There could be times when people have run into bad luck with paying off debt or have been late paying for their bills. Unfortunately, these types of choices that we make could create a negative impact on our credit. The more negative credit one accrues, the more “bad credit” one has. Do you know your bad credit loan options?
Now what does that mean? It means that if you need money that you do not have, or want to mortgage a home, bad credit can stop you from getting anything as soon as you apply in some cases. Lenders find it risky to give unsecured loans to those who they feel are unable to keep up with payments based on their bad credit.
But don’t fret, in the world we live in today, there have been many options that have overhauled loans. For those who have suffered financially, and have dealt with the label of bad credit, there are loan options made especially for you! They are appropriately known as bad credit loans options.
With bad credit loan options, these lenders look at other things other than credit that gives someone like you the money you may need. All in all, what are some bad credit loan options you can choose from, and which one is right for you?
Here are just five bad credit loan options to get you started that could be detrimental for you, especially if you’re looking to desperately pay for something.
These bad credit loan options are found on peer-to-peer lending sites. They help prospective borrowers to get loan options from lenders that are not banks or other financial institutions, but rather they are individual lenders.
With so many individual lenders to choose from, it is important to note that these sites require strict qualifications that could keep you from getting a loan you need, as well as high rates that could leave you paying off a bunch of loans from several lenders.
One of these bad credit loan options could be particularly useful if you know family or friends that are willing to help. Cosigned loans could be the bad credit loan option that is right for you, especially if the cosigner has a good line of credit and is willing to handle the responsibility of the loan if it falls in their hands.
Pay Day Loans
A payday loan is a very short-term loan. When you take out a Pay Day loan, you have no more than a few weeks long for that loan to be paid. These bad credit loan options are typically offered through payday lenders operating out of storefronts. However, many are now operating online. They work best for people who need cash quickly, which is why their application process could be completed in a few minutes or less.
Once the loan is approved, the funds are deposited into a verified account. But this is where the term payday loans get its name from. The lender will then typically require that you write a postdated check in payment of both the loan amount and the interest charged on it.
This means that your next paycheck is theirs for the taking because that is what is being used to pay off the loan. The rates are known to be high for payday loans and can be difficult to pay off.
Title Loans are a type of secured loan that can get you fast funding1. The one essential thing that a borrower needs to know about auto title loans is that they require collateral, which is the title of your car. If you can keep up with monthly payments, title loans may be the right choice for you since they are known to be a competitive market that could offer some better rates out of most bad credit loan options.
Now that we have looked over five bad credit loan options, maybe we could consider the one that could work for you.
Out of all the bad credit loan options, which one works well for you?
We at Max Cash Title Loans recommend that you look through all the bad credit loan options before considering picking the ones we have listed for you. When you have no ideal relatives or friends that could assist you with cosigned loans or personal loans, then maybe look at secured loans with a better outlook.
Sure, payday loans might be fast, but most always usually come with balloon payments. Peer-to-peer loans are convenient but filled with high rates and low lending. But what about title loans?
As far as bad credit loan options go, title loans have some major factors going for it. They are fast! Depending on the inquiry form and your lender, most title loans can be given in a matter of a few days, which is already quicker than unsecured loans1.
Not to mention that they only require a few things, which include:
- Proof of income
- Qualifying car title
- Proof of residence
- Several photos of the car
Most car title loan lenders are now online, so the inquiry has been made even easier and more efficient. But how can we at Max Cash Title Loans help you get one?
Max Cash Title Loans want to help you find bad credit loan options
We at Max Cash Title Loans are experts on these types of bad credit loan options. With years of understanding in title loans, we have a good idea of what people want out of them. We have connections with multiple lenders and we want to get you connected with some favorable bad credit loan options for you.