Guaranteed Cash Loans for People on Low Income or Benefits
If you’ve been declined for credit, it can be difficult to know what to do. Missed payments during the last 7-years will have been reported to credit reference agencies so borrowing money will be far more difficult. This is because financial institutions use a process known as credit scoring to ascertain your creditworthiness as a new customer. You’re considered too high a credit risk to do business with.
If you’re looking for cash loans for people on low income, possibly due to unemployment and state benefits, you’ll need to turn to a specialist bad credit lender. Rather than following the eligibility criteria that the banks use, they use a different list of determinants. Lenders offer bad credit low income loans with no credit checks based on whether they’re affordable or not. Past indiscretions won’t get in the way of acceptance.
No Credit Check Loans for People on Low Income from a Pawnbroker
If you’ve for collateral, such as silver or gold, you can get a cash advance from a pawn shop. Just take in your item of value and ask them how much they’re prepared to lend you, the rate of interest and the repayment term. Most pawnbrokers offer loans for low income families for 30-days, but will lend money for up to 6-months. It’s really just a matter of shopping about for the deal that is most suitable for you.
You’ll be handed your cash over the counter along with a receipt in order that you can redeem your collateral. The pawnbroker will hold onto the item until your bad credit low income loan is repaid. If you aren’t in a position to repay the balance, you can settle the interest and ask if they’re prepared to extend to the term. If you fail to clear the debt, the collateral you’ve provided will be sold to pay off the balance.
Very Bad Credit Payday Loans for Low Income Families
If you don’t have any collateral, the only way that you can get loans for people on low income is from an unsecured bad credit lender. Payday companies offer poor credit cash advances of up to $500 to customers who are unemployed and on state benefits. If you have a full-time job, you’ll be able to borrow up to $1000. You’ll also need to be a US citizen, over-18 and have a personal checking account.
Payment won’t be made to you in cash due to the risk of fraud. Instead, the money will be sent to you by same day bank transfer and will arrive within 24-hours. The quick cash advance isn’t secured so there aren’t any immediate implications that come from default. However, your account will be passed to a collection agency. Interest and charges accrue quickly so only borrow money if you can afford to repay it.
Pros and Cons of Guaranteed Small Cash Loans for Low Income Earners
If you’re finding it difficult to pay the rent due to a cash shortfall that month, cash loans for people on low income or state benefits can help you out of a financial hole. You’ll typically receive your money within 24-hours. If you borrow money from a pawnbrokers, you’ll receive payment within just minutes. If you’re getting a cash advance with bad credit from a payday lender, apply before noon for same day payment.
The problem with borrowing money on a low income is that you’ll need to repay it and may lack the means to do so. If you’re struggling to pay your bills this month, will loans for people on low income really help you? You’ll not only need to repay the principal, but you’ll have to clear any interest that has accrued as well. The danger is that you’ll become trapped in a cycle of dependency which brings even greater financial hardship.