It’s becoming harder and harder for UK residents to stay on top of their finances at the moment, with salaries failing to match the cost of living, extortionate energy prices and high priced travel costs. When most people are in need of financial assistance, they can often turn to a bank or loan company who can help. However, if a person has bad credit then you can trust that they’re in for an even tougher time.
The Many Disadvantages of Pay Day Loans
Unfortunately, those suffering from poor credit often turn to unscrupulous pay day loan companies that only care about making more money off their clients, instead of actually helping them. Using these services will provide a person with high interest rates and they could therefore potentially fail to make repayments – and this can lead to them taking out another pay day loan just to pay off the first one.
Handy Bad Credit Loans
There is an alternative, though, in the form of bad credit loans. Bad credit loan companies don’t judge you by your financial history, as they understand how easy it is for people to struggle with debt. Unlike pay day loan companies, they’re responsible lenders who will take your individual circumstances into account. They simply want to know if you can afford the repayments so you don’t become deeper into debt.
Poor Credit Loan Eligibility
You can usually take a bad credit loan even if you have County Court Judgements, defaults or arrear. Been rejected by other lenders? It’s not a problem. Most poor credit loan companies can borrow you from around £2,000 to £25,000, depending on your circumstances. You could therefore use this money to start a new business, make home improvements, take a holiday or pay off some existing debts.
The Interest Rates
Obviously, the interest rate might be a little higher on a poor credit loan in comparison to those with good credit, but it could help you on the right financial path. Also, the representative APR should always be visible on a loan company’s website – if it’s not then you should look elsewhere.
If you are suffering from debt and don’t know where to turn, contact the National Debtline today for further financial assistance.
The Money Manager 