Individuals who are unemployed might find it harder to have an easy-going relationship with banks (and most other conventional finance institutes).
Not having a constant, and steady, source of money is a big deal-breaker between the person who is looking to obtain a loan and the financial ‘big guys’.
Even so, there are certain types of loans for unemployed individuals with bad credit. If you have had problems in the past, or if you’re experiencing financial difficulties right now, it’s definitely more difficult to get that loan you need.
Fortunately, there are certain direct loan lenders who can offer ‘bad credit loans’ for borrowers with a poor credit score. If you failed previously to repay a direct debit on time or experienced repossession then you most probably have an adverse credit rating. This puts you at even higher risk of not making your repayments for a new loan on time…
But that is just the big banks and companies opinions!
Alternative loans for unemployed individuals with bad credit
Certain big loan agencies and private lenders can help borrowers looking to get a loan, even though they have bad credit. If you are in such a situation and would benefit from a loan, always make sure the lender is FCA-authorised. Before signing the contract, clearly discuss the terms with your lender. Loans for unemployed individuals with bad credit usually attract very high-interest rates and other unprofitable terms, which are sometimes hidden.
Lenders who provide such services charge a much higher rate for unemployed people seeking a loan. They are considered a greater credit risk due to poor credit score.
These types of loans are meant for individuals who can afford to pay back the loan along with the interest and any additional costs attached to it. If you are struggling financially or are unemployed, we are able to assist you with a loans for unemployed.