1. Finance

3 Ways to Get a Loan without Credit Check

09/06/2018 11:09

Loans and credit are generally available to people who have maintained a decent credit history. If you don’t have a good credit history, you'll find it hard to get a loan and even if you get one, you'll end up paying hefty fees and interest.

Life isn’t easy if you have bad credit score.

Financial institutions check your credit score before they decide to lend you money. The lending decisions are mostly based on credit score. However, there are a few ways to get personal loans even if you have bad credit.

If you need a personal loan with no credit check, you have the following 3 options to choose from.

 

1. Payday loans

A payday loan is the best way to get a small amount of money instantly without credit check. Payday loans come with high-interest rate and fees, and are payable on your next paycheck. Most lenders won’t check your credit score so if you’re struggling to get a small personal loan, a payday loan is your best bet.

There are, however, certain drawbacks to a payday loan. First, you can only borrow a small amount under $1000. A payday loan makes sense when you need cash urgently. It is, by no means, a personal loan that will give you a lot of money. Second, a payday loan comes with hefty fees. If you can afford one, go for it.

 

2. Title loans

A title loan lets you use your title of an asset as collateral to get a secured loan. For instance, if you own a vehicle, bike, boat, etc. you can use your title to get a personal loan. A lender won't necessarily check your credit score for a title loan because it is a collateral loan.

You can contact your local bank or pawnshops to get a title loan. Once you repay the loan, you'll get your title back. The amount of loan, in this case, varies and mostly depend on your title. If you need a reasonably high amount of personal loan, a title loan is your best bet.

It doesn’t come with hefty fees but your title is at risk and if you don’t repay the loan in within the time duration, you'll lose your asset. Pay close attention to the contract with the lender and make sure you don’t end up losing your asset.

 

3. Co-sign

Most people need hefty personal loansso a payday or a title loan doesn’t make much of a sense. If this is your case, you should consider a cosigned loan. You use someone else’s credit score to get a personal loan. Someone who trusts you and has good credit history can co-sign a loan for you.

Look around and find someone who trusts you and is willing to co-sign for you. It is recommended to proceed with a co-signer only if you’re sure that you can repay and won’t end up getting your co-signer in trouble.

 

Conclusion

Getting a personal loan without credit check is possible but you should move with caution. When you have poor credit history, the risk is transferred to the lender and you'll have to pay hefty fees to get a loan. So make sure you only get a loan if it is absolutely necessary.

 

 

▶ HDFC Bank Limited (HDB) Active Stock To Observe - Talk Traders: HDFC Bank Limited (HDB) Active Stock To Observe  Talk Traders HDFC Bank Limited (HDB) for the time being, stock is trading at $95.28 and moved -5.16%. Meanwhile, the stock traders… https://t.co/fRjOwrHwuN GOOGLE
Google's chief executive officer Sundar Pichai rejected claims of political bias against conservatives in his first-ever appearance before Congress. https://t.co/QgVe45lzJA
▶ China reportedly plans to slash auto tariffs — a huge win for Trump — and auto stocks are moving: Shares of Fiat Chrysler, General Motors and Ford jump in intraday trading on reports that China is moving toward cutting tariffs on autos made in the U.S. https://t.co/HuWxLYz2Nh
Should You Stay Away From Tech ETF's? Why Jim Cramer Is Sticking to Stocks https://t.co/hT74yjvXX2
FEATR: MiFID II Liquidity: 4 Key Trends from Year 1 https://t.co/k4iCqV96hG
This is why I want to be Fed chair
We are proud to announce a new Community Investment Loan Program offering construction loans and permanent financing for multifamily #affordablehousing and community facilities across #SouthernCalifornia.
Europe Has A New Problem: Macron's "Populism" To Blow Out French Budget Deficit Far Beyond Italy's https://t.co/DokwkXO4Qy
Using the tout induced strength in their long $MDXG short $OSTK pairs trade to add to OSTK the past two days. Only long position in the book is OSTK;everything else is a short position. $DB headed for a Lehman moment as is subprime auto lending and of course $TSLA. @HiddenPivots
Humbler Macron needs to relaunch his agenda https://t.co/IWGgWE42tm
Total(1) => 0.017977952957153 f_f_QM(2) => 0.014972686767578 f_u_GN(1) => 1.9073486328125E-5 f_f_pTL(2) => 0.00223708152771 f_f_dT(20) => 0.0020623207092285