Poor Credit Score Loans
A credit score is a three-digit number that assists financial institutions in assessing your credit history. Also, it’s how they calculate the risk of lending money or extending credit to you. Poor credit can be a strong deterrent for creditors when they’re deciding whether to grant you credit or not. This can be disappointing when unanticipated money problems occur. Especially if you were relying on a form of credit to revert that issue. Poor credit score loans provide a swift solution to that problem.
Causes of Poor Credit
Having a poorer credit rating can be due to a multitude of reasons. You may not have paid back your loan on time… On the other hand, it can be the result of you not using much credit. This may seem confusing but it’s just that you haven’t shown creditors your ability to get credit and properly repay it. Having too many forms of credit in use can lead to your score diminishing. Your credit use is usually referred to as your credit utilization ratio. Constantly requesting new lines of credit can lead to the same effect as well.
How to raise your Credit Score
Raising your credit score can be done by making payments reliably as well as being registered on the electoral roll. Not to mention keeping your credit limit usage below 50% will work in your favour. Making sure that your credit record has no mistakes on it is extremely important. This is because having old, incorrect or outdated information on your credit file can result in your score is lower than it should be. Advancing your credit is crucial to making your financial life simpler and benefits your finances to optimal levels when combined with our saving tips (which can be found on our blog).
The reasons behind the benefits of a good credit score include:
- Your credit limits increase – Because you demonstrate that you can repay what you’ve borrowed on time, banks will be willing to allow you to borrow higher amounts of money.
- You get more negotiating power – Having a good credit score provides you leverage to negotiate a lower interest rate on a new loan or credit card
- Access to more offers – Having a higher credit score means enhanced chances of approval.
- Better car insurance rates – Auto insurers tend to use a bad credit score against customers. Insurance companies believe that those with a bad credit file tend to file more claims. Having a good credit score allows to fork out less money on your car insurance.
Applying for Your Poor Credit Score Loan
Applying for your loan is smooth and straightforward. We’ll forward your details to our panel of lenders which contains some of the UK’s leading short-term lenders. The details we require from you are:
- Your bank details
- Income details
- Expenditure details
- Your personal details
After you enter your personal details, income, expenditure and bank account details, we’ll send them to our lenders’ panel which consists of the leading UK short term lenders. You’ll be notified with a decision promptly and then directed to the lender’s website to accept your easy loan & electronically sign the documents. Also, we’re open to applications 24/7. This is because our application process is online rather than being through phones that are inopportunely open only during business hours. Likewise, it’s required that you submit an income & expenditure statement in addition to a copy of your ID (driving licence or passport).