Is there such a thing as no credit check loans instant decision? This is the first question that anyone with a poor credit who wants a loan is going to ask. The answer would depend on who you are asking for a loan.
Some unethical lenders out there may not perform a credit check, however, all ethical UK lenders are going to perform a credit check before deciding whether to give you credit. Lenders have to safeguard themselves and they have to safeguard you to make sure the loan is affordable.
So, our answer would be stick with ethical lenders as even though they will make a credit check, it doesn’t mean you will be turned down.
It Is Possible to Get a Loan with an Instant Decision
While lenders will check your credit rating, with some types of loan needing a more in-depth check than others do, it is possible to get a loan that comes with an instant decision.
We work alongside a large panel of lenders to match you with and they give instant decisions after you have given them a few details. This means you are not left hanging around waiting for a decision, which is essential if you need to get hold of money fast.
Choices for No Credit Check Loans Instant Decision
As mentioned above all loans will require you to have some type of credit check. This could be either a soft credit check or a hard credit check.
With the soft credit check, the lender does not look too deeply into your credit file. This is a good option for anyone who has a bad credit rating and the most suitable loans are a short term or payday loan. Other types of loan might include a personal loan or a guarantor loan.
The lender is not too concerned about your past credit history with either of these two loans as you are not going to be borrowing huge sums of money. These two loans have three things in common.
- They have limits as to how much you can borrow;
- The amount you can borrow is relatively small compared to other loans;
- The loan is only taken out over the short term.
The actual amount and term of the loan differ and we will look at these below.
How Much Can I Borrow With A Payday Loan?
A payday loan is usually the easiest type of loan to find approval for a bad credit rating. Lenders will usually allow you to borrow in the region of £100 to £500.
Payday loans are usually called emergency loans or same day loans. They are usually applied for by people who find themselves in need of a small amount of money to tide them over until they are paid again. They can be used to pay off an unexpected bill or one that was forgotten. To get out of an unauthorized overdraft, to pay for car repairs or a new tire for the car. Of course, these are just a few of the reasons and there are many more. Lenders don’t usually want to know why you need the money.
Payday loans are repaid when your next payday comes around or you could spread out the cost of the loan for up to three paydays. So, essentially you would be taking out a loan for either one or three months.
The interest on payday loans is calculated based on days. So the longer you take the loan over the more the total amount is going to cost you. Bear in mind that the huge percentage you see advertised with payday loans is not the amount you will be paying. This is the amount you pay on the sum of money borrowed if you were to take the loan over the year. With payday loans, you are only borrowing for a period of one to three months.
How Much Can I Borrow with a Short term Loan?
When considering no credit check loans instant decision you might want to give some thought to a short-term loan.
A short-term loan is another type of loan that is not taken out over the long term as the name of it might suggest. In this instance, it is repaid for up to 12 months. The amount of money you might be able to borrow is between £500 and £1,000.
As you are taking the loan out over a longer period than with the payday loan, you are going to have to check the APR on the loan as this is going to determine how much interest is going to be calculated into the loan. With APR, which is the annual percentage rate, the lower the amount the less interest will be added.
Again, the lender is going to check your credit score but the lenders we work alongside also consider your current circumstances, along with your credit past.
Lenders will want to check to make sure that the loan is going to be affordable. To do this they will want to know about the income you have coming in and what you pay out each month. This will determine how much money you have left over each month so they have an idea as to whether you can afford the loan.
What about Personal Loans?
Another type of loan that comes with an instant decision is a personal loan. With a personal loan, you may be in a position to apply for up to £15,000.
Personal loan repayments may be spread out for up to 36 months, depending on your circumstances. This type of loan is one of the most difficult to find an approval for with lenders if you have less than a perfect credit score.
As with the short-term loan the interest on the personal loan is going to depend on the APR so you should compare it. Also, factor in any additional fees such as an early repayment fee. The early repayment fee is a sum of money you would have to pay if you suddenly got a windfall and you were able to pay off the loan earlier than anticipated.
Another type of loan that people with poor credit ratings consider is a guarantor loan. This is a loan not suitable for everyone as it does require that you ask someone to stand in as your guarantor. The guarantor also has to have a good credit rating, so they must be willing to put this on the line.
If you fail to keep up with the repayments of the loan, they will fall back onto the guarantor, so the lender must make this clear to them at the time of signing up.
Guarantor loans are often offered with large APRs so this is something that both you and the lender should be made aware.
It may be worth considering a guarantor loan if you need to borrow up to £15,000 and you cannot get a personal loan due to your credit rating.
How to Apply Online For Your Loan
Some eligibility criteria have to be met before applying for any type of loan in the United Kingdom and this is as follows:
- You are 18 years or over;
- You have an address in the UK;
- You have a regular income from work or benefits (not all benefits apply);
- You hold a bank account in your name;
- You have a debit card attached to the bank account.
If you can say yes to the above you are eligible to apply for a loan and one of the easiest ways of doing so is with our help.
The first step is to decide how much you can afford to borrow. You then have to choose the term of the loan. The term is the amount of time that you want to spread the repayments over.
Give us your details, name, address and bank account details and we will search with our panel of lenders and give you an instant decision.
We make it easy to search with a wide panel of lenders in the UK and if one cannot offer you a loan based on your circumstances, we will move onto the next one. If we have success in matching you with a lender, you can go ahead and check out the details of the loan to make sure that it is right for you. All that is left for you to do is sign up and the lender will pay the money into your bank account.
If you are looking for no credit check loans instant decision allows us to try to match you with a lender. All lenders we work with offer affordable loans with some of the most competitive interest rates and numerous loan options. As we work alongside a huge panel of lenders there is more chance of us finding you a match and it only takes minutes to apply.