Why Choose Light Loans?
How it works
Choose your loan amount
Use our home page sliders to choose the loan amount you wish to borrow and the time in which you wish to borrow for. Total Loan amount, interest rates and chosen term will be fully displayed to you.
Fill out our simple 5 minute application form and the Monevo lender matching technology will do the work for you! Receive an instant online decision. We’ll ask for your address, bank and employment details. Your application is 100% online.
Your application will be submitted to the Monevo Lender Panel. If approved you will be redirected to the lender application form where you can check everything over to make sure you are happy with it. You are under no obligation to accept and can still accept or reject the loan offer at this point.
Once you have accepted your Loan Agreement, your funds will be automatically transferred into your bank account by the Lender. You could receive your funds in just 15 minutes!**… It’s that simple!
If you’ve struggled in the past with credit, or even if you currently have bad credit through no fault of your own, the process for getting a loan can be a challenge. This is especially true for those with a bad credit rating below the thresholds of many mainstream banks. While it’s not necessarily a bad thing that getting a loan is harder with not-so-good credit – you want to be able to pay any loan back without hardship, after all – it can be a problem when you’re really in need of that additional cash, and you’re getting turned away at every corner.
So, when you have bad credit, what can you do? Read on to find out more about loans for bad credit. We take a look at what exactly bad credit loans are, how you can access loans with bad credit, and even the interest rates and restrictions that may be placed upon you. A bad credit score doesn’t have to be the end of the world when it comes to loans, and we’re here to tell you why. Read on below to find out more:
As the name suggests, loans for bad credit are loans that are designed to individuals, or couples, with a low credit score. Credit scores can be low for countless reasons. Perhaps you’ve struggled with debt in the past, but you’ve come out the other side now and haven’t entirely built up that number again yet. Maybe you’ve used hardly any credit, or you’ve struggled to pay a loan once or a few times before. While your credit score may seem to be a huge negative when it comes to accessing cash through loans, it doesn’t have to be the be-all-and-end-all. Instead, looking for loans specifically for those with bad credit is a viable alternative for those of us without grade-A credit histories – especially when you need access to that cash quickly.
Loans for bad credit are a form of loan that’s specifically designed for those of us with low credit scores or ratings and are often specified by lenders as a form of loan specifically for those with lower scores. Several types of loan exist. These loan types include secured loans against items or possessions – whether it’s valuables in pawnbrokers or a loan against your property. Other, more traditional loans are known as unsecured loans. These unsecured loans can be more challenging to access for those with bad credit, though options such as higher-interest or shorter-period ‘payday’ loans are versions of bad credit unsecured loans that are more readily accessible.
If you’re wondering ‘how can I get a loan with bad credit?’, you certainly aren’t the only one out there. Accessing a loan – particularly an unsecured one – can be far more challenging for individuals with bad credit in comparison to those with good. But all is not lost. There are options out there for people with credit scores at the lower end of the scale; you have to know what to look for. Loans for individuals with bad credit are generally explicitly labelled as such, making it far easier to distinguish the types of loan and borrowing available to you. It’s far better to find loans that work for you than simply applying for loan services at random, as this can impact your credit score even further over time.
It’s highly likely that for individuals with particularly low credit, the leading banks and conventional sources for loans will be off-limits. But this doesn’t mean that specific loan options aren’t available for you. Researching loans specifically for those with low credit scores is an excellent place to start, and each option will give you all the details you need to know if you’d be likely to be eligible for the amount of money you’d like to borrow. It’s certainly possible to access a loan with bad credit, though you will likely have more trouble getting a loan than you would for individuals with good credit.
As with just about any other loan, there are no restrictions placed upon how you spend your cash should you manage to acquire a loan despite your bad credit. There are thousands of reasons why a loan might be a viable option for you. Perhaps you’re considering buying a car, or you’d like to upgrade appliances in your home. Maybe you’ve got a wedding to fund, or an unexpected expense has just landed in your lap. Whatever the reason, unless you apply for a bad credit loan that’s specifically for one thing, you can spend it how you want. A bad credit loan is simply a loan for someone with bad credit, so once you have been approved and you have received the money, that cash is for you to do with as you will.
It’s worth noting, however, that both car loans and mortgages hold their own set of rules. In the majority of cases, you never see the cash for these loans yourself – they go directly to the person or company you are purchasing the property or vehicle from. So, for bad credit loans for both property and cars, restrictions can apply – always make sure you read the fine print and have a good understanding of the requirements and specifications for your particular loan. Otherwise, feel free to use your loan for whatever purpose you took it out for in the first place.
In the vast majority of cases, the interest rate for those that take out a loan with bad credit will be much higher than those with good credit. To lenders, this higher interest rate makes sense – it represents the risk they are taking by lending you money. While, as someone borrowing, the rate on bad credit loans can seem high, if there isn’t another option available to you, it can often be the best deal you can access. While bad credit loans can sometimes seem a worse ‘deal’ compared to other advertised offers, borrowers often find those loan companies don’t advertise the actual interest they would receive for their particular credit score. They are instead suggesting a better deal that doesn’t fit their current status or requirements.
On the positive side, in the UK, regulation for loans is stricter than ever. Meaning you can no longer be charged extortionate or unaffordable rates for loans beyond a certain point. With many households with bad credit turning to ‘payday’ loans, these rules protect vulnerable individuals to ensure they can pay back any loans they take out without paying fees that are too high.
As you might expect, loans for bad credit often have different repayment terms and interest levels in comparison to the loans that are offered for individuals with good credit. Here is just one example of what you might be able to agree to with a low credit score loan, if your credit rating is considered to be bad or if you have been rejected for credit elsewhere.
Total Repayable: £3,145.20
Interest Rate: 59.9% p.a
Borrowing term: 24 Months
Representative: 39.9% APR – 89.9% APR
If you’re considering applying for a loan when you have bad credit, then Light Loans might be the ideal choice for your specific requirements. We offer loans to individuals of all credit ratings, offering a solution where other loan companies fail to provide. Our unique approach to approvals, and our specifically-designed bad credit loans, make us an excellent fit for many happy customers.
Whether you need a quick loan for unexpected bills, you need access to cash for home purchases, or anything else in-between, get in contact with us today to discuss how we might be able to help you with a suitable bad credit loan designed for purpose.