| Low credit score loans are available in different forms | | | | home than you are with a secured loan. Plus the APR |
| - as an unsecured loan, as a secured loan, and even | | | | probably won't be too different between these types |
| as a mortgage. A low credit score lender will typically | | | | of loan. If you only want to borrow a small amount of |
| target people who have an average-to-poor credit | | | | money, say below £500, then a payday loan |
| rating. A typical customer will have been late on a | | | | may be a better option for you. |
| payment, perhaps have a CCJ against their name, or | | | | The money from a payday loan can be with you in |
| have a large number of credit cards & loans in | | | | hours; with a secured or personal loan it can take days |
| their name over a short period of time. | | | | or weeks. The APR will be much higher with a payday |
| What you want from a lender will depend on your | | | | loan, but because you pay it back over a short period, |
| current situation. You are most likely already aware | | | | the actual cash amount you repay is low compared to |
| that you won't be able to get a market leading APR | | | | other types of loan. Personal and secured loans are |
| with your loan, or even close to it. You should first | | | | typically paid back over a period between 6 months |
| consider what type of loan you want. If you want to | | | | and 25 years. This means your monthly payments will |
| borrow over £500 then a personal loan should | | | | be low, but you end up paying back a lot of interest. |
| probably be your first choice, even if you are a | | | | Remember to consider your circumstances properly |
| homeowner. If you have trouble paying back a | | | | before deciding on taking out a loan. |
| personal loan you are much less likely to lose your | | | | |