The major deterrent for anyone looking to secure a loan and reduce their financial burden is the cumbersome process of credit check. If you’re lacking in collateral to apply for secured types of loans, and/or are already facing the burden of negative tags like skipped payment, insolvency or IVA, then it can be quite impossible for you to get cash from a secured loan. The alternative way out is an unsecured loan, or more specifically, a no-credit check loans, which are specially customized for poor credit scorers. Additionally, you can even clean up your blemished credit profile by making repayment at the right time.
So, if you’re in need of emergency cash while working on restoring your credit, it is time you discover the features of a no credit check loan.
#1 Simple qualifying criteria
At present, many banks and financial institutions are meting out the option of no-check loans. It’s designed to help people who are facing a shortage of cash and are desperate to pay their unexpected expenses. Similar to other loan programs, this one too requires you to meet the qualifying criteria in order to avail it. However, the criteria for applying are simple and short. This is listed below:
-Your age should be more than 18 years old
-You should have a functional bank account
-You should be employed with a company for at least a year
-You should have a permanent resident card
Once you have met the loan criteria, the bank will contact you to provide information about the terms and conditions that they have set for each client. Thereafter, they will approve your loan application instantly. You also need to check out their policies for getting detailed information about loan repayment.
#2 You can Secure a Higher Amount
Many banks limit the loan amount that newbie borrowers can access. You can access a certain amount that is within the lender’s range and your salary range. When you pay off your first no-credit check loan on time, the bank/lender can increase the amount in your subsequent applications. For example, if you apply for $100 and pay it on time, the bank might raise your limit to $500 gradually, depending upon your salary and their lending policy. Thus, bottom line is that even with a poor credit score, you can still qualify for a higher amount and tackle your financial emergencies with ease.
#3 Timely Availability of Cash
When you’re in need of cash in the face of a sudden emergency like illness, travel, or death, no-credit check loans are probably the best way out to get instant cash without a time-consuming credit check. There are two primary types of no-check loans- car title and payday advance. In most cases, the application procedure takes no more than 15-20 minutes, and you can either walk out with cash in hand, or have the money deposited in your bank account within the next 24 hours.
#4 Quick Payment of Pending Bills
Late fees, high interest rates, and previous month’s balance are some of the many ways your bills can add up to seem like you;ll never manage to get your head above water. While it sure is important to make timely payment, sometimes we all experience mishap or unforeseen expenditure that drains our savings. Yet, no matter what, the due dates of bills do come. In these cases, your sole rescue is a no credit check loan, as it can help you get the funds you need to sail through those tough times when your credit is too bad and paycheck is too low.
#5 Improving your Credit Rating
The short repayment period of no-credit check loans may come across as a shortcoming to many, but it is, in fact, a major advantage for all those who’re looking to protect their credit rating. Defaulting on an installment loan is bound to worsen your credit score. You’ll incur fines and penalties, both of which increase the amount of loan repayment. A credit card too is out of the option when your have an already bad credit rating. Even a traditional loan is difficult to get with a bad credit rating, and even if you do manage to get one, it is largely risky, as anything might happen during the two-three years you have to repay the loan. You may fall sick, or lose your job before paying off the borrowed amount completely. That is why, short term loan is a prudent solution to meet your financial needs while protecting your credit score in the process.
Lastly, the most attractive feature of a no credit check loan is that they are flexible. Certain traditional loans are available only at specific times of the year. Even the banks hold certain hours that make it tough to carve out time for meeting in person for a loan application. However, with a no-check loan, you can benefit from extended hours at lenders as well as enjoy the easy access and instant process to acquire the cash you desperately need.