If you’re looking for a bad credit loan, it doesn’t mean that the only option available to you is a high-cost lender charging extortionate interest rates. Low APR Guarantor Loans are available from our panel of online lenders today from £1,000 small loans to larger amounts of up to £25,000), with instant payout to your account in hours, not days. Find out just how affordable a low APR Guarantor Loan could be with Now Loans, and just how easy it is to apply.
Any purpose Low APR Guarantor Loans
One of the quickest and easiest loan types to be approved for with bad credit are Guarantor Loans. With a second party agreeing to repay any outstanding debt you borrow in the event that you can’t afford the repayments, lenders find your application more appealing. Meaning that your own credit history becomes less of an issue.
Guarantor Loans are also a route to borrowing if you don’t have a credit history and can’t find a mainstream lender who is willing to approve you for the loan funds you need.
The benefits of a low APR Guarantor Loan
If you’re not familiar with financial jargon, terms like APR (Annual Percentage Rate) may seem a little overwhelming. However, APR is actually a tool that helps you understand just how costly a loan, mortgage, credit card, or other form of borrowing actually is. It’s important to understand what it means before you borrow any money. The lower the APR, the lower the cost of borrowing.
Whenever you borrow money, you agree to borrow the funds you need and repay this amount as well as an interest rate and any fees to the lender for providing the credit. Repayments are typically monthly, in instalments. The total cost of borrowing includes this interest rate and any other lenders fees.
The best way to understand the cost of a loan, and compare loan offers, is to ask your lender to provide you with the total cost of borrowing. Most lenders now provide this as standard. It’s also important to check the Annual Percentage Rate (APR) of the loan, which all lenders are legally required to display on any loan advert and credit agreements.
APR represents the yearly cost of how much it will cost you to borrow, on top of your loan balance. It’s calculated the same way across all UK lenders and is a good tool for comparing loans on price comparison sites.
Typically, the higher the loan APR is, the more the loan will cost you overall.
Low APR Guarantor Loans
Low APR unsecured loans are typically reserved for consumers with the best credit ratings. If you’d like to improve your credit score, the first step to rebuilding your credit worthiness is by reviewing your credit report. Also, make sure you’re on the electoral roll too.
If you need a loan now however, applying for a low APR Guarantor Loan can help you access affordable credit at a low interest rate and build your credit rating as you repay.
Guarantor Loans instant payout promise
Our Guarantor Loans instant payout promise ensures that you receive the loans funds in your account, when you need them. Complete your application on our handy online loan calculator today, in just three easy steps. Make sure you’re happy with the proposed monthly repayments, representative APR and repayment terms before you hit apply.
Each lender has their own individual systems and processes. However, the Guarantor Loans instant payout promise typically means that once your loan has been approved in principle by our panel of lenders and you’ve accepted and signed your paperwork, your loan will be paid to your account same day, or next working day at the very latest.
Instant payout Guarantor Loan criteria
When you’re looking for second party to guarantee your loan and co-sign your loan application, we recommend looking to your close friend and family circle. You should be comfortable discussing your personal financial situation and they must be comfortable that you’ll also be able to repay your loan unless there are exceptional circumatances.
Whilst it varies across different organisations, most lenders look for loan guarantors who fit certain lending criteria: These include:
- A trusted second party who you are financially independent to.
- Someone who lives and works in the United Kingdom.
- Have a good credit score with no missed payments or defaults
- Aged between 21 and 75 years’ old
- Hold a UK current account with a Debit Card.
I’m having repayment difficulties
In the event you have repayment difficulties, your loan guarantor should understand that are liable for repayments and will have to meet your obligations. If you are struggling short term, talk to your loan guarantor and your lender so that they understand your financial predicament and can work with you to regain financial stability once again.