Credit rating has always been a decisive factor as far as lending is concerned. People with bad or severe credit score had to suffer a lot in the earlier times but the parameters have changed a lot. Bad credit holders have drawn attention of the lenders quite convincingly in the recent times. Loans are being framed one after another just keeping in mind the problems of such class of people. Bad credit personal loans
Though bad credit personal loans UK are issued after considering the credit problems of the customer yet credit score determines a lot of aspects related with a loan. The customers having really bad credit score (below 500) get reduced loan amount. A bad credit personal loan UK is available in two formats: secured and unsecured.
If you opt for the first alternative you are bound to pledge some property against the loan but this is not the case with the later one. A borrower can easily avail any loan amount between £5000 and £25000 by selecting the secured bad credit personal loans UK while in the unsecured type the upper bound falls to the mark of £10000. The impact is also reflected by the interest rates. The secured loans are available at a rate between 7.9% APR and 19.9% APR while the unsecured loans being lent up to the ceiling of 41% APR. A bad credit personal loan UK can be repaid well within the period of 25 years.
Bad Credit Personal Loans UK: Summary
To minimize the processing period and time elapsed in paper work, it’s better to apply with the required documents like age proof, credit proof, income statement etc. The world today is quite competitive so in many cases you can maximize your profit by browsing the net. Before finalizing the deal go through every term and condition carefully. Remember the more time you spend in making a choice the more you will save in the future!