WARNING: LATE REPAYMENT CAN CAUSE YOU SERIOUS MONEY PROBLEMS. RATES FROM 45.3% APR TO 1575% APR FOR HELP, GO TO MONEYADVICESERVICE.ORG.UK

The Answer To Your Cash Needs

Representative 277.5% APR

Representative Example: Borrow £700 and pay £111.27 per month for 12 months at an interest rate of 140% per annum (fixed).
The total charge for credit is £635.24 The total amount repayable is £1335.24. Representative 277.5% APR (variable). Your APR rate will be based on your circumstances

Non-payment could have a negative impact on your credit rating and have increased charges and interest rates.

The Great Things About KnightFinance

Super Fast Process

You could get money directly into your account after just a 15 minutes application.

Affordable Finance

Get the cash you need without the usual high costs, because of our wide range of lenders.

Low Interest Rates

Compare lenders to make sure that you get the lowest possible rates.

Unsecured loans

There’s no need to put any collateral against your credit, all our loans are unsecured.

Personal Loans that are Unsecured

It is so easy to get the finance you need today. Here at KnightFinance we pride ourselves on finding the right payment plan to suit anyone’s individual needs. Whether you are looking to borrow a small amount over a short period or are looking for much larger finance agreement we are able to help. Also known as personal loans or signature loans, unsecured loans are becoming a massively popular alternative to the standard bank loan. What unsecured refers to is how the finance is issued depending on the individual’s creditworthiness. Now when that comes to a bank loan, yes this is regarding your credit score, often making it difficult to get the finance you need. However, when we are talking about a loan that is not from a bank this is not the case. Many companies and lenders will not look at your credit score and will gauge your ability to repay on your current employment. So what is an unsecured loan really? This is quite an easy one, all it means is that the loan is not guaranteed by a property or vehicle. Because the lender does not have a source of collateral, just in case you default on payments for whatever reason, the interest for these loans can sometimes be higher than their counterparts. For those with bad credit, though, they are perfect for getting you back on track.

As a full time student working two jobs to get the bills paid and still being skint all the time, having a short term loan between pay days can be useful. Used Knight Finance after a recommendation from a friend and I’m glad I did. Borrowed just under £200 and paid £212 back, no where near the interest I would have paid elsewhere. Will definitely recommend if you’re strapped for cash and know you can pay it back.

Photo taken by Jonathan Chen

Alexia Newton

Support Worker

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Loans for People on Benefits and Bad Credit

While regular employment is an important requirement to get a loan, people on benefits with bad credit can also access to loans from lenders specializing loans for people on benefits and bad credit. You can use the loan for any emergency or urgent expenses like home repairs and car fixes, groceries, gas for your car, medicine or a medical bill, and so on.

Loans for people on benefits and bad credit may not be the best option for huge purchases and long-term expenses because these loans are typically small, short-term and unsecured type of credit. Looking for a loan can be hard if you are relying only on benefits. Having a bad credit is even more challenging to get a loan approval with the amount and the loan term you desire.

Important Details to Know About Loans for People on Benefits and Bad Credit

Taking out Loans for People on Benefits and Bad Credit

Bad can happen to anyone for many different reasons. Bad credit could be a result of missed payments on debts, a default on a loan, bankruptcy, repossession, excessive usage of credit cards, nonpayment of credit balances or may have no history of managing credit at all. Bad credit is a common thing among people on benefits who are in need of extra cash.

Many quick loans for people on benefits lenders in the United Kingdom offer loans for people on benefits and bad credit. If lenders see that the benefits you are receiving is sufficient to repay the loan, they’ll offer reasonable rates even with bad credit. Bad credit lenders will look into the amount you are receiving, and see whether you can comfortably afford the repayments without compromising your other payables.

Loans for people on benefits and bad credit typically have high interest rates because the borrower is considered a high-risk. Make sure you don’t delay on your repayments because late fee charges can build up on top of the interest rate. It can be very costly, and you may have difficulty recovering.

If you are approved, consider it as a chance for you to improve your credit score by making on time repayments and not missing any. Once you are financially stable and pay off your loans and any missed bills in the past, your credit score will increase eventually. With a good credit rating, you’ll be able to qualify quickly for a much cheaper ppl loan.

Loans for People on Benefits and Bad Credit

Loans for people on benefits and bad credit come in many forms, and so it is imperative that you understand your options before taking out any loan. Many lenders in the United Kingdom are readily available, catering to those on benefits with bad credit.

Be familiar with different loans for people on benefits and bad credit for you to see which one best fit your personal needs and circumstances. Take time to compare the loans offered by different lenders and compare the rates and fees as well. Here are the most viable options for people on benefits and bad credit:

Short-term Instant Loans or Quick Cash

Short-term loans for people on benefits and bad credit are small in amount and are payable within a year. Depending on the amount you will borrow, the payday repayment period can range from three to twelve months. You can borrow as little as £200 or as much as £2,000, depending on the type and amount of benefits you are receiving.

Popular short-term loans for people on benefits and bad credit is the payday loan. Most payday loans are required to be paid in a one-off payment once the borrower’s paycheck arrives. However, some payday loan lenders allow installment basis wherein the loan cost is spread over several weeks or months.

Secured Loans

Loans for people on benefits and bad credit can be secured or unsecured. In general, secured loans are cheaper than unsecured ones. Secured loans have lower rates because a personal asset of the borrower is used to secure the loan.

Secured payday loans may have lower rates than unsecured loans, but they are riskier on your part since your asset is on the line for the loan. If in case you can no longer pay the loan for some reason, the lender can seize your asset being put up as the loan collateral and sell it to cover for your loan balance.

Unsecured Loans

Unsecured loans are personal loans that are solely dependent on your creditworthiness and the lender’s trust that you will pay back your loan on the agreed date and amount. Taking out an unsecured loan with a bad credit can be very costly though.

Guarantor Loans

Guarantor loans are great options for people on benefits with bad credit. These affordable loans require you to have another person to guarantee your loan by co-signing the loan with you. The guarantor promises to assume the responsibilities of the loan if in any case you cannot pay the loan yourself anymore. The guarantor must have good credit and regular income.

Guarantor loans have much lower rates and overall cost because the loan is guaranteed with someone who has good credit and stable income. With guarantor loans, you can obtain the loan amount you desire, at the repayment period you want, and at a lower rate.

More Tips:

If you are looking for loans for people on benefits and bad credit, you’ve got many options with nonbank lenders. Go online, take time to shop around, and compare rates of different lenders. By doing this, you can see which lender offers the loan with the amount you need to borrow at the cost you can afford.

If you only need a small amount, you can opt for short-term and unsecured loans to be practical. If you are looking for a bigger amount, you can take out a secured loan or a guarantor loan. in general, loans for people on benefits and bad credit are costly due to the high risk, so make sure you can afford the repayments without getting into a deeper financial crisis. Ultimately, what you want to achieve is good credit, so that you can qualify easily on a much affordable loans in the future.

Amazing Details on Loans for People on Benefits and Bad Credit

 

 

 

5 most recent personal loan reviews

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I love CSC loans I have been with them nearly three years, need a top up as my son is getting married. They where brilliant as usual, no problems, done so quick - they were my life savers when needed most, thank you.

Review posted by Mary Hartnoll, Canterbury

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Review of Together

As guarantor for my daughters, loan the service we got was quick and efficient, did checks, asked questions and all was sorted very quickly, would definitely recommend Together loans to all.

Review posted by Susan Mills, Darlington

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Review of Shawbrook Bank

Brilliant service. The application process was a doddle, the Shawbrook representative who called me was polite, understanding and cheerful. The whole thing (from starting the application process to receiving the money) took around 3 or 4 hours. Very quick and efficient and no long or silly forms to fill out. Just what was necessary. Am very pleased I chose Shawbrook.

Review posted by John Marcus, Surrey

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All reviews have been sourced from the UK Trust Pilot to certify authenticity.

Representative 277.5% APR

Representative Example: Borrow £700 and pay £111.27 per month for 12 months at an interest rate of 140% per annum (fixed).
The total charge for credit is £635.24 The total amount repayable is £1335.24. Representative 277.5% APR (variable). Your APR rate will be based on your circumstances

Non-payment could have a negative impact on your credit rating and have increased charges and interest rates.