Bad Credit Personal Loans

Unsecured Loans in the UK – Fund Any of Your Needs

Whether you need money for planned expenditure like a wedding or you need it for an unforeseen expense, unsecured loans in the UK are the ideal choice. As the name suggests, these loans do not require collateral. It means you do not need to fear of losing your valuable asset. The other name of these loans is personal loans.

You borrow a fixed amount of money that you repay over a fixed repayment period, usually between three months and five years depending on the amount you borrow. The minimum amount you can borrow is £2,000, and the maximum amount you can borrow is £25,000. Here are the features of our personal loans:

  • The disbursal limit is subject to your affordability
  • Lower APRs than the market APR
  • Quick application process; you will get the money within one hour after approval

What should you use unsecured personal loans for?

You can take out unsecured personal loans for any reasons, but the most common reasons for applying for these loans are as follows:

  • Consolidating debt: You have credit card bills and other short-term loans, and it is challenging to keep up with repayments. You can consolidate them by taking out a large personal loan.
  • Home refurbishment: Are you looking to remodel your space? Financing a kitchen or patio with unsecured personal loans will be a fine decision.
  • Booking a car: If you want to buy the latest model that is yet to come in the market, book it in advance and fund registration expenses with personal loans.
  • Medical surgery: If you have to go under the knife, and your savings have fallen short of, personal loans can fill the gap.
  • Wedding: If you want a grand wedding and you do not have enough money in your savings, these loans can make it happen successfully.
  • Travelling: Money should not be the cause of spoiling your travel plan. Unsecured loans can take you wherever you want to go.

How much does an unsecured loan cost?

It is quite hard to tell you the exact cost you will bear because it depends on the amount you borrow, the repayment term and the type of interest. Unsecured personal loans are available in two types of interest rate: fixed and variable. Before you apply for unsecured loans, we recommend you to compare the rates on the following factors so that you could choose the best deal:

  • Interest rates
  • Application fees
  • Early repayment fees
  • Extra repayment fees
  • Late payment fees
  • Monthly repayments

Note that we charge neither early repayment fees nor extra repayment fees. If you fall behind the repayment, you will end up paying late payment fees. However, they will be nominal. If unavoidable circumstances account for it, you can refinance your loan at the same interest rate, and we will waive the late payment fees.

Loan amount Interest rate
Between £2,000 and £5,000 Fixed throughout the term
Between £5,000 and £10,000 Fixed for the first one year and then variable
Over £10,000 Fixed for the first two years and then variable

However, you can choose a fixed interest rate for the entire repayment period regardless of what you are borrowing, but remember that it will be slightly higher than variable interest rates.

Is it possible to apply for unsecured loans with bad credit?

People often hesitate to apply for personal loans with bad credit because many lenders do not entertain such applications. One of the significant reasons for a higher rate of rejection is it adds up to the risk of the lender. A poor credit rating calls your credibility into question and therefore, most of the lenders turn down your application, but EasyCheapLoans offers unsecured loans for poor credit.

We understand that bad credit rating is not always the result of negligence. However, note that you will have to arrange a guarantor with a good credit score. It can be your family and friends. Like standard personal loans, our unsecured personal loans for bad credit people also come with no fees. It is crucial to note that you cannot borrow over £20,000 in case your credit report is not up to the par.

Are personal loan calculators helpful?

To arrive at a decision quickly, you will be anxious to know how much your loan costs. As you know, there are various factors taken into account, like credit score, repayment history to set the interest rate. You can’t understand the accurate total cost of the loan. Unsecured personal loan calculators can help you have a rough idea about the total cost of the loan. It will tell you how much you will likely pay, so you could accordingly make a budget to avoid falling behind repayments.

How easy is it for a self-employed to apply for a loan?

If you are self-employed, you can have more incredible difficulty applying for personal loans – in fact, more than the one with bad credit history. If running a business has benefits, it has challenges too. When it comes to applying for a loan, it is quite hard to prove the lender about your consistent income. When you have a full-time job, the lender will have a clear idea of how much money is coming in every month to analyse your affordability. On the contrary, business income is not static that delays in decision-making.

We offer self-employed unsecured personal loans, but you must have at least two years of experience in running your business in the same niche. However, note that the reason for taking out the loan must be personal because if you are borrowing money to fund your business needs, you will have to put collateral.

Are you looking to apply for an unsecured personal loan? Apply here.


How long does it take to take out a personal loan?

Once you fill-up the application form, we will assess your credit score and repayment capacity within a couple of minutes. If everything goes fine, you will get the loan on the same day. In brief, you can say that it takes a couple of hours for the entire process.

How do I verify an unsecured loan?

It is crucial to verify whether the lender is genuine or not. Check interest rates and compare them with the market. They must not be higher than the market rate. Look out if the lender has a vast online presence. Read reviews and testimonials and check what borrowers have said about the lender on social networking sites.

Am I eligible for an unsecured loan with bad credit?

Yes, you are eligible to apply for an unsecured loan despite a poor credit rating. However, you must arrange a guarantor with a good credit rating that can be either your friends or family. Interest rates will be slightly higher than standard personal loans.

Do unsecured loans affect your credit?

If you make all payments on time, your credit score will go up because we will notify credit reference agencies of your payments. However, when you miss a repayment, we will notify if it is past 30 days. If you repay within 30 days from the due date, you can escape losing your credit score. However, this leeway no longer exists after one default.

What is the average interest rate on an unsecured loan?

The interest rates can vary between 5% and 20%. However, the average interest rate for these loans can be up to 12.95%. We will still try to offer you these loans at the most competitive interest rates.

What happens when unsecured loans are not paid?

If you think you cannot repay your debt, you should call your lender as soon as possible. They will put you on a new repayment plan so you could start paying it. Not keeping your lender in the loop will mean inviting late payment fees and interest charges.

What is the difference between a secured loan and an unsecured loan?

The significant difference between both the loans is of security. Unsecured loans do not require collateral while secure loans will require you to put security. Since secured loans mitigate the risk of the lender, they are cheaper than unsecured loans.

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