When people think about credit, they generally only think about loans. However there are four basic types of credit you should know about. These include service credit, loans, installment credit and credit cards.
Bad Bad Credit Loans are given in secured or unsecured options for personal purposes. Your bad credit history does not become an impediment as lenders as you will be approved an amount as per your repayment ability. Prior to applying for the loan, you should know about your credit-worthiness. Be prepared to fax your papers of annual income, savings and others. Prove your residential address also. It is always rational that you first take out free copies of your credit report and makes it certain that it is free of errors.
Plus, when you have collateral you will be able to get a bigger loan and a lower interest rate. These loans will also have a longer time span for you to get the loan paid off. Just be sure that you don’t miss a payment because this will put your collateral at risk.
The unsecured loan is ideal option for tenants or non-homeowners as there is no collateral involved. The loan ranges from 1000 to 25000 for a short-term of one year to 10 years. But interest rate will be little higher.
It is a quick loan that allows people with bad credit to apply for cash. The loan process is made simple, so that a person can easily understand and complete transaction.
Bad credit loans are faster in service, as it is processed online. Several lenders are available online that can be accessed with their different quotes at a time. With this loan, it is possible to avail the cash within 24 hours of your application. To make your procurement safe, the amount is directly transferred into your account.
The best part about these loans is that these can be availed without doing any paper work. Unlike the past times, you are now not needed providing the lender with any of the documentations. Moreover, you are even not required faxing anything to the lender. So, do not worry if you do not own a fax machine.