If you have had credit problems in the past, does this mean that you’ll struggle to obtain a bad debt payday loan?

Not necessarily!

Credit history systems

If you have previously had financial troubles, these may be recorded on credit scoring systems and loan providers will typically look at these before making a decision with regard to a loan application.

It’s worth nothing that typically they are not making a judgment about the events that are recorded on your historical files. Very large numbers of people have encountered financial difficulties in the past and even though they may since have fully recovered from them, these problems may still sit on their records – typically for six years.

Many lenders will see these issues and may make an automatic “safety first” decision to refuse the loan application.

Payday lenders may be different

The good news, if you come into such a category, is that payday loan providers may see the world a little differently too many lenders.

That’s because typically the amounts that they are lending are smaller and you are repaying them faster (typically on your next payday).

That means that they may see a payday advance as being of less risk than many other types of loan for larger amounts and over longer durations i.e. 100 days loan.

Of course, any loan provider must reserve the right to refuse an application.

If you have a particularly problematic credit history then you may not be able to obtain a bad debt payday loan, however, in some cases, payday advance providers may be rather more relaxed about glitches in your past.

Some may not even perform a fully detailed credit history check.

Responsible borrowing

Anyone borrowing money at www.extloans.com for any purpose should only do so in a responsible fashion.

Loans of this type are very suitable for purposes such as snapping up a quick bargain or dealing with an entirely unexpected bill, but they are not suitable for things such as debt consolidation.

It may also be advisable to take advice if you find that you need to borrow money every month simply to meet your regular outgoings.

Used responsibly, a bad debt payday loan may prove to be exceptionally useful.

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