Representative Example: Rates from 49.9% APR to max 1333% APR. Minimum Loan Length is 1 month. Maximum Loan Length is 36 months. Representative Example: £250 borrowed for 30 days. Total amount repayable is £310.00. Interest charged is £60.00, annual interest rate of 292% (fixed). Representative 669.35% APR (variable).
Payday loans address short-term spending demands. No credit check loans would perhaps benefit bad credit consumers, but all lenders are required to consider each applicant’s credit history, before approving loan requests so unfortunately there is no such thing as a payday loan with no credit check. Fortunately for consumers with bad credit, payday loans offer higher approval rates than some finance alternatives – even when compulsory credit checks show imperfections.
Payday lenders specialise in providing short-term loans for pressing financial priorities. Sometimes promoted as no credit check alternatives, the loans are relatively small, requiring prompt repayment. Rather than securing the loans with real property, like mortgages and car loans, payday loan eligibility is tied to your income and employment. A steady job and a pending payday may be enough to land the financing you need, despite minor blemishes in your credit file.
Representative Example: Rates from 49.9% APR to max 1333% APR. Minimum Loan Length is 1 month. Maximum Loan Length is 36 months. Representative Example: £250 borrowed for 30 days. Total amount repayable is £310.00. Interest charged is £60.00, annual interest rate of 292% (fixed). Representative 669.35% APR (variable).
Payday loans provide financial resources for UK credit consumers needing quick cash. This type of loan helps cover expenses between paydays and furnishes fast funding for unexpected financial emergencies. Basic eligibility requirements for payday loans include:
Securing a payday loan starts with an online application, compiling details about your finance needs. The straightforward request takes only minutes to complete, before being submitted to Boutell’s lender network. Because Boutell is a loan broker, rather than a lender, a single application opens the door to multiple funding opportunities. To find a suitable lender match, your online cash loan application requires facts and figures such as
Payday loans aren’t the only option for fast funding. If you need access to quick cash, you may be able to solve your financial dilemma with one of the following financial strategies.
Banks, building societies, and credit unions conduct in-depth credit checks, before approving loan applicants. Although direct short term loans are occasionally portrayed as no credit check opportunities, payday lenders are also required to take applicants’ credit histories into account when considering loan requests. So a credit check is always performed at some point.
Banks commonly use comprehensive credit checks to evaluate loan applicants. When you apply for traditional loans, these “hard” checks actually leave a mark in your credit file, indicating a financial institution has inquired about your credit history. Another form of credit check, known as a “soft” pull, helps online lenders and service providers assess applicants, without affecting individuals’ credit files. The streamlined checks facilitate an efficient applicant review process, helping payday loan providers furnish fast cash.
Credit reference agencies monitor your financial performance, beginning with your earliest credit relationships and monetary transactions. The companies then provide information to creditors evaluating applications for credit cards, mortgages, loans, mobile phone contracts, and other financial products.
In addition to credit reports, the reference agencies also provide credit “scores”, derived from consumer records. A history of responsible credit management and timely payments results in a high credit score, whilst default and payment delays contribute to lower credit scores, affecting consumers with imperfect histories. Comprehensive credit reporting confirms your legal name and shares other personal and financial information, such as:
Current and Past Addresses – If you’ve only lived at your present address for a short period of time, other recent addresses also show up in your credit file.
Electoral Register Information – The Electoral Register, also known as the Electoral Roll, logs information about everyone that has reached voting age. Regularly updating your registry information ensures lenders have your current address, avoiding finance delays.
Outstanding Debts – As your level of debt ebbs and flows, reflecting payments and newly opened lines of credit, reference agencies log your outstanding debts. The figure is important to creditors, because excess debt may interfere with your ability to repay new loans.
Payment Records – A lengthy history of timely repayment bolsters your credit score. At the same time, late payments and failure to meet repayment obligations result in negative credit reporting, pushing your score lower. Credit reference agencies not only monitor your payment history on active accounts, but your credit file also highlights problems paying timely on past lines of credit and financial accounts.
House Repossession – Major missteps, such as losing your house for non-payment, have a devastating impact on your credit score. Recovering from house repossession and other massive mistakes can take years; every effort should be made to avoid these catastrophic conditions.
County Court Judgements – Creditors have the right to pursue debtors who fail to make timely payments. When default persists, they may take up legal action to recover money that is owed. The Register of Judgements, Orders and Fines logs entries handed down by County Courts, for monetary sums deemed outstanding and delinquent. These County Court Judgements can have drastic impacts on your credit score, making it more difficult to qualify for financing.
Individual Voluntary Arrangements – As a means to avoid legal action and more severe credit downgrades, some UK consumers turn to individual voluntary arrangements. The strategy results in formal arrangements for repayment, agreed upon by debtors and creditors. Agreements are structured for affordability, allowing a prescribed period of time for repaying outstanding sums. The agreements are approved by the courts, so all involved parties are legally bound to follow-through as stipulated by the arrangements.
Bankruptcy Requests – Under dire financial conditions, it may be necessary to request bankruptcy. The measure offers protection from further financial penalties. A bankruptcy request results in financial review, conducted by an adjudicator with the Insolvency Service. The individual ultimately decides whether not a person qualifies to be deemed bankrupt. Much like other drastic financial measures, applying to become bankrupt significantly undermines creditworthiness, calling for years to restore a damaged credit score.
Payday loans may require credit checks, especially when using direct lenders, but the straightforward funding provides a flexible alternative to traditional loans. When spending outpaces earnings or an unexpected expense leaves you short of funds, payday lenders may be able to provide needed relief.
