Bad credit is a financial ghost that haunts more than 70% of the young borrowers in their 20’s. There could be multiple reasons why they are not being able to repay the loan on time which may include personal financial problems or even professional setbacks. Meanwhile, people of all the other ages are also not secure from this problem. Furthermore, if bad credit was not the only problem, one could struggle to get a guarantor or may not want to put his or her friends or family in jeopardy by making them a co-signer. Also, if you are someone who does not want to pay anything to a broker, and still get a decent loan approved from an authorised online lender, then you certainly fall in the category of people searching for very bad credit loans no guarantor no broker.
For your peace of mind, there are several online lenders who can assist you to overcome your problems even in such adverse circumstances. However, there are some merits and demerits of such services depending on your profession. So, let us figure them out one at a time as per your specific situation.
1. I am an unemployed person
Even if you are someone who has no history of any job, you can still apply for no guarantor loans. Considering that you are a resident of the UK and possess a collateral, you would not require a broker for the lenders to approve your loan without any guarantor. The important aspect of unemployed collateral loans is that the loan amount will be 60-70% of the total valuation of your collateral.
2. I am an employed person
For the employed individuals, be it salaried or self-employed, you could either be facing a financial crisis because of the additional bills, or you may need some extra pounds in case of emergency. You can be eligible for poor credit loans without a guarantor if you are able to present convincing documents to the lenders so as to assure them of your capacity to repay the loan.
3. I am an individual with benefits
Public or private beneficiaries such as retired individuals, people with special needs, and any other individual who receives financial aid from a third-party can apply for loans. As long as you are able to present the documents that support your claim of a steady income source, the lenders have their doors open for you.
4. I am a student
Students usually may not have a credit history at all but if you are one of those with a bad credit history, you can still be eligible for this loan. All you need to get a loan without a guarantor is – you must be a citizen of the United Kingdom and must be studying in a reputed college or university. This record ensures that once you complete your education, you can repay the loan and utilise the loan to succeed in your life.
If you fall in any of the aforementioned categories and fulfil the basic criterion, then you are best suited to apply for the loan. However, while you reach out to any lender, you must do a thorough background check. While there are some genuine lenders in the market who can provide you quality assistance through their best-in-industry financial experts, there are also some loan-sharks in this vast lending pool. While you consult any broker, you must ask them to elucidate whether they impose application fee, processing fee or any other hidden charges. Also, don’t forget to stress on loan repayment schemes. Plus, always compare the interest rates of different lenders and take the best offer. Bad credit loans can help you improve your credit score or you can also apply for doorstep lending depending on your suitability.
Please make sure that the loan amount does not exceed your ability to repay as defaulting on either, secured or unsecured loans could result in further complications. So, choose wisely and take the full benefit of ‘very bad credit loans no guarantor no broker’ scheme.