While no one ever wants to face debt and loans, the truth is unexpected situations do arise when least expected. Plus, these days, you can find 0% APR loans for various services or products, making this whole venture even easier. But then, most of these loans require a good credit score. You must be financially responsible and you need to show your lender that you know what you are doing.
What do you do when your credit score is bad then? Who will give me a loan when no one else will? A bad credit can shut many doors in your face. It may look like there is nothing you can do then, but the truth is there are, indeed, no credit check loans out there. Such lenders are mostly specialized in people with bad credit scores, so they are there to give you a hand.
A guaranteed loan approval with no credit check is almost impossible these days, but there is not much to worry about because many lenders have actually specialized in people with bad credit. It makes no difference what the reasons behind your credit score are – perhaps you never bothered to raise it or maybe you struggled financially in the past. They will not question you anyway.
Of course, just like for any other type of loan, there will be a few general checks, yet they represent a formal aspect of the job. All in all, there are lots of loans with no credit check out there, so choosing the right lender could be a bit challenging. Keep in mind that not all of them are trustworthy, hence the necessity to do your homework upfront. So, what options do you have?
Top 3 Best No Credit Check Loans
Different lenders come with different terms and conditions, as well as different rates. It is highly recommended to avoid settling for the first offer you get. Instead, look around and take your time, even if your financial necessity is an emergency. Here are some of your best options when not sure where to find the right loan.
MoneyMutual – Overall Best Online Loan Company
MoneyMutual was established in 2010. It came out based on the demand for emergency loans, as most Americans are unable to come up with an emergency fund. It is not an actual lender. Instead, it connects you to the most trustworthy lenders out there by submitting your data to various companies. You will be matched to lenders based on your current situation, needs and requirements.
The way it works is fairly simple to understand. You complete a form with some basic details, such as your personal data or employment details. The website will then submit it to its network of lenders, which will start giving you loans with no credit check within days or even hours. You will get more than just one offer, so it pays off going through all of them before making a final decision.
MoneyMutual provides access to loans with no credit check because it connects you to lenders whose requirements you actually meet. Other than that, the portal has built up a network of around 60 different lenders. Once you decide on one, you will be taken to their official website and go on from there – in other words, MoneyMutual is a free intermediary or broker.
While fees, rates and requirements do vary, they are quite similar. If you match a lender’s demands for loans without credit check, chances are you will meet most other lenders’ requirements too. Generally speaking, you must be 18 years old or older, but you should also have a steady income of $800 or more – again, you can find lenders with slightly different demands.
What makes MoneyMutual such a good choice for no credit check loans based on income? Simple – it is a time-saving solution. Imagine calling dozens of lenders and giving each of them your details. That would take days. When you need money straight away, MoneyMutual takes your details to all of these lenders within a few minutes only.
It is worth noting that since MoneyMutual is an intermediary, you will not deal with the website directly. It grabs your details and sends them to its network of lenders, but once you decide on an offer, MoneyMutual is no longer involved – it is between you and the lender only. Another good news is you will not have to pay anything to use MoneyMutual.
· Free to use
· Extensive network of about 60 trustworthy lenders
· Basic and simple requirements
· Takes minutes to complete your form
· Educational section available
· Some loans or lenders are available in particular states only
BadCreditLoans – Best Site For Emergency Loans
BadCreditLoans has a self-explanatory name. Are you trying to find loan places near me with no credit check? Forget about wasting your time and spending days to find some money. Instead, BadCreditLoans acts as a free intermediary between people in need and lenders specialized in those with bad credit scores. Established in 1998, it can help those who need anywhere between $500 and $10,000.
Ringing one lender after another can be consuming. You would have to check the requirements, provide details and documents to each of them – totally not worth it when you need money right now. You would have to do over BadCreditLoans, but the portal will then take your form to dozens of trustworthy lenders in its network. It is a time-saving tool that will bring back offers for your loan within minutes only.
Requirements are quite basic. Practically, you must be at least 18 years old. Other than that, you need some sort of income. It makes no difference if you work or not. You might as well receive regular benefits or social security. Perhaps you have solid savings account too. Other than that, enter your actual details – such as your address and email and offers will kick in straight away.
There are more types of private personal loan lenders without credit checks you can get over BadCreditLoans. Apart from the personal loans for an emergency, businesses can also get funding for unexpected expenses. It is, however, recommended to rely on such bad credit loans when you actually have an emergency and not for less important things, such as a new TV.
If this is the first time you deal with loans without credit checks, a bit of education is mandatory. BadCreditLoans has an educational section on its website. You will learn more about how to prevent scams, but also about fees and expenses, as well as what they mean and how they can affect your credit score. Take your time to educate yourself with these resources before making a decision.
On another note, once your form goes out and you get approved, you will be able to compare different lenders side by side, which is another time-saving feature. You can see rates, fees and expenses, as well as monthly payments. Making a decision is much easier, as you no longer need to review each offer individually.
· 100% free to use, without any fees
· The possibility to compare lenders side by side
· Both known and less known lenders in the network
· Flexible rates for more affordability
· Unsecured loans
· Lenders come with higher origination fees and APR rates for bad credit scores, but this is perfectly normal
CashUSA – Best For Small Amounts
CashUSA works on the exact same principles. It is a free intermediary that will take your application (you only have to complete it once) and take it through a bunch of lenders in its network, while offers for no credit check online loans keep coming right away. Normally, you would have to wait a business day for the money – or less, if you do your application in the morning.
Generally speaking, you can get loan approval with no credit ranging between $500 and $10,000. The loan terms also vary widely and you do have a word to say there – normally between three months and six years. Requirements imply being over 18 years old and having a steady income. CashUSA will only send your application to lenders whose requirements you actually meet.
Since CashUSA is an intermediary, everything varies from one lender to another, including the fees and APR rates. These things depend on your creditworthiness, as well as your location, state, income and lender. Generally speaking, lenders in the CashUSA network operate with APR rates between 5.99% and 35.99%. Always double-check before committing to an agreement.
Your reason for no credit check loans is not relevant to the lender, so it pays off being honest about it. You can get loans for debt consolidation, vehicle repairs or purchases, home improvement, medical issues or perhaps a wedding or a vacation abroad. Other details – such as your location, income and financial data – are more important for lenders.
Just like other similar portals, CashUSA has its own educational center on the official website. If you have never had to deal with a loan or other financial aspects before, getting the right option could be challenging. Take your time to explore the resource section and find out how to set priorities, save, clear debt, fix your credit score and so on – there are dozens of articles to help you out.
Once you choose a lender, the agreement will be entirely between you and the lender. CashUSA will save you time by sending your application to lenders in its network, but it is not involved with the financial aspect of this agreement. This is why you have to analyze the fees and rates before deciding – it is just common sense.
· Good range loans for personal needs
· Fast and convenient – sometimes, within the same day
· Educational resources on the official website
· Simple and basic requirements
· Wide variety of options
· No options to get more than $10,000
Understanding The Bad Credit Score
Finding the best no-credit check loan with guaranteed approval implies understanding what a bad score means too. The so-called FICO scoring model is the most common one among lenders. The score in this range varies between 300 and 850. Obviously, the higher your score is, the better rates you will get. Moreover, you will gain access to all types of loans, including mortgages.
On the same note, someone with a bad score represents a risk. There are more reasons wherefore you might have a bad score, such as not paying bills on time, defaulting on other loans, failing to pay your credit card debt and so on. As long as your name makes it on those lists, your score will be negatively affected.
Scores under 669 fall in the middle range. They are not considered good scores. You will, however, be able to get some loans for some decent rates and fees. But on the same note, you are less likely to get a mortgage with this score. It has to be closer to the upper limit if you want as much as possible from your financial applications.
Then, if your score falls between 580 and 669, it is fair. If it goes under 580, it is considered bad or poor. This is when problems arise – you will face quite a few rejections here and there. Sure, there are lenders out there that have specialized in no credit check loans, but then, rates are normally higher than what you can get from other lenders.
How The Credit Score Is Calculated
The score can be affected by a plethora of different factors. Generally speaking, you need to stick to your agreements and pay everything on time. Bills should be paid straight away – or just set some direct debits to avoid falling behind. The same rule applies to other agreements – such as other loans or even your mortgage.
Your payment history is the main element that defines your credit score. In fact, about 35% of this score is determined by the payment history. For instance, you need to pay your bills on time. If you have filed for bankruptcy or your name has already been given to collections, such things affect the score in a negative manner. The more recent such issues are, the more problematic your situation will become.
Debt is the second most significant element in the process. For instance, credit cards can be handy at times. However, if they are constantly up to the highest limit, the debt will weigh on the score. The debt is about 30% of the total credit score, so it pays off annihilating everything you can before applying for a loan with guaranteed approval.
Credit history length
The longer you have had credit, the better it is for your score. If you have just received credit a few weeks or months ago, it will not make a very big difference. If you have had credit for years, it will look much better. This section accounts for about 15% of the score. Lenders need to see a pattern. If you have had credit for ages, you are trustworthy.
A bunch of different inquiries will negatively affect you. Imagine you are desperately looking for money. Asking lenders for cash will leave a print on your credit score. The more such prints you have, the worse your score will look. It will also go down. Just put yourself in a lender’s position – if someone is rejected by a bunch of different companies, would you give them money? Exactly.
Finally, having more types of credit will also affect your score. For example, having a few credit cards, a personal loan and a mortgage will ruin your score. Sure, such details account for about 10% of your score, so it will not drag it down too much, but it will make a difference. Credit is good to have because it can help with your score, but too many different options are contraindicated.
How To Improve Your Credit Score Before Getting No Credit Check Loans
Unless you are desperate for money – a medical expense or perhaps an urgent car repair, it pays off trying to improve your score before asking for a loan. Not only are you likely to be approved by more lenders, but you will also end up paying less in the long run because of the lower APR rates and fees associated with the loan. Here are a few general ideas to improve your score.
Review the report first
Always check your credit score, as well as the actual report. You want more than just the number. You want to see everything that is in there and all the entries. Some of them might be incorrect or simply not updated with the latest details. You should generally review your credit score one time a year. Some of these reports are free, while others require making a small payment.
Pay bills straight away
Make sure you always pay your bills on time. Avoid getting to collecting agencies, as it will damage the score. Repay everything – from credit card to utility bills – whenever the time comes. Even a day in delays can damage the credit score. The best pay to ensure you never forget about bills is to set automatic payments, such as direct debits.
Get a credit building loan
Believe it or not, some people take loans without actually needing them. Pay the loan on time and you will show trustworthiness. The same rule applies to credit card. Even if you do have money in your current account, it is handy to use the credit card at times, then repay it the next day. Even if you get a small interest rate, it will save you money later on.
Get a co signer
Unable to get guaranteed loan approval with no credit check? Try to get a co signer then. It could be a family member or perhaps a close friend. Someone with good credit will definitely help out in the process. Practically, this is a person who agrees to pay your loan if you default on it – this is why it has to be someone who is close to you.
Get authorization on a credit card
Just like getting a co signer, getting someone to authorize you as a user on a credit card will also boost your credit. You basically get listed on someone else’s card. Even if you are not going to use it, if someone with a good credit trusts you, lenders will find you more trustworthy in the long run. This quick trick will help you gain some points in your credit score.
How To Choose The Right Lender
Finding loan companies that don’t check credit is not too difficult, but choosing the right lender could be a bit tricky. Here are a few details to keep in mind.
Are you actually eligible for no credit check loans? Many lenders will list all these things on their websites. You will know precisely what you have to do. You will see income requirements, as well as credit requirements and other similar conditions. When you use an intermediary broker, they will do it automatically for you.
Most intermediaries will list different lenders and their offers based on which ones you qualify for. Double-check the rates and fees. Check the origination fees as well, not to mention early payment costs – absurd, but they do exist. Even if they are not listed like this, take your time to review the offers you get.
The duration of your loan makes the difference in terms of expenses. Some lenders will give you loans for a few months only. Some others may expand their loans to over a decade. Decide based on what you can afford. A short-term loan means you will be out of debt quite soon, yet monthly expenses are higher. If you cannot cope with them, simply opt for a longer-term loan. You will end up paying more due to the APR rates, but at least you can keep the monthly payments under control.
You can normally find private personal loan lenders without credit checks. They are specialized in consumers with poor credit scores. But then, you can also get a loan from banks, credit unions or online lenders. Online lenders tend to be a bit cheaper. If your score is too bad, you will usually be limited to specialized lenders. Such lenders charge more and it makes perfect sense, as you represent a higher risk in the long run.
Frequently Asked Questions
Still not sure about no credit check loans? If you have never had to deal with such things, it might be challenging to make the right decision. Take your time and find the best overall solution, rather than focus on a single aspect – such as the monthly payment.
Can you actually get a loan without a credit check?
Most lenders will perform a hard check before deciding whether or not you qualify for a bad credit loan. Some others will perform a soft check – most of them do need to have a few hints about your payment history and situation. However, you can also find lenders who make their decisions based on nothing but your ability to repay the loan – such as your employment status.
Some lenders may also require collateral – a personal asset that you are likely to lose if you default on the loan.
Is there any risk in poor credit loans?
Every loan comes with some risks and loans without credit check are just as problematic. Many of these loans are unsecured, so you will not have to come up with collateral. But then, failing to repay the loan will worsen the credit score and can get collecting agencies knocking on your door on a daily basis.
Can you get a loan if your score is 550?
There are not too many lenders providing loans to those with such low credit scores. However, you do have some options out there. The good news is that even if you cannot qualify for a loan, you can at least try to get a co signer – someone to join the loan on your behalf. Obviously, you need someone with a high credit score. This move will boost your own score and can help you gain better rates as well.
How much cash can you borrow with a poor credit?
It depends on your creditworthiness, as well as your income. Some lenders will barely give you $500, while others can give you up to $10,000.
As a short final conclusion, it makes no difference why your credit score is bad – lack of trying to push it up or poor payment history. While it may look like all of your doors are closed, the truth is you can still find no credit check loans with guaranteed approval. Use a free intermediary for quicker access and better comparison rates, yet do expect to pay more in fees and rates due to being a higher risk for lenders.