As a result of more individuals battling with their financial situation since the credit crunch, there are many people looking for loans with no credit check to help them triumph over their financial problems.
When pay day loans first came onto the scene they didn’t require a credit search as an element of the underwriting process. That isn’t the case any more as most of the lenders now will carry out a credit search when considering an application.
So what are the options now?
There are two main kinds of loan that don’t need a credit check, and are therefore available to anybody with a blemished credit history and they are:
V5 Loans: A logbook loan is a loan that is secured with your auto V5 document. They are available for amounts of up to 25,000 pounds sterling and actually are available to men and women no matter what their credit report. To qualify for one your auto must be no older that 10 years old and it must be free from finance. You will also be obliged to prove you have sufficient earnings to repay the loan. Once the loan is authorised you will sign all of the paperwork and leave your car logbook with the loan company until the loan is settled.
Guararantor Loans: A guarantor loan is a loan that demands a guarantor (co-signee) to guarantee the loan. This guarantees the loan company will get their money back if you fail to make the loan installments. They are available for amounts of at most 5,000 pounds. So as to qualify as a guarantor your nominee must be aged 18 or over and own their own home. They must also have sufficient earnings to cover the costs for the loan (this may be from any source), and must have an excellent credit history as they will be credit searched even though the applicant will not.
categories: logbook loans,easy loans,homeowner loans