If you have a poor credit record, perhaps because you have never borrowed before, do not have a high income or have had some money troubles in the past then you may be looking for a way to borrow without needing a credit check. This is a product which is not available, as every lender today will do some form of checks.
Representative Example: £400 borrowed for 90 days. Total amount repayable is £561.92 in 3 monthly instalments of £187.31. Interest charged is £161.92, interest rate 161.9% (variable). Representative 305.9% APR. We are a broker not a lender. We don't charge fees. We don't sell your personal information.
All lenders will do a credit check before they decide whether they are going to lend money to anyone. They want to see how high the risk is of lending to someone. There are lots of reasons for having a poor credit record and lots of ways to improve it as well. If you have had loans before and repaid them, it can show that you are capable of doing so. If you pay rent, regular bills or things like that it can also show that you are capable of making regular payments. The credit report will also show what salary you have and obviously income is a big indication of how capable you are of repaying a loan.
The more income you have and the more capable that you show you are of making regular payments, including loan repayments the lower the risk you are and the more likely to are to be accepted for a loan. However, there are some lenders that are happy for you to be slow to repay a loan as they see it as an opportunity to charge you more money, as long as they get their money back eventually.
Payday loans were specifically designed to provide money for those that have no opportunities to borrow money anywhere else. This is why they do a credit check and see if the loan is affordable. They want to offer the opportunity to borrow money to anyone, even if they have a poor credit record.
As the idea behind a payday loan is to lend to those who cannot borrow elsewhere then most will do a credit check to make sure you can afford to repay it. There are quite tight regulations on payday lenders in the UK though. They are obliged to check whether the borrower is capable of repaying the loan and this can potentially mean they will look at income to see whether it is enough to cover the loan repayment.
Picking between bad credit payday loans can be difficult. There are a lot available but there are comparison websites which can help as well as brokers and introducers. These will enable you to more easily see more information about what loans are available as well as see how they compare with regards to price. It is worth looking at other things as well as the cost, such as how many repayments there are, the reputation of the lender and things like that. It is good to know what you want from a lender so that you can look for those features in the one that you choose.
As well as going through a broker, introducer or comparison website you can also do research yourself online to look for payday lenders. If you go on a search engine you will find a lot of different lenders come up and if you have the time you can look at them in more detail. It is always wise to have a good look at their website and try to find out a bit more about their reputation before deciding who you will borrow from. It can be tempting to go with those you have heard of, perhaps because you have seen adverts for them, but just because they can afford an advert it does not mean they are any better. Reading reviews of different lenders and asking friends and family about who they use will also allow you to see more information about the different lenders as well as finding out who they are.