Before you lose all hope and decide to give up, there are financial institutions and lenders who provide loans for people with a bad credit rating.
Whenever you apply for a loan, any potential lender will request your credit file. They will review this alongside the information provided on your application form and make a decision calculated on "risk". Should you have a low credit score and your finances have been blighted by CCJ's, arrears and defaults, it is very unlikely that a mainstream lender will be willing to help. Luckily for you there are specialized companies that deal solely with giving Loans for people with a bad credit rating.
Other things that may tarnish your credit file, that you may not be aware of include:-
- Non-payment of parking fines
- Late payment or failure to pay utility bills
- Repeated attempts and failures to obtain credit
So you need to be in control of all your finances and not just the credit facilities you have available. These will all show up on your credit file.
Usually if you approach a specialized lender for a loan, you can expect to be charged a higher interest rate than with a standard loan. If you are thinking of consolidating all debts into one payment, you should be careful. The main way of doing this is by getting a secured loan, which may involve putting your home up as surety. Should you fall behind on payments, you risk losing your home.
There is still the option to borrow unsecured bad credit history loans, however, you will not be able to borrow as much as if you offered some form of security. So whether you are looking to carry out some home improvements, consolidate all your debts, pay for a holiday, car or wedding, rest assured that there are Loans For People With a Bad Credit History.