Instalment Loans – Your Need, Our Deed
Do you need a large amount of money? Quick loans undoubtedly cannot help you. Therefore, TargetLoans UK provides you with instalment loans. As the name suggests, these loans help you borrow a large amount of money that you repay over an extended period. The term can be from 6 months to 24 months.
Though both small loans and instalment loans are unsecured, they are not the same funding sources. The latter allows you to repay the fixed amount in fixed instalments over a set period rather than making one lump sum payment.
- Interest rates for more extended period will be lower than those with a reduced length.
- Monthly payments can be divided into two bi-weekly payments in case it doesn’t seem very easy to make.
|Quick Loans||Instalment Loans|
|Best Time to Borrow||An ideal time to take out these loans is emergencies.||These loans work best for planned expenses.|
|Prepayment||Early repayment will impose charges.||You can repay before the due date without paying extra charges.|
|Buffer period||We do not allow for it for these loans.||Five-day buffer period is available if you fail to pay on the due date.|
How do Instalment Loans Work?
Applying for term loans is extremely easy.
- You need to put in the loan application online that we will assess to determine your affordability.
- If you meet our benchmarks, we will transfer funds directly to your account the same day.
To apply for these loans, you need to be 18-years-old, should be the citizen of the UK and have a functional bank account. However, these conditions are not enough:
- If you are employed, you should be with your current employer for at least one year.
- If you are self-employed, you should have been in the same business for at least two years.
In addition to evaluating your income statement, we will assess your credit score. However, we run soft inquiries that do not pull your credit score and help in guaranteed loan approval, which is why you can address them as instalment loans with no credit check.
Does your credit score fall between 561 and 720? Throw Worries, Get Pennies
Instalment loans come with a larger amount, so it is quite challenging to have a direct lender signed off on your application in case you have a poor credit rating, but this is no longer a problem if you borrow money from us.
Interest rates for instalment loans for bad credit people will be higher yet affordable. Even though you borrow money for two years, we will require neither collateral nor guarantor.
We are ethical lenders and try to assess your repaying capacity before approving the application. We recommend not hiding any current obligation and do not manipulate your current income sources.
- Can you apply for another Loan when an Instalment Loan is due?
Life is unexpected. Unforeseen expenses can knock at your door without prior notice. Suppose you took out a small instalment loan to consolidate your loans six months ago. Your car has conked out, and your savings have fallen short of cash. Of course, you would like to take out a short-term loan.
Applying for a new loan when an instalment loan is due is quite challenging, especially when you have a poor credit rating. Most of the online lenders do not entertain such applications as they doubt your repaying capacity.
We do not turn down your application for a new loan provided you can manage to pay back all current obligations. Your affordability is our top priority, and therefore, we will go through your income statement to see if there is a scope for bearing the payment of a new loan.
- Is the Extension Possible in Case of Cash Shortfall?
Poor credit instalment loans do not require you to pay a lump sum. It means you are supposed to pay down the debt over months. Whether the term of the loan is six months or lies somewhere between 6 and 24 months, we cannot allow for further extension.
- If you think that you will likely miss a payment, we recommend informing us before so that we can shift you to a new repayment plan.
- You will have to submit your current financial statement to let us get an insight into what will work for you.
- If the new repayment plan also does not work out, we will likely extend the term, but you will have to put collateral. Remember that the period for the extension will depend on the value of the security.
Are Instalment Loans Amortised?
Not all direct lenders provide instalment loans with amortised features. They instead treat it as a balloon loan.
It requires you to pay down smaller payments throughout the term that includes a lower proportion of principal and the remaining balance as the final repayment.
TargetLoans UK provides these loans with the amortised feature, which means all monthly repayments will go toward both principal and interest. Amortisation makes the loan much more affordable.
Why Choose TargetLoans UK?
Since its inception, TargetLoans has been adding more value to direct lending. We treat our clients not just as customers but also as our financial companions. Choosing us can be your better decision because:
- The application process is entirely online, with no paperwork and no upfront charges.
- The instant loan approval is the policy here that paves the way for the immediate fund transfer.
- Loan obligations like a guarantor, credit check or collateral are not compulsory here.
- The experience of financial advisers here is enough to guide the borrowers on the right path.
- The framing of loan offers is done as such that can suit to any borrower with any financial background.
We hope these reasons are enough for you to apply for our bad credit instalment loans. What are you waiting for? Send your application now.
Does an Installment loan require no credit check?
It is true that most of the lenders out there in the market check the credit of the borrower strictly before approving the loan. Today, many direct lenders are providing the assistance of instalment loans on no credit check, if you apply at the right lender who offers such benefits.
Can opting for instalment loan increase your credit score?
Yes, it does, if you complete the repayment of the loan on time. You should know that payment history has the most weightage in the credit score. So, if you are going for installment loans on bad credit score, then make sure that you repay the loan on time.
Does applying for instalment loans means a guarantor is needed?
No, it is not mandatory to provide a guarantor in order to get an instalment loan in the UK. If you knock the doors a direct lender for this loan, then there will be various aspects that will be checked by the lender such as your credit score, income status, debt to income ration and other financial aspects.
Should I opt for 6 months repayment term or 36 months in installment loans?
When you choose the repayment term as 6 months in an instalment loan, then you will have to pay a higher interest rate. However, as the repayment is smaller, you will have to pay a lesser amount of interest in the long term. On the other hand, if you are going for a long repayment term like 36 months while applying for the loan, then you will be charged with a lower interest rate but you might have to pay a larger amount of interest in the end.
How can I apply for an instalment loan with bad credit?
A credit score is one of the first and foremost financial aspects that most lenders check when approving a loan. There are many reputed lenders in the market such as Target Loans and others who can provide you with installment loans even with bad credit. However, the amount of the loan that you are looking for the loan might vary due to your bad credit.