Having bad credit can mess with a person in all kinds of different ways. It can make it harder for a person to buy a house, a brand new vehicle, or get a credit card. It can also stop a person from getting loans the traditional way, through their bank or other local lenders, thanks to most financial institutions not wanting to do business with folks with bad credit.
So what can you do if you don’t have the best credit but still need money for something? While it might seem like your options are limited in your local area, you aren’t completely out of solutions. There are all kinds of platforms and lenders online who are more than happy to work with folks who have no credit or bad credit. Everyone deserves a chance to have access to money they need, right when they need it—regardless of their credit scores.
You’re not just limited to payday loan options when you’re looking for bad credit loans, either. You might be surprised to learn that you can get guaranteed installment loans with bad credit thanks to many online lenders. If you’re interested in checking out bad credit installment loans near guaranteed for yourself, acquaint yourself a little more with what you can expect first.
This way, you will be armed with all of the knowledge you will need when you sit down at your computer or smartphone and begin looking for the best lenders.
Payday Loans vs. Installment Loans
Usually, you will not find it difficult at all to get approved for smaller payday loans when searching for lenders online. These days, it couldn’t be any easier, in fact. All you need to do is input some information and wait for your loan decision to show up on your screen or in your email inbox.
Payday loans are quite the different beast compared to installment loans, though. While payday loans are typically meant to be for a smaller amount of money and be paid back on the borrower’s next payday, installment loans are typically for larger amounts of cash and can be paid back in smaller amounts over a larger period of time.
What Can I Expect With an Installment Loan?
When you apply for an installment loan with an online lender, you can probably expect some of the following:
- A longer payoff time: Since installment loans are typically for larger amounts of money, you won’t be expected to pay it off right away. Instead, you will be able to make smaller payments on your installment loan over a fixed period of time, with a final payoff date. If you can have the entire loan paid off by that date, you’re good to go!
- Be able to use it for more: You can use installment loans for almost anythin —mortgages, down payments on a vehicle, paying off a big medical bill, or something else entirely. What you use your installment loan on is up to you, just make sure you can pay it back!
- Fees and percentages: Lenders have to make a little money off their loans somehow, and this usually comes in the form of higher fees and percentages. Make sure double check on all of the fees that the lender has before you submit any loan applications.
Make sure you read up on all of the documentation on the loan before you decide for sure whether or not you would like to go through with it. If you think for any reason that you won’t be able to meet your repayment obligations for the loan, consider waiting awhile before taking it out to see if your circumstances change.
This is because most lenders, even online lenders, will report to the credit bureaus (Experian, TransUnion, and Equifax). If you are unable to repay your installment loan, it could reflect on your credit score and impact it negatively. On the other hand, if you are able to fully pay your installment loan off on time, it could also have a positive impact on your credit score.
Getting the Money You Need Can Be Simple
If you need a larger amount of cash for some reason and don’t have the best credit score in the world, you don’t have to feel like you don’t have any options available to you. Thanks to online lenders willing to work with those who have no credit or bad credit, it is becoming easier for everyone to get access to the money they need, right when they know they need it. As long as you know you will be able to pay your installment loan off on time, you will be just fine.