The Guaranteed Loan
Guaranteed personal loans for those with bad credit were engineered to fit the needs of many folks who have come upon hard times due to the national economic crisis of today. Unemployment is high, traditional lenders are not granting loans, and prices are rising. It is no wonder that folks have been taking big hits on their credit reports. When you have many borrowers that need funds despite their bad credit, and many traditional lenders unwilling to convey those funds, it is no wonder that private lenders have stepped in to fill the breach.
Finding the Right Lender in the Right Venue
The venues to avail yourself of a guaranteed personal loan for those with bad credit are varied. You can apply over the phone, you can walk into the shop of a local vendor, or you can search online. The most alluring is the shopping online venue in that it allows you to survey many different lenders right from the comfort of your home or office. Despite your bad credit, you will be able to pick and choose among the various lenders almost as if you had A-1 credit. Interest rates and repayment terms may vary widely from vendor to vendor and you will be able to find the best to suit your financial situation.
Meeting the Benchmarks
Once you get online and determine the three or four vendors with whom you might do business regarding your guaranteed personal loan for those with bad credit, you are going to have to prove a few things. You better have a bona fide picture identification issued by the government. You will need to show some pay stubs that prove you have been steadily employed for about three months and pulling down at least $1200 a month. You will need some proof of residency. Lenders will want proof of an active banking account, preferably a direct deposit checking account. Guaranteed personal loan lenders will not talk to you if you are in the midst of a bankruptcy or some similarly severe financial difficulty.
Gathering the Funds
Once you have found the lender you want and submitted your application for a guaranteed personal loan for those with bad credit, you should have approval within minutes if all your ducks are in a row. If you have a direct deposit bank account the funds will probably be in it within 24 hours, often sooner. In some instances, lenders will issue a prepaid credit card for a small fee. Of course, these funds are for your use as you see fit; most use them to meet emergencies such as a car repairs, medications, or to catch up with a forgotten bill.
Cashing in on the Opportunity
A good thing about taking a guaranteed personal loan for those with bad credit is the opportunity it allows you to fix your broken credit. Paying such a loan back in a timely manner as outlined in the contract, will go a long way to improving your credit scores.
Interest Rates and Repayment Terms
As you will have noticed while you shopped, fees and interest rates for these guaranteed personal loan for those with bad credit can be quite high. And repayment terms can be quite stringent. That is why shopping among the lenders is so important. The thing is, you do not have a good credit report and you need cash. Sometimes, because of the easy approval, paying a little extra is not so bad.