There are organizations that are ready to issue an online loan via app, even if you have several hanging loans and do not have a job. These are pawn shops. Since the client provides them with a pledge, they have no financial risks at all, because in case of non-return, they can sell the pledge and compensate for the losses. And since the loan amount is less than the real value of the mortgaged property, some unscrupulous lenders set the goal to take possession of expensive collateral. Especially this practice is common when pledging apartments and transport.
Pros and cons of the pawnshops and private lenders
In the case of a pawnshop there are a number of inconveniences:
- The need to alienate mortgaged property is inconvenient when you have to pledge a thing from everyday use;
- Sometimes you may need a document on the pledge – pawnshops with a good reputation will not risk, and contact the allegedly stolen goods. This is especially true at the current level of theft of portable equipment (laptops, tablets, smartphones);
- The amount paid during the period of using the money interest may be much higher than the real value of the collateral;
- You must visit the institution when making and closing the transaction.
But besides pawnshops, there are still organizations that are ready to assist in obtaining a loan with a bad credit history. These are private lenders. But it is not worthwhile to rush to them for help, because in this area the level of fraud is extremely high. For example, you can sign a receipt, and the partner not only does not give you money, but also will demand payments based on the signed paper – the law will be on his side. In addition, such loans have high interest rates. So even though they can provide credit assistance with a bad credit history, it will be very expensive. But it turns out that there is another way to assist in obtaining a loan with a bad credit history. You need to contact online lending company with sure approval.
What is a lending company?
Lending company is a microfinance organization. Such companies specialize in issuing relatively small loans for a short period. Thanks to a simplified system of regulation of activity, they can assist in taking a loan with a bad credit history. This is due to the fact that such companies are not so much carping at the reputation of customers, in contrast to banking structures. Such organizations, in addition to high loyalty to customers, have other advantages:
- The age of customers ranges from 18 to 65 years, while banks may refuse a loan to persons under the age of 21;
- The minimum package of documents;
- The opportunity to receive funds not only in case of bad reputation, but also without leaving your home – just fill out an online application;
- The speed of processing the transaction and transfer of borrowed funds to the card.
But, in addition to all the advantages, such loans have a small number of disadvantages and inconveniences:
- A rather high percentage is compensation for high risks due to the loyalty of such organizations;
- A small loan amount at the first call is also associated with ensuring risks when dealing with unfamiliar customers;
- A rather short loan term is no more than one month at the first appeal.
As it follows, such organizations can really help if you need help getting a loan with a bad credit history.
