Bad credit history makes it difficult to get a speedy loan, but it is possible. If earlier you had delays in payments and the bank rejects your loan application, we know how to help you. Our loan referral service was created to match you with the best loan for bad credit and at the same time increase your credit score.
Who is considered a high-risk borrower?
Credit history is your personal financial resume, where all operations with loans are indicated: which bank issued it, whether you missed payments, where you currently have any debts, etc. The collected records are then used by lenders to determine your creditworthiness and make a loan decision. The credit history is indicated as bad if the loan is not paid on time, if your loan requests have been rejected, if you had to pay fines and penalties, etc.
You can find out your credit score by contacting any major bank in your city. You can also request a free copy of your credit report from each of three major credit reporting agencies – Equifax, Experian, and TransUnion – once each year at AnnualCreditReport.com or call toll-free 1-877-322-822. So you will understand for what reasons you were denied a loan, or you can dispute false information regarding payments.
Why did my credit score go down? 6 common reasons
We will highlight 8 common factors that negatively affect your credit history:
- Reason 1 – missed or delayed payments of previous loans;
- Reason 2 – too many loan requests in recent times;
- Reason 3 – too many current loans and credit cards;
- Reason 4 – a bank trial;
- Reason 5 – early debt repayment;
- Reason 6 – bank errors.
Common reasons why people take out bad credit loans
Bad credit loans can be issued online for any purpose:
- bills for utilities;
- buying food;
- car repairs;
- debt consolidation;
- business trip;
- medical treatment.
Who is eligible for a bad credit loan?
Eligibility criteria for bad credit loans vary by state and lender. Typically, you must meet a few basic borrower requirements:
- be a U.S. citizen or permanent resident;
- be at least 18 years old;
- have a bank account in your name;
- have a valid email address and phone number;
- be employed and have a source of steady income.
In most cases, you do not need to have good credit or any credit at all.
Now everyone can take out a speedy loan online:
- people with bad credit history;
- people who have no proof of income;
- people who cannot provide guarantors;
- unofficially-employed and self-employed people;
- people of retirement age;
How to get a bad credit loan online
Before approving a loan, the bank will study your financial position and credit history. If your credit score is low, you are likely to get rejected. Microfinance organizations greatly simplify and speed up this process thanks to the online procedure. There is no need to provide proof of income and have a flawless credit history. Online lenders can approve a speedy loan for you even if you have bad credit or no credit.
By contacting an online lender for help, you will instantly receive money. To do this, you need to choose the loan size and term and then fill out an online application form where you will be asked to fill in some basic personal data: name, phone number, SSN, birth date, employment status, payment frequency, and bank account details. At the same time, you should remember that microfinance organizations send information about issued payday loans to credit bureaus. Therefore, the timely repayment of the loan will help restore your credit score, so that in the future it will be easier to get either a large bank loan or a mortgage.
You can find a suitable microfinance organization using our loan referral service. It doesn’t matter whether your credit history is good or bad – just prepare some kind of identity verification. This referral service will help you find the most favorable options for receiving money.
Loan amounts typically range between $100 and $1,000. Loan periods usually do not exceed 3 weeks. The referral service allows you to send one single application, so you do not need to waste time filling out similar application forms on different sites.
Things you should pay attention to when applying for a bad credit loan
When choosing a bad credit loan, you should pay attention to:
- Interest rate. The higher the interest rate, the more you have to repay;
- Loan amount. Take into account your ability to repay the debt;
- Loan currency. It is better to take out a loan in the currency that you use in your daily life;
- Loan term. It is important to understand: the longer the term, the less your monthly payment. But in the end, the final amount is much higher;
- Type of loan repayment. It is better to choose organizations where you can pay off the debt earlier. This way you will significantly save on overpayments.
Why am I getting refused a bad credit loan?
There are a number of reasons why credit institutions may refuse a bad credit loan:
- insufficient monthly income;
- false information in the application;
- bad credit history;
- the age of the client. You must be at least 18 yo.
It is convenient to use the services of bad credit lenders that operate online. Such lenders are much more loyal to credit history than banks. Yes, the rates can be higher, but the chances of your loan being approved are also increased. Use our service and find the loan offer that suits you best now.