Bad Credit Loans

Have Bad Credit, CCJs or Arrears
Are Self Employed and cannot prove your income
Have been Declined or Refused Credit Before
Have had an IVA or been declared Bankrupt

Bad Credit Loans Explained

Bad credit loans are designed to offer flexible way of borrowing to those who have previously been turned down for credit due to poor credit history, a low credit rating, CCJs, mortgage arrears, defaults, or bankruptcy.

Most lenders will only offer secured loans those with bad credit because of the due to them being a higher risk. This means that the amount borrowed is secured against applicant's property, iin which caseb most bad credit loans are only available to homeowners. Secured loans are more common for those with bad credit as they provide protection to lender because if the borrower fails to keep up with loan repayments over the agreed period, they have the power to repossess the property in oreder to reclaim their money.

Interest rates tend to be relatively higher for those with a bad credit history this again is because of the higher risk. When applying for a bad credit loan the lender runs a credit check in order to decide what interest rate to charge. The interest rate also depends on how much you wish to borrow and over how long you wish to repay.

Those who have higher credit ratings are normally more acceptable to a lower interest rate than those with a bad credit rating. This is because those with higher credit ratings are more likely to meet there repayments. However, when looking to take out a bad credit loan, regardless of your financial circumstances it is important to be careful of lenders over charging with very high interest rates.

Bad credit loans normally have some restrictions as to what the loan can be used for so if your looking to consolidate your existing debts or billsto make them more manageable or even if you plan to buy a new car you shouldn't have any problems.

We can help you find a loan that is tailored to all your needs simply click here to compare bad credit loan quotes from a huge range of lenders and find the loan thats right for you.