Escape The Humiliation Of A Credit Check With No Credit Check
Loans
Much to the chagrin of borrowers with a bad credit, any loan is
sanctioned only after the lenders conduct a thorough check on
the borrower's financial antecedents and his credit history. The
borrowers with a poor credit find the process of credit check
quite humiliating and they detest it because it shrinks their
chances of getting a good loan offer. The idea of a loan without
any credit check comforts them very much. But, it is a risky
proposition for lenders, because they have to lend their money
without having any background knowledge about the person's
creditworthiness.
No
credit check loans can be of two types- secured and
unsecured. Secured no credit check loans take the home or any
other property owned by the borrower as the collateral. The loan
amounts in case of secured no credit check loans are
proportionate to the value of the collateral. Secured no credit
loans provide a large sum and have lower interest rates. The
typical APR's for a secured no credit check loan range from 8%
to 20%. The repayment terms can also go up to 20 years in the
case of secured no credit check loans.
The unsecured no credit check loan do not use any collateral.
This type of loan does not pose any risk on the home or any
other property owned by the borrower. It is also available to
those who do not own any home and live as tenants. Unsecured no
credit check loan appears as a risky investment for the lenders.
So they charge higher rates of interest on such loans. The
typical APR varies from 16% to 30% and the loan amounts are also
very small, usually below