Can I Get a Loan if I Have Very Poor Credit?
If you have very poor credit, you may be wondering if it's possible to get a loan in the UK. The good news is that there are loans for poor credit. However, you may have to pay a higher interest rate than someone with good credit – especially if you extend the repayment period.
First, make sure you explore and compare rates from different lenders. You may also want to consider a guarantor loan, which is where someone else agrees to repay the loan if you can't. Keep in mind that loans for poor credit typically have shorter repayment periods, so you'll need to make sure you can afford the monthly payments.
We partner with a long list of direct lenders. Our panel of lenders includes specialists in providing very poor credit loans.
| Why Trust FastPaydayLoans? | ||
|---|---|---|
| How much can I take out? | £100-£5000 | No obligation quotes |
| Representative APR | 49.7%(variable) | Competitive rates |
| Will bad credit be accepted? | Yes | Lenient requirements |
| What are the repayment periods? | 1-36 months | Flexible loan term options |
| How can I apply? | Apply online | 24/7 available |
What’s The Easiest Way To Get A Poor Credit Loan?
Poor credit can make it difficult to access loans from traditional lenders. However, there are a number of specialist lenders who offer poor credit loans for those with a less than perfect credit history. These loans can often be accessed online and tend to have more flexible eligibility criteria than standard loans.
The easiest way to find a poor credit loan in the UK is to use an online service that partners with different lenders and helps you find a suitable lender. This will allow you to compare a range of different loans from a variety of different lenders in order to find a reasonable deal for your circumstances. You must evaluate what the bad credit lenders have to offer against your own requirements in order to discover the best payday loans for poor credit.
How Much Can I Apply For?
The amount that can be borrowed will vary depending on the lender, but it is typically possible to apply for a loan of up to £5,000. The interest rate on a poor credit loan will also be higher than on a standard loan, but this is to be expected given the increased risk to the lender.
With a little research, it is possible to find an affordable loan even with a poor credit history. Generally speaking, bad credit loans range from £100 and £5,000. Even loans for very bad credit can be applied for and accepted the same day.
How much would you like?
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).
How Quickly Will I Receive The Money?
Poor credit loans can offer a lifeline when you need access to funds quickly. The application process is usually quicker than for traditional loans, and you can get lender approval in as fast as 5 minutes.
So, if you need access to funds quickly and have a poor credit history, taking out a poor credit loan could be the best option for you. Many lenders grant immediate approval to your application and aim to have the cash in your account within 60 minutes of approving you.
Get Cash When You Need It Most
Get StartedHow Can I Improve My Credit Score?
There are a number of things you can do to improve your credit score:
Regularly check your credit report for errors and dispute any incorrect information
It's critical to double-check that the data that the three major credit report agencies, Experian, Equifax, and CallCredit have on you is correct since any mistakes might damage your score.
Pay all bills and debts on time
Getting credit from major lenders may be tough if your credit score is low. When it comes to improving a bad credit rating, time is the greatest healer, but making sure all credit payments are on time is critical.
Close unused accounts
Checking accounts, store cards, credit cards, and catalogs that aren't in use should all be closed down. This can have a significant impact on your ability to get credit.
Keep up with repayments on any existing loans or credit cards
If you have any outstanding loans or credit card debt, make sure you keep up with the repayments. This will show lenders that you're a responsible borrower and help improve your credit score.
Will My Repayments Be Really High?
It's all about how much money you borrow, and the length of time you have to pay it back. The repayments will be greater if you require a large sum over a short period of time.
Repayments are high because lenders perceive borrowers with poor credit as being more likely to default on their loans. As a result, they charge higher interest rates to offset the risk.
We are a loan broker and we can help you connect with lenders in our network. Remember, just because you have poor credit does not mean you have to accept whatever terms are offered to you.
FAQs:
Will taking out a loan help increase my credit score?
In short term, taking out a personal loan can hurt your credit score, but making on-time payments will help you rebuild your credit. The most important thing is to pay back the loan on time.
Are there any charges for repaying early?
Most loans will have charges for repaying early, so it's always best to check the terms and conditions before you apply.
Will you send my data to marketing companies?
Your information is safe and secure with us. We take your privacy seriously and will only use your information to process your application.
Does missing a payment mean I have a bad credit score?
Missing a payment can have a negative impact on your credit score, but this will depend on a number of factors. If you have a history of making late payments, this will likely have a more significant impact on your score.