No Guarantor Loans: Pros and Cons That You Should Know
The UK online finance market is flooded with thousands of loans of different types. No guarantor loans are one of the most promising unsecured funds that people choose to fulfil their financial needs and conquer various crises. Now the question arises, are these funds viable and authentic? Well, of course, these financing options are authentic and approved by the Financial Conduct Authority (FCA). But, the problem is both certified and non-certified direct lenders offer these funds. The applicants have to be highly careful if they want to get genuine and trouble-free cash.
No guarantor funds have various pros and cons that you should know before you apply:
• No tough eligibility criteria. Any 18-75 years old resident in the UK can apply. CCJs, bankrupt, default, and bad credit customers are absolutely eligible.
• An easy and quick online application procedure with no hurdles. The applicants need to devote only 2 minutes to complete the application course of action. There is no need to go anywhere. No queues and no waiting.
• Loans for bad credit with no guarantor are especially designed for hopeless poor credit customers whose funding applications have been rejected by all traditional edges and other financing institutions.
• Gone are the days when you had to submit numerous documents to the lending company for getting the approval. Now, with the arrival of financial technology (FinTech), paperwork has completely gone. You dont already have to attach scanned copies with the online form.
• As the name indicates, you can access these funds without a guarantor. You dont have to chase co-signers and plead them for co-signing your application.
• You dont have to potential any valuable assets to avail loans for people with bad credit.
• As the competition between the direct lenders is so high, you have a good chance to get an additional discount on the APR.
• You can get the fast approval as there is no credit check or the direct lending companies carry out the soft credit check only.
• Highly customised repayment modes dont overburden the monthly budget of the borrower. You can repay the loan with no guarantor in easy installments.
• Chances of a lending fraud are high as numerous non-certified direct lenders are offering bogus deals.
• The total cost is usually high due to the presence of additional charges i.e. lenders fee, upfront fee, processing fee, and more.
Overall, no guarantor loans have various benefits that you cant ignore. Yes, these funds have very few cons, but you can avoid them by applying to a reliable and certified direct lender.