Yes, you can get loans with bad credit from Instant Loans Canada. Banks and other money lending institutions usually check the credit score or the financial background of the individual applying for the loan but with us, you can get no debt check loans with a simple loan procedure and get approved for the loan in no time.
You must be wondering the way to apply for this loan. Let us have a look at ways to apply for this loan.
How to apply for this loan?
To apply for this loan all that you will be required to do is fill an online application form. You can fill an online application form available on the portal. Well, if you have a bad credit score you can still apply for the loan and you don’t have to worry about it because we do not check the credit history of our clients. To get approved for the loan you will be required to present certain documents. The list of documents is minimal and includes the following
- A lien-free vehicle.
- A valid Canadian license.
- Registration and insurance of the car under your name.
- Proof of your permanent residency in Canada.
- The second set of keys to your car.
These are the documents that you will be required to present while applying for the loan with us. Once you make sure that you have submitted the list of the above-mentioned documents you will receive a call from our experts. They will call you for the further steps and check your vehicle to decide the loan amount depending on the condition of your vehicle and also not neglecting the market value of the same. Well, this is how you can apply for a loan with us even if you have a bad credit score.
There are several reasons why people or money lending institutions hesitate to lend loans to people who have bad credit scores. Bad credit scores affect the process of borrowing way too much. Let us have a look at how bad credit affects borrowing?
How bad credit score affects borrowing?
A bad credit score is referred to a person who has a history of not paying their bills on time or owes too much money. It is often reflected as a low credit score typically ranging under 580 on a scale of 300-850. People with bad credit will find it hard to get a loan because the lenders usually check the credit score of the client before lending the loan to them. There are several ways or strategies that you can make use of to improve your credit score.
How can I improve my credit scores?
1. Pay your bills on time
When you apply for a specific loan, the lenders are usually keen or interested to know that how reliably you pay your bills on time. The reason behind this is that your past financial situation and the way you dealt with things are considered to be a good predictor of your future payments. You can put a positive impact on your credit score by paying off your bills on time i.e. not just the credit card bills but also paying off the loan payments if you have any. If you are lagging behind any payments you can bring them to current as soon as possible. Late or missed payments puts a negative impact on your credit score so you should make sure that you make the payments on time.
2. Keep your balances low on your credit card
The credit card utilization ratio is another thing that one should keep in mind. The ratio is calculated by adding all your credit card balances at any given time and dividing it by your total credit limit. You can have a look at your credit card 0statements for the last 12 months and figure out the average credit card utilization. Lenders while lending the loan to the borrower check the ratio and want it to fall under 30% or less. A low credit utilization depicts that you have not maxed your credit cards and likely know how to manage your credit well.
3. Make sure that you do not close your unused credit cards
You should always keep your unused credit cards open as long as they are not costing you money in annual fees. It is considered one of the smart strategies because closing the credit card will increase your credit utilization ratio. Owing the same amount but having fewer accounts open might lower your credit scores.
These are the techniques that you can make use of in order to improve your credit score.
Though there are ways by which you can improve your credit score and thus you will no longer long for no debt check loans. But still, if you are in the process of improving your score and are looking for the financial help you can seek help from Instant Loans Canada and get the best and instant help with money.