Loans For Unemployed
Loans for unemployed on benefits
Loans for unemployed with bad credit
Borrow between £100 to £2000
60 Second Form
Loans For Unemployed People
How it works – The process of applying for a loan couldn’t be simpler. Apply using our short from and get a decision within 60 seconds, and if approved, you could get your cash within 24 hours.
Where is the best place to find loans for unemployed on benefits?
There are not many lenders that will provide loans to people that are signing on and claiming benefits. This is mainly because lenders and brokers will want to see that you can repay the loan. PayDay loans are usually only open to people in employment but you can still apply for an unemployment loan via Money Trumpet. It’s quick to apply and you could get a decision in as little as 2 minutes.
How does an unemployed loan work for people on benefits?
It still works the same way regardless of whether you are working or receiving housing benefits, income support or universal credit. The lender will need to determine if you can repay the loan and you will need to pass their credit check criteria. Typically, all lenders will need to access information held by the credit reference agencies to view your credit rating. Even doorstep lenders may look at your credit score.
If you’re unemployed, most loans on benefits will be capped at £5000 unless you have a guarantor. There are some lenders that specialise in bigger loans for unemployed people on benefits if you have collateral. Most lenders who offer loans will only provide short-term loans.
Can you help with guarenteed unemployment loans?
Unfortunately no one can guarentee a loan as it does depend on the individual application. Each lender has different criteria so where one lender may be able to assist with an unemployment loan another may not. The only way to see is to apply online and submit your loan application. However, If you have acredit rating that meets the lenders criteria and you want to borrow an amount that is relative to your income than there are lenders that will be able to help you even if your income is from solely benefits. If the money is for goods you can also look into obtaining finance.
Can I get a loan if I’m on benefits and looking for a job?
If you are receiving benefits the chances are you may find yourself needing to raise funds. Sometimes emergencies can come up like needing to fix the car, a burst pipe or even needing money to buy a new suit for that interview.
Unfortuneatly high street banks rarely take loan applications from unemployed people. In most cases, a small loan may be the answer or you may be able to, borrow some money from relatives but in the event that you really do need to need a loan and are on benefits, then some lenders do cater for this situation.
If you are need to borrow a larger amount you may be able to secure your loan and take out a second mortgage but remember failure to make repayments can put your property at risk.
How quickly can I get an unemployment loan?
The application process is as simple as completing a short form. After that, the lenders will review your application and, as long as you meet their criteria, the process could be completed within 24 hours. Although you may be in a rush to secure finances, it is advisable to check interest rates and any fees that may apply, along with the monthly payments.
Loans for unemployed people and people on benefits: What are the requirements to apply?
In order to be eligible for a loan for unemployed people in the UK, you must meet certain criteria. Most lenders will require proof of a steady income and good credit history. Depending on the lender, they may also take into consideration the following criteria
- Be 18 years old or over
- Be a citizen of the UK
- Hold a current UK back account
- Have a current source of income (benefits may be suitable)
Alternatives to unemployment loans?
It’s important to remember that loans aimed at the jobless can come with a very high interest rate. These types of credit loans are aimed at a certain type of borrower.
Being out of work may increase the urgency to borrow money through a struggle to pay loans, bills or even day to day living expenses. There are other options to consider before applying for a high-interest unemployment loan. If it’s a small amount of money, it may pay to ask a family member for a short-term loan.
Other options could be a budgeting loan (these have replaced the crisis loans) from the government. You can apply on their website to see if you are eligible. If you have a low-interest credit card, it may be worth borrowing from your card due to the lower interest rates.
Finally, there are vehicle loans, but be careful, as if you fail to pay you could lose your car. A doorstep loan is another option, but be very careful of high interest rates as this can force you into further poverty. Then of course if you have a willing friend of family member a guarantor loan may be the answer.
Will applying affect my credit history?
This will all depend on whether a soft or hard credit search on your credit file is carried out. As long as you have made repayments on time with previous loans or credit cards, your credit report should be in good order. If you have some negative history, you may still be accepted. Many companies still offer loans to people in this situation.
All lenders will perform credit checks to determine your eligibility. Depending on the lender and your circumstances, the acceptance and representative apr can change. With most credit applications, you should receive a decision within 24 hours and, in most cases, the funds will be paid straight to your bank account.
What is the maximum amount that can be borrowed?
There is no minimum loan amount with an unemployment or cash loan, there will. However, there will be a maximum amount you can borrow. This will depend on your circumstances, such as your current debts, if there is security or an asset involved.
The lender may wish to see statements from your bank accounts to view your current overdraft. From experience, lenders know that unemployed people will normally borrow money in an emergency. Therefore, applicants will have a limit they can borrow, normally up to a £1000. You may be able to borrow more with guarantor loans.
Where is the best place to find an unemployment loan
There are many online lenders and brokers that offer loans to the unemployed as well as providers of doorstep loans that provide cash loans, and despite the name, even payday loan / payday lenders.
It is advisable to do your own research when selecting who to apply with. Look on the lender or brokers’ website at their faqs page and lending procedure. It also pays to look at Trustpilot and Google reviews to see if there have been any previous complaints.
As with any company you borrow money from, always make sure they are on the financial services register (FCA). Look for any loan deals or special products they have for the unemployed.