.
Provide us with a few details including the amount you want to borrow and how long you want to spread the loan over and we can search with a panel of UK lenders. If approved the money could be paid into the bank within hours and you then repay the loan as you agreed with the lender.