Tag: no credit check loan

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Short Term Loans

The Ultimate Guide To Short Term, No Credit Check Loans

short term loans for business cash flow

Taking out a loan can be a very long process. It is dependent on a number of factors, including what type of loan you need, your credit history, and the institution you choose to take the loan with. But sometimes, we need a quick cash injection to give our personal or business life that little boost it needs, and we don’t want to be waiting around for the long, drawn-out process of taking out a loan and miss out on opportunities in the process. This is where a short term no credit check loans can be very helpful.

What Is A Short Term Loan?

As the name suggests, these are loans that are taken out in the short term. Normally, they are expected to be paid back within the year. These type of loans are commonly taken out by business start-ups, who don’t yet qualify for a credit line from the bank, yet need a quick cash injection to get them up and running.

Types Of Short Term Loans

There are different types of short term loans that can be used for a number of different purposes depending on your individual circumstances.

Merchant Cash Advances

This type of loan is actually a cash advance, but it works in the same way as a short term loan. You can borrow a certain amount from the lender and then make the payments back to them by allowing them access to your credit facility. A certain percentage of each business transaction you make is taken back until you pay back your loan.

Line Of Credit

This is similar to using a business credit card. A limit is set, and you can use that credit as needed. You then have to make monthly instalment payments against the amount you have borrowed, so these will vary from month to month.

Payday Loans

These loans are usually given for emergency situations and can be fairly easy to obtain. Unlike the other loans we have looked at, they generally have to be paid back in one lump sum on your next payday.

Online Loans

Once again, as the name suggests these loans are carried out online. You can access a short term loan with a number of finance providers, with everything from application to approval done online with money wired into your account instantly.

Why Take Out A Short Term Loan?

There are a number of different reasons you may want to take out a short term loan.

Consider the following scenarios:

  • short term loan to cover car breakdown
  • short term loans to cover medical expenses

You have just started up a new business and need an initial cash injection to hire some employees to get things up and running. You have approached a bank, but they aren’t interested in helping you as you have no credit history and are considered a risk. If you’re looking to get back on your feet, the consider a short term loan. Short term loans can provide the foundation for taking out a long term loan down the track.

You need some money to fix your car after you have been in an accident. You need that money fast, as you rely on your car every day for work. Instead of waiting for approval from the bank, you can go down the route of a short term loan, get the cash as soon as you need it and get back on the road faster.

There are also plenty of benefits that come with short term loans

Less Interest

With a short term loan, you can expect to pay less interest. Pay them off quickly as the time frame is usually shorter. This doesn’t allow time for interest to build.

Instant Money

Given the fact that there is a lot less risk for lenders when it comes to short term loans, the process is a lot shorter and you can have the money with you even faster.

Easier To Get

Credit scores don’t factor in when it comes to obtaining a short term loan, which makes these loans even easier to get. The requirements are lower, which make them a lifesaver for many businesses.

Benefits Of Short-Term No Credit Check Loans?

Firstly, credit checks take time, which is one of the reasons the loan process can be fairly drawn out. Also, if you have a bad credit history, there is also the likelihood you won’t be approved for a loan with many financial institutions. Getting short term loans with no credit check sidesteps this and allows you to get the money you need when you need it, and without the hassle.

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Personal Loans Bad Credit Loans

How can I get a personal loan with no credit check?

"How can i get a personal loan with no credit check?"||understanding your credit score

Is your bad credit stopping you from securing a personal loan? If you feel like you’re running out of options, then keep reading because there are plenty of options available. One such option is a personal loan with no credit check.

Before we dive headfirst into personal loans with no credit, it is important to break down your current financial situation. Personal loans with no credit check have their benefits, but they also come with typically higher interest rates. For this reason, it is essential that you check your own credit score. This will help you quickly realise whether or not you actually need a personal loan with no credit check.

Understanding your credit score

So, you have just checked your credit score and you see a score of 370. What does this mean? You begin to question whether or not you will ever be approved for a loan? Did you notice any defaults? Court judgements or blackmark? If so what do they mean?

A credit score is a numeric representation of the details within your credit file. The score is calculated based on various factors. These factors can be analysed by lenders to assist in determining whether or not you are a responsible borrower who is capable of repaying back a personal loan.

Different Credit Bureaus have alternative credit scoring models. Take a look at the breakdown of Experian’s and Equifax’s scoring system.

 ExperianEquifax
Excellent800-1,000853-1,200
Very Good700-799735-852
Good625-699661-734
Average550-624460-660
Below Average0-5490-459

 

How is your credit score calculated?

According to both Experian and Equifax, your credit score is calculated using a statistical algorithm that uses past events to predict future behaviour.  Each credit bureau will use a slightly different algorithm to calculate your score. The outcome, however, is relatively the same, and your credit file will reflect whether you have any negative listing regardless.

Familiarise yourself with your credit score

Understanding your credit score is really important, especially if you are applying for credit. Why might you ask? Well, some lenders factor in the credit score when assessing your credit application. If your credit score is really high, you may not need a personal loan with no credit check. Here you can apply for a regular personal loan with potentially better interest rates and term. This will save you money in the long run.

If however, your credit score is low, then it may be time to consider applying for a personal loan with no credit check.

understanding your credit score

What is a personal loan with no credit check?

As the name suggests, a personal loan with no credit is just that; a loan that is approved without checking your credit score. The lender will not request your credit report from credit bureaus. This means that your borrowing history will not be made available to any lender.

If you have applied for loans in the past, your credit file may have the loan information. When applying for a loan, traditional lenders will request your credit file and look at how many loan enquiries have been made. If you have made a lot of loan enquiries in a short period of time, you can be rejected for a loan. As mentioned, lenders won’t factor in your credit file meaning you can take care of your financial matters without having your credit file holding you back.

Where can I get a personal loan with no credit check?

No credit check loans are usually offered by alternative lenders such as Australian Lending Centre or Bad Credit Loans. Alternative lenders are more flexible with their lending requirements. This does not mean that they are not responsible lenders. If you’re thinking about applying for a personal loan with no credit check, it is important to note that alternative lenders will ask for the following information:

  • Income: You will need to show lenders that you can afford to make the repayments for your loan.
  • Employment: employment is necessary for making repayments. Some lenders will also factor in your Centrelink income when applying for a loan.
  • Bank account: Lenders will typically request to see your bank statements from the last 3 months or even 6 months depending on the lender. The lender will assess your bank statements to see whether you will be able to pay the loan or not.

How do I apply for a personal loan with bad credit?

Fortunately, applying for a personal loan is quick and easy. Australian Lending Centre has a simple online enquiry form that will take a matter of minutes to fill out. The enquiry form will request basic information such as name and email along with your borrowing amount.

In a matter of minutes, a loan specialist will contact you to discuss your lending options. They will quickly understand your financial situation and make an assessment. All consultations are discreet, hassle-free and professional. Once you have been approved for a personal loan, you can access the funds in your nominated bank account. So, don’t let your past borrowing history stop you from securing a loan.

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No Credit Check Loans

No Credit Check Loans Considerations – Do or Don’t?

the advantages and disadvantages of no credit check loans||late payments affect credit score||no credit check loan do's and don'ts

With banks tightening their lending practises, it has become near impossible for people with bad credit to secure a loan from. If your past mistakes have been getting in the way of financial stability, you may be happy to know that there are alternative options out there. One option is a no credit check loan. In this article, we discuss the considerations to take into account when applying for no credit check loans

When applying for a loan, the lender will not request your credit report from any credit bureau. On the surface, a no credit check loan may seem like the most ideal loan for bad credit borrowers; but is it? Let’s find out.

The advantages of no credit check loans

Your credit score will not influence your loan approval

Even when your credit score is disturbingly low, it won’t affect your loan process. As mentioned above, lenders will not request your credit file from credit bureaus. As such, any past default or listing that has dragged your score down, won’t come back to bite you.

No collateral

With some lenders, you won’t need to secure the loan on an asset that you risk losing if you fail to repay the loan. Not having it secured also has some downsides. Still, the fact that your credit isn’t checked and you are able to get the loan in the first place eclipses them when it’s an emergency.

Fast Loans no credit check
Fast Loans no credit check

It can be used for anything you want

You are free to use the money for whatever you want. A lender won’t typically ask you why you need the money.  Lenders are mainly concerned about whether or not you will be able to pay back the loan appropriately.

Quick cash

Have you been turned down for a loan in the past? It can be a long and frustrating process. One of the main advantages of no credit check loans is that it is quick and easy to access. Simply fill out an enquiry form and then speak to a loan consultant who will explore all your loan options. Gain approval within a matter of hours.

The disadvantages of no credit check loans

High-interest rates

Due to the nature of these loans, they are often coupled with high-interest rates. Unfortunately, if you have bad credit, you will be seen as a high-risk customer. Lenders may not care about your credit score, but they will be cautious with who they are lending their money to. To make sure that you are getting the best possible deal, research online and compare the services offered by lenders.

Smaller sums

When compared to a bank loan, a no credit check loan may have smaller borrowing capacity. With this, the loan term will also be shorter. Most no credit loans may need to be paid back within 1 year. If you don’t, the interest rate may increase and you may be penalised further.

Late payments still affect your credit score

Here’s one of the big considerations to be aware of before applying for no credit check loans. If you thought that getting a no credit check loan and being late on the payment won’t affect your credit score in any way, think again. Payment history accounts for 35% of your overall credit score.

Whilst you have secured a no credit check loan, you must always think ahead. If you continue to miss payments you will continue to decrease your credit score. Your credit score can drop so low that you may not be able to ever borrow money again – not even loans with no credit check. You should give your next move some careful thought.

Do or Don’t?

No credit check loans are, for the most part, quite inoffensive loan types. If you’re stuck in a complicated financial situation and you need that added boost, a no credit check loan can be your saving grace. In saying so, you must find a no credit check loan provider that is trusted and reputable. Explore your loan terms to make sure that you are getting the best possible deal. Before you commit to another form of debt, make sure that you have established a good budgeting plan. Missing payments will only put you in a world of trouble. If you can’t cope with it, you will eventually start missing on payments. Gradually, your credit score will go further down. Debt, no matter how small, is a burden on anyone’s shoulders.

Australian Lending Centre has been providing no credit check loans for thousands of Australians. Contact us on 1300 138 188 for professional advice. Alternatively, fill out our quick and easy enquiry form for a free assessment. One of our trusted loan consultants will contact you to help you explore your options.