Everything You Need To Know About Badcreditloans.com
Badcreditloans.com has been operational since 1998, offering customers professional assistance in acquiring loans online. This platform offers services to customers that help them connect with potential lenders. When you submit a request, it is sent to an existing database of lenders and financial service providers using state-of-the-art proprietary technology. The main objective of this platform is to ensure you continually have easy, fast and secure loans.
What are bad credit loans?
Bad credit loans are offered to individuals with bad credit histories who wouldn’t otherwise get funding from the traditional lending institutions such as banks. They are offered at slightly higher interest rates as lenders need to guard against lending risk. These loans can either be a lump sum or repaid in installments or increments.
Badcreditloans.com offers unsecured loans to borrowers with really bad credit scores. You don’t have to put your asset on the line to receive funding. This makes them a safer option because you don’t risk losing your property in the event that you default in loan payments.
Why take out a loan?
Emergencies can pop up when you least expect them, and with no savings to tide you through such moments, your only option will be to take out a loan. It could be a hospital bill, a car that needs urgent repair, or a home that needs renovation that can’t wait.
Whatever you need for funding is, it’s important to know that getting loans as a bad credit borrower is extremely difficult and expensive since lenders will charge double digits interest rates.
Badcreditloans.com, however, will still connect you to their network of lenders for funding. They deal specifically with borrowers with very low credit scores.
They, however, insist that their loans are for short-term emergencies. You should, therefore, identify if you really need the loan to avoid a debt loan that you could otherwise avoid.
Can you afford this loan?
Lenders rely on individual credit score to determine whether to finance a loan request or not. This means they must make sure you can afford the monthly repayment on your loan. In efforts to guard against risk, lenders do a thorough background check to determine what loan option best serves your current credit score ratings. If you need further information or clarification do not hesitate to contact the loan calculator usually available in all credible lending platforms.
Badcreditloans.com does not require you to have perfect credit score. A poor credit score still qualifies for funding, however, the loan amount has a higher limit cut at approximately $1000 and other loan terms apply. You can only get higher loan amounts by paying off the initial loan diligently. This also provides a better way of building your credit score to qualify for better loans.
Once you fill out the loan application forms available on their website, they’ll send your details to several lenders. These lenders will then do some credit checks with a few credit bureaus to verify if you are eligible for funding.
On the downside, this may affect your credit scores since several lenders will be looking into your credit at once. On approval, the lender will direct you to the terms and conditions page on their website.
It’s important to read and understand every detail about your loan before signing the loan agreement form. Find out if the lender charges prepayment fees, late payment fees and all the cost associated with your loan.
Badcreditloans.com advises their customers to contact the lenders directly on issues regarding their loans. They also advise their clients not to feel obliged to sign loan agreement forms for loans that they feel are exorbitant.
To be eligible for funding through this platform, ensure that you have the following items in order. Each loan offer will require you to be at least 18 years old, be a legal citizen, provide social security number or legal residency, have a recurring income either full time, part time or self-employment. In addition, you must have a checking account in your name, a valid email address, and a working phone number.
Pros and Cons of Bad Credit Loans
Loans through badcreditloans.com are fast. Normally, lenders review your loan request quickly and send approval notifications almost immediately. Once you are approved for funding and you’ve signed the loan agreement form, the funds will be disbursed to your checking account on the same business day. You may receive funding the following day depending on which bank you use.
No matter how bad your credit is, you can still get funding. This makes it easy for borrowers with bad credit to get the much needed cash during emergencies. Since most of the loans offered are unsecured loans, you don’t risk losing your property in case you default on payments.
One major shortcomings of using badcreditloans.com to get funding is that your details are sent to several lenders who all perform credit checks. This may further lower your credit scores. You may also end up with so many loan offers from different lenders even after getting a loan.
To be safe and avoid getting confused by the many offers, you can go through each lender’s details. Compare their interest rates, their terms on prepayment and late payments, how long do they take to forward your details to collection agencies and what are their past reviews. That will help you make a better decision.
Identifying a potential lender
After reviewing the reasons for a loan, assessing the situation and concluding, there are numerous factors to keep in mind. Such as:
- The amount of loan required – for smaller amounts, family and friends or peer-to-peer loans are advised since they are quick and do not have stringent regulations attached to them.
- The purpose of the loan – organizations such as banks offer large loans at lower rates, hence are ideal for big projects that require substantial amounts.
- Interest rates and loan options – it is important for one to know the options available before taking a loan for instance Institutions such as Sacco’s offers loan interests on a reducing balance which means the interest rate is cheaper than the fixed interest rate loan.
- Duration of the repayment period – some institutions offer overdrafts at an interest-free rate to an agreed amount such offers would work well if one needs a small amount of money which can be repaid within a brief period.
How badcreditloans.com works
Badcreditloans.com is not a lender. All they do is connect you to a group of lenders in their network. All you need to do is fill out the loan application form on their official website. They will then forward your details to different lenders.
These lenders will then perform credit checks from different bureaus to verify if you are eligible for funding. If a lender approves your loan request, they will then contact you with details about the loan.
Cautiously go through the terms and conditions and decide if they are suitable for you or not. You are under no obligation to accept any loan offered if you don’t want to.
If you do accept the terms offered and provide your electronic signature, loan funds will be disbursed to your bank account via direct banking. The process takes roughly one business day.
Since these loans are short term and payable within 3 to 60 months, repayments are usually set either weekly or monthly. You, therefore, have to make sure that you are in a position to repay the loan without defaulting. As that may incur more expenses on your loan because most lenders will charge you for late payments.
Your responsibilities as a borrower
It is important to;
- Understand the legal contract provided before signing it, what are the terms and conditions you will have to adhere to.
- Know that you have the right to receive information on your principal, estimated interest and interest rates and repayment plans on a loan before accepting it.
- Note that signing the promissory note means that you consent to repay the loan failure to which may lead to a penalty. In cases of secured loans, the lender or lending organization reserves the right to keep the asset provided as collateral e.g. when you take out a mortgage and fail to raise the monthly payment, you risk losing the house to the lender.
- Contact the creditor often, informing them of any challenges in repaying the loan and ask for a grace period if you feel like you cannot repay the loan by the due date.
- Only take out bad credit loans when you truly need them. You don’t have to burden yourself with paying off a loan for something that’s not worth it, like changing your wardrobe or going on a vacation.
Getting a loan can be difficult. It’s even more difficult when you have bad credit. Fortunately, borrowers with bad credit histories can still receive funding through agencies like badcreditloans.com
Badcreditloans.com is a legit platform that has served many clients. It also has other services such as linking lenders to borrowers, a convenient 24/7 website, and useful educational resources about APRS, how to choose lenders and some of the reasons for seeking funding. You can also get the latest scam alerts and how to keep yourself safe during your loan search. You can browse through their resource pages before making a decision.