At the time of need, when you apply for a loan, guarantor is the first thing that the banks ask you to provide. You can try your level best to convince someone to back your loan application as a co-applicant. But, another chance is that you may not succeed in arranging a guarantor and in that case, your loan application is destined to get rejected.
These situations perhaps are a sign that you should try to search for the possibilities of no guarantor loans, which allow you to borrow money with no other individual involved. There are several online lenders that provide such kinds of loans. You can make a comparison between the rate quotes they are offering and can take your decision depending on your affordability to repay a loan.
Take Care of the Rates
The loans without guarantor obligation are unsecured and come with higher interest rates. Before you finalise a deal make sure that you have the financial capacity to bear the rate of interest. This is necessary because the interest rates have a direct impact on your repayments. You may not find yourself able to pay hefty monthly instalments. However, if you have good credit scores, there is a possibility that the lender can give relaxation on the rates.
Know Your Repay Capacity with the Help of Financial Tools
There are certain tools that can help you calculate your repayment capacity and then you can choose a loan product accordingly. These tools are:
Loan calculator -An obvious thing to find on the website of every online lender. It helps you know your monthly instalment for a particular amount. You know your financial limits well and you should choose the amount accordingly. Different lenders have different rates, before doing these calculations it is better to find first a loan company that has a rational rate quote.
Budget calculator - It is used to distribute your monthly budget in various expenses you make in a month. You mention the amount you spend on a particular thing such as rent, electricity bill or anything and write the amount in front of that commodity.
This helps you find out the amount of money you are left with. That money can be spent as loan instalment. This tool also helps you find out the expenses that you are making unnecessarily and avoiding them can save your money.
It Is Important To Know About the Available Options
To borrow money without the guarantor, it is not necessary that you always search with the phrase ‘no guarantor loans’. There are certain other types of unsecured funding choices that serve the same purpose. The unsecured personal loans also provide funds without the guarantor. In fact, some deals are also free from the constraint of providing collateral.
They are immediate and timely in their availability. The application procedure and verification happens online and decision on approval comes instantly. After the approval, you get the money in your bank account.
The guarantor-free loans are not restricted to some particular purpose; they can be availed for any kind of financial needs. From personal to commercial, you can search and find the loan offers depending on your need. Some lenders have all types of loan products while some have specialised financial products like small business loans in the UK. The online loan companies provide these loans to the borrowers also without the guarantor.
Availing a loan on your own affordability is a more dignified thing to do. You do not need to discuss your financial weaknesses with others while requesting them to be your guarantor. When it comes to tackling finances, self-reliance is the best quality to own.
Personal Loan Lender provides no guarantor loans with customisation in rates. Take a calculative decision with our loan calculator. visit @ www.personalloanlender.uk