Representative example of the total cost of the loan, including all applicable fees – Typical loan size of £25,000 over 120 months = £275.82 pm, 4.35% Variable APR – 6% (including £1800 in interest) total repayable £33,098
Maximum Annual Percentage Rate (APR) – approx. 24% (lender starting rate 18%) – Typical Apr will be around 8%
*We are not a lender, we provide a free credit brokering service. We will never charge you a fee for using our application.
Simple Application Process
Safe & Secure
Absolutely No Fees
Fully Legitimate and FCA Registered
Warning: Late repayments can cause you serious money problems. For help, go to moneyadviceservice.org.uk
Loans subject to status. Over 18s only. Minimum loan amount may apply.
Rates from 4.5% APRC to 65.2% APRC are available – the highest rate is for customers with severe credit problems. Loans available from 1-25 years. TYPICAL 10.9% APRC variable
Application For 5000 Loans With Bad Credit
- Apply for loans of up to £5,000 online form direct lenders.
- Obtain same day access to loan funds even with bad credit.
- No guarantor needed to apply, even if you’re unemployed.
Most people with a bad credit score are desperate for a financial support since banks and traditional lending facilities are turning them down. However, that doesn’t mean that they’re left with no options; the alternatives may be limited and finding the best deal takes times and patience but they still have a chance to have the extra fund they need. Whether they’re looking for 5000 loans or less, they can acquire it by going online.
There are a lot of lenders available over the Internet but most of the times, they find themselves applying for a payday or logbook loan. While these loans are quick options, it’s not always the best. The loans are made up of high-interest rates that are often too hard to settle. Many borrowers are trapped in the vicious cycle of debt and only a few get out of it. So before you hit the application button, be sure to check their terms and conditions, including their rates and other charges and how flexible their repayment terms are.
Although it’s normal for a bad credit loan to be expensive, there are still other alternatives that won’t leave you struggling. Below are the options you can consider:
Giving Credit Unions A Try
A bad credit loan is often associated with very high-interest rates, lower loan amount, and a short repayment term. If this doesn’t suit you and you need 5000 loans, you can opt for a credit union instead. Like banks and traditional lending institutions, this facility offers financial assistance; the difference, however, is that it is owned by its members rather than private lenders. The members apply cheaper interest rates and charges, thus making the loan a more affordable option. Instead of using your credit score as the sole factor for making a decision, they also look at other criteria, such as your capability to repay the loan.
Borrowing Money From Family or Friends
5000 loans may be a huge amount but you can always consider borrowing money from a family member or a friend. It is easier and cheaper since there is no interest rate involved, although this may depend on your agreement. You can turn it into a formal way of lending money wherein both of you will create and sign up terms and conditions. This may include the interest, date of repayment, collateral, etc
This will put the other party at ease because they have something to hold on until you settle the loan. As the borrower, you should take the conditions seriously. Although they may be flexible in lending the money and allow you to extend the repayment date, you may put a strain on the relationship if you cannot provide the money back on time.
Consider Peer-To-Peer Lending
Also known as person-to-person lending or P2P, this lending platform provides 5000 loans or less, depending on the lenders. It’s been on the market since 2005 but only a few borrowers have taken advantage of it.
Like online loans, the entire transaction is done online. There’s no need to visit a financial institution to obtain money; instead, the borrower will sign up and look for another individual who will act as the investor. It works by posting the amount you need on a loan listing, stating your purpose, and waiting for an investor to accommodate your request. One advantage of getting a loan from P2P is that your credit history is not an issue.
Online Personal Loans
As the name suggests, the loan is acquired over the Internet. This is a relief to anyone who cannot go out and visit a lending office easily. It is convenient and accessible since most online personal 5000 loans are available 24/7. Bad credit borrowers often have a good chance on these lenders; usually, no credit check is conducted. Also, since there are hundreds of online lenders, the rates are competitive. You can use the loan to consolidate debts, car repairs, purchase groceries, or settle utility bills. In addition, they can transfer the fund in one day or an hour.
Another way to obtain money with a bad credit rating is by securing 5000 loans with an asset. Secured loans will require collateral – such as a house, car, or jewelry – to safeguard the loan. This increases your chance of getting approved despite your credit remark. The lender will hold the asset until the loan is fully settled. In the event of default, the company has the right to acquire the property and use it to settle the principal amount, interest rate and other charges.
Although it sounds risky, secured loans are beneficial when you need cash and you’re credit history is damaged. You can also use the loan to improve your credit rating. Just be sure to avoid late payments and default.
Getting 5000 Loans From A Direct Lender
A direct lender has advantages and disadvantages so as a borrower, it’s your duty to find out if the loan provider will fully satisfy your needs. If you’re having doubts, you may turn to loan brokers instead. These trained professionals have an access to a great number of reputable loan providers, helping you find the one who will work best according to your preference.
These middlemen are educated and experienced in matching loan providers and loan seekers; for instance, you need a low-interest loan and you have a bad credit rating. The broker will look for a specific lender who will offer the best deal. However, brokers also have several cons you should consider. Basically, they are only the middle person so they cannot provide a direct decision in regards to the loan.
A direct lender, on the other hand, has its own set of pros, such as:
- Fast processing of the loan application
They are in full control of the loan and there’s no need to wait for another person to come up with a decision. Therefore, the application process is completed immediately.
- Flexible terms and conditions
Lenders can waive fees and even extend the loan’s due date, depending on the agreement. Brokers, on the other hand, cannot do these on their own.
- Personal and financial details are safe
Since there is no other person involved, you’re guaranteed that your personal and financial information is not sold or shared with any third party.
£5000 Loan FAQs
How long will it take to get my money?
Most loan providers will be able to have the funds in your account on the day your application is approved. If there is a delay, they will let you know.
Is the application process finalised online?
Yes. Simply complete the application form and hit the ‘submit’ button and one or more loan options will appear from which you can choose to proceed if you wish.
Will I deal with UK based direct lenders?
Yes. One or more FCA-accredited direct lenders will reach out to offer you a loan. You are under no obligation to accept at any time.
How much can I borrow?
This will depend on your current employment status and financial circumstances. The lender will work with you to finalise an amount that you’ll be able to repay comfortably.
Can I apply if my credit history is bad?
You definitely can, because a number of lenders are now willing to assist individuals who have bad credit histories.
Do I need to provide security for my loan?
No. No form of upfront security will be required when applying for your loan, you don’t even have to provide a guarantor during your application.
It is our ultimate goal to make your lending experience as easy as possible.
If you have any queries feel free to contact our dedicated team of experts today.
Competitive Examples From Other Companies
Representative Example: Amount of credit: £300.00. Term: 91 days. Interest: £155.35. 3 monthly payments of £152.63.
Total Repayable: £455.35. Interest Rate: 292% pa (fixed) Representative APR: 1264%.
3 most recent personal loan reviews
Simply amazing! Quick, professional and understanding. Great agents over the phone. Thanks for helping me again!
Review posted by Shah Azad, Brighton
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The best and more serious loan company, Moneysupermarket without a doubt! Fantastic customer services and great communication , lots of good advice in how to manage your loan and very reasonable rates in accordance to your possibilities. Perfect for that extra pending project without making a big dent to your monthly income. Highly recommended!
Review posted by Maria Bidell, Manchester
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This has proven to be an excellent service. Quick, efficient and trusting.I would definitely recommend Giffgaff loans to friends and family in the future.
Review posted by Donna Blanford, Glasgow
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