Tag Archives: tenant
Tenant Loans – Can Tenants Really Get A Loan?
If you rent your home and you need to borrow money with an unsecured loan, a tenant loan may be easier to get than you think.
In the past, lenders have tended not to cater for tenants because of their concerns about what may happen should their borrowers default. In the vast majority of cases, this fear has not been fully justified.
Property prices have soared in recent years, taking many people further away from their dream of owning their own home, whilst others prefer to rent because it allows them more flexibility over where they live, particularly when their job requires them to move fairly frequently. House prices are constantly in the news and a whole industry has mushroomed with property speculators eager to make a financial killing on the capital asset growth that is sure to follow. Unfortunately, this doesn’t really help if you’re looking to get onto the property ladder and as a result, thousands of would-be first time buyers seem to be being edged further and further away from their dream of owning their own home.
Greater numbers of people looking for tenant loans have made the UK lenders sit up and take more notice, so more and more tenants are now able to get their unsecured loan than ever before. Interest rates are more competitive and there are even flexible payment options on certain plans.
So what can tenant loans be used for?
– buying a new car or motorbike – going on a fantastic holiday – consolidating debts – a fabulous wedding with all the trimmings, or even – when considering buying your own home
In fact, you can use the money for just about any personal use. If you’re looking to use the money on a commercial venture however, you may find more difficulty in securing the funds.
Who can apply?
You can probably think of many more uses for unsecured tenant loans but whatever your loan purpose, you may still find that getting a tenant loan is much easier now than in the past and any type of tenant can apply:-
– council tenants – private tenants – housing association tenants, or even – tenants living with parents
There are a few questions that may need to be asked since the lender has a set of criteria that they will need to meet but it may only take a moment to complete a tenant loan enquiry online, so don’t worry. You should get everything in writing from your provider and when you have completed and signed the credit agreement, provided you have met all of the criteria set by the lender, your tenant loan should complete within a few days. Simple!
If you are in the market for tenant loans, go ahead and give it a try. You never know!
Bad Credit Unsecured Loans For Tenants
Applying for unsecured loans for tenants and tenant loans is easy enough but getting the loan accepted is a different matter. Worse still if you have bad credit as you may find that no one wants to know you when youre looking for help. Lets take a look at why lenders in general, are sometimes uncomfortable with lending money under these circumstances and what you can do about it.
The crucial thing for any lender when deciding whether to lend money to you is being sure that they are going to get their money back with interest! A lender makes their profit out of the interest they charge their customers. The more money they charge in interest, in theory the more money they make. There are costs that will need to be taken into account however, in handling your application and administering your loan throughout the term and these costs will come out of the interest earned.
In addition, they may have a level of bad debt. In other words, a list of people who are in arrears with their loan repayments or who have defaulted altogether. This list will need careful managing as it can in some cases, get very out of hand and destroy all of the good work that the lender has done throughout the rest of the year and leave them pretty much empty handed. In the USA in 2007, mortgage lenders were hit very hard by a comparatively sudden and significant increase in bad debt, wiping out all profits and seriously jeopardising the industry itself. For this reason, lenders will often employ the services of economists either directly or indirectly to help them to forecast the potential for a downturn in the economy which could lead to sudden increases in bad debt.
A lender will ask your permission to check your credit file. They will go to the services of one of the large credit reference agencies for information about your repayment record in recent times. It will show how many times that you have applied for credit, whether you have met the repayments, fallen in to arrears, defaulted or been taken to court for non payment and been handed a CCJ. If you refuse permission for the lender to see this record, the lender will almost certainly ignore your application for a loan altogether.
It is very helpful then, for you to maintain a good repayment record to give you the best chance of success when you apply for unsecured loans for tenants or tenant loans. It is not however, the end of the world if you have missed the odd repayment as there are specialist tenant loans lenders that aim their services directly at customers with these types of financial circumstances. The services of a good online broker may well help you here by being able to examine your circumstances prior to making an application to a lender. They will then help you to judge which lender may be the most suited to what you are looking to achieve and the level of likely risk that your record suggests that you pose.
Simply fill in the enquiry form and wait for a call from a loan officer. Theres a process for unsecured loans for tenants and tenant loans that they will take you through that may hopefully lead to success but always be honest and realistic with your application, particularly about any bad credit you may have so that you give the broker the best chance of helping you to be successful. Good luck in your application.