Bad credit scores make you less likely to get approval from mainstream lenders. Credit history is a strict requirement. Lagging it will disqualify you as a loan applicant. Recovering from it to ascertain the chances of approval will take time. Besides, getting credit scores back on track is impossible without some support.
Do you want to come out of the bad credit problem by getting some financial assistance? Not all lenders are rigid about their terms and conditions when it comes to lending money to a borrower like you.
Bad creditors should not see themselves as deprived. It is because they are also eligible to get loan assistance by fitting the criteria of private lenders. In this case, the factors that play an imperative role in approval will differ slightly from the traditional lenders.
This change in conditions might compel the borrowers to think if they can get access to legit loans in Ireland despite low credit scores. It is justified for them to think if they have come across some scams.
However, there are no loans called legit. A few characteristics can make loans the most genuine option for them. This blog will discuss the aspects that borrowers must pay attention to ensure they take advantage of a genuine loan offer.
Checklist to ascertain if you are accepting a reliable loan offer
As a bad creditor, you are vulnerable to scams and fraud. Fake lenders might find you as the easiest catch to convince with a loan offer. Since you have some setbacks, any offer from the lender might seem legitimate.
Wait! Take some time to analyse if you are going ahead to accept the right offer.
Validate if your lender is a genuine one
This check is the easiest of all, and you can do it in a few steps. It is not necessary to have knowledge of the lending market. Instead, you should be careful about some of the actions that can relate to a reliable lender.
Suppose some loan provider has contacted you and is giving an offer upfront. Check if they mention any website, social medial handles, or physical contact addresses. Pay a visit to the website to see if there are reviews from their previous borrowers.
The absence of a website link can be a sign that they might be a fraudster. Next, visit the social media handles to see their interaction with the viewers. You might get some hints regarding their status as a lender.
The best thing would be to visit straightaway the address shared with you. This way, you can see their physical store and get an idea about their operations. You can even have a one-on-one talk with the lender for some clarification.
Check how they will allow you as a bad creditor
As a bad credit borrower, you might have a question in your mind. Why does the lender agree to give you loan support when your credit history blemishes? You cannot expect such flexibility from a mainstream lender.
However, a direct lender is more concerned about your financial ability than your financial history. Credit scores are crucial as they tell how you have managed past transactions. It does not elaborate on how you can handle future transactions.
These lenders carry a practical approach. For this reason, they emphasise affordability over other factors. It does not matter if your credit scores are bad. However, your financial ability should be convincing and adequate to support future payments.
The lender would like to have this affirmation before making any loan approval decision. If you have paid all the bills timely in recent times, your chances of getting loans are unbeatable.
Request for a loan proposal to get clarity on rates
If you have contacted a legitimate lender, they will ask you to submit a simple form. Based on it, they will offer you a free loan offer despite bad credit. This is the pre-approval process to help you validate whether rates and terms suit you.
It means private lenders who are straightaway offering you loans without going through this process should not be taken lightly. It might be a trap for you. The best thing about this facility is that you can step back from accepting it if rates are not affordable.
Moreover, you can collect free proposals from multiple lenders to compare and decide. Stack each offer against the other to see who offers you the best rate. At the same time, you should not forget to validate if the repayment term and loan amount are perfect for you.
Make sure that applying online is safe for you
Maybe, you have low credit scores. You should blindly accept what the lender insists on you. The online procedures are new to you since you are used to it.
Lenders asking you to fill out the online form should not necessarily be a fraud. This process of application is common among direct lenders. They take special care of the privacy of the borrowers.
There is no need to worry about the protection of your data as these lenders are very responsible. Besides, the application form will enquire about a few details. You do not have to reveal any confidential information other than bank details.
The lender will need it to send the loan money after approval. It is not that the lender will ask you to do so to exploit you as a bad creditor. In fact, this much information is needed from every lender.
The bottom line
Bad credit makes the borrowing process difficult for anyone. However, it can also offer you an opportunity to borrow money at reasonable rates. Seeing this, you might question the genuineness of these loans.
You must have got some clarity on this after reading this blog. As a borrower, you should not be careless at the time of assessing an offer from the lender. Do your research, as it is not a tricky job anymore.
