How do I get a loan with bad credit?

How do I get a loan with bad credit?

What are the disadvantages of applying for loans with bad credit?

How do I get a loan with bad credit?

A more relevant question is, “Is it advisable to get a loan with bad credit?” There is a chance you can get a loan if your credit record is not good, but it is not advisable. If you are lucky enough to get a loan, you will be doing long term damage to your credit health and incurring a needlessly heavy repayment burden. Instead, if you have poor credit, you can save significant money on your repayment burden by first improving your credit before applying for a loan.

Is it possible to get loans with poor credit?

Yes, it is possible. If you do not a very poor credit record, there is a chance that a lender might decide to approve your application. Each lender has their own set of requirements and evaluation criteria, so you might be approved by one lender while being turned down by many others. One lender might be willing to take the risk of lending to a customer with poor credit, but with tougher loan terms in order to safeguard their money.

What are the disadvantages of applying for loans with bad credit?

1. If your loan application is rejected by multiple lenders because of your poor credit record, each rejection will cause your credit score to drop further and damage your credit health – even if you are finally approved for a loan. If you are rejected 4 times before being approved by the 5th lender, your credit score will decrease with each rejection.
2. Even if your application is approved, you might be subject to harsh terms and conditions on your loan. You might be given a higher interest rate, shorter repayment period, or a smaller loan amount.

What should be my first step to obtain a loan if I have a poor credit record?

First, you need to concentrate on improving your credit. This can take an average of just 4-8 months, depending on how serious your individual credit situation is. Once you improve your score, you are in a position to have your loan approved and prevent the chance of rejection and a consequent decrease in score. Another advantage of a good score is that you can avail of far more attractive terms and have a lighter long-term repayment burden over your loan period.

If you have bad credit, CreditMantri can guide you in improving your credit health so that you can become loan eligible and save a substantial amount of money in the long term with your improved credit.

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Comments (13)

Anonymous


Commented on 10, February , 2016

Mr Noor, You will be eligible for a Business Loan, if your business meets the minimum credit criteria requirements of the lender relating to turnover, profit and the existence of IT returns. You must also ensure that if you are the promoter, you have a healthy credit score. We can assist you to analyze your credit score and also help you with your loan requirements. Please provide us with your contact details and we will get in touch with you.

MOhammed


Commented on 9, February , 2016

Hello sir iam mohammed noor iwant to apply a business loan ihave 1 personal loan from bajaj in november of 2015 can i apply abussiness loan and my first emi start at junwary 2016

Anonymous


Commented on 20, January , 2016

My name is Ravinder. I need your help and support to clear my outstandings on my Axis and HDFC bank credit cards. My mobile number is 8125331933 from hyderabad

Anonymous


Commented on 5, January , 2016

Sir I need your support how to remove my bad credit scores please tell me how I contract you my number 9928081203

Anonymous


Commented on 1, January , 2016

sir mera civil bad ho gaya hai jiske karan mujhe kisi bhi parkar ke loan lene me paresani ho rahi hai civil ko kese sudhara ja sakata hai please help me 9782743276

Anonymous


Commented on 16, December , 2015

I have around 15laks of existing obligatin including credit card & personal loan. In my bank statement there are EMI bounces means late payments from an year. But till now not skipped any EMI for the Banks. No bank approving my new loan request.If any of my the bank takes over my existing obligations into 1 loan it will help me lot. Kindly help and do the needful. 8861163731

Anonymous


Commented on 10, December , 2015

Mr. Mohanty - from your message it appears that someone else's account is being displayed on your CIBIL report because of an incorrect PAN number mapping. We would suggest that you file a CIBIL dispute on www.cibil.com. We can also assist you with this. We will have one of our counsellors call you shortly to discuss this.

Anonymous


Commented on 5, December , 2015

Dear Sir, I had not availed any loan of Rs.25,00,000/-& Personal Loan of Rs.5,00,000/- sanctioned on 08.01.2015 by PNB, Chandrasekharpur Branch, Bhubaneswar-751016 sanctioned to another BIJAY KUMAR MOHANTY, bearing PAN No.ADYPM0529P, Account No.297700NC00005948 & Contact No.917894406261. This has been detected while applying loan in SBI, Fortune Tower Br.,Bhubaneswar-751023 vide cibil control No.92,42,11,014 dt.03.11.2015. Kindly make necessary arrangements to delete the same so as to enable me for applying fur from your record. (Bijay Kumar Mohanty) PAN No.AFVPM1539A, Mob.9437283217 Mob.No.9437283217

Anonymous


Commented on 22, November , 2015

I want to improve by credit score can you help me plz. 9900160247

Anonymous


Commented on 20, November , 2015

hello may i please know how to improve the credit score i have a loan and have defaulted on repayments

Anonymous


Commented on 19, November , 2015

Thank you for reaching out to us. Our Credit officer will get in touch with you tomorrow.

Anonymous


Commented on 18, November , 2015

Sir I need your support how to remove my bad credit scores please tell me how I contract you my number 7401256756

Anonymous


Commented on 3, September , 2015

helpful

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