If you ever get in to financial difficulty then as a last resort you could consider a no credit check loan. You are never going to get a great deal compared to other types of loans but it is worth knowing about them if you end in money trouble and need cash very quickly. The best thing you could do is avoid getting into this type of situation in the first place by living frugally and saving when you can. We all know this isn’t always possible though and unexpected expenses can surprise us all. If you have a good credit history there may be other options open to you so check out high street lenders first before looking at no credit check loans. They really are a last restort if you need money quickly and have a poor credit history.

The amount you can borrow without a credit check is often limited to less than £1000 but this varies between lenders. This type of loan is just what it sounds like, it allows you to get your hands on some money without having a credit check. They are similar in many ways to payday loans in that they are designed to help you out if you ever need to get money quickly to cover a more pressing debt or problem.

The rates are much higher than a secured loan and most other loan types. As you aren’t having a credit check then the lender is taking a bigger risk. Whenever there is a bigger risk for the lender there will be increased interest rates. The rates will vary depending on whether you are a home owner, the amount you want to borrow and your employment status.

This type of loan should only be used as a last resort as a secured loan with a full credit check will allow you to get a much better rate. The advantage of a no credit check loan is that it should still be available to you if you have a bad credit history including -

• County Court Judgments
• Individual Voluntary Arrangement
• Mortgage Arrears
• Missed Payments on Credit Cards

Many lenders specialise in this type of loan, one of these is Yes Loans who will try to find a loan for people knocked back by high street lenders. Another is Loan Site who again try to get fast loans for people who have struggled elsewhere. Remember though you should shop around if you do need a loan without a credit check as there are some companies out there who will take advantage of people in this type of difficult situation. You should only ever look at this type of loan when you have exhausted all other options or you need money very quickly.