No Credit Check Loans
If you don’t have a good credit score, you may be wondering how you can borrow money. Although you may not be able to find no credit check loans, there are many options out there for borrowers with poor or fair credit. These loans can provide you with the cash you need to cover an emergency expense like a car repair or a medical bill. Here’s what you need to know about loans with less strict credit score requirements.
Can I get a loan with no credit check?
It may be difficult to find loans with no credit check. But there are some lenders that are willing to look beyond your credit score. They may consider other factors such as your income or employment history when deciding whether to approve you. This means you can still get approved if you have a poor or fair credit score.
How do loans with less strict credit score requirements work?
Loans with less strict credit requirements are simple. Once you apply for one online or in-person, the lender will look at various other factors in addition to your credit score. These may include your income, debts, and employment status.
Upon approval, you’ll receive the funds you asked for in a lump sum or revolving credit line, depending on the type of loan you chose. Then, you’ll follow the repayment schedule in your agreement and pay it back.
Types of loans for borrowers with poor credit
There are several types of loans for borrowers with poor credit, including:
Payday loans are small loans that you’ll pay back when you get paid next, typically within a few weeks. A payday loan can be a good option if you need cash and can’t wait until you receive your next paycheck.
Installment loans give you a lump sum of money at once. You’ll repay an installment loan over time via fixed monthly payments or installments. These loans usually offer larger amounts of money and longer repayment terms.
Known as secured loans, car title loans use your car as collateral. Once you get approved, you’ll give the lender your title in exchange for cash. The amount you’ll receive will depend on the value of your car.
Lines of credit
Lines of credit are flexible because they allow you to withdraw money whenever you want up to your set credit limit. You’ll only pay interest on the amount you borrow. Lines of credit are similar to credit cards but usually have lower interest rates.
How to get a loan with or without a credit check
To get a loan with or without a credit check, follow these steps:
- Research lenders: There are countless lenders that offer loans for borrowers with poor or fair credit. Do some research to find all the options at your disposal.
- Compare loans: Once you discover a few lenders you like, compare their loans. Look at each loan’s borrowing amounts, interest rates, terms, and fees.
- Collect documents: After you decide on the lender and loan you’d like, figure out what documents you’ll need. In many cases, lenders will ask you for a valid ID like a driver’s license or passport and your paystubs.
- Apply: Fill out the application online or in-person. You’ll need to share personal details like your name and email, as well as financial information like your income.
- Wait for approval: Depending on the lender, you may get approved the same day you apply, within 24 hours, or in a few business days. They may notify you via email, phone, or online through their portal.
- Sign the agreement: Upon approval, review your loan agreement carefully. Before you sign on the dotted line, make sure everything is clear and you don’t have any questions.
- Receive the funds: You shouldn’t have to wait long to receive the funds. Many lenders will distribute them through direct deposit, check, or prepaid card.
Why do lenders perform credit checks?
Lenders perform credit inquiries to assess your ability to repay a loan. By looking at a potential borrower’s credit score and report, lenders can see how they manage their credit and how risky they may be as a borrower. If you have a history of consistent on-time payments, this shows lenders that you’ll likely be a reliable borrower. Those with multiple late payments and a lot of debt, on the other hand, may seem riskier to lenders.
Types of credit checks performed by lenders
Here are the 2 types of credit inquiries lenders typically perform:
- Hard credit checks: Many lenders will perform a hard inquiry when they’re checking your credit before approving you for a loan. Hard credit checks show up on your credit report and can bring down your credit score slightly.
- Soft credit checks: Soft inquiries happen when lenders want to see if you can pre-qualify for a loan, and when you check your own credit. These inquiries won’t have an impact on your credit score and will only be visible to you.
You don’t need good credit to get an Advance America loan
Advance America offers a variety of loans that you don’t need good credit to get approved for, including payday loans, installment loans, title loans, and lines of credit. Borrowers can fill out an easy application online in just a few minutes, and may receive the funds the same day they apply. Visit Advance America today to learn more about the loans we offer.