Anyone with a poor credit rating who is looking for no guarantor loans UK will be pleased to learn that there are other choices of loans out there. While a guarantor loan is one type of loan that is typically easier to get approval for with a bad credit rating it is not by any means the only choice.
Many people shy away from guarantor loans due to the fact that it means a third party having to stand in to guarantee the loan. Some may not want to ask a friend or relative while others might not have anyone to ask. Thankfully, there are alternatives and here we are going to look into those alternatives.
If your credit rating is good to fairly decent, you are going to have more choices open to you than if your credit rating is poor to bad. However, there is nothing to stop you from considering any of the following loans and applying for them:
- Personal loan;
- Short term loan;
- Payday loan;
- Secured loan.
Personal Loans for Longer Term Borrowing
Personal loans typically allow you to borrow a larger sum of money, with our lenders up to £5,000 and repay the loan for up to 36 months. This type of loan is considered an unsecured loan. If your credit rating is too bad, you might be offered a secured loan, which means you would have to put your property up against the loan.
The interest rates on personal loans are going to rely on your credit score, the better your credit score the less a risk you are and the lower the interest rate. However, it may be possible to get a personal loan even if your credit rating is not the best.
When considering a personal loan always take the loan over the shortest term you can afford as this way you will not only pay the loan off earlier but also save on the amount of interest you will pay.
Short Term Loan Suitable For Mid-term Borrowing
A short-term loan might be suitable if you want to borrow between £500 and up to £1,000. You might have the possibility of spreading the loan back for up to a year or so but this will depend on the lender and your circumstances.
A short-term loan might be a suitable option if you have a poor credit rating due to the fact that you are repaying the loan in a relatively small amount of time. Again, this is an unsecured loan.
Payday Loan for Small Sums Paid Back Fast
Payday loans are one solution for borrowing if you have a poor credit rating and you want to get hold of a small sum of money fast.
Payday loans typically offer between £100 and £500 and generally, money can be transferred to the bank on the same or next day. The loan application is fast and easy to apply for with just a few details needed.
A payday loan can come in extremely handy in the event you need a small cash sum in an emergency. This might be:
- If you have a final demand drop through the door for a bill;
- You go into an unauthorized overdraft and want to pay it off;
- Your car gets a flat tire and you don’t have a spare so have to be towed to a garage to get a replacement;
- Your washing machine or cooker breaks down and needs repairing.
Applying For No Guarantor Loans UK
It is simple to apply for a loan without a guarantor. Simply tell us how much you want to borrow and the term you want to take the loan over. To take out a loan, you need to be over 18, have a regular income, a bank account, and debit card and live in the UK.
Make a single loan application, with our help you could be matched up with a panel of lenders, all offering no guarantor loans UK. It takes just minutes to apply and you could have money in the bank within hours.