Applying for a loan can be tricky when you have already experienced it. Also, it will be hard to qualify for a loan, especially if you have bad credit. Having bad credit has many downsides, which is why knowing the importance of having a good credit score is crucial. There are easy loans you can apply for when you have bad credit.
Besides, the interest rate will be higher than usual if you apply with a bad credit score. Consult a credit repair specialist if you want to fix your credit but don’t know how. They can provide you with helpful credit repair tips.
Below are the Easy Loans to get Approved for:
Easy loans are those that offer short-term solutions for bad credit borrowers. It is also designed to help borrowers who need fast cash.
1. Personal Installment Loans
Personal installment loans are unsecured for borrowers with low credit scores. It is regularly scheduled payments, usually monthly. The amount the borrower pays monthly stays the same throughout the loan term, which makes it easier for borrowers to track their monthly expenses.
The main variables that determine the size of each loan payment include the loan amount, the interest rate charged by the lender, and the loan term.
2. Payday Loans
This is also a type of unsecured debt that you can qualify for without a credit check. However, you may only take the loan for a short period; it usually takes two weeks to repay or your next payday. A payday loan is short-term with high fees that make it expensive to borrow money.
Lenders will organize your loan payments around your payday schedule.
3. Car Title Loan
A car title loan is a secured type of loan because you’ll be using your car as collateral for the loan. In any event of payment default, your lender can legally seize your car and sell it to cover the loan you borrowed.
To avoid risks like these, consider unsecured debts, like credit cards or other types of loans, to protect your valuable belongings.
4. Pawnshop Loan
It is also a secured loan with a valuable belonging you own as collateral. It can be jewelry, electronics, or anything that has value. Make sure to pay on time and make all payments. If you fail to repay the loan, just like other secured debts, your lender can take possession of your belonging as payment for the loan.
Advantages and Disadvantages of Easy Loans
Of course, easy loans have their own share of benefits and downsides. It’s easy loans, after all.
Advantages of Easy Loans:
1. Credit Scores don’t matter. Lenders won’t have to look for your credit score when you apply for easy loans. It is beneficial for borrowers who are still building their credit. Just make sure you don’t miss out on payments.
2. Fast process. Besides being fast, it is also convenient. Most companies have an online application. Apply online from the convenience of your own home. It will only take a few steps to complete. Saves you from a lot of trouble and traffic. It is best for borrowers who need fast cash but don’t have the leisure to visit the company themselves.
3. Approval in a short time. If you have already completed your requirements, it will only take a few minutes to get your loan approval done. The company will send your requirements to various lenders, making it easier to find a lender.
4. Best for borrowers who need fast cash. Unlike other loans, which require complicated requirements. Easy loans only require documents that you already have at home. These include a citizenship certificate, government-issued identification, bank account information, and income statement. You also have to prove that you are eligible to pay back.
Disadvantages of Easy Loans:
1. Higher interest rates. Because lenders take risks by letting you borrow when you do not have the credit or bad credit, they tend to charge higher interest rates. Different lenders offer different interest rates.
2. They charge a higher cost. Usually covers the processing fees and other additional fees, which are a little higher than regular loans.
3. Prone to risks and scams. Easy loans have online applications, which can sometimes be scams or fraud. There are numerous fraudulent lenders online. Make sure to do your own research and make sure they are a legit company.
4. Amount is limited. Easy loans are not for borrowers who need a large sum of money because easy loans only cap a certain amount. Generally, they only lend $100 to $1500.
Check if your Lender is Legit. Here’s how:
1. Do your research. When talking about money, it usually comes together with words like scams, fraud, and/or risks. That is why you should thoroughly research the company you want to apply to. It would be better to get recommendations from friends or family to get a better understanding of Credit agent.
2. Make sure the lender is registered. Checking if they are registered also means dealing with a reputable lender. Verify if they are registered in your state; if they are not registered, that’s a big red flag, and you should have second thoughts.
Quick and easy loans are convenient and best for individuals who are too busy to get to the office personally but need fast cash. They may be easy loans; However, you must still be careful in applying for one. Ensure you won’t suffer much worse when applying for this kind of loan.
Applying for easy loans is okay if you are responsible and disciplined when paying them back.
If you want to fix bad credit in Canada, some companies may help you. One of those is Credit Repair Now. Just drop us a message by email or call us at +1 647-373-9651.