What is a Bad Credit Loan? What Hurt your Credit Score?
Just as the name suggests, a bad credit loan is designed for individuals who have a poor credit rating. And how did you get a poor credit rating? It’s not a question you should ask, really, because you know the answer.
- Missed credit card payments;
- A County Court Judgement against your name;
- Having an account charged off;
- Default on previous loans;
- Having collection accounts;
- High credit card balances, high credit utilization ratio;
Any of these actions had damaged your credit score. You were ignoring the demand letters because you had no money. Now you need a loan. You pay for these indiscretions regarding payments when the usual lenders and banks will deny your applications for a loan. Luckily for you, InstantLoans24.Net works with lenders who specialize in providing loans to people with those not-so-perfect credit scores.
The Advantages of Loans for Bad Credit
Yes, there are advantages! Loans for bad credit give you a way to be able to get cash fast if your applications have been rejected by other lenders because of your poor credit history. Obviously, being able to get some money quickly is better than the option of nowhere to go and impossible to solve your situation. The money can be used for any reason like:
- Debt consolidation;
- Home improvement;
- Urgent car repair;
- Mortgage payments;
- Medical or utility bills;
- Other urgent expenses;
If you take a loan for a long term of 12 months and up, an added bonus can be an opportunity to improve your credit rating! Let’s just say that a bad credit loan is a financial lifeline for such people. The best thing about such loans is that you can use them to prove to credit rating agencies that you can manage money responsibly and make timely repayments. It’s easy to rebuild your credit history with InstantLoans24.Net!
Disadvantage – your poor credit rating has made you somewhat a risk as a borrower. Be prepared to pay an interest rate higher than anybody else.
Types of Bad Credit Personal Loans
InstantLoans24.Net offers unsecured personal loans. An unsecured loan is when you do not have to provide any collateral as security for the loan. Collateral means things you own, like your home, car or something else of value. If you don’t make the payments, then the lender has the power to seize that property you gave as security. Secured means the opposite, that is, you have pledged an asset as collateral against your loan.
The interest rate differs for both types of loans, of course. The secured loan will be at the lower interest rate, the unsecured at the higher rate, and perhaps a few other restrictive conditions. The most popular of these two types of personal loans is the unsecured. That means you are not risking the loss of any of your assets should you default on the loan.
There’s a discussion point here. If you have a bad credit rating, it’s because you have defaulted on repayments. Nevertheless, with our help your chances of getting a good loan offer are high! Obtaining an unsecured loan may require a co-signer (or guarantor) to help you get approval. This is something you want to avoid as best you can.
Finding the Right Unsecured Loans For People with Bad Credit
Get online and visit InstantLoans24. You would find numerous lenders who offer loans under these conditions. You are really spoiled for choice! Due diligence means spending some time researching all your options we provide and finding an offer that best suits your needs.
Apply with us today for short-term or long-term loans. Our lenders specialize in this area. Get an unsecured bad credit loan from a trusted lender with custom tailored terms and conditions!
Let’s rebuild your credit together!