So you’re looking at payday loans for bad credit
Everyone makes mistakes in life, especially when comes to managing money. The problem with financial mishaps though is that the effects last for a long time in the form of a damaged credit rating. When you apply for credit from a mainstream source like a building society, bank, or similar institution, they will contact a credit referencing agency to get their hands on your credit file.
This file is a record of your financial past, with all indiscretions and transactions there to be scrutinised and if you have had problems with debt in the past, it will reflect badly on you and leave you with a bad credit score, making it very difficult to borrow money.
Thankfully, there is help out there if you find yourself needing cash for some unseen circumstances and a poor credit history won’t necessarily hurt your chances of being accepted, not with a payday loan necessarily. We are often inundated with questions regarding payday or short term loans for bad credit and so we thought it would be helpful to answer a few of them for you here.
Where can I get a bad credit payday loan with no credit check?
Lenders of bad credit payday loans don’t usually use your CRA credit file as their main source of information when deciding on whether to grant you a loan or not so even if you have a poor credit score, you could still be able to borrow money from them but they will make a check, you just don’t get no credit check payday loans.
Bad credit payday loan lenders will still perform a credit check, but it’s in the form of a soft check that aims to confirm that you are able to pay the money back and don’t have outstanding loans.
Compare bad credit payday loans
Length borrowed for
Monthly APR example Representative 1266%
This soft credit check won’t further damage your credit score if you are deemed ineligible for a payday loan, and the high acceptance rate generally offered by direct lenders gives a larger percentage of the population a chance to get financial aid.
As for getting a payday loan with no credit check, forget it, they don’t exist and anyone offering you one is either using clever word play for advertising purposes or breaking the law, as all lenders are required by credit authorities to do some kind of check.
Can I get a payday loan with bad credit and no guarantor quickly?
The simple answer is yes, you can get a payday loan with bad credit without guarantor as there are lenders out there who deal with such requests. However, your chances of getting a quick decision, a lower interest rate and favourable terms will be much better if you have someone with a good credit backing up your application.
If that isn’t an option for you, it is still possible to borrow money from a direct lender even with no guarantor and bad credit, but you may find that the interest rates are significantly higher than a traditional bank loan due to risk taken by the lender.
You will more than likely have to shop around quite a lot to find a good deal too but help with applying with multiple lenders can be found in the guise of payday loan brokers. These companies specialise in finding the best payday loans for people with bad credit and can be a big help if you’re short on time.
What are the interest rates like on payday loans with bad credit?
I’m going to give it to you straight. The interest rates on a payday loan with bad credit and no guarantor are going to be relatively high when compared to mainstream lending but there are ways of reducing the amount you repay. Payday loans are sometimes called short term loans because they are supposed to be repaid in quick fashion. Some of these loans, for lower amounts, can be paid back in a single instalment on the borrowers next payday, drastically reducing the overall interest to be paid on the loan.
For larger sums, this is not always possible, but aiming to settle the debt as quickly as possible is always the way you should go about repaying a payday loan so as to keep it as affordable as possible. The longer you stretch the payments out for, the more interest you will pay. Please bear that in mind when choosing a loan and repayment plan.
When you start getting quotes from lenders you will probably find that the interest rates and terms of the loans differ quite a bit from company to company, so don’t just accept the first offer you get. Take a little time to compare the quotes to make sure you fully understand the terms and conditions of each one and the overall cost to you. Then you will be in a better position to find a cheap payday loan.
Where can I find the best payday loan lenders?
Finding the best payday loans can be quite an undertaking. This is because there are literally hundreds, if not thousands of lenders and brokers out there to choose from. Payday loans for bad credit customers have become increasingly popular in recent years and this has caused an explosion in the number of direct lenders willing to overlook a checkered credit history and lend you money.
This is a good thing as competition helps to drive interest rates down, but it can still be a bit of a chore to traipse through all of these lender’s websites looking for the best deal, not to mention very time consuming. To avoid this, a lot of people choose to use a payday loans broker to help them find the best possible lenders. A broker will take your details and then contact their list of trusted lenders assuring that your application gets a fair look from them. Any offers from the lenders will then be presented to you for your consideration. It is all obligation free and you can refuse all of the offers if you so wish.
If you are interested in getting help with your payday loan application you can fill in our online form and we’ll get started on your case immediately.
Can I get an instant payday loan with very bad credit?
While it is indeed possible to get an instant payday loan with less than perfect credit scores, the fact that you have had past problems with debt means that a lender will have to spend more time considering your application. This means that getting an instant payday loan is very unlikely as immediate decisions are made my computer software these days and it is heavily reliant on you having a clear credit history.
Even without an instant loan being granted, your application should be dealt with by a direct lender far more swiftly than a bank loan or credit card application. In fact, it is not uncommon for this type of financing to be processed within 24 hours, meaning you can have the money when you need it the most. To be eligible for a payday loan with very bad credit you have to be a UK resident and over 18 years old. You need to be employed or have another steady source of income and also a bank account. Proof of all of this must be provided with your application or your chances of being accepted are very slim.
What should I know about payday loans?
The most important thing that you need to know before accepting a payday loan offer is that you will have no problems paying it back. That means being very honest with yourself about how much money you can afford to borrow and how much you can realistically pay back every month without stretching yourself too thin. It can be very tempting to try to borrow more than you need, maybe to give yourself a little treat, and there’s no harm in that as long as you have the income to cover the installments, but the higher interest rates on payday loans means that this could become an expensive little treat if you don’t repay the loan promptly.
There are also penalties for late or missed payments that you need to be clear about as these can land you in hot water very easily if they are particularly harsh. Any legitimate direct lender should give you a full layout of all the conditions of the loan that is easy to understand, so that you know what you are getting into before you agree to anything.
Where can I get help handling my debt problems?
It’s an all too common sight to see people with debt problems ignoring them because they feel overawed and stranded. This feeling is usually caused by a lack of knowledge regarding financial problems and solutions. There is actually a lot of excellent, free advice out there available to people in trouble with debt. For example, the citizen’s advice bureau or the money advice service. stepchange.org also help and this is a good place to start: https://www.stepchange.org/debt-info.aspx. A quick search on Google is all it takes to start dealing with your debt in a positive way and start clearing a path to a better future.