Obtaining Loans: Bad Credit or CCJ

Many people are afraid of the whole concept of credit ratings. It can seem something of a black art, with information about you that you may not even be aware of.

Every adult in the UK has a credit rating (or credit score) and its purpose is to indicate your ability to manage existing credit and repay any further loans.

Credit ratings are provided by credit reference agencies. The three main credit reference agencies operating in the UK are Experian, Equifax and Call Credit. They obtain information about you from various different sources, such as the electoral roll, county courts and financial institutions. On the basis of this they prepare a credit report on you which can then be purchased by lenders to help them decide whether or not to lend you money. If you have a bad credit rating you are likely to find it difficult to get a loan or credit card or mortgage.

A CCJ (County Court Judgement) is a court order that can be issued to enforce money owed to be repaid. It can be triggered by a lender who wants to get monies owed back from you. No matter how fair or unfair the circumstances, if you have a CCJ registered against you it will have a negative effect on your credit rating as it indicates that – for whatever reason – there has been an instance of you not repaying what you have borrowed. So how can you obtain a loan if you have a CCJ?

Some options to consider

Thankfully there are various lenders around who will offer people loans with CCJs or poor credit ratings. Whilst many mainstream lenders would reject you, some more forward-thinking financial institutions will consider the bigger picture provided you can provide credible evidence of your ability to repay the loan.

If you do succeed in obtaining a loan with a CCJ loan it is vital that you manage that credit well and keep completely up to date in terms of repayments. You have been given another chance and it is essential to make the most of the opportunity and prove to the financial community that you are creditworthy. By doing so your credit rating will gradually improve and you will be viewed more favourably by lenders in future.

How Loans 2 Go can help

We are proud to be one of those forward-thinking lenders we mentioned above, who treat each case on its merit and will help you if we can – even if you do not meet a stringent set of predetermined criteria.

As a responsible lender we will not encourage you to get into more debt, but equally we understand that sometimes people need fast loans to enable them to get back on their feet. At Loans 2 Go we are in the business of offering fast loans to people that need it and can afford to make the repayments.

Please note that this publication do not constitute financial advice and are provided for general information purposes only. We cannot be held liable for any technical, editorial, typographical or other errors or omissions within the information provided on this website, nor shall we be responsible for the content of any web images or information linked to this website.