It has been several years since Bank of America stopped offering personal loans even for people with good credit score. So, anyone looking to a big bank like BofA must know that it is futile to try and get financial assistance especially when he or she is struggling with credit.
So, Bank of America is not ideal for a bad credit personal loan. Is there any other option to try?
Yes, there are options but that depend on several factors, the most important being your credit score. Obviously, a person seeking a bad credit personal loan will definitely have trouble with his or her credit history.
Fortunately, there are companies that have come up just to cater to such people. They might need you to be sound in one or more areas to be able to apply for financial assistance. For example, some might look into your income pattern while others try to bring together a set of stringent rules to help them make for the associated risks and dangers of an unsecured loan.
While credit unions have always been there to help members with their sundry financing needs, there have been a big growth in the number of peer-to-peer lending institutions that do not give much consideration to your credit rating. Of late, we see a number of online lenders as well that promise swift processing and easy application.
How to avoid bad credit loan scams?
Keep your eyes and ears open when searching for a lender. Instances of scams and frauds are not unreal. You must avoid the dangers and keep your financial status safe from the evil activities of unscrupulous lenders.
The following are some tips.
- Use all online and offline media to search lenders in your area and select only a few that matches your financing needs and application eligibility.
- Collect as much information as you can for all selected lenders and sort your list again to give top priorities to those that look more authentic.
- Starting from the top of your list, visit the physical location of the company, meet its authorized person and gather all required information.
- Pay special attention to APR, interest rates, closing fees, hidden charges, prepayment penalty and any other relevant information.
- It is always better to interview an existing client of the company and base your judgement according to their reviews.