How To Get A Guarantor Loan
No matter how successful you are in life or how well you manage your money, there may be a time when your finances are strained and you need a cash injection. Your first point of call may be to get in touch with your bank, though banks are much stricter nowadays with who they provide loans to thanks to the recent economic crisis. In addition, payday loans are only really useful for small amounts of cash, and that won’t be enough if you’re in need of thousands.
If the banks have said no and a payday loan simply isn’t enough, you might be interested in applying for a guarantor loan. Guarantor loans are often provided to those with a poor credit rating as long as they know somebody who will guarantee to make the payments should they be unable to. You can borrow anywhere between £1000 and £15,000 with this type of loan and choose a monthly repayment plan that lasts up to five years.
In addition, this type of loan is very beneficial for those who need money as quickly as possible, and that’s largely because applying for a guarantor loan is quick and simple. The first thing you’ll need to do is find a trustworthy loan provider and then head to their website to start the process.
What is the Process?
To show you just how easy applying for a guarantor loan is, you might be interested in learning what process most loan providers go through.
- Provide your details – The first thing you’ll need to do is create an account on the loan provider’s website and fill in details regarding your contact details, information about the type of loan you want, and why you want the loan.
- Prove you exist – Needless to say, the loan provider will need to check that all of your details are correct, and this verification process can usually be done by SMS or email, though the company may wish to contact you by phone with a few extra questions.
- Confirm your guarantor – You’ll then need to provide similar details to the ones you have provided for yourself for your guarantor in addition to how you know them.
- The loan provider runs checks – Of course, the company you choose will need to know that you’re capable of paying your loan back, and that means they’ll check both you and your guarantor’s credit histories. You have a higher chance of approval if your guarantor has a good credit rating and the two of you have a close relationship.
- Provide bank details – As long as the provider is happy to provide the loan and you are still interested, you’ll now provide bank details for where the loan will be sent.
- Enjoy your money! – That process can be completed easily in under a couple of weeks, and then you’ll have the funds you need in your bank and ready to spend.
If the banks have said no and you think you have no other options, you’ll probably be delighted to know that guarantor loans are there to help you when your finances are strained..