It is not always simple to get accepted for a credit through a personal or an unsecured loan. Unlike a secured or homeowner loan, a personal loan does not require you to have any asset secured against it, such as a house. Therefore it is seen as a much higher risk of lending, which may mean that you are finding it hard to get accepted for an unsecured loan.
If you have a poor credit rating, have frequently changed addresses or are self-employed then it can sometimes be very difficult to have your credit application approved.
There are lenders that offer 'bad credit' loans which are suitable for those with a difficult financial history, but it is likely that the APR will be at a higher rate. However, you do have a much greater chance of being accepted.
If you have a bad credit history then you are a higher lending risk to lenders, which is why a Bad Credit Loan often needs some form of security against it, such as your property or car.
Need Credit can offer you advice on how to get accepted for a bad credit loan, as well as any alternatives. Please call us free on 0800 048 1774.
Need Credit is a trading style of Ask Finance Ltd (Registered in England and Wales. Company number 4229724), a wholly owned company of the Harrington Brooks Group Ltd. Ask Finance Ltd is licensed under the 1974 Consumer Credit Act to carry on the business of consumer credit, consumer brokerage, debt adjusting and debt counselling. Consumer Credit License No: 507130. Ask Finance Ltd is authorised and regulated by the Financial Services Authority (FSA) - FSA No: 300490 - for the provision of mortgage advice and arranging insurance.