Are bad credit loans all that bad?
People are sometimes unsure what their credit rating is and believe that just missing one payment will result in a bad credit score. But the truth is different as there are many things that go into assigning a credit rating by credit bureaus. It usually takes quite a few missed payments before a credit score goes bad. Credit bureaus are legally obliged to let people know their credit score if they ask – and there are some websites that let anyone check for free once they have provided the correct ID. It’s worth checking if you don’t know how you are rated for credit.
A recent development in the credit industry was the introduction of Comprehensive Credit Reporting which takes into account both good, regular payments and missed payments and defaults. This is good news for consumers because there may have been a period of time when things did not go well financially and there were payment defaults. But since that time, payments have been good and this payment history can be taken into account by creditors and lenders.
So why do people search the web for payday loans for bad credit nz? The most obvious answer is they need a cash advance on their pay and previously their application for a fast cash loan was declined at a bank, usually because of bad credit.
Payday loans are also known as fast cash loan, payday advances, same day loans nz, instant finance and are for small amounts of money for a short period of time. There are many lenders offering payday loans and these loans are costly because of high interest rates so it pays to shop around. Loan costs from The Little Loan Shop are much more reasonable, not as cheap as banks, but affordable.
Bad credit loans are supplied by lenders who are prepared to help people who have had financial issues in the past. Because there is a history of defaults, lenders will take more time to review applications for payday loans for bad credit and most likely charge higher interest rates to successful borrowers. For some people, borrowing in this way help return their credit from bad to good because they faithfully make the payments on time and in full. Starting with a small cash loan repaid on time can lead to lenders trusting the borrower and able to lend a greater amount if needed in the future.
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Why The Little Loan Shop?
- Easy, confidential online application for payday loans in Auckland
- Less than perfect credit considered. We've helped thousands of people
- Fast and efficient application process. All online
What you need to get a loan
- You must be earning at least $450 per week after tax. And more than half of this must come from paid employment
- Your pay must be deposited in your bank account on regular basis. We don't lend to self-employed
- You need to have internet access, an active email and a mobile phone
How it works
1. You apply in minutes and we assess your application within 60 minutes.
2. You confirm your acceptance after receiving an offer from us by email. No obligation to accept
3. You receive the money in your bank account
4. We direct debit the repayments from your bank on your pay day as agreed
Is The LIttle Loan Shop right for you?
- Only take out a loan if you can comfortably manage the repayments
- Our loans are for short term only, usually 1 to 6 weeks. Don't use this type of loan for long term financial needs
- Late of missed payments will mean extra charges and may affect your credit rating
Help and Support
Check out our FAQ for information about our loans. Go to Blog for tips