The personal loan has become the common need of UK household to manage living expenses and mounting dues with rising prices of commodities and
Although all the leading UK banks offer
What Are Your Personal Loan Options With Poor Credit Score?
The personal loan is the lending at a fixed interest rate; the repayment period may be short or long as per convenience and credentials of the borrower. As demand is increasing, the diversity is also increasing. Direct lenders are expanding the variety of loan products to accommodate the growing diversity. Today, most of the reputed direct lenders offer objective oriented tailor-made borrowing solutions for the individuals; however, before exploring and short listing lending agencies, you must know all the personal loan types to get the best.
Secured personal loans: These are secured against valuable collateral like shares, car or home. Because of being secured and having low-risk involvement, these are comparatively cheaper. Secured loans are made available for the long term also. All the mainstream regular banks and credit unions offer this borrowing facility. The importance of credit score becomes comparatively low for this type of loan as the credited money is secured against the mortgaged asset. Some banks may ask for guarantor also in case of bad credit score applicants. In case of failure, the lender can repossess the mortgaged asset. Therefore, it is must to judge and balance the value of the asset and required loan amount while planning for this option.
Unsecured personal loans: The most of small amount personal loans are unsecured. These are provided at a
Variable or floating interest loans: This type of lending is made at a variable interest rate. You can get the
Fixed-rate loans: This type of lending is made at
Loans for Debt consolidation: This unsecured credit facility is relatively new innovated to help the borrowers holding multiple loans from different lending sources at different costs. It is a difficult task to manage multiple debts. In addition, it costs more. Debt consolidation loan brings all the loans under one umbrella; therefore, you are concerned only with one lender, one monthly
Small & Short-Term Payday Loan: Also called salary loan, payroll loan, payday advance, it is the unsecured loan facility for salaried people. The required amount is credited up to 28 days or forthcoming salary day. The entire loan amount is to be paid back in a single
Do I really need to borrow? Can I avoid borrowing this time?
Can I afford an additional monthly financial burden to repay the loan? Is the cost justified for the purpose? These
few questions drive you over to the right track of getting a personal loan.
There is no shortage of online direct lenders in the UK dealing in personal
loans for people with bad credit but the responsibility for choosing the best
needs you to have a realistic, objective oriented and practically feasible
Lisa Ann has developed a well-experienced professional career. From managing the staff of more than 50+ loan experts at Fastmoneyfinance to boosting the delivery of various loan offers, she has acquired many challenging roles to come out with the best results for the company. Lisa Ann is a Senior Content Author and the Chief Financial Advisor at Fastmoneyfinance. To back her massive experience in the UK’s financial industry, she has the postgraduate degree and diploma in Business and Finance.