Get Unsecured Personal Loans
Bad Credit History or Not
Is it possible to get an unsecured personal
loan if you have bad credit? Will someone actually take
a risk on you if your credit is bad? Will you be able
to get the money you need even though you have a bad
credit history? The answer to all of these is YES! You
can get an unsecured personal loan with bad credit history.
In fact there are some lenders that won't even look
at your credit history. You have several options to
get the money you need. You can get a basic loan from
a money lending institution. You can get a payday loan.
Both of these have different terms of service, but the
payday loan does not report to the credit bureau which
doesn't help repair your bad credit.
Payday loans are great in a pinch. They are unsecured
in the way that they don't require you to have collateral
or anything up front to get them. They require you to
be employed, have a checking account, and some require
a bill or something to prove your address. Some have
more requirements, but the vast majority simply require
a checking account, and proof of employment. You go
into the office and they will determine the loan amount
you qualify for based on your income. You give them
a check for the amount of the loan and they give you
the cash. If you don't come in to pay the loan, they
deposit the check and get their money that way. In this
way they are "semi-secured" but they are technically
an unsecured loan. They don't check your credit history
and you get the money you need. They don't affect your
credit one way or the other and they are only short
term. Most payday loans will only loan you the money
until your next payday within 30 days, but they are
still excellent if you need the money now and can't
wait until your payday.
There are many lenders that specialize in unsecured
personal loans with bad credit history. Many of them
offer loans at a higher interest rate. They have a higher
interest rate because they consider you a high risk.
The high interest serves two purposes. First it deters
applicants who are not serious about getting a loan,
and it compensates the lender for taking a risk on you.
Many lenders will not give you a large loan at first.
It is recommended that you start off with a small loan,
and once you pay it off, get a larger one. This established
a line of credit with that particular company and they
are more likely to lend you money when they see that
you are good at paying on time without being late. They
in turn report your payments to the credit bureau which
improves your overall credit rating making it possible
to get lower interest rates and qualifies you for other
services. This option is great if you need a loan, or
simply want to improve your credit score.
Don't be discouraged anymore! It is possible to get
an unsecured personal loan with bad credit history.