Major or minor, financial issues of people with low credit rating, always need an immediate solution. Normally the options that the established banking system gives to its borrowers are not for bad credit customers. They cannot stand on tough eligibility criteria. But, with the changing time and increasing financial uncertainties, alternative way outs are also emerging and direct lending is one among them.
Irrespective of financial circumstances of the people, the direct lenders are providing the loans like the 12 month loans for bad credit. Such products capacitate the customers to tackle their short-term financial crisis efficiently.
The flexibilities that are offered with such products make the situation more comfortable for the low credit record borrowers. Read on to know what makes this deal so pliable.
Serves to bad credit histories
It is one of the best features of these loans. Anyone with low credit history can easily get loans. This is so reliving for people struggling on the two fronts of bad credit as well as the financial crisis. This helps them bring back the financial prosperity without any hassle. The lenders in the market provide different deals for bad credit borrowers, which give another luxury to the applicant of choosing the most suitable option according to his comfort.
No collateral, no guarantor policy
Committed to provide maximum flexibilities, the lenders give these loans without asking for any guarantor or collateral. Although, in case the borrower provide any of these two, he can very confidently expect to save money on interest rates and can also demand supple repayment schedule. Easy repayment plans will help the borrower raise his credit ratings.
Taking upfront fees and extra charges is not in the practice
There are many lenders in the market who hide the upfront fees and extra charges initially, but you will also find the lenders who do not follow any such practices.
Employment status does not matter
Financial needs come to both employed as well as unemployed people. But for unemployed people, it is more difficult to come out of their financial problems. But in direct lending, your employment status does not matter in securing a loan. They have special financial products for the jobless people too. The short term loans for unemployed are given to jobseekers on some easy terms. Although, it is important to mention here that such loans have a little higher rate of interest, but again the market is full of options. The borrower can choose the one which he thinks, will be bearable for him.
Besides, this very same facility is also available for people living on government benefits. For the loans for unemployed people on benefits, the lenders receive the online applications very frequently.
Due to presence of the direct lending, as an alternate to the mainstream finance industry, having a bad credit history is not so frightening now. Just make sure you are doing a good research and picking the most appropriate option from the market.