Bad credit check loans are often simpler, faster and easier to attain than loans that require credit checks, and they are typically the only form of lending available to people with extremely bad credit.
In California, getting a loan with bad credit is something that many people seem to think is impossible, but it’s actually quite easy if you know what type of loan to pursue.
If you have serious credit problems, but need some emergency money today, call us at Car Capital Financial for a safe, reliable and affordable car title loan. We can provide you with the funds you need in as little as 30 minutes!
Cash Loans with Bad Credit is OK Required
Car Title Loans
Car title loans are a type of collateral loan where the value of the borrower’s car is used to help them qualify for a secured personal loan. Car title loans can usually be awarded extremely quickly, but unlike traditional auto pawn shops, some car title loan companies allow borrowers to continue driving their cars while they’re paying back their loan (rather than having to leave the vehicle at the shop).
Bad credit check car loans are widely available throughout California, and are relatively easy to qualify for. Title loans are issued based on your ability to repay the loan. If you’re looking for some quick cash and you’ve got a paid off or nearly paid off vehicle, you owe it to yourself to look into this option before turning to other riskier solutions (like neighborhood loans, pawn shops and cash advances).
Neighborhood Loans
Neighborhood loans with bad credit check are a very common method of gaining a quick loan when there is an immediate need of cash and where the borrower doesn’t have anything to offer as collateral. bad credit check neighborhood loans centers can be found in virtually all of California’s cities.
Even though neighborhood loans are a good example of a bad credit check loan, the problem with them is that they often lead to financial disasters. The way the loans are stipulated, borrowers must pay back the loan before they’ve received their next paycheck, which is often times completely impossible since there’s virtually no way to come up with those funds until they’ve received that next paycheck.
What this does is trap borrowers into a cycle of missing their payment, having to pay penalties and higher interest rates for failing to live up to the original contract, which drives them into greater debt. Each missed payment causes more debt and another missed payment, with the end result being debt spiraling out of control, with virtually no hope for getting out of it. Avoid neighborhood loans like the plague.
Credit Cards
A credit card with bad credit check might sound bizarre, but there are plenty of credit card companies that are willing to award credit without completing a credit check. Credit card companies make money by charging high interest rates, so they want to give out credit cards to users with poor credit scores, who they feel are less likely to repay their debts on time and avoid late fees and other financing costs.
The problem is that getting a credit card with bad credit check virtually guarantees that you’ll face the highest possible interest rates they offer, meaning that the price of using that credit card will be extremely high. Want to pay an extra 20-30% for everything you purchase? If not, you may want to avoid looking into other options for loans without credit checks.
Personal Loans from Friends & Family
A friend or a family member may be willing to award a loan without doing a credit check, but in many cases best friends and family members are the least likely to lend money to people who need it most (since they know all about the financial problems that person is facing). Additionally, you would only want to borrow money from family and friends if it was a really small amount, since you’d lose them if you couldn’t pay back a big one.
When personal loans between friends and family members go bad, they can go extremely bad. Friendships are lost, divorces occur and family networks are shattered by irresponsible lending and borrowing, all of which can be avoided by seeking out legal, safe, and alternative forms of bad credit check personal loans.
Federal Student Loans
Bad credit check student loans are typically available from the Federal Government, since it seeks to make college money available to anyone, regardless of their financial history. This is great for those individuals who want to get money to go to school, but for the average person who just needs some financial assistance, these won’t help at all.
If you need a loan without a credit check, but aren’t going to spend the money furthering your education, then you’ll have to look elsewhere for assistance.
Cash Advances
Cash advances are another form of lending for people with terrible credit which is quite risky and could lead to even worse financial trouble for borrowers. Like neighborhood loans, they typically come from relatively shady parts of town and are most often offered to people who can’t qualify for any other type of financial assistance and who have no choice but to rely on them.
The problem with cash advances is that they often come with insanely high interest rates and some difficult loan conditions, like short repayment schedules and enormous fees for missing payments or making them after the due date. If you have anything of value that can be used as collateral, you’d be better off pursuing a bad credit check secured personal loan instead.
Unsecured Loans
Taking out an unsecured loan with a bad credit check is not necessarily a good idea, for one very simple reason. Even though these loans are easy to get, since they don’t require offering any collateral or a whole lot of paperwork to prove that you’re a reliable borrower, they come with some of the highest interest rates of any loan on earth.
Think about it for just a second – if you had a bunch of money and wanted to lend it to someone else to make money off the interest they pay you, would you give it to someone without any valuable assets put up as collateral, or to another guy who said he’d be willing to give you his car if he defaulted on the loan?
Lenders who provide funds to people who have terrible credit scores, have perhaps gone through bankruptcies, home foreclosures, previous loan defaults or vehicle repossessions have to do something to protect themselves from the inevitable result that many of their borrowers won’t be able to pay them back. What’s the solution? They charge astronomical interest rates for each loan that they provide!
Online Loans
You can get an online loan without a credit check, but is it really a good move? While it may sound extremely convenient, typically there are pretty strict applications processes for this type of loan, since there’s an extremely high risk to lenders providing them.
While you won’t have to undergo a credit check, you might have to pay a big up front cost (down payment), provide all sorts of legal documentation, and end up running through a minefield of paperwork that leads you to take even longer to get the money you need than you could have spent on it by simply going down to the local pawn shop in person.
Plus, how reliable are most of these companies? Some are complete scams and are just looking to steal your personal information so they can perpetuate identity fraud. Be careful about pursuing these types of shady lending practices, as you could get burned pretty badly in a heartbeat.
Pros & Cons of Loans With Bad Credit is OKs
Personal loans can be an excellent short term solution for cash flow problems, but borrowers need to keep the following pros and cons in mind when applying for a loan:
Advantages:
- Loans without credit checks are great quick fixes for short term financial problems, as long as they’re used responsibly. They can be used to pay the rent, cover unexpected medical costs or any other expenses.
- When money is needed quickly, fast loans can be a great way to generate the revenue required within hours. These can be awarded faster than virtually any other type of loan.
- If the borrower has poor credit, a loan may be their only option for obtaining the money that they need. If you’ve declared bankruptcy, had vehicles repossessed or lost your home to foreclosure, these might be your only option.
Disadvantages:
- Some loans charge extremely high interest rates, though some forms are worse than others (for example, cash advances and neighborhood loans come with extraordinarily high interest rates, while car title loans are relatively cheap).
- Late payment fees can be expensive for borrowers who don’t fulfill the terms of their loan contracts. If you can’t make your loan repayments on time, it’s likely that you’ll face additional fees or have to pay higher interest rates than you originally contracted for.
- Many loans with require repayments on a shorter time frame than regular bank loans, especially with neighborhood loans and cash advances. Be careful about the type of loan that you take out, because you need to make sure that you can repay it on time.
Why Consider Car Title Loans?
Car title loans are one of the safest forms of loans that you can take out, and for some simple reasons:
- These loans are secured by collateral, making them safer for lenders and allowing them to offer the loans at a lower interest rate than they can provide with unsecured loans
- Borrowers are given a much larger window to repay their loans than most neighborhood loan centers offer
- Some car title loan companies don’t charge pre-payment penalties (make sure you ask!) so you can repay the loan quicker without having to feel the full force of compound interest
- Some car title loan companies will allow you to keep driving and using your car like normal (make sure you ask!) while you’re making loan repayments, meaning you don’t really have to sacrifice anything to get the cash you need
- Car titles loans can be awarded within a matter of minutes, meaning that even if you need emergency money today, these are still a valid and viable option
Car Capital Financial
Our team at Car Capital Financial understands that there are some times when applying for a loan is unavoidable. If that time has come for you, please call us immediately at (888) 500-9887 to discuss how we can help.
We do not require a credit check for our loans, we don’t charge prepayment penalties and you will be able to continue driving your vehicle throughout the course of the loan.
Whether you need money in Los Angeles, Orange County, Riverside or San Diego, we can help today.
Call us now!