Unemployment is one of the most difficult phases in the life of any person, who is growing through it. Managing the basic expenses also become tough as the financial conditions weakened behind the roots. Even if someone has savings, until when he can utilise them and tempering with savings for the general expenses is not a rational decision as they are more prone to emergency financial needs to get some opportunities or invest and reinvest. Here, people can use debt financing but most of the lending institutions do not allow the borrowers to avail the loan benefits due to income status. For example, mainstream banking institutions and many other financial institutions rarely allow loans without guarantor in London.
Here, the online lenders provide different financial products to the jobless people. To know it, you must read the below mentioned policies and learn their eligibility and features to know which policy is suitable for you.
Loans With No Secondary Borrower:
People, who are born and brought in London and facing unemployment for some time for the best job opportunity or for starting a new business, can apply for loans without guarantor without much hassle. These loans are helpful for the unemployed people, as a person with no job cannot be believed by anyone to become his guarantor.
Eligibility: A person, living in the UK and turned 18, can get these loans without income status, if depositing any collateral to the lender. In case, the amount of the loan is very small then the lender may approve this loan.
The best feature of these loans is the name itself suggested by the policy that there is no need of a guarantor in the procedure as no one can rely on a person, who is not earning right now.
Note: Not all lenders are interested in approving such policies.
People, who do not have money to cover the emergency expenses like medical expenses and other important expenses can avail emergency money for unemployed in London. These loans are helpful in many ways like even a person can also use these funds in starting a business, which shut down in the past due to unavailability of the funds.
Eligibility: Any individual living in London can get these loans with the minimum age of 18. The credit profile must not be tainted with CCJ (County Court Judgment) or IVA (Individual Voluntary Arrangement).
There are various features being offered in such loans like there is no lengthy documentation involved in the process and sometimes, various lenders even ignore the credit check by considering the urgent needs of the borrowers. With the help of this, the approvals of these loans come faster than many other loans.
Loans with Unsecured Feature:
People, who do not have any collateral like property or vehicle to submit to the lender, can choose the unsecured loans in London. As per these loans, a borrower needs not to submit any asset to the lending company in order to get an approval for the loan. Even the credit verification does not take place if the candidate is borrowing for the first time or have a bad credit history. These are short term loans and helpful in solving out the emergency financial situations. The approvals of these loans also come faster to satisfy the financial needs of the borrowers as soon as possible.
Are direct lenders strict for the repayments?
Of course, the direct lenders are strict for the repayments even when they are giving too ease on the procedures. Many of the direct lenders, who are providing ease on the procedures, are allowing these loans because they believe that if a borrower can repay the loan then he is capable for taking a loan. So do not forget to repay the money on time and choose the automatic deduction option for reducing the risk of negative credit hits on the credit report.
In the end:
Do not apply for any kind of loan, without reading the terms and conditions of the lender to ensure your eligibility and knowing the legitimacy of the lender.