Bad Credit Loans
Bad credit loans are for individuals who suffer from bad credit and who experience problems obtaining loans from banks. In some circumstances, people often lack support.
Bad credit occurs when you miss repayments on your current loans, bills or if you have CCJs and bankruptcies.
Not many people are aware that you can get bad credit for applying for too many loans.
How Do Bad Credit Payday Loans Work?
Applying for a bad credit loan is simple, you apply for the amount you require, the lender will then inform you of the interest rate applicable for the amount for the agreed period.
Interest rates are capped by the FCA which means you will never pay more than £24 for every £100 you borrow from the lender.
Bad credit lenders generally work off your affordability as apposed to using your credit history to decide whether to borrow you the money you need.
All that they do differently is make sure that you are who you are, that you are over 18 and in full-time employment with regular income and that you have a U.K bank account.
Can Bad Credit Loans improve your credit rating?
Only if you pay it back on time.
Bad credit loans are not long-term fix solutions if you looking to improve your credit rating. There are several tips that will help such as;
- not applying for too many loans
- spread out any applications you do make
- paying your bills on time and setting up direct debits so that you don’t miss any payments.
- register with check my file to check what details are marked against your name
- make sure you are registered on the electoral
Am I suitable for a Bad Credit Loan?
Everyone is suitable, the is no threshold for applicants looking to apply for the service.
These types of loans have bad reputations in the past, however, times have changed and this is due to the high demand, the rise in transparency with fee and rates and most importantly the customer satisfaction the service has on the borrower’s (short-term) financial circumstances.
Companies (us included) have not only helped people out of an emergency situation, but many have advised thousands of customers on how to improve their credit, manage their finances, budget and even save money too.
PMLoans are here when you need us most, we are here to help, advise and get you back on the track with a healthy financial future.