If you need a loan but have bad credit, there is really only one type you should apply for unless you want to be turned down. There are lenders who specialise in loans for bad credit, and these are your best options.
If you have bad credit, it can be nearly impossible to get a loan, and even if you apply for a loan with great low interest rates on the high street, you have a very high chance of being turned down. Shopping for a loan online is by far the best way to save time. Some lenders specialise in giving loans to people with bad credit, so even if you don't get the best interest rate compared to other loans, at least you'll get one.
If you make your loan payments on time, a bad credit loan can also help you rebuild your credit score. One of the easiest loans for people with bad credit to get is a secured loan. This means you will have to put up something valuable, like your home, as collateral in exchange for the lender taking a chance on you. All lenders when deciding whether to give you the loan or not will go on your credit score and regardless of how long in the past or why you got a bad credit rating in the first place you will still be classed as a risk, if you need a loan then a bad credit loan is your best option.
Even though the interest rate on a bad credit loan will be much higher than on any other loan, it is important to compare different offers and not just take the first one you see. All lenders offer slightly different rates and perks to get you to take out a loan with them. If you have bad credit, don't give up, shop around, and go with a specialist lender.
