Installment Loans For Bad Credit
Installment loans for bad credit refer to loans that are sanctioned to someone with a bad credit history, allowing repayment in several small amounts. According to the terms agreed upon in the loan agreement, installment loans for bad credit may require weekly or monthly repayments. As you are obligated to pay smaller amounts over a long period, you don’t feel the pinch of it.
Installment loans for bad credit are usually preferred while borrowing larger sums, as it gives you the time to repay the loan amount in smaller sums. These are ideal for anyone who wishes to buy a home, land or car because it lets the borrower repay gradually, in smaller amounts. Often due to the longer repayment period, these amounts can be easily repaid if you have a steady job or income stream. So, if you have a bad credit history and are struggling for a loan, then our installment loans for bad credit history can be of great use. Also, to ensure that you don’t further lower your credit score, we recommend that you also have some savings to repay at least five installments, just in case you find yourself in-between jobs.
Installment loans for bad credit | FAQs
- What are installment loans for bad credit?
- Are installment loans for bad credit and payday loans the same?
- What are the advantages of installment loans for bad credit?
- Can I apply for installment loans for bad credit?
- Does Money Pig give installment loans for bad credit?
- How can I apply for installment loans for bad credit from Money Pig?
- Does Money Pig charge me for installment loans for bad credit?
- What are the interest rates for Money Pig’s installment loans for bad credit?
- What is the difference between fixed interest in variable interest rates of installment loans for bad credit?
- What are the advantages of applying for installment loans for bad credit from Money Pig?
- For what purposes should I borrow installment loans with bad credit?
If you wish to buy a house, farm or any other capital asset, you need to borrow a large sum and that does not get any easier with a bad credit history. That’s because if you have a bad credit history in the UK, then getting an installment loan for bad credit is next to impossible. Leading banks decline loan applications from those with bad credit history and direct lenders may not always be willing to lend you one. This is when Money Pig steps in and makes the entire process convenient by connecting you with those direct lenders, who are willing to advance installment loans for bad credit. This is what we mean by installment loans for bad credit. According to most of our customers, it is the most convenient way to repay as the repayment is done in smaller chunks.
Installment loans for bad credit are a form of loan that allows a longer repayment period and is often sought for larger amounts. These are ideal for those who wish to buy a home, car or invest in real estate despite bad credit history. In the UK, low credit scores can deeply impact your loan eligibility with leading banks and there are times when smaller amounts don’t serve the purpose. To fill in this void, we have strategically designed our installment loans for bad credit.
On the other hand, payday loans are smaller amounts, often under £500, which are borrowed for a relatively shorter duration and are repaid when the borrower gets his paycheck. So, these are unsecured loans that may help deal with sudden expenses. These are ideal for short-term smaller borrowings but are futile when you need to borrow larger amounts. Also, the APRs charged largely vary between the two as Direct lenders advancing payday loans may charge as high as 400 percent while most lenders that offer installment loans for bad credit charge under 36 percent.
Another noteworthy difference between the payday loans and installment loans for bad credit is the kind of credit check that our direct lenders run on you. As Payday loans are unsecured loans, the direct lender would not run a hard credit check on you. However, in the case of installment loans for bad credit, the lender would run a hard credit check to assess your repayment capability. However, since Money Pig’s network of direct lenders consists of those willing to advance installment loans to those with low credit scores, there is little that you need to worry about.
You can be sure that despite the hard credit check, our direct lenders would fairly interpret your credit history. So, to sum it up, the difference between a payday loan and installment loans for bad credit is the size of the loan and the repayment period.
Installment loans for bad credit offer a longer repayment period and require you to pay both the principal amount and the interest in smaller installments. This makes it easier for the working class to deal with unavoidable expenses such as mortgages, car loans, etc.… without worrying about a low credit score. Also, when you need money urgently and a short term loan or a payday loan does not seem suitable due to shorter repayment periods and high interests, you can always consider borrowing our installment loans for bad credit. We understand your needs and process installment loans for bad credit as quickly as possible, making it a convenient long-term option for those with low credit scores.
Also, the smaller repayment amounts let you manage your finances in a more effective manner and allows you to repay the loan without having to cut corners. These smaller amounts ensure that you neither miss a payment nor skip one due to some other expense that you may have to deal with. Since the amounts are usually much smaller, you can conveniently set aside the installment amount. This not only saves you from late fees but also helps improve your credit score as the lenders report your prompt payments to credit reference agencies.
Yes, you can apply for installment loans with bad credit score, but only from certain direct lenders that are willing to advance long term loans to those with bad credit history. Most banks would reject applications for any type of loan from those having bad credit scores, and therefore your only option is to look for direct lenders willing to sanction installment loans for those with bad credit history.
We understand how tedious and grueling this search can be and to save you from rejection and its aftermath, we provide you with a platform to connect with several direct lenders willing to offer installment loans with bad credit. So, all you need to do is fill in our application form and let us connect you with the best lenders. In fact, doing this would be far better than going through a loan rejection from a premier bank, which could further hurt your credit score.
Money Pig connects you with some of the most reliable direct lenders willing to give you installment loans for bad credit. However, we act as a mediator between you and our network of direct lenders, helping both the parties get a fair deal. Since we are an intermediary, we help you connect with several direct lenders, which gives you the power to choose the most appropriate offer. Upon receiving your application for installment loans for bad credit, we work towards connecting you with a direct lender who is most likely to approve your loan. So, although we do not provide the loan ourselves, we definitely play a key role in increasing your chances of being approved for one.
Money Pig gives you an opportunity to choose a deal that best meets your expectations in terms of the loan amount, interest rates and repayment period. So, the answer is negative — we do not lend installment loans for bad credit or any other type of loan because we are not a direct lender registered with the FCA. Instead, we are tied up with some of the most reputed direct lenders registered with the FCA, which makes them your best choice, especially when you have a low credit score. Moreover, when your credit score is low, you definitely cannot rely on a bank to sanction your loan. Plus, any loan rejection would only further lower your credit score.
If you have a low credit score in the UK and have decided to borrow long term loan, then you are in for some serious trouble. Most UK banks stick to sanctioning loans only to those with a high credit score and improving yours may take years. Until then, your only other option is to find a direct lender willing to sanction long term loans to those with bad credit. Doing this is a tedious and time-consuming task as you need to look up for them and eventually fill in multiple applications for installment loans for bad credit.
However, Money Pig completely understands how this makes you feel and to offer you a second chance, we team up with some highly reputed direct lenders willing to provide installment loans for bad credit. The gateway to all these lenders is through our installment loans for bad credit application, which requires only a minute or less to complete.
Once you fill in this application, we begin the process of matching your details along with the terms offered by direct lenders within our network. Each of these lenders is FCA approved and has an outstanding reputation. After we have pulled out the right matches, we discuss the terms offered by the lender elaborately and let you make the final decision. At this point, you could either go ahead with the offer or turn it down.
If you wish to go ahead with the offer, then our direct lender would run a soft credit check on you. If you are found eligible, he may run a hard credit check before finally entering into a loan agreement and sanctioning the loan. Here, it is critical for you to understand that all financial institutions and direct lenders in the UK are under the obligation to run credit checks before lending.
Since you have a bad credit history, you may be subject to higher interest rates and must make a prudent decision in this regard. After you receive the installment loans for bad credit from a direct lender, you are under the obligation to make prompt repayments directly to the lender. At this stage, the matter is only between you and the direct lender.
No, Money Pig’s business model does not require us to charge you in order to generate revenues. So, you can be sure that all the services that we extend to you are absolutely free of cost with no hidden charges. We are paid a certain amount of commission, as agreed with each direct lender and that helps us manage this platform.
Our core focus is on providing you with the best financial assistance while you are dealing with low credit scores. Also, if anyone claiming to be associated with Money Pig asks you for money to process your loan, you may be sure that it’s not us, but someone falsely misusing our name in order to scam you. Money Pig does not charge its customers at any point during the loan approval process.
The interest rates of the installment loans for bad credit and all the other terms of the loan agreement vary due to several factors. So, depending on the details such as your age, employment, etc.… that you furnish in your application, you would receive an offer. Generally speaking, all creditors charge higher interest rates while lending loans to those with a bad credit history. However, Money Pig has built a network of direct lenders who offer the best deals.
Depending on your application for installment loans for bad credit, credit score and your ability to repay the loan, our direct lenders would propose interest rates. Also, we recommend that before entering into a loan agreement, you check the basis on which the interest rates are calculated as this could deeply impact the repayment amount.
This could be either fixed or variable interest rates. As you are already dealing with low credit scores, we strongly recommend that you opt for a creditor offering a fixed interest rate. Doing that would help you plan your finances in a much more effective manner to ensure that you do not further lower your credit score due to defaults or late payments.
What is the difference between fixed and variable interest rates on installment loans for bad credit?
The basis on which the direct lender calculates the interest rates may either be fixed or variable. As the name indicates, fixed rates refer to the static rate of interest which is charged throughout the loan period. However, the variable interest rates vary according to a pre-determined slab rate. A point to note is that the variable interest rates could either work for you or against you depending on how these are calculated by the direct lender.
When borrowing an installment loan for bad credit, you need to seek more clarity from the direct lender regarding the basis on which the interest rate would be calculated. While fixed interest rate installment loans for bad credit are highly recommended by us, quite a few lenders offer variable interest rates. These could be tricky to interpret as they are tied up to a particular slab rate and may make it difficult for you to repay. So, make it a point to seek more clarity from the direct lender and try to push for fixed interest rates.
We have lenders borrowing installment loans with bad credit for various purposes such as buying real estate, cars, settling lawsuits and more. That’s mainly because those with bad credit scores have very few options for long term borrowing, which makes it difficult to find one. So, if you are struggling to get a long term loan with a bad credit score, then Money Pig’s installment loans for those with bad credit may be of great use.
The best part about this arrangement is that you would be able to borrow a large sum, use it for whatever purpose you wish to, and can gradually repay it in relatively smaller installments. Doing this may also help improve your credit score, but only if you make prompt and timely repayments. That’s because most of these prompt and timely repayments are reported to the credit reference agencies, by the lender.
Borrowing a loan without a good credit history can be a nightmare, especially in the UK. That’s mainly because most banks in the UK follow a very traditional approach when it comes to approving loans. Most of them refuse to even consider a short term loan application from those with bad credit history. Also, there is little you can do to camouflage your bad credit history because the FCA has made it mandatory to confirm credit scores before lending. As all financial service providers in the UK are regulated by the FCA, you can be sure that every financial institution and direct lender would be obligated to run a credit check before advancing a loan.
With such restrictions, it becomes extremely difficult to get a mortgage or a car loan with a bad credit history. This is precisely when Money Pig’s installment loans for bad credit can provide you with the necessary financial assistance. As all our direct lenders are legitimate and highly reputed financial service providers, you need not look any further.
Money Pig’s installment loan for bad credit lets you borrow larger amounts despite a low credit score and repay it in smaller sums. This gives you enough flexibility to make small periodical payments over a longer period unlike the payday loans or short term loans. Yet another advantage of applying for an installment loan with bad credit from Money Pig is the fact that we do not charge a loan processing fee from you. As a matter of fact, most intermediaries have hidden costs and charge high loan processing fees from those with bad credit scores. However, at Money Pig, all of our services offered to you are absolutely free of cost.
Furthermore, as the installments are distributed over a longer duration, the installments are likely to be smaller, which makes it more convenient for the borrower to fulfill his or her obligation towards the direct lender. As a result, that minimizes the chances of not being able to make timely payments. Most importantly, Money Pig’s direct lenders who advance installment loans for bad credit, make it a point to report payments to credit reference agencies.
So, over a period of time, this would help you improve your credit score and you may later consolidate your installment loans with bad credit, through a bank loan. However, we recommend that you clarify all of this yet again with the direct lender before entering into a loan agreement, just to be doubly sure.