Have you ever faced situations where money was urgently needed? Obviously, this is familiar to all of us. In life, unforeseen situations occur: an accident, a child's illness, the death of a close relative. Unfortunately, they all require additional funds, which are often not available. You can turn to relatives and friends, but they are often busy with their own problems. You can also go to the bank and apply for a Payday Loan. This is the solution most people use. But what if you can't pay off your Payday Loan on a payday and you need an Installment Loan? And is it possible to get an Installment Loan with bad credit history?
What is a No Credit Check Installment Loan?
Unfortunately, many people cannot take out a Payday Loan because they are not able to repay an entire loan from one paycheck. Thus, they have to look for another type of loan suitable for them. An Installment Loan is a great option for those who want to pay off debt in small installments over a longer period of time than Payday Loans. An Installment Loan is a loan of up to $ 3,000 that is paid in small monthly installments. Thus, you do not have to pay the entire amount of the loan on payday.
Is it really possible to take out an Installment Loan with no credit check?
Creditworthiness is one of the main factors when applying for a loan. It is important for the lender who gives you a loan to know that you will pay it back on time, and your credit history is the best proof of your reliability.
You can find an Installment Loan without credit checks, but you need to think many times before taking out such a loan. The problem is that the interest rate on an Installment Loan without checking your credit history can reach 400 percent. Also, some lenders may charge a commission, that's why the loan amount will be huge.
It is also worth understanding that many lenders who provide such loans want to take advantage of the desperate situation of the people. It is very difficult to distinguish legal organizations from illegal ones, so you need to be very careful when obtaining this kind of loan.
How to find a legal Installment Loan company?
If you still want to take out an Installment Loan with no credit check, you should know how to distinguish a legitimate company from fraudsters who want to take advantage of your difficult financial situation.
So what's the difference? A true Installment Loan is paid in regular and fixed monthly payments. As a rule, the payment lasts from several months to several years. The amount of the monthly payment does not change throughout the entire loan, so you always know how much to pay. If we are dealing with fraudsters, they may ask you to repay the loan within a week or two. The loan is given in installments so that the person can pay it back over a longer period of time, and if you are asked to do it at a short time - most likely, this company is illegal. Also, you may be faced with interest rates that exceed the loan amount. Of course, an Installment Loan with a bad credit history will have a higher interest rate, but it should definitely not exceed the loan amount.