04 May 2020   /   0 comments

How to Get a Loan with Bad Credit

get a loan with bad credit

How to Get a Loan with Bad Credit

You may be familiar with the misleading slogan: “no credit, no problem.” In reality, having no credit or bad credit does pose somewhat of a problem for someone looking for loans for bad credit,  but we will help you get a loan with bad credit by using the equity of your car, your car becomes your credit. That is how easy it is to get a  loan with bad credit from us. That is how to get a loan with bad credit.

Get a loan bad credit or bad credit loans today? Let’s go! It’s not impossible to get a title loan with bad credit, but it does present some challenges. If you’re asking yourself, “can I get a  loan with no credit?” the answer is yes, you can, but it will be more difficult for you than for someone with well-established credit. Getting a loan with bad credit is possible by using your car. We will put a loan on your car title.

How to Get a Loan with Bad Credit or No Credit

If you have no credit or bad credit, you haven’t been able to prove that you can pay debts back promptly. For this reason, lending institutions such as banks and credit unions will treat you as a high-risk customer. They calculate this risk using credit scores when deciding who to lend to and determining details of a loan. If a lender doesn’t believe their borrower will be able to repay the loan, they will either offer a smaller loan with higher interest rates or no loan at all. Most traditional banks do not give loans for bad credit.

Get a Loan with Bad Credit!

And today, ten years after the Great Recession began, increased regulations and collateral loans bad credittightened lending standards have only made things more difficult for prospective borrowers to get bad credit loans. If you’re operating under the assumption that you can’t get a loan with no credit, you may think that shady sources of loans such as payday lenders are your only option. Let’s learn more about how to get a loan with bad credit. These loans have extremely high-interest rates that rapidly bury a borrower. Taking a loan of this nature will often burden you with even more debt than you had to begin with. If you need to get bad credit loans and you own your car, you could get a title loan using the equity of your car.

Perfect Credit, Good Credit, Poor Credit, or No Credit at All?

In short, it’s wise to only apply online to credible, well-known lenders like credit unions and banks. If a lender offers you a loan without even checking your credit, it’s safe to assume they are engaging in predatory practices. You need to find a bad credit loan, that you will be able to repay. There are some great loans for bad credit, but it is important to shop around and find the best lender for you.


get a loan with bad credit

What Causes Bad Credit?

  • You only make minimum payments on credit cards with large outstanding balances
  • You’ve have made many late payments for different expenses
  • You’re struggling to get a housing lease
  • It’s difficult to get a contract with a cell phone company
  • Your checking account is constantly overdrawn

All of the above have a detrimental impact on your credit score. They indicate to borrowers that you may not be able to repay a loan in full or on-time.

Don’t let your lack of credit or poor credit score get you down or entice you into a situation that sounds too good to be true (like payday loans). The bottom line is you can get a loan with no credit. Options do exist, but it may take some time and a bit of research to figure out the best one for your needs. You will be able to qualify for bad credit loans, with one of our title loans.

get a loan with bad credit

Loan Alternatives for People with Bad Credit:

1. Borrow Money from Friends or Relatives

Most people will tell you what borrowing a significant sum of money from a friend or family member might not be the best idea. If you go about it in the right way, however, it can be one answer to the difficult question, “can I get a loan with no credit?” When it comes to having someone lend you a helping hand, there are two relatively easy ways to go about getting a loan with no credit.

Do I Need a Co-Signer?

One of the easiest ways to get a loan with no credit is to have a direct relative co-sign for you, to help you qualify for your bad credit loan.  Your bad credit loans application is easier with a co-signer, the co-signer enters into an agreement making them responsible for the loan in the event you find yourself unable to pay it off. When learning how to get a loan with bad credit, be careful with this option. While anyone can be your co-signer, it’s generally recommended that you go to a direct relative such as a sibling or parent. Be certain that the relative co-signing for you acknowledges the risk inherent in the agreement. The loan in your name on which they co-sign will wind up affecting their credit report.

And of course, they are taking on full responsibility for the principal balance of the loan in addition to any interest accrued. If you fail to pay back the loan, they will not only be on the hook for the remaining balance, but their credit score could take a hit. A co-signer with a high credit score will enable you to get almost any loan they might be eligible for themselves. Having a third-party available to cover the cost of the loan in case you cannot do so gives the lender a greater degree of certainty in providing a loan.

Personal Loans Vs Car Title Loans

Alternatively, you can also ask a friend or family member for a direct personal loan. If you treat this like a formal business transaction it can work out without straining the relationship you have with the person. It’s best to create a written agreement for the loan. Specific details like how much you intend to borrow, what kind of monthly payments will be made, the date the loan is supposed to be paid off, and, if appropriate, what collateral you have decided to put up for the loan. It can be very difficult to get personal loans with bad credit.

If you want to get serious, you can have the written agreement looked over by an attorney and notarized at your local notary, making it 100% legal and binding. That way there’s no ambiguity and it’s less likely anyone’s feelings will be hurt if anything goes wrong. This is the toughest way to get a loan with bad credit!

Personal loans with bad credit are not easy to get, and they might take a lot of time to prepare.

get a loan with bad credit

2. Leverage the Equity in Your Car or Home

If you’re having trouble getting a bad credit loan because you have no credit or bad credit, you may need to put up your pink slip. A collateral loan is different than an unsecured loan, whereby a creditor’s only recourse in the event of your defaulting will be to pursue legal action against you. More than anything, lenders want to get their money back after lending it out. They’d rather not deal with having to bring legal action against borrowers who can’t repay their loans. With collateral, the lender has a sort of insurance policy against you defaulting on your loan obligations.

Collateral is defined as an asset that a lender claims the rights to in the event the borrower fails to pay back their balance. Any asset that is allowed by law and accepted by a lender can be used as collateral. For the most part, lenders have a preference for assets that can be easily valued and sold. A savings account, for example, is a perfect form of collateral. This is because lenders can assess exactly how much it’s worth and collect it easily. The most common types of collateral are:bad credit car loan

  • Cars
  • Homes
  • Bank accounts
  • Equipment such as machine tools
  • Investments of any kind
  • Collectibles such as coins or rare stamps
  • Valuables such as jewelry

If you own a business, future payments from customers (also known as receivables). Or, if you have any assets like these, some lenders may allow you to get a loan with no credit if you’re willing to offer them up as collateral, so you can get your loans for bad credit.

3. Mortgage Your Property

If you own a home, you can use this to your advantage. There are many ways to convert the equity in your home into a loan of some kind. The first and most obvious way is to sell your home. You can either find a smaller, more affordable home in your area or move somewhere that real estate prices are lower. If you’re age 62 or older, you have the option of taking out a reverse mortgage on your home. A reverse mortgage involves receiving monthly payments while reducing the amount of equity in your home.

If you have parents who are homeowners, they can enact a “sale-leaseback”. This involves a sale of the home followed by a new loan being created for you. Sometimes parents do this as a way to take equity out of their home while they downsize and let their kids enjoy affordable rental rates. This is how to get a loan with bad credit.

4. Car Title Loans with TFC Auto Title Loans for Bad Credit!

If you own a passenger vehicle, you can always apply for a car title loan near you today. A car title loan is a form of collateral loan that applies specifically to cars, in case you hadn’t guessed. The amount you can borrow depends on the wholesale value of your car. Now you have a few answers to the question, “can I get a loan with no credit?” While the landscape may look bleak, it certainly isn’t hopeless.

Bad credit loans are not as difficult to get as you might think, but having poor credit, your interest rate will be much higher. Most bad credit loans, are usually emergency loans and are not meant to be a long-term solution.

get a loan with bad credit and get a loan with no credit

How to Get A Loan with Bad Credit; Conclusion

You can always ask a friend or family member to either give you a direct personal loan or co-sign on another loan for you. Some lenders may be more lenient if you offer up collateral. Your home equity can be used to acquire a loan in more ways than one. And last but not least, you can always take out a car title loan with TFC Title Loans. Now you know how to get a loan with bad credit!

Getting a bad credit loan is fast and easy with us, if you have equity in your vehicle, we can get you the bad credit loans today. All you have to do to get your bad credit loan is to apply online with us. We are here to help you get your loans for bad credit, with our title loan program.  Qualifying you faster and get you the loans for bad credit approved today.

Getting you fast approval for loans for bad credit, because we will use the equity in your car, to get you the bad credit loan you need. Getting loans for bad credit from us is easy and in most cases with can do same-day funding. Apply online today, and get the bad credit loan you need now!

Here is some more information on bad credit history.

Frequently Asked Questions
Can I get a loan with bad credit?

Yes, indeed, you can get a loan with bad credit through TFC Title Loans. Rather than lending based on credit score, TFC Title Loans awards cash loans, leveraging the equity in your vehicle!

Where can I get a loan with bad credit?

TFC Title Loans has multiple locations throughout the US. Simply visit our website to find the location nearest to you.

Do you need good credit for a title loan?

You do not need good credit to get a title loan. In fact, most title loan lenders won't check your credit at all, since the loan depends entirely on the resale value of the vehicle...

How Much Cash Can i Get?

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