In the UK, obtaining a loan without a credit check is an absolute myth owing to the fact that the Financial Conduct Authority (FCA) makes it mandatory for lenders to run a credit check before sanctioning loans. However, due to increasing concerns about how a credit check would impact their credit history, most people are on a lookout for short term loans with no credit check. In fact, if a lender claims to offer short term loans with no credit check in the UK, then you are being lured into a deal that cannot legitimately take place under the laws and regulations of the UK. So never trust an organization that makes such false claims as that only indicates a lack of transparency.
As a matter of fact, the lack of awareness regarding credit scores and its potential impacts on an individual’s borrowing capability has caused a lot of confusion. Most people are terrified that their loans may be rejected due to low credit scores. This is the very reason why people are looking out for short term loans with no credit check.
You need to understand that bad credit scores may not qualify you for a loan from a premier bank, but there are quite a few understanding and cooperative direct lenders that are willing to sanction your loan. In fact, if you are a sincere borrower willing to make timely and prompt repayments, there is little that you need to worry about your credit scores. The FCA regulates the financial institutions and direct lenders in the UK and no long term or short term loan with no credit check is considered legal.
Need for Short Term Loans with No Credit Check
Often, people start looking for a short term loan with no credit check, either due to the fear of rejection or in the hopes of avoiding further damage to their credit scores. This fear and anxiety about what does and what doesn’t impact their credit scores has led to the demand for short term loans with no credit check. Money Pig wholly empathizes with those who have bad credit scores and therefore makes short term loans available even to those with low credit scores. So, if you are looking up for a short term loan with no credit check solely due to low credit scores, then there isn’t much that you need to fear.
We completely understand the difficulties involved in getting your bank loan approved with a low credit score. In most cases, your application is likely to be rejected due to the traditional outlook of the banks. In fact, even applying for a short term loan from a bank could hurt your credit score, as the rejection of loans also adversely impacts the credit score. So, getting loans from premier financial institutions with bad credit is next to impossible, but there are ways to still be able to qualify for financial assistance. During such times, our strategic alliance with a diverse network of lenders could be of great use. Also, by applying with us, you would be interacting with a financial intermediary. So, there is absolutely no fear of an application rejection further lowering your credit score.
Once we receive your application, we then forward it to the most appropriate lender who then runs a soft credit check to assess your eligibility for the loan amount. Only upon successful soft credit check is the hard credit check performed, after which the loan is sanctioned. So, if the lender finds you ineligible after running a soft credit check, then no hard credit check is performed. Also, the soft credit check does not hurt your credit score as badly as the hard credit check does. Instead, it only gives the direct lender a glimpse into your financial statements, just as you see them. So, besides channelizing your application to the most appropriate and legitimate lender, we also add an additional layer of safety by partnering up with lenders that rely on soft credit checks.
Short term loans with no credit check and no Guarantor – The Ultimate Truth
Earlier, most lenders required all loan applicants to list down a guarantor for their loan. The guarantor would be expected to voluntarily accept the obligation to repay the loan amount, just in case the principal borrower defaulted. It was also required that the guarantor was someone capable of repaying the loan and furnished evidence in the form of financial records and tax returns. These requirements made loan approvals challenging because it’s not always easy to find a Guarantor willing to back your debt on a loan application.
At present, this criterion is only limited to premier banks as you can find several direct lenders tied up with Money Pig, who are willing to disregard this requirement. So, you no longer need to worry about finding a guarantor because currently there are several direct lenders willing to lend short term loans without a guarantor. So, even though short term loans with no credit check are a hoax, you can still find short term loan options that do not require you to have a guarantor.
Times have changed and so has the way in which direct lenders assess loan applications. You can be sure that most direct lenders do not make a decision based on your credit scores. Instead, your ability to repay the loan plays a critical role in your loan being approved.
FAQs on Short term loans with no credit check
- Does money Pig run a credit check on me?
- Do I have to pay Money Pig for a short term loan with no credit check?
- How would Money Pig Help me find the best short term loan?
- What is the best alternative for short term loans with no credit check?
- Where can I apply for a short term loan with bad credit?
- What is the application process for those applying for short term loans with bad credit?
- Will I be obligated to borrow a loan from Money Pig after applying?
- How soon will I receive a short term loan with bad credit?
- Why is a short term loan with no credit check impossible in the UK?
- How does a soft credit check affect my credit score?
Money Pig acts as an intermediary and introduces you to the most appropriate lender from our network of lenders. However, neither do we lend the loan ourselves, nor do we perform credit checks. That mandatory obligation by the Financial Conduct Authority (FCA) only binds the direct lender. As the FCA only requires the direct lender to run a credit check, we are free from this responsibility. In fact, this is precisely what some not-so-transparent intermediaries may project as short term loans with no credit check. As a matter of fact, intermediaries aren’t required to run credit checks for any type of borrowing, and it is solely the direct lender, who is under an obligation to do that.
According to the UK laws and regulations, the FCA regulates all financial organizations, including direct lenders in the UK. The FCA lays down guidelines for them to operate in a certain manner and makes it obligatory for them to run a credit check. So, no legitimate lender in the UK can offer a short term loan with no credit check. Most people look up for this option due to their low credit score. However, from our extensive experience, we can say that there isn’t much to worry about your previous credit scores. Even if you have had problems with that, most lenders overlook your past records and focus on the most recent information that we collect from you in the loan application.
Absolutely not, although we understand that some intermediaries do charge a loan processing fee, Money Pig does not. We are here to help you get through the tough times by offering short term loans despite low credit scores. So, we bring you proposals from multiple direct lenders on a single platform. However, we aren’t one of those who would falsely claim to offer short term loans with no credit check.
You can be sure that we do not charge you anything, neither upfront nor as hidden charges. We only connect you to the lender who offers short term loans with terms that would best suit your requirements. If you are wondering how we manage to run the show, we generate revenues through our network of lenders, according to agreed terms. So, our sole responsibility is to help you get the best deal on short term loans, after taking into account your individual needs. Our network includes some of the most reputed and legitimate lenders who are flexible when it comes to your credit history.
Money Pig is an impartial intermediary that partners up with lenders willing to lend money to those with various credit histories. So, whether you have a high credit score or a low one due to poor credit history, we can find you a lender willing to sanction your loan. Therefore, our network consists of lenders willing to offer short term loans for bad credit.
We completely understand that credit ratings have been unfair to quite a few people in the UK. Also, we know that the aftermaths of bad credit scores continue to adversely impact their loan eligibility from reputed banks. Therefore, we have a diverse network of lenders who are willing to extend credit to those with low credit scores, within a reasonable timeframe.
Money Pig is focused on facilitating long term and short terms loans so that everyone can fulfill their financial obligations. In doing so, we pay close attention to everyone’s needs, irrespective of their previous credit scores. However, the applicant would be required to furnish some very specific details in the loan application. According to the details so furnished, we put the applicant through the right lender.
Money Pig offers you countless short term loans irrespective of your credit score and that indicates how flexible our lenders are, in this regard. So, if you need a short term loan with no credit check, then we have some legitimate loan options that may work for you. You can choose to apply for a payday loan or a short term loan with bad credit. If you are a student, we offer you an additional borrowing option in the form of short term loans for students.
You can apply for various short term loans despite having bad credit scores, depending on your employment and professional status. As a responsible intermediary, Money Pig does not promote offers from direct lenders who do not operate legitimately and offer short term loans with no credit check. Nonetheless, we completely understand your concerns and bring you the closest legitimate alternatives for short term loans with no credit check. All our direct lenders make use of a soft credit check in the initial stages, which does not hurt your credit score. Also, the soft credit check is only carried out by the lender whose terms seem agreeable to you. So, the options are unlimited and although there are no short term loans with no credit check in the UK, Money Pig can still help you get a short term loan with bad credit.
If you have a bad credit score when applying for a short term loan from a bank, it is going to do more damage than good. Most banks in the UK reject loan applications from those with a bad credit rating, which can further take down your credit score. So, your only other option is to apply for a loan from a direct lender, who is willing to sanction your short term loan despite your bad credit score. However, you need to bear in mind that approaching direct lenders also brings the risk of rejections, and therefore the most viable solution is to make use of the services of an intermediary like Money Pig.
For any of the loans including short term loans, no credit check is carried out by Money Pig as we are not the direct lender, but connect you to our network of direct lenders whose terms and conditions seem agreeable to you and vice versa. This greatly reduces the chances of rejection and the problems that come with it.
If you wish to apply for a short term loan with bad credit, you need to start by filling out an application form with Money Pig. If you are a student, then we also offer short term loans for students, which can be repaid according to your convenience and you may take as long as 3 years to do so. Not many banks offer this and therefore you may not know that this type of loan exists. On the other hand, if you are concerned about low credit scores, then we also have direct lenders within our network who would be willing to offer short term loans with bad credit.
Once you have decided on the type of loan that you wish to apply for, you can go ahead and fill out our loan application. Upon receiving your application for a loan of your choice, we assess your application and get back to you with offers from the most suitable direct lenders from our network. We then discuss their terms and conditions with you, so that you remain informed about the interest rates at which the lender is willing to provide you a loan. Once you know your options, you then need to make the final decision based on interest rates and the period for which you wish to borrow.
When you go through the terms and conditions of a particular lender and get back to us, we then forward your application to that particular lender. Then, the lender runs a soft credit check on you, which gives the lender insights into your financial details, allowing the lender to see it just as you do. If that seems okay, the lender then performs a hard credit check and sanctions the loan.
When you apply for a short term loan from Money Pig, you are under no obligation to borrow the loan and are free to turn down all the offers made to you. Your obligation begins only after you enter into a loan agreement with one of our direct lenders. At Money Pig, we only pile up multiple offers from our network of lenders, which offers you the convenience of making the right choice.
Once your application is approved by Money Pig and you agree to the terms of a particular lender, then we communicate the same to the lender. If you are considered eligible by the direct lender after the mandatory credit checks, your loan gets approved. Upon approval, the loan amount is credited to your bank account within 15 minutes. However, we have processed several short term loans on the same day of receiving an application. So, if you are in a tough spot and need the money as soon as possible, do make it a point to mention the same in your loan application.
In the UK, short term loan with no credit check isn’t permitted by the FCA, which regulates financial institutions and direct lenders. According to the FCA’s guidelines, it is essential for a financial institution or a direct lender to run a credit check, before sanctioning a loan.
A soft credit check shows the direct lender your financial records, just like you would see them yourself. That allows them to assess your ability to repay the loan in due course. Also, you can be sure that your credit score would not be adversely affected due to a soft credit check. If you are looking up for short term loans with no credit check, then it is quite obvious that you are either concerned about your low credit score or anxious about the possibilities of one. However, when you are transacting through Money Pig, that should be the least of your worries. We make it a point to partner up only with direct lenders that are willing to run a soft credit check in the initial phase, to ensure that your credit scores are not affected.