The most common types of loans for people with bad credit are secure loans, which use some kind of equity to secure the loan. For example, a mortgage is a secure loan, as is a title loan. Both of these use something you own, to make the loan secure.
However, if you do have bad credit, this doesn’t always mean you can’t qualify for unsecured loans as well. Unsecured loans have the advantage of not having to risk something you own, in order to take out a loan.
In fact, there are various ways you can take out an unsecured loan with bad credit, and these include:
Get a Credit Card
It is not at all unusual for credit card companies to award cards to poor credit holders. Therefore, you may want to try applying for at least a couple of credit cards. While a credit card isn’t a loan in a traditional sense, the credit does essentially act as one, and it can be a useful way to make major purchases which you can’t afford to pay for all at once.
Take Out a Neighborhood Loan
If you receive a regular pay check, you may qualify for a neighborhood loan. While it’s true that neighborhood loan companies don’t have the best reputation, a neighborhood loan will typically award you the value of your next paycheck. Unsecured personal loans for people with bad credit are best used for people who are in absolute desperate need of fast financial relief. Just make sure you know exactly what you’re getting yourself into when you take out one of these controversial loans!
Consider an Online Loan
Online loans have become popular since the 2008 Recession, as they are a fast way anyone with internet access can borrow money fast without the requirement of a credit check. However, it is important to consider two things before you take out an online loan. Firstly, they often enforce extremely high interest rates. Secondly, usually a very small repayment window is provided, which can make these loans very difficult to pay back on time.
Try a Traditional Bank Loan
While it’s true that traditional banks are less willing to award personal unsecured loans to those with poor credit, the recent upturn of the economy is leading some banks to loosening this policy. If you are able to explain why you have a poor credit score, how you are working to boost your credit score and that you have a steady income – a bank may be willing to lend to you. You will probably have to shop around a bit, but it’s absolutely worth your consideration.
Borrow from a Friend
Do you have a wealthy friend, or even just one you’d think would be willing to help you out financially? Ask around with your friends and family to see if anyone is willing to lend you a cash loan. You could provide them with a timeline on how you will repay it, and even draw up a repayment contract to make it official. Asking loved ones for financial help is always a little awkward, but if you’re facing difficult financial times, it’s in your interest to at least try.
Car Capital Financial – An Alternative Option
All you need to have to qualify is a car that’s almost paid off or paid off in full, has a wholesale value of at least $5000 and be a Southern Californian resident. Title loans are issued based on the borrower’s ability to repay the loan.
Get your loan today. Call us at 1-888-500-9887 to get started.