Finding The Best Loan If You Have A Poor Credit History
If you are a homeowner you can apply for a bad credit secured loan, where your property will be used as collateral. Because of the extra security of your collateral the lenders are happy to offer you a loan. The rates may be a little more expensive but so long as you make regular repayments towards your new loan, it should also help you to repair your credit rating.
If you are not a homeowner there are still options open to you if you need a loan today with bad credit. In fact there are two different types of lender that do not even carry out a credit check on you before approving your loan. The first of these loan types is guarantor loans;
A guarantor loan is a loan whereby the lender requires you to have a guarantor who will co-sign the loan agreement on your behalf. The guarantor will need to be a homeowner with a good credit history and he will need to have an income in excess of 800GBP per month (from any source). If you can find an acceptable guarantor who is willing to endorse your application you are more or less guaranteed a loan even if you are unemployed. The second type is a logbook loan.
Logbook loans are loans that are secured on your car logbook, again the lender does not care about your credit history, his only worry is whether or not you own a car that is free of finance and if you have enough income to repay the loan. Obviously the car will need to be worth a little more than the lender will offer you, so that he can get his money back should you default on the repayments.
So no matter how bad your credit history if you need a bad credit loan there are still options open to you. To make it easier for you to fulfill your need you would probably be sensible to apply through a reputable loans broker such as the Loan Arrangers, they will look at your financial situation and find the best loan that suits your needs.