During the present economic climate many UK citizens consider that bad credit loans have ceased to be.
It is understandable that people are of this opinion, as the credit crunch was to a great extent caused by reckless lending particularly in the sub prime loan and mortgage markets in America. Lax underwriting was the order of the day way back then. Self declarations of income were available even for bad credit secured loan, mortgage and remortgage applicants.
It has always been extremely difficult for people who do not own a property to get a loan of any kind even if their credit file is good. For those with a poor credit rating it has always proved difficult to get a bad credit loan. Welcome Finance did offer small bad credit loans to tenants at high rates of interest, but with the demise of Welcome these bad credit loans are no longer available at all.
Homeowners are in a better situation, and in fact until the advent of the credit crunch bad credit loans were quite readily available from a good range of secured bad credit loan lenders. Even homeowners with the most awful credit rating could get a bad credit loan up to a maximum LTV of 75%
Though not as easy now as two or so years ago, it is still possible to obtain bad credit loans..
If a homeowner has a little bad credit he can be granted a bad credit loan at a LTV of 60% to 70%.
Blemain Finance and First European Securites are the two remaining secured loan lenders who give bad credit secured loans to homeowners with any number of adverse credit units registered against them.
The best LTV available however is restricted to 50% and the loan limit is 23,000.
Nevertheless these bad credit loans can help homeowners who are really struggling and have fallen into bad debt often at present through no fault of their own. Therefore the bottom line is that there are bad credit loans out there but are not so readily available now. - 30462
It is understandable that people are of this opinion, as the credit crunch was to a great extent caused by reckless lending particularly in the sub prime loan and mortgage markets in America. Lax underwriting was the order of the day way back then. Self declarations of income were available even for bad credit secured loan, mortgage and remortgage applicants.
It has always been extremely difficult for people who do not own a property to get a loan of any kind even if their credit file is good. For those with a poor credit rating it has always proved difficult to get a bad credit loan. Welcome Finance did offer small bad credit loans to tenants at high rates of interest, but with the demise of Welcome these bad credit loans are no longer available at all.
Homeowners are in a better situation, and in fact until the advent of the credit crunch bad credit loans were quite readily available from a good range of secured bad credit loan lenders. Even homeowners with the most awful credit rating could get a bad credit loan up to a maximum LTV of 75%
Though not as easy now as two or so years ago, it is still possible to obtain bad credit loans..
If a homeowner has a little bad credit he can be granted a bad credit loan at a LTV of 60% to 70%.
Blemain Finance and First European Securites are the two remaining secured loan lenders who give bad credit secured loans to homeowners with any number of adverse credit units registered against them.
The best LTV available however is restricted to 50% and the loan limit is 23,000.
Nevertheless these bad credit loans can help homeowners who are really struggling and have fallen into bad debt often at present through no fault of their own. Therefore the bottom line is that there are bad credit loans out there but are not so readily available now. - 30462
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