Perhaps you have made your mind up to look for very bad credit loans no guarantor no broker, but is that such a good idea?
Sure if you go with a broker there is a fee to pay, but then there are many benefits to choosing this option when looking for a loan if you have a poor credit rating. So, the question here is a broker or no broker?
It may really be a question of the following:
- Search yourself takes time vs we search within minutes;
- Hanging around waiting for an answer vs an instant decision;
- Making several searches with lenders vs we search with multiple lenders;
- Struggling to find a low rate of interest vs the lenders we work with offer some of the most affordable rates;
- Waiting all day for an answer when searching yourself vs money paid into your account often within hours.
The Go-It-Yourself Route aka No Broker
If you are adamant that you do not want a broker to help you find a loan you will have to find one on your own.
This is not as easy as it sounds, particularly if you have a bad credit rating. Finding a loan online is one of the quickest ways to obtain a loan but even so, with a poor credit rating, you are going to struggle alone.
Search Using a Search Engine
You may start off searching using the term no guarantor loan no broker and find many listings on the first page of the search engine. However, there is nothing to say that any of the lenders will offer you a loan once you arrive at their site. This is regardless of the claims they make. You might be promised guaranteed approval, but without the lender looking into your circumstances, they cannot guarantee you a loan. For one, you have to meet some eligibility requirements first and be able to afford to repay the loan.
Go Through the Application Process and Wait
When visiting the websites of lenders offering loans you will have to go through an application process. When you have filled in your information, you may have to wait for some time to get a decision regarding approval.
Even worse you might fill in your details and then be told someone will contact you for more details. Again, you have to wait. If you need to get hold of money quickly, this is not good. You could be waiting all day for someone to get back to you but in the end, you are turned down.
This means you have to go back to the start, search again for a lender, and go through the whole process again. This may happen several times and you still do not have a loan.
Worse still, the applications you made for loans are on your credit file and will go against you. If you have made numerous applications, lenders will think you are desperate to get your hands on the money. While this might be true, you do not want them to know that.
Going Down the Broker Route
An alternative to going it alone is to stop looking for very bad credit loans no guarantor no broker and instead allow a broker such as us to help you find a loan.
A fee will be included in the amount you have to repay but this fee may be well worth it when you realise just how easier it might be to get your loan and how fast.
One Application Search with Numerous Lenders
One of the biggest benefits to going with a broker to find a loan if you have a poor credit rating is the fact that you only have to make one loan application to be able to search with a range of lenders.
Yes, we can search on your behalf with a panel of UK lenders.
Just give us your personal details, such as:
- Your age, over 18s only;
- Your UK address;
- Your income details, you need to have a regular income;
- Your bank account details, which must be able to have a direct debit set up;
- Your debit card details.
We can then search with the panel of lenders we work with and you get an instant decision.
The many benefits to us finding you a loan include:
- It takes just minutes to find if you can get a loan;
- We search with a range of lenders, not just one;
- The lenders we work alongside offer affordable loan options;
- Lenders offer some of the best rates of interest;
- Lenders offer a range of loan solutions;
- Application is quick and easy;
- You don’t have to make several loan applications, all of which affect your credit file;
- You can check the details of the loan before signing;
- If approved money may be paid into your account on the same day, within hours.
While going with a broker for a loan means that you will pay a fee, the small fee may be well worth it.
Types of Very Bad Credit Loans No Guarantor No Broker Available
Whether you want to stick with your original way of thinking and want a loan with no broker help or you have changed your mind and have decided that a broker is the best way to go, you have several options for loans.
The most suitable option is going to depend on how poor your credit rating is, the amount of money you want to borrow and how long you want to take the loan over.
The different types of loans that do not require a guarantor are:
- Payday loans;
- Short-term loans;
- Personal loans.
Each loan has its own merits, all of them offering differing limits on the amount you can borrow, the term you can borrow over and some are easier to find approval for than others are.
Is A Payday Loan A Suitable Loan for You?
A payday loan might be a suitable type of loan if you do not require a large sum of money and you can repay the loan back quickly.
Borrow Between One and Three Months
Payday loans used to be a loan that was only taken out for one month. This is how they earned their name as the loan was repaid when your next payday came around. Today loans of this nature can be spread out for up to three paydays. This does give some leeway and can make the loan more affordable; however, the longer you take out the loan the more the loan is going to cost in total in interest. This is due to the interest being added onto the loan on a daily basis.
Borrow Between £100 and £500
With the payday loan lenders generally offer between £100 and £500 but the amount you might be able to borrow is going to depend on your credit rating and your circumstances. Lenders will check to make sure any loan is affordable and you should do the same.
Payday loans are often considered emergency loans or same day loans due to the fact they are one of the easiest to apply for and money is often paid out on the same day.
3 Examples Where Payday Loans Can Work
A payday loan can essentially be applied for, for any reason where you need to get hold of money fast. However, here are some popular reasons why people take out payday loans.
- Vehicle repairs
Vehicles can break down at any time and often without any warning. Imagine the chaos and stress that would ensue if your vehicle broke down and you did not have the money to pay for repairs.
You would be forced to take public transport to get to work and this can be very costly, again, something that you might not have budgeted for and you still have to repair the car when payday comes around.
With a payday loan, you could borrow the money, get the car repaired and pay back the loan over one to three paydays.
- A Final Demand Bill
You might have forgotten about a large bill and the final demand has dropped through the letterbox. You have just days to pay it off or stand losing services.
You could apply for a payday loan, pay the bill and then repay the loan on your next payday or spread out the cost over three paydays.
- An Unexpected Overdraft
You might find you have gone into an unexpected overdraft and you are now looking at the bank adding on daily fees. In some cases, the fees are ten times that of a payday loan.
Borrow the money and if approved it is paid into the bank to clear your overdraft. Repay the loan on your payday.
Do You Need A Short-term Loan?
A short-term loan is another type of loan that might suit your needs, which is paid back over the short-term.
Borrow Up To £1,000 For Up to 12 Months
However, this differs from the payday loan in that you can usually borrow up to £1,000 and spread the cost of the repayments for up to 1 year. It is flexible in that it gives you more time to repay the loan but you are not tied into a loan for many years.
The longer you spread the loan over the cheaper the monthly repayments will be but this is at the cost of the loan costing you more overall.
With this in mind you should work out a happy medium where the monthly repayments are affordable but you do not want to pay more in interest than you have to.
The lender will want to ensure the loan is affordable so they will check the amount of income and outgoings to see what you have leftover each month. This, of course, is something that you should also check yourself, as you want to be a responsible borrower and not leave yourself short of money.
With a personal loan, you might be in a position to borrow up to £5,000 and spread out the cost of the loan for up to 36 months. However, approval for a personal loan is typically harder to get if you have a poor credit rating.
On the plus side, we do work with a panel of lenders who take affordability into account more than credit files, yet again another reason why you might want to choose a broker when looking for a loan.
If considering personal loans you have to take into account the APR of the loan offered, as this will determine how much interest is paid on the loan. Of course, the longer you take the loan over the more interest is added onto the loan, so work out the least amount of time while ensuring the monthly repayments are affordable.
5 Simple Steps to Finding a Loan
If you decide to change your mind and go with our help when looking for a loan that does not require a guarantor, there are just a few simple steps.
- Provide us with your details
- We search with a panel of UK lenders
- You get an instant decision
- You check out the details of the loan
- Sign up and money is paid into your bank account
As you can see, there are many benefits to choosing to look for a loan with a broker. You might have started out looking for very bad credit loans no guarantor no broker, but have you changed your mind now?