Guarantor Loans
Guarantor Loans
We're going to tell you all about Guarantor Loans in the UK. Guarantor loans mean that literally anyone in the UK can borrow up to £3000 without putting any of their possesions at risk, meaning guarantor loans are unsecured. What makes them different is your loan is backed by a guarantor, while they are credit checked and must be a UK homeowner you can be a non homeowner tenant and will not suffer no credit check.
No Credit Check
Because of the way the guarantor loan works you will never be credit checked. That's right NO CREDIT CHECK! This is a very rare loan product in this day and age when the banks are cutting right back on lending and there are very few lenders who will lend to people with bad credit. The reason there is no credit check for the borrower is simple. A guarantor loan is effectively secured against the guarantor meaning if the loan repayments are not kept up then the guarantor has to make the payments. If they fail to make the repayments then their home may be at risk.
Guarantor Definition
By definition a guarantor is a person who becomes responsible for an outcome. In the case of a guarantor loan the guarantor is responsible for the loan. The borrower is simply the person who takes out the loan and makes repayments, the guarantor pays the loan back if the borrower fails to do so.
How to find a guarantor
Given that guarantor loans are so much cheaper than the non guarantor loans options it's worth having another look at why you can't find a guarantor. Finding a guarantor can be hard but it can be a lot easier if you spend some time putting together a pack that clearly outlines your financial position showing that you can afford the guarantor loan as well as explains what the role of the guarantor is.
Being a Guarantor
Being a guarantor is a noble thing and you are really helping someone get a loan when otherwise they probably can't. The benefits are all about helping your friend or family member, but the role you play is full of risk. Initially you are credit checked, and you have to prove you are a homeowner. The reason for the homeownership is simply, as the guarantor your home is the final security for the loan. If you have to make the repayments and you don't your house will likely have a charging order placed against it, and if that doesn't resolve matters a forced sale or even losing the house itself. So be careful and make sure the borrow is trustworthy and able to meet the repayments regardless of how bad their credit maybe.
Non Guarantor Loans
There are three types of people in this harsh modern era in the UK, those who can get credit, those who can get guarantor loans, and those who have no guarantor. No guarantor loans for people with bad credit and involving no credit checks do exist but you have to think a little differently than you would normally. The highstreet banks are usually not an option if you have bad credit, and the payday lenders all credit check. You need loans with no guarantor and no credit check.
Secured loans means no guarantor
The bottom line with a guarantor loan is the guarantor is effectively the guarantor loan lenders security against the loan. If you fail to repay the loan by making all the payments on time they can go to your guarantor and take their payments from them, or at worse take their home or simply place a charging order against it meaning they cannot sell the house without paying back the loan.
No Guarantor and need help from a LoanFinder?
When you have bad credit and have been turned down by every lender you can find, what do you do? Who can you turn to? The latest and greatest form of loan for someone in your position in the UK has been the guarantor loan. No credit check required, no upfront fees if you've used no broker and sure without any of the fuss you find with many other loans but as with all the loans you find there is a hitch. You need a guarantor. Without a guarantor you are wasting your time applying, what are the next steps?.
First you can make a decision, do I use a uk loan finder or do I work out what sorts of loans I can maybe get, secured, unsecured, logbook, doorstep, payday, and so on. Then work out repayments and...you can see where this is heading, there is so much you need to do it's going to take you a while. And all the time you have to be on your guard that none of the brokers you have spoken to charge a fee, no upfront fee, and preferably no broker fee at all. But in the sub-prime market space things can be nasty, so be careful.
No Upfront Fee, Free to try UK Loanfinder
There is a company who specialise in finding the right loans for people on benefits, the unemployed, and people with bad or no credit history at all. They have been finding loans for uk households for several years and are frankly rather good at it. The best news is they charge no upfront fee and no broker fee if they can't find you a loan. This means you can test drive their loan finding service for free without any obligation to take out a loan with them. They have well over a hundred loans without guarantors and have people you can speak to on the phone if you prefer doing that to going through their detailed recommendations from the comfort of your own home. Loanfinder is a no risk, no fuss, no upfront fee charging loan finder service that could help you get the loan you want without a guarantor so go try them for free right now.
Loanfinder UK No Guarantor No Credit Check No Upfront Fee
So you want a loan in the UK that requires no credit check, no guarantor, no upfront fee. You should shop around for this but the number one place you should try is Loanfinder UK. They are the UKs #1 loan brokerage and specialise in helping people find the right loans for the least price. The fantastic thing about Loanfinder UK is they charge no upfront fee. So it's 100% free to test them out and see if they can find a loan that suits you, which is totally different to all other brokers in the UK.
Who do Loanfinder UK help?
Loanfinder UK can help anyone really but honestly if you can get loans from the banks and suchlike where prices will be cheapest then do so. If you are one of the following then you can try out Loanfinder UK for free if:
Don't want to pay an upfront fee when you want a loan.
You are unemployed and want a loan.
You are on benefits and are struggling to find a loan.
You have no guarantor for a guarantor loan.
You have bad credit.
You are looking for a loan with no credit check.
You want a payday loan with no credit check
For those people with bad credit or just less than perfect credit loans with no credit checks is the promised land. There are very few unsecured loans available with no credit checks and even less payday loans or same day cash options. Most loans for people with bad credit are secured against something and may even require a credit check.
Other Types of Loans that may help you
Logbook Loans
A simply secured non guarantor based loan is a logbook loan. These are secured in the same way as pawn shops except they are explicitly secured against your car or vehicle. They are not super expensive but compared to guarantor loans they are certainly not cheap. Someone will come take a look at your car and value it, then you well the loan secured against the car. If you do not keep up repayments you will lose your car and if you use it for work this could cause you real problems so be careful.
Doorstep Loans
Doorstep loans are one of the oldest forms of lending in the world. They only lend up to £500 and they are going to come to your house regularly to collect payments. They are something like four times as expensive as guarantor loans but for non guarantor loans they are a pretty good option.