Representative 277.5% APR. Representative Example: Borrow £700 and pay £111.27 per month for 12 months at an interest rate of 140% per annum (fixed). The total charge for credit is £635.24 The total amount repayable is £1335.24. Representative 277.5% APR (variable).
Customers who have bad credit rating may also be approved of a loan. Payday loans for very bad credit customers can also be considered. However, there are certain factors depending on why you have a very bad credit rating. Many lenders consider arrears that are settled and not in arrears as this way, it does not show any negative in repayment. However, any recent miss payments can discourage lenders from lending to you.
Payday loans are used for emergency purposes and not for repaying back other lines of credit that are currently outstanding. Although bad credit may cause more time for lenders to process, the interest charge on payday loans are the same as if you had good credit. Payday loans interest are capped at, 24% or lower.
Very bad credit customers may want to consider paying as much debt as they possible can or even, try to keep up with the repayments. Having bad credit and showing recent commitment on repaying your loan will put you in a far better position when these bad credit lenders process your credit application.
Although payday loans interest rate does not rely on very bad credit, lenders may use more than one credit report referencing agency to credit check your financial reports. Having a clean record of settled accounts may differ when decision making as the date of settled accounts are considered here as well as how much you have paid or borrowed. Payday loan lender tend to check the last 12 months of history, taking into account your income and affordability to repay.