Can I Apply for Loans With Very Bad Credit?
Bad Credit is a term used to describe a low or poor credit score. The common causes of bad credit include late payment of bills, defaulting on loans, and bankruptcy filing.
Bad credit loans are loans given to people who have poor credit scores. Getting a loan approval with bad credit from traditional lenders might not be easy, and even when you do, you’re likely to be eligible for a small loan with a high-interest rate.
At PaydayLoansUK, we realize how difficult it is for people with bad credit scores to get loans, and this is why we partner with lenders that can grant your loan request quickly, even with a bad credit score, as long as you can guarantee a means of repayment.
Do Poor Credit Loans Impact My Credit Score?
Every time you apply for a loan, lenders carry out mandatory credit checks which can affect your card rating or credit score. These drop-in credit score points may ruin your chances of getting a loan elsewhere.
What Factors Will Be Considered When Accessing My Application?
Lenders consider certain factors when accessing your application for a poor credit loan. Some of these factors are listed below.
Lenders carry out a credit check to know how you managed borrowed money in the past. A poor credit score can limit your chances. However, with our bad credit loans direct lenders, you can be sure to get a loan even with a bad credit score. They are in business specifically to cater to people with poor credit.
Income and employment history
Typically, lenders want to know if you can comfortably repay your loan within the loan term. They get an overall idea of this by looking at your employment history and monthly income. With this information, they can tell if the loan cost is affordable for you or not.
Value of your collateral
Collateral is any valuable asset you can give to the lender if you cannot pay your debt. The chances of landing a loan are higher with collateral in the discussion. The credit ceiling or maximum loan amount when you turn in collateral.
How to Apply for a Loan With Bad Credit
Our loan application process is easy, even for bad credit loans. Here’s how to apply for a loan with bad credit at PaydayLoansUK.
Fill out our loan application form
This process will only take you a few minutes. Provide the basic details - name, date of birth, contact information, social security number, and other information asked of you.
Connect with a lender
We then connect you to a large network of lenders. The lenders review your application and complete the final checks, including a credit check as required by the FCA. A bad credit score is no hindrance though. If they consider the loan affordable for you based on your debt-to-income ratio and employment history, you should get approved and sent a quote.
Ensure that you familiarize yourself with the lenders’ interest rates and repayment terms - as provided in the quote - before deciding on what lender to go with. The quotes are free and without obligation to commit.
Once satisfied, sign the quote and accept it. You can expect to be credited anything from that hour to the following business day.
Want to Get a Loan?
Representative Example: Rates from 43.1% APR to 1333% APR. Minimum Loan Length is 1 month. Maximum Loan Length is 36 months. Representative Example: £1,200 borrowed for up to 75 days. Total amount repayable is: £1506. Interest charged is 0.34% per day, amounting to £306, annual interest rate of 124% (variable). Representative APR: 49.7% (variable).
Advantages of Getting Bad Credit Loans From Us
Easy online processes
Applying for bad credit loans from us is easy from start to finish. Your loan is approved within minutes after filling out our application form, and you will be funded immediately.
Our bad credit loans come with a fair rate
We provide credit loans with a flexible repayment schedule, a clear and transparent rate, and no hidden charges. You have a high chance of acceptance even with your bad credit score.
We offer you many options
As an FCA-authorised broker, we connect you with many genuine direct lenders at once. With us, you can be sure to get competitive rates, from which you can make your decision.
Quick funding is guaranteed
At PaydayLoansUK, we understand that emergencies are no respecter of credit scores. So we try to empower you financially as soon as possible even if your credit profile isn’t so attractive.
Disclaimer: you won't get these benefits anywhere else!
How Does Payday Loans UK Compare?
|Why Use Us?|
|What is the maximum amount I can borrow?||Up to £5000||Instant approval|
|Will I be considered if I have bad credit?||Yes||Bad Credit Considered|
|Interest rates (variable)||49.7%||Zero paperwork|
|Loan repayment terms||1-36 months||Flexible repayment|
|Will I be credit checked?||Yes||Will perform credit checks as for financial regulations|
|How do I apply?||Apply online||Simple application form|
What Can I Do to Obtain Better Rates and Higher Limits?
You need a good credit score to obtain higher loans with better rates. Listed below are some ways to improve your credit score.
Get a handle on bill payments.
Your payment history has the most significant impact on your credit score. Settle your credit commitments in due time to improve your credit score.
Make the most of a thin credit file.
Fatten up your credit card so that you have enough credit history on your report to generate a good credit score.
Consider debt consolidation
If you have multiple outstanding debts, consider taking a debt consolidation loan to pay them off. In this way, you will have just one payment to deal with and you will be able to do so faster. This will improve your credit score in the long run.
Above all, use credit monitoring services to track your process.
FAQs ( Frequently Asked Questions)
How Can I Check If I Have Poor Credit?
Before applying for a loan, you should check your credit score to know what to expect. The easiest way to do this is to check your credit report from any of the three main credit reference agencies in the UK - Experian, Equifax, and TransUnion.
Why Choose a Bad Credit Loan?
You may get a bad credit loan to consolidate pending payments and debts, do a home remodel, make a large purchase, build credit or take care of a medical emergency and other such emergencies.
How Can I Raise My Credit Score?
Time is the greatest healer, they say. This applies to credit profiles too. Ensure that you pay off any pending credit commitments and over time, your credit score will be back to normal.
Is My Data in Safe Hands?
We are a reliable FCA-accredited loan broker and partner with only good lenders. Be rest assured that your data is safe with us.
How Long Does It Take to Get Bad Credit Loans?
One of the advantages of getting your bad credit loans from us at PaydayLoansUK is that your account will be approved within 60 minutes after you apply for the loan and you should get funded within hours after approval.
How Much Can I Get?
Your approved loan amount depends on the lender’s evaluation of your debt-to-income ratio and employment history. But the max credit ceiling is £5k.