- Formerly missed loan repayments
- Formerly missed household bill re payments or cell phone or broadband contracts bills
- Defaulted on a merchant account
- Been bankrupt in yesteryear
Loan providers will run credit checks you loan offers or approving your application on you before issuing. You may want to see what your credit score is yourself, to get an idea of the type of loan product youвЂ™ll be eligible for before you apply for loans.
What exactly is a good credit history? You wonвЂ™t qualify for a bad credit loan if:
There is certainlynвЂ™t one universal credit history within the UK, but rather three credit reporting agencies which problem independent scores, on various scales. These scores are predicated on your previous borrowing, payment history, your available credit, along with other private information.
- Experian : issues credit ratings between 0 and 999, and any such thing below 560 is recognized as bad.
- Equifax : issues credit ratings of between 0 and 700. Great britain average is 389 and any rating below 279 is regarded as inadequate.
- Callcredit : issues credit ratings between 0 and 710. a score below 550 is recognized as inadequate.
Bad credit loans will also be an alternative for those who credit that is little, particularly teenagers who possess never ever borrowed before.
To have a bad credit loan, youвЂ™ll need certainly to be at the very least 18 yrs . old plus in work.
- You’ve got A county that is active court (CCJ) for financial obligation against your
- YouвЂ™re nevertheless within an voluntary that is individual (IVA) with lenders
- You’ve got yet become released from bankruptcy
Kinds of bad credit loan:
There are many sub-types of bad credit loans available:
Secured Personal Loans
They are loans where you utilize assets, such as for instance home or car if not valuables like jewelry, as security on financial obligation.