Settle All Liabilities with Debt Consolidation Loans and Simplify the Repayment

A debt consolidation loan is a solution for people with many debts and liabilities against their name. They are used to simplify the repayment and reduce the overall cost of the loan with a single, low-interest repayment plan. It increases the prospect of debt-free life and financial freedom for the people stuck in a debt cycle.

Multiple debts are never easy to manage because of extra payments and the busy schedule. There are specific strategies to counter these debts one after another, but they often result in stressful repayment. You are stuck with the decision to target a debt based on interest rates, duration, or principal amount.

Guaranteed debt consolidation loans for bad credit help you simplify the whole repayment process with enough funds to settle the current debts. You don’t have to pay the hefty interest rates or installments that make your budget too tight. It will also be easy to manage one installment each month instead of too many on different dates.

  • Settle the high-interest debts
  • One installment to manage
  • No risk of repossession
  • Less overall cost

How Debt Consolidation Loans for Poor Credit Help You Manage the Financial Mess?

As mentioned above, the purpose of bad credit debt consolidation loans is to get free from debts without living a minimalist lifestyle. Let us explain to you the benefits of the loan to clear the financial mess once and for all.

  • Interest Rates - Some liabilities, such as credit card bills and payday loans, have unreasonable interest rates to derail the finances. A debt consolidation loan will help you settle these liabilities to reduce the monthly installments and overall cost.
  • Loan Terms - You may have some short-term, high-interest, and heavy installment debts causing the financial mess. Extending their terms means the installments will get more manageable within the limited budget. You can have a repayment period of up to 5 years with a debt consolidation loan.
  • Overall Costs - Lower interest rates will substantially reduce the overall cost of the loan. However, you need to decide the terms keeping in mind the overall cost and monthly installments. Shorter-term means less interest to pay overtime to the lender.
Debt Consolidation Loans for Poor Credit
  • Collateral Repossession - The secured loans are the reason for stress as there is always a risk of repossession of the collateral. A debt consolidation loan doesn’t require collateral if you have regular income and good credit history. Therefore, there is one less thing to dwell upon during the repayment.
  • Credit Ratings - Your credit ratings take a hit whenever a payment is missed. There could be many reasons for it, from forgetting the payment to not enough money in the account. A single payment will help you increase the credit ratings because of easier management and lower installments.

What are Secured and Unsecured Consolidation Loans?

Lenders offer two types of loans – Secured and Unsecured Consolidation loans. Secured loans require you to provide collateral to reduce the risk of financial loss to the lender. They may repossess it after a few months of missed payments and constant reminders.

You don’t have to arrange collateral in case of unsecured debt consolidation loans for bad credit. Nevertheless, you need to provide some assurance to the lender for timely repayment. The interest rates are high because of the increased risk.

At EasypolicyLoans, we offer financial support to borrowers based on their affordability. The debt consolidation loan doesn’t require collateral if you have a regular inflow of cash. Fear of losing an asset is the last thing you need at the time of a financial crisis.

  Secured Consolidation Loan Unsecured Consolidation Loan
Interest Rates Low Higher
Risk Lender May Repossess the Collateral No Collateral to Repossess
Speed May Take Weeks to Get Approval Fund Disbursement within 24 hours
Terms Short to Long Short to Long
Borrowing Limits Based on Asset Value Based on Repaying Ability

Are Debt Consolidation Loans for Bad Credit Available?

You need a debt consolidation loan to settle the debts that may have already damaged your credit ratings. Therefore, the customers should get some relief when the credit ratings are considered for eligibility. We check the current financial status that makes the debt consolidation loan for bad credit a possibility.

However, we will conduct a soft inquiry on the credit history to ensure you can afford the loan. Unlike hard inquiry, it will not impact the credit history in any manner. After all, we don’t want our customers to get stuck in a debt trap.

debt consolidation loans for bad credit uk

What is the Eligibility for Bad Credit Debt Consolidation Loan?

The eligibility for a debt consolidation loan for bad credit in the UK is relaxed compared to traditional personal loans. The customers take this loan when they already have a mess of a financial condition. It makes no sense to ask for collateral and perfect credit history when the current situation has already affected the two.

These are the minimum requirement avail of a bad credit debt consolidation loan at EasypolicyLoans

All these requirements ensure there is a safe environment for the lending process. Our representative will verify the information within the same day of application. They will also assess your affordability for the loan amount, which may differ from the application.

Do I Need a Regular Income to Get Unsecured Debt Consolidation Loan for Poor Credit?

You need a steady income to repay the loan without the missed payments and constant reminders. However, it doesn’t have to be from a 9 to 5 job with a paycheque at the end of the month. Income from every reliable source will qualify you for the loan.

The freelancers and part-time workers can apply for the loan without a second thought. We also provide financial support to the customers going through a rough patch on the government benefits.

unsecured debt consolidation loans bad credit

Following are the eligible customers for an unsecured debt consolidation loan for poor credit –

  • Regular jobholders
  • Freelancers, small business owners
  • People with government benefits and side hustle
  • Real estate owners with rental income

What If I don’t Have a Guarantor with a Perfect Credit History?

We understand the difficulty people face to find someone with a perfect credit score as a guarantor. Many of the borrowers find it uncomfortable to share their financial troubles with others. To your relief, a debt consolidation loan doesn’t require a guarantor for borrowers.

However, you must have a repayment plan to get approval from our representative. The interest rates are not different for the bad credit and no guarantor debt consolidation loan. Therefore, you don’t need a guarantor to get a better deal at EasypolicyLoans.

Why is EasypolicyLoans Among the Best Lenders for Debt Consolidation Loans?

Unlike the banks, we provide a practical solution to the problems of our customers. The loan terms, interest rates, and installments are based on individual cases and their requirements. Apart from this, following the are the primary reasons why EasypolicyLoans is among the best lenders for a debt consolidation loan –

  • Amazing Customer Support

    Our representative will guide you throughout the application and repayment process. Your doubts and queries will be answered on the priority basis with a thorough explanation. We also provide some relief to the customers if they find themselves in another financial crisis during repayment.

  • Flexible Repayment Options

    We support our borrowers during their financial troubles during the repayment process as well. You can skip a payment and pay the installment together the next month without any extra charges. The option to extend the loan term is also there for eligible customers.

  • Simple and Transparent Process

    The online process takes minutes to apply for a loan. You don’t need to visit the physical location and stand in a queue to complete the lengthy paperwork. It is safe, secure, and faster than the traditional process of the loan application and fund disbursement.

debt consolidation loan bad credit

Visit the online application page to apply for a debt consolidation loan today. For any doubt, feel free to post a query, and our representative will resolve it with the highest priority level.

Debt Consolidation Loans FAQs

Is debt consolidation right for you?

Debt consolidation is a useful option when you have the burden of excessive debts on your finances. These debts may be of utility bills, credit card payments, or loan repayments.

If you have the option of a debt consolidation loan, you can merge all these debts into a single payment and get the benefit of low-interest rates.

Do consolidation loans hurt your credit score?

There are rare chances that these loans hurt your credit rating. They help you to improve the scores as the repayment is single and easy to manage from the monthly income.

What’s the difference between secured and unsecured consolidation loans?

The difference between secured and unsecured debt consolidation loans are as such:

Secured debt consolidation loans:

  • These are perfect for merging cumbersome debts related to personal and business activities.
  • Providing collateral is mandatory that should be equal to the value of borrowed amount.
  • A large amount for a more extended period can be availed with these funding sources.
  • Interest rates remain on the lower side.

Unsecured Debt Consolidation Loans

  • There is no need to pledge any asset as the loan collateral.
  • These options are suitable for emergency debt mergers.
  • Interest rates may slightly be on the higher side.
  • These are ideal for smaller debts need for an urgent consolidation.

Can you get an unsecured debt consolidation loan?

Yes, you can anytime avail the services of an unsecured debt consolidation loan. The direct lenders like us do not mind your inability not to secure the loan. We allow a smooth loan approval that will help you consolidate all your pending dues in one go.

How long can I borrow with a debt consolidation loan?

It depends upon the pending debts and your need for the borrowed amount. You can avail the loans for one year or a maximum of five years. We recommend individual circumstances while decided the loan terms.

How can I get the cheapest debt consolidation loan?

There are various ways to get loans on cheapest rates:

  • Choose the reliable direct lender following flexible repayments
  • Keep your credit score improving day by day with proper management
  • If possible arrange a guarantor to repay the amount on time
  • If you want the substantial amount to borrow, then pledge the loan with collateral

What happens if I cannot make my repayments?

Not making the repayments on time can hurt you a lot. It puts significant damage to your credit score and keeps on increasing your financial burden. Therefore, you should not delay the repayments and try hard to make them on time.

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