What keeps you from getting bad credit personal loans?
A few online lenders loans for people with bad credit, most banks do not. Most borrowers with a damaged credit also pay rates at a higher rate than those with good credit.
Here are some reasons why your lenders may turn down your application for bad credit personal loans.
Your credit score doesn’t meet the lender’s cutoff
When you have a bad credit, there’s a huge chance that lenders will deny your loan application. They look into your credit report to know who has been checking it. They look into accesses and enquiries used by authorized agents to help you find credit and whether or not such application was granted.
Lenders also look into your credit report to measure the probability that you will default on a repayment agreement. When you default on your other financial commitments, you have too much credit, and you have public records such as insolvency and bankruptcy, there’s a poor chance that you can get credit.
You lack financial documents to prove your income
Lenders want proof of your income before they approve a loan. It’s because they want assurances that the borrower can repay the obligation. An application is often denied when the borrowers don’t have the documentary proof that they make enough money from work or they have other income coming in on a regular basis. They are looking for job stability or in case of self-employed individuals; lenders want proof of steady cash flow and financial capacity to keep their business up and running in the near future.
You have bad debts
Having a bad credit score and bad debts can be a total knockoff! And, it’s not in a good way. A person may have a bad credit score because of wrong entries and unsatisfied debts, but having too much debt, especially if it involves mortgage tells potential lenders that you cannot handle new loan obligations. They may be too wary of extending an additional credit or giving bad credit personal loans to help you deal with your current financial need.
If you have bad credit, bad debts and you cannot submit the required paperwork to get approved for a personal loan, ALC Commercial can help you.
We offer debt solutions to people who have been denied not only because of their credit status but because of their inability to submit the required documentation, most banks and lending firms ask for. You can check our loan products and if there are some things you need to talk to us about, we are here to listen.
Most of the times, we do not deny bad credit personal loans applications because we believe that there is always a right product for any financial need. You just have to understand how it works and how you can make it work for you.
Call ALC Commercial today and we would love to talk to you about our bad credit personal loans.