Bad credit history is a serious reason for refusing new lending. Such a “verdict” in the financial niche is received by borrowers who have not repaid, have overdue loans, entered into legal proceedings with banks and are faced with collectors.
How to check credit history
Banks carefully check a potential client, especially the borrower, for financial solvency. When a customer contacts a large bank for a loan, he may be refused if the credit history is damaged.
You can check your history yourself. To do this, you can contact any bank whose services you use and order a check at the credit bureau. The Bureau in the shortest possible time collects information about the borrower and prepares a report, which lists:
- All loans over the past 15 years;
- The amount of monthly payments for each loan;
- Terms of payment of each installment, delay, accrued interest;
- Interest rate;
- Names of banks where the borrower took loans;
- Deadlines for full repayment of documents and in reality.
Based on the number of delinquencies made by the citizen who took the loan, as well as taking into account early payments, penalties, court proceedings and other details, a rating is made. The indicator of this rating will be commented on or “You are the desired client for any bank” – if the story is good, “You need to improve the credit history” – to clients with a very bad history.
Loans in large banks
Nevertheless, there is a way out, since getting a loan with a bad credit history is quite realistic. Consider the options of Tsertbank of Russia.
Tsertbank, as the largest financial institution of the Russian Federation, also allows you to take a loan with a bad credit history and arrears. But a payer with a bad reputation will have to accept some rules.
The interest rate will be significantly higher than with a good story. Some programs allow you to arrange a loan only on the security of movable and immovable property. In addition, the loan amount will be limited – in Tsertbank, a loan with poor credit history can be obtained for an amount of no more than 50 thousand rubles. Taking a loan from Tsertbank, it will need to be returned in a short time.
You can get a loan with delinquency and a bad credit history with the help of a third party intermediary. Credit brokers help to investigate the history of the borrower and find an organization that can provide payment to him.
An application is required from the client, after which the broker will collect all possible offers from financial institutions, taking into account interest rates, maximum amounts and terms of return. Usually this list is much wider than if the borrower made it up himself.
In addition, brokers also have connections with private lenders, who are more likely to meet and issue funds urgently to owners of a bad history. The disadvantage of such an enterprise will be the obligatory payment of broker services. It may be fixed, or it may be a certain percentage of a successfully borrowed amount. The loan may be more profitable than a bank loan.
- More chances for a loan;
- A wide selection of lenders;
- The ability to urgently get money without checking the history.
- Payment broker;
- High interest rates ;
- Chance to run into a crook.
Making a credit card is another painless way to get a loan with a bad history. The fact is that most banks do not pay attention to the credit history when issuing credit cards.
The bank insures its finances with high interest rates on the card. Also, credit cards are subject to all sorts of fees for service, interest for cash withdrawals and non-cash transfers to other cards and bills. Nevertheless, the chance to take a loan with delinquency is quite high.
- High probability of receiving a loan;
- Loan without credit history research,
- High interest rate;
- Payment card service;
- Interest for cash withdrawals and transfer of funds.