Unsecured loans are a popular source of meeting short-term financial requirements. With these loans, you can easily get funds without following any lengthy procedure. The biggest benefit is that you don’t need to risk any of your assets to borrow funds.
24loanswales provides these loans with customised deals. You have to work on your creditworthiness, according to which you get a loan amount approved. This loan amount decides your monthly repayments and interest rate.
Financial conditions are different for every borrower. Thus, the repayment schedule is according to your individual conditions. It would not be wrong to say that unsecured loans are affordable, especially when you borrow them through a direct lender.
We approve funds to you on the basis of your current payment capacity, avoiding your credit rating. Due to instant approval decisions and timely deposits, you can borrow funds at any time of the day. Apply now and get your money now.
An unsecured personal loan is a short term loan which you can avail without pledging an asset. This loan fulfils any kind of financial requirement of yours. You must not have any specific purpose to take a loan. All the procedures are virtual and complete online.
Since it is unsecured, its interest rate is slightly higher than a secured loan. This is because if the applicant defaults, the loan provider does not have any collateral or asset to seize. At the most, it can take legal action or report to credit agencies.
However, unsecured loans are affordable due to customised deals. The repayments are also pocket-friendly. By repaying an unsecured loan in the UK on time, you can improve your financesand credit rating.
UNSECURED LOAN FACTS
An unsecured loan is a short-term loan type. Many other loan options that are available without any collateral condition are the types of unsecured loans. Let us know about the popular types.
Debt consolidation loans - These are the loans that let you borrow a big amount. Using that amount, you can pay off other multiple debts completely. As a result, you will have one instalment of debt consolidation loans. This, too, comes with no collateral need.
Personal loans - Personal loans do not require any introduction. They provide short-term funds to meet all your personal financial needs. No collateral is required to get funds. Also, get guaranteed deals with affordable instalments.
Payday loans - Unsecured payday loans are popular for providing instant funds. These are high-interest loans that offer you emergency funds within an hour. You do not need to pledge assets for these loans.
Bad credit loans - Short-term loans that are available to you in a bad credit situation without any collateral are called bad credit loans. The best part about these loans is that irrespective of your credit rating, you get affordable funds. The personalized loans are easy to repay.
No guarantor loans - Another loan solution is the no guarantor loans that is free from the obligation of collateral. It means you can borrow funds without any guarantor or collateral. Isn’t that a great facility?
Just like every coin has two sides, every loan has its pros and cons. You can get the best unsecured loans in the UK, and they are beneficial. However, some conditions may arise during the loan process.
These mainly draw your attention to following disciplined financial behaviour. But you should know about them before applying for cheap unsecured loans. Let us know them below:
Advantages of Unsecured loans
Disadvantages of Unsecured loans
This takes a few steps only. To apply for an unsecured loan, you have to follow a direct process. Fill out the online loan application form. It does not take much time. Once you submit the application form, you get an instant approval decision.
If your funds are approved, you receive an online loan agreement. Read the agreement carefully and give consent. After that, the funds reach your account within 24 hours. While applying for a loan, you have to provide some financial details.
These details are your last 6 months’ bank statement, employer proof and verified residential address. On the basis of this, your financial and personal information are verified online. After a proper credit check and document verification, you get an approval decision. At least a fund deposit happens. Due to this speedy process, most of the borrowers choose direct lending for unsecured loans.
TIPS TO USE UNSECURED LOANS RESPONSIBLY
Yes, you can take unsecured loans for bad credit in the UK. Credit rating is not a conclusive factor for taking these loans. However, if you are taking a loan with a bad credit situation, you have to fulfil some conditions.
The bank statement for the last 6 months is an important detail. It gives an idea of your financial behaviour in recent months. That gives the proof that you are paying other debts and obligations on time.
This lender gets to know about your improved financial behaviour. Apart from this, your current income is an important factor. You should prove that you are earning regularly. On the basis of your employer and salary details, you assure the lender about income.
On the basis of these two factors, you can take unsecured loans for bad credit from a direct lender. The result of these simple conditions is that you get funds instantly and for any financial purpose.
Rationally, it is not possible to get unsecured loans with no credit check. It is a necessary part of the loan procedure. Direct lending does not work under the regulatory authorities like mainstream. However, still some rules are strictly followed in direct lending.
No credit check is possible only when you want a loan quote. But if you want to process a loan, you must give permission to the lender for a credit check. Lenders obtain your credit report from a credit reference agency.
This lets them know whether you have been successfully maintaining good financial behaviour in the past months. A credit check is often required only when you have no or a bad credit history. In both situations, you can avail of funds, but your application will go through the credit check process.
There is no need to get a guarantor. Therefore, it is possible to get unsecured loans with no guarantor. These short-term loans need no collateral or guarantor. Its biggest advantage is that you can obtain funds without following any lengthy procedure.
Therefore, you should not take the stress of the fact that you have to provide a guarantor. The most important thing is that as long as your current payment capacity is strong, there is no fear of rejection.
Other than that, it is also vital to have your verified residential proof. Lenders do not approve the funds without address verification. Therefore, it is important to work on these factors.
However, in some conditions, borrowers themselves provide guarantors of their own will. This is because they need to get a large amount at a lower rate. However, this is not a compulsory situation for unsecured loans.
Comparison helps you make rational decisions while taking any kind of short-term or long-term loan. 24loanwales is a popular provider among the providers of unsecured loans from direct lenders due to some of our features.
Faster approval and speedy disbursement are always available to ensure your comfort. We provide better terms and rates than other options in the loan market. Our primary focus is borrower-friendly deals. Thus, we provide funds on your current repayment capacity without considering your credit score.
This is why our loan offers are very low Cost. Transparency and clear communication allow you to interact directly with decision-makers. This makes it easier for you to know your loan terms and avoid miscommunication or confusion.
On unsecured borrowing, we have exciting pre-approved loan offers for existing borrowers. Also, have affordable deals available for new or first time borrowers.
Representative Example
Loan of £4,000 repayable over 12 months at an interest rate of 45.3% pa (fixed). Monthly repayment of £420.66. Total amount payable £5,047.96
Warning: Late payment can cause you serious money problems. For help, go to: moneyadviceservice.org.uk
Yes, we work as one of the established providers of unsecured loans from direct lenders. All our loan procedures have the features of a direct lender. Instant approval decisions, speedy fund deposits and affordable deals are major. You apply online and get funds online. Our only focus is borrower-friendly deals.
The difference is clear between the two. Secured loans need collateral, while unsecured ones do not have any such obligation. Due to the presence of collateral, secured loans have a lower interest rate. Small unsecured loans have higher interest rates, but due to customisation, the repayments are affordable.
Work on your repayment capacity, and you can get unsecured loans with a lower APR. In direct lending, current repayment capacity is the decisive factor. Thus, if you have a regular income, you can even get unsecured loans for bad credit from direct lenders in the UK with lower APR.
You can borrow as much as you can repay. However, the maximum limit for these loans is £25,000. However, the funds are provided according to your repayment capacity. Therefore, if you want to borrow more, you need to work on your repayment capacity.
You need to apply with your bank statement for the past six months. Besides, your income proof and verified residential address are vital. Besides, you need to give permission for a credit check. Providing all details properly helps you get instant approval for decisions.