Quick & Desperate Tips to Secure a Loan with Poor Credit

| August 23, 2013

Secure a Loan with Poor Credit

We?ve all been there, it?s getting towards the end of the month and you just can?t seem to make the money stretch far enough. You know you?re getting paid on the 30th, but need an extra boost to get you there. Well, never fear, you have many options at your disposal, and this guide will highlight some of the more popular ones, hopefully putting your mind at rest and keeping your head above water until payday.

Ask Friends And Family

Your first port of call should be a trusted friend or family member. Didn?t you say you remember hearing that uncle Dave had a large compensation payout last month? Well now might be the right time to ask him to help you out.

The benefits of loaning cash from people you know personally are obvious – little or no interest, and real peace of mind. Friends and family are usually much more understanding than bank managers, and so, if your repayment is a couple of days late, you?re much less likely to be asked to pay additional charges – unless the people in your circle are particularly cruel.

Borrow Against Your Home

Although the recent housing bubble has left many homeowners with negative equity, if you?re one of the lucky people still in the black, lending cash against the value of your home can be both convenient and extremely viable. You can often avoid extra bills by simply applying the loan repayment to your current mortgage contact, meaning that the bank will generally just increase your monthly payments – hassle free, just how you like it.

Borrow Against Your Car

If you don?t own any property that can be used as collateral, why not try lending money against the value of your car. If pawnbrokers really aren?t your thing, you could try a logbook loan to tide you over until payday. As with lending against the value of your home, logbook loans are secured, and so often allow for the best interest rates around. Also, credit checks are not usually essential when choosing this option, so most people with poor credit scores will generally be accepted.

Try A Credit Union

Unlike banks, Credit Unions are not for profit organisations, owned and run solely by their own members. Just perform a simple search online to find your local union and place an enquiry. Many people feel that this option is by far the most sensible, and that is why it has become so popular in recent times. Much like with a bank, you?ll probably have to pass a credit check, but if you?re confident that your score is good, you really shouldn?t have any problems with the application process.

So there you go, a simple and straightforward guide to obtaining credit in these most troublesome of financial climates. A bad credit rating needn’t be the end of the road these days, there are many alternatives out there, it?s just down to you to pick the most suitable solution for your current circumstances – good luck!