3 Ways to Get Money Fast Despite Bad Credit

Are you looking to take out a personal loan but has bad credit? You can leave banks and high street lenders off your options. With bad credit under your belt, chances are high your application will be refused. But that doesn’t mean you are left with no choice altogether. Seeing the growing number of people who have bad credit in the UK, there are now more lenders than ever who offer no credit check loans. But while accessible, they can be costly. Before you resort to these loan options, it’s best to check out the three quick and easy ways to get money fast below.

Borrow from family and friends

Whether you need cash for overdue bills, car repair or a medical emergency, borrowing from family or friends is one of the fastest ways to raise funds. There’s no application form to fill out and there is no credit checks to worry about either. You also don’t need to worry about interest rates. If there’s any, it’s sure to be low and most affordable when compared with other loan options.

If you can’t repay the loan immediately, your credit history won’t suffer any hit. But it’s still best to pay back the loan on agreed date as it may cause a strain on your relationships otherwise.

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Borrow from your retirement fund

Most experts would say that borrowing from your retirement fund or 401k is a big financial blunder. They have a point of course seeing that taking out money from your 401k means no growth for your money. But at the same time, opting for this route would mean that you are essentially borrowing from yourself. Whatever interest you are paying for the loan goes back to you and not to a bank.

There’s also no need to worry about credit checks. If you have bad credit, borrowing from your 401k is another quick way to raise cash to meet a range of personal needs. Just remember that this option should only be reserved for serious financial emergencies especially since your retirement fund may be lower than if you didn’t take out any money from it.

Take out cash advance from your credit card

Provided that your credit card has sufficient balance to spare, you can consider taking out a cash advance. Most financial experts, again, will tell you to not do this. And again, they have a good point. Credit cash advances usually come with hefty fees and interest. They can be real costly in the end.

On one hand, cash advance from your credit card offers the promise of quick cash. You can usually get the money in a day or so and there’ll be no credit check if you are going to use an existing card. But like with any time of borrowing or loan, it is imperative to remember that there are going to be financial risks involved. When you do opt for cash advance, make sure you pay the money back as soon as you can.

 

8 Easy Ways to Improve Your Credit Rating Fast

Credit scores can be tricky not because it involves complicated formulas but because the concept has been shrouded with misconceptions. One of which is the belief that fixing a bad credit score is extremely difficult. While boosting your credit score is certainly not a walk in the park, it’s important to note that it’s not rocket science either. If you follow the following tips and tricks below, you are likely to see significant improvements on your credit score over the course of 12 months or so.

Check your credit report annually

Your credit report includes a significant amount of financial data used to formulate your credit score. Errors can happen which is why you can’t take chances. To get it right from the start, make sure you take your time to check your credit report regularly. Once a year should be enough but you are also recommended to do it before making any major applications.

Report and dispute errors

When you do spot mistakes or errors on your credit files, the next obvious step is to report or dispute any errors if necessary. You can do so online through websites such as Experian or Equifax. If the errors were minor, it shouldn’t take much time until they are fixed.

Get a credit card to build history

If you’re trying to rebuild your credit score, credit cards come as handy tools you can use. Remember that your score is all about your performance or behavior as a borrower. That means you need to build a history first if you have little to no history yet. Getting a credit card or two can help you do just that. Just make sure you use it responsibly.

Register to vote

You’d also want to make sure that you are registered to vote. Unless you are on the electoral roll, you are less likely to get approved for an credit application. Registering to vote is super easy so there’s no excuse for you not do it. You can either register online or by post.

Request for a credit limit increase

If you’ve been using your credit cards responsibly, you may be eligible for a credit card limit increase. You can call your card provider and request for one because that will look good on your credit history. Just remember that the 30% rule thumb still applies. That means you still need to keep you charges below 30% of your credit limit as much as possible.

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Limit your credit applications

Applying for credit products too often is not going to help you improve your credit score. Every application leaves a footprint to your credit files. The more you apply, the higher the chances of rejection which will also look like you’re desperate for credit. Make sure you limit your applications for products such as credit cards, car insurance and mobile phone contracts at the moment.

Don’t close old credit cards

If you have credit cards you rarely use, don’t close them just yet. Cancelling will only make your credit to drop which will eventually affect your score’s formulation. Rather than close any accounts, use them regularly for recurring bills such as groceries or utility bills then pay the balance off in full each month.

Pay all credit repayments on time

Finally, you need to make sure you pay all credit cards and bills on time. Considering that payment history constitutes 35% of your credit score, one of the best ways to boost your score is if you commit to pay your bills on time. After a few months of consistent on time payments, you should see your score going up.