fbpx

How to Find Personal Loans for Bad Credit in Atlanta GA

Loans for bad credit are usually a relief option for those consumers with low credit that is limiting their borrowing options. Personal loans in Atlanta GA can bail consumers out of financial emergencies, especially when their credit scores are abysmal. If you need money urgently but don’t have an excellent credit score to get a loan from a lending institution, there are options that you can consider for help. Many institutions can offer reasonable interest rates and flexible payment periods even when your credit rating is not excellent.

A credit score holds a unique place in your financial profile. It determines every financial decision whenever you require a loan. But sometimes low credit ratings are not always a representation of irresponsible credit history. You can have a low credit score even when your profile is clean, and be able to access credit. With poor credit, you can still seek for a loan from lenders who will conduct soft credit checks that will not negatively affect your credit scores.

Here are a few of the many lending sources that offer personal loans for bad credit:

Credit Unions

Credit Unions can be community-based or affiliated with your employer. Once you are a member, a credit union may look beyond your poor credit history and give you a loan based on your character as long as you promise to repay and keep your word. They offer favorable interest rates on personal loans in Atlanta GA regardless of your credit rating. You can save a lot of money on your payout. Credit unions are often looking for borrowers and are willing to work with anyone who can afford their terms. For every consumer, there’s always a credit union they can join and receive loans with favorable terms without regards to their credit rating.

Family or Friends

Family or friends can loan you money conveniently without putting you through the grueling process of qualifying. They may also offer favorable terms and interest rates compared to those lending institutions that offer personal loans in Atlanta GA. But you have to remember to factor in what will happen in case you default. By failing to repay a loan you owe a close associate or relative, you are poisoning the relationship you have with them. You have to treat the loan you are given as if it was a significant business transaction you had with a stranger. Your transaction should be formalized with proper documentation and legal recording. Create a written contract with interest rates, loan terms and the consequences in case you default.

Get a Co-Signer

A co-signer is someone you know who has excellent credit and is willing to be your co-signer for a bad credit loan. A lender will set loan terms based on the qualified cosigner’s credit score. Both of you will be equally held responsible for the loan repayment, and all the payment details will be recorded on both yours and your cosigner’s credit report. In case you default on payment or remit late payments, the consequences will affect you both. But if you make timely remittances, your credit rating will improve and give you an upper hand on future loans.

Home Equity or HELOC Loans

You can apply for a home equity line of line of credit (HELOC) or home equity loan if you have equity in your home. In this case, your home will be used as collateral. Home equity loans can be obtained whether with low, average or excellent credit score. Interest rates are usually loan since the loan obtained is secured by the home, and are generally tax-deductible. You have to remember is that you will be putting your home in jeopardy if you default on the loan. You must, therefore, be disciplined in your payments. Home equity is an inexpensive way to borrow money when you have bad credit.

Consider Peer-to-Peer Lending

Peer-to-peer lending is an online platform that lends bad credit loans from a group of individuals or a single individual. Potential borrowers usually post loan listings on the peer-to-peer lending websites indicating the loan needed and the purpose of the loan. Afterward, the investors will review the listings and select the borrowers they wish to fund. In this case, credit rating is still a factor, but every individual investor weighs and determines who to lend their money to. The personal loans Atlanta GAare often available for those with bad credit because the lending standards are lenient and the interest rates low. Peer-to-peer platforms help lenders evaluate their risks. An example of peer-to-peer lending sources include:

•Online Personal Loans

Online lenders are banks without offices who offer loans to individuals with low credit scores. They work online and provide bad credit loans for items such as home repairs and credit card debt consolidation. These banks work and make decisions fast to avail funds to the borrower a few hours or days after approval. Most of them don’t charge any pre-payment penalty or application fee. The application process is easy, and some lenders prefer their own credit score model and not the FICO scores. Other considerations include the level of education, the institution you graduated from and your employment history.

Secured and Unsecured Bad Credit Loans

To get a secured loan, you have to borrow against your assets such as a car, property, home, boat, stocks or savings. The lender will take the asset as collateral in case you default on the loan. A secured loan offers better terms, low interest rates and access to a large sum of money compared to an unsecured loan. Secured loans are issued based on the value of your stocks or the amount in your savings account. You can opt to liquidate the assets or stocks and use the money for your needs instead of taking a loan.

An unsecured loan only requires your promise to repay and is difficult to get. Lenders are willing to give unsecured loans to customers with large incomes and good credit history to prove that they’ll repay the loan. They charge high interest rates with difficult qualifying terms because the unsecured loan is high risk for them.

You may be in dire need for a loan, but you have to be cautious of predatory lending. Predatory loans such as advance fee loans, car title loans or payday loans are some of the most expensive ways to borrow. They’ll get you stuck with costs you may not afford and make your situation worse enough to hurt your credit.

Still need help to qualify for personal loans?

Most lenders will look at your credit score before they decide to loan you any funds. If your credit score doesn’t look good, we are here to help. We’ve a team of credit repair experts who’ll look over your credit report and help remove negative entries. Ultimately, your credit score will improve, thus making you qualify for personal loans in Atlanta GA. It all starts with a free consultation. Please call us at 877-503-9737 so we can get started.