The Different Types Of No Credit Check Loans

When your credit score sucks it's easy to let it get you down.  Fortunately, there are some options out there that will allow you to get a loan, even with a poor score.  No credit check loans are available in a few different forms, and in this Hub I want to explain the differences between them so that you can choose the one that is the best for you and your situation.

It's important to know that a no credit check lender is going to charge you more for the loan than regular lenders.  The risk of lending money to you is greater because they are not going to look into your financial history to see if you were responsible with loans in the past.  With the lack of a credit check more people are going to default on this style of loan.  The lenders know this, and charge accordingly to cover their expenses.

A payday loan is the most common way to get a loan with no credit check.  These are also an option for fast cash since most lenders will have money for you within the day.  All you need to get approved for this style of loan is a job that pays you over a thousand bucks a month, have been at that job for over six months, and have a checking account.  You can find these loans in your town or online, and there isn't any real advantages or disadvantages between the two.

Rather than checking your credit they will use a service from a company called Teletrack.  This will work like a mini background check that works to validate your info from your application (lying on the application will get it declined immediately).  Along with checking your personal info, they will also look into your recent finances to see how frequently you overdraft your bank account, if you have any outstanding payday loans, or if you have had multiple bankruptcies.  If you don't have any of these, getting a loan is a breeze no matter what your credit score is!

Title loan lenders don't give a damn about your credit score!  All they want to know is if your car has been paid off and how much it's worth.  Some people have even been able to get a loan like this without a job (extraordinarily risky!).

These are secured loans, which means that should you not pay the loan back they will take your car.  In some states the lender doesn't even have to pay you the difference for what your car sold for, so take these loans extremely seriously. 

Title loans generally are not available online.  Some allow you to start the application process online, but you will still have to take your car down to the lender for a proper inspection and evaluation.

Most lenders will allow you to keep driving your car while the loan is out, but not all.  A lender in Arizona has gone as far as installing a GPS tracker in the cars it lends against so that they can quickly find it should the borrower default.

Both of the loans above are very risky.  Failure to repay them is going to severely hurt your finances for years to come.  Use them very carefully, if you do so at all.  Short terms plus high prices equals serious trouble for a ton of people each year.  Check all of your other options before jumping into this type of loan.

No credit check loans are out there, and easy to get, just be sure to use them responsibly.