Category Archives: Auto Loans
Instant Unsecured Loans: Fast Loans without Any Security
Instant unsecured loans are the quick loans provided without keeping any security. It is the best loan for tenants who need some urgent cash but either dont have any property to keep as security or dont want to risk them. As these loans are generally provided by online lenders, the loan is approved quickly. Also being unsecured there is no wastage of time in documentation which further makes the whole process fast.
Generally bad credit holders such as people having CCJs, arrears or any default payment can also apply for these loans.
These loans are not only for tenants without any home but homeowners can also apply for it. You can easily find a lender offering such loans. For the convenience you can go for online search so that you can avoid the mental and physical stress while finding a lender by going to various lenders office. You can use this loan for your personal uses like going on a holiday trip, home improvement or car repairing.
The prerequisites are very simple as stated below:
a) you must be a resident of UK
b) you must be above 18 years of age
c) you must have a regular employment
d) you must have monthly income above £1000
e) You must have a personal checking account operating since 6 months.
The range of loan amount is £1000 to £25000 with a repayment period of 6 months to 10 years. The interest rate is a bit high as the loan is approved fast and without any security. The people having good credit history can get benefit as they may get a cheap interest rate. To get a cheap loan you should search the market well. Also the timely repayment is must as in case of failure you not only increase your interest rate but also hamper your credit history.
Summary
Unsecured instant loans provides quick loan without keeping any security. These loans are especially meant for tenants and even people with bad credit can apply for such loans. The interest rate is a bit high so timely repayment is must.
Small Bad Credit Loans Can Aid Credit Recovery
Not only bad credit loans are the only source of funds that those with a poor credit score can count on, also, with the use of small bad credit loans it is possible to raise credit score and improve credit history. The process, as incredible as it may seem is rather simple and with a few months of bad credit loan repayments you can get your credit back on track.
Using bad credit loans for improving credit score and history has its benefits and its drawbacks too. There are many factors that need to be taken into consideration before jumping in to request a bad credit loan. Specially, there are two issues that you should take special care of: Making sure it is a small amount loan and knowing for certain that you will be able to repay it on time.
The Small Amount Requirement
Most bad credit loans come in small amounts, however, even if you can get higher amount loans, it is imperative that you keep the amount small in order to succeed with this credit recovery program. Otherwise, a low income to debt ratio will affect your credit score negatively and you would be getting exactly the opposite results that you want.
Small loans can guarantee that you will not have difficulties in repaying the money owed and that your credit score will not be affected by the new debt you have incurred in. Moreover, the continued repayment of these loans will keep getting recorded into your credit report, improving your credit history and thus increasing your credit score.
Assured Repayment: The Income Requirement
As far as possible, the lender needs to know that you will be able to repay the loan. Thus, you will be required to show proof of a steady income and this implies that you will have to provide copies of paychecks, tax presentations, etc. This is a very important requirement since you are applying for a loan with bad credit and the lender is running a great risk.
Of course, the income needs to be good enough so you can afford the monthly payments without sacrifices even if unexpected expenses arise. Thus, some lenders fix the monthly payments at a 40% of the monthly available income of the applicant. Some lenders also require that you show that you have remained in the same job for at least one year. If you have changed jobs recently but within the same field, this requirement may be bypassed.
Where To Apply
The best way to find the right lender for applying is to do a quick search online. Just select your preferred search engine and seek bad credit loans. When asking for information to the different lenders you will be presented, remember to request only small amount loans as thats what you are looking for and ignore other offers.
You can request loan quotes from different lenders and compare what each of them has to offer. After you have selected the loan and lender that best suits your needs, you just need to fill the online application and wait to be contacted by them. Remember to make sure you can afford the monthly payments so you do not miss an installment or pay late. Within a short period of time you will improve your credit score and history.