You can apply for a loan while listed as a slow payer. Although it is not an ideal position to be in. Everyone needs to borrow money at some point in their lives. When lending companies and banks process your application they consider your credit record.
This is a record of all the loans and accounts that you have had under your name during your lifetime. This record also shows whether or not you have paid on time. And how much debt you still have. If you have a bad credit record it means that you are least likely to be considered for a loan. As it is an indication to the lending institutions that you are not very good with money.
So if you need cash but you know that you’re listed as a slow payer. Then there are steps that you can take to try and improve your credit record.
Apply for a Loan as a Slow Payer – First Steps
The first step when you apply for a loan while listed as a slow payer is to approach your bank or lending companies with a budget. As well as a clear plan of how you plan to spend the money and repay it.
Another good step is to seek debt consolidation in some form. This can be through an application for a debt consolidation loan. This involves taking out a single large loan which will pay off all your outstanding accounts and debt.
It leaves you with only one monthly payment to repay which is good for your credit rating.
If you need to borrow money immediately then your last resort if you’re listed as a slow payer is to seek unsecured loans. These often come with high interest rates which inflate the size of the original loan.
It is far better to speak to banks and lending companies about your situation. To see see if you can apply for a loan while listed as a slow payer.
Loans for People Listed as Slow Payers
Loans for people listed as slow payers do exist for people in this position.
And who need to apply but they are normally available with unpleasant features. You can still borrow money if you are known to the credit bureau as a slow payer. Although the risk is you might just have monthly payments with a high interest rate.
You may not necessarily have a bad credit record. But they will still know that you are a slow payer and they will see that as a risk. Therefore will more than likely charge you an interest rate that they wouldn’t charge another client with a good record.
However, if you need cash and a loan is your only option, then you will just have to accept the interest rate offered.
Not all of the lending companies out there are equal and loans for people listed as slow payers might not all have the same features.
Even though you may not like to borrow money, sometimes we don’t have a choice. We just have to do it so it is better to rather get it over and done with.
Loans with a Bad Credit Record?
Even if you do have a bad credit record, you should still be able to get a loan. But once again the interest rate will be the downfall. Some lending companies might be lenient but others won’t. Often you will not know until you have applied for the loan.
When you desperately need cash you are likely to take it with any interest rate that is thrown at you. But when it comes time to pay the money back you realise just how high that interest rate was.
This is where many people make their mistake as they are not able to pay back all of the money. From here they get an even worse credit rating and get blacklisted.
Therefore, when you are looking to apply for a loan for a person listed as a slow payer. Make doubly sure you can repay the monthly installments.