What are Unsecured Loans?

Keeping up with regular expenses is not a cinch while the cost of living is going up, and employees receive less than they deserve. When a financial problem turns out, you seek taking out a loan to keep your head above water. It is vital to be specific when several loan options are out there. Among various types of short-term loans, you often struggle to make the right choice to fix financial bumps.

Unsecured loans are the small personal loans that do not require you to put collateral against the borrowed money. The term of these loans can be from three months to three years.

Payday loans and cash loans are also unsecured, but they do not allow you to take out a large amount of money. Unsecured loans are paid in fixed instalments, whereas payday loans deal in a lump sum.

  • How much can you borrow?
    Unemployed and bad credit people can borrow between £1000 and £25,000. The disbursal limit depends on your creditworthiness and repayment capacity.
  • Why should I choose an unsecured loan?
    An unsecured loan is an ideal option to borrow money to meet major expenses, for instance:
    • Wedding
    • Laptop purchase
    • Home refurbishment
    • Paying off other debts

The disbursal limit of these loans is higher than credit card limits and other short-term loans. You will pay off the loan in equal instalments, which means no burden on your pocket.

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Why Choose Us

  • Quick & Easy Approval
  • Flexible Rates
  • Poor Credit History Welcomed

Are Unsecured Loans Possible for Bad Credit People?

We understand that poor credit borrowers also come up with financial difficulties we provide unsecured loans with bad credit. Poor credit may restrict your options, and you are likely to get the deal at a high-interest rate, but British lenders UK assures you that you will get a personalised deal as per your budget. Our representatives will look over your income statement to know how much you could afford. It will prevent you from falling into a debt cycle.

Our unsecured personal loans for bad credit come with no guarantor. However, you are free to bring a guarantor with a good credit rating if you want to avail the best loan deals that are exclusively available for good credit borrowers. If you struggle to manage your repayments, we encourage you to contact our representatives to know about alternatives. We may reduce the size of your instalments or stretch your repayment period.

bad credit people also apply for unsecured loans

Benefits of Unsecured Personal Loans

You must be aware of a few benefits of unsecured personal loans, and British Lenders provides additional benefits that make us stand out among other direct private lenders in the UK.

  • Tenants can also apply for these loans.
  • You will get bespoke loan offers.
  • We provide the loan at lower interest rates
  • Bad credit borrowers can get financial guidance.
  • We make an instant decision
  • Same-day approval
  • No Guarantor, No fees and no broker
  • Flexible repayments

We may be a direct lender, we may provide bespoke loan offers, but above all, we work as your faithful ally.

How to Apply for Unsecured Personal Loans

Getting unsecured personal loans at British Lenders UK is easy and convenient. All you need to do is

  • Filling out the application form online
  • We will take hardly a few minutes to approve or turn down the application
  • When approved, you will have funds transferred to your account directly

You do not need to get into the hassle of being in long queues as you can take out the loan at the comfort of your own home. Since our services come with instant decision and same day payout, the entire process within a couple of hours.

How to apply for unsecured personal loans

How Should I be Eligible for an Unsecured Loan?

Every lender follows the different eligibility criteria. British Lenders UK provides these loans at flexible terms and conditions. You can apply for these loans if:

  1. You are employed -
    You should have a full-time/part-time job to ensure that you will be able to pay off the debt on time.
  2. You have an acceptable credit history -
    With a good credit score, you will get the loan at lower interest rates. Bad credit borrowers are also encouraged to take out a loan.
  3. You must be listed on the electoral register -
    You must have your name registered in the electoral roll.

Also, you must have a functional bank account and be the resident of the UK.

A comparison between Unsecured and Secured Loans

Secured Loans Unsecured Loans
Collateral A loan secured against collateral is known as a secured loan. An unsecured loan does not require you to put an asset such a property or by getting a guarantor against the loan.
Duration The term of these loans can be five years, 10 years, 20 years, or more. The duration of these loans can be up to three years.
Interest rates The interest rate for secured loans is usually lower. Interest rate may be higher as compared to secured loans.
Credit rating You must have a good credit rating to apply. You can apply for these loans even if you have a poor credit history.
Overall cost Overall cost of secured loans is higher than unsecured loans. Overall cost is much lower because of small duration.
Repossession You may lose your security if you make a default. There is no risk of repossession in case of default.

How much unsecured loans cost?

You will pay a bit higher interest rate if your credit history is poor. Further, it also depends on how you manage your repayments. You are likely to be charged more if you fall behind repayments. Following factors also affect the cost of your loan:

Make sure that you will repay the debt on scheduled dates otherwise; you will:

British Lenders UK provides unsecured loans at competitive interest rates despite the bad credit history. Apply for loans now.

Unsecured Loans FAQs

Q: Can I get an unsecured loan with bad credit?

A: No doubt on this. If you have a bad credit score, applying for an unsecured loan should not be a problem at all. The amount will be small to borrow, but the lender can offer guaranteed loan approval even if not collateral is pledged. Alternatively, you can convince the lender either through a guarantor or through your income status. Bad credit can limit your chances but cannot omit it. Therefore, grab the lending opportunity and show to your lender that you can bring back your credit scores. And also try to enhance your credit profile, as there is no risk of losing possession of your assets.

Q: Are unsecured loans a good idea?

A: Indeed, unsecured loans can provide you with funds and no hassle at all in your way. When it comes to the secured loans, borrowers have to pledge their assets like property or vehicle to secure the loan amount, but they can lose the possession of it in case of missing repayments. There is no such risk involved in the unsecured loans. These personal loans can help you in managing different expenses that may be related to holidays, wedding, education and health. Funds will be transferred quickly to your bank account and managing any of such expenses would be easier for you.

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