Bad Credit Unsecured Personal Loans
Bad credit unsecured personal loans can be a lifesaver in times of financial crisis or need. If you have found yourself with bad credit for any reason, save an in-process bankruptcy, you may qualify any number of bad credit unsecured personal loans. The trick is to do your homework and thoroughly check out the many companies offering these bad credit unsecured personal loans online, and to go with a reputable company.
Bad credit unsecured personal loans can be obtained for any number of reasons. You may have bad credit due to a divorce, foreclosure or repossession, or simply want help paying for a vacation or home improvement project. Chances are, regardless of your credit, you can qualify for bad credit unsecured personal loans.
To obtain bad credit unsecured personal loans, you need not have any collateral, such as your house, to secure or guarantee the loan. However, because of the greater risk the lender is taking with bad credit unsecured personal loans, you will find these loans have higher interest rates and stricter rules, than those of secured loans, or for those with good credit ratings. For example, one consistent stipulation for bad credit unsecured personal loans is on-time payment. If you default on your loan, for any reason, you will be responsible for the cost of the loan as well as the court costs the lender spends in order to recoup the loan amount.
Bad credit unsecured personal loans vary greatly in their interest rates and repayment options. Most companies base the interest rates on your personal circumstances and the amount borrowed, while taking into consideration your credit rating. Companies offer bad credit unsecured personal loans from $100 to $500,000, with repayment periods from six months to ten years. It is advised, however, that you borrow only as much money with bad credit unsecured personal loans as you need, for as short a time as is feasible for you to repay the loan. Consider also the company's early repayment policies as some penalize early loan repayments.
Bad credit unsecured personal loans are available regardless of credit to those who are at least 18 years old. Most companies charge a fee to apply for bad credit unsecured personal loans, but will return the fee if you are not approved. The fees vary depending on the company you apply to for the loan.
If you are in a financial bind, and are suffering because of your poor credit, bad credit unsecured personal loans can help you. Not only can they help you with your present need, but when handled well with timely repayment, they can be a step in re-establishing your credit for the future.