21 Oct Emergency Cash From New Payday Lenders?
Will I Need a Credit Check?
Since the financial services and consumer credit industry has been regulated by the Financial Conduct Authority it has been compulsory to credit check each and every individual applying for consumer credit. In other words an unsecured personal loan regardless of if it’s an emergency cash loan, any other type of loan or how much or how long the loan will run for. Which means the answer to the question of is it possible to get emergency cash from new payday lenders is a resounding yes. It’s the same whether your lender is a new payday lender or has been around for as long as your oldest relative. In our case that’s nearly a century! (Oldest relative not Badger Loans)
Prior to FCA regulation it was possible to be given a loan without being searched or scored but since 2015/6 no longer. You will find companies advertising on the internet for loans without having a credit check. However, you will find they are either trying to fraudulently relieve you of your money or they are using dubious advertising methods to get you to click on their link or advert. Don’t do it! As stated, everyone bar no one must be credit checked prior to any funds being released.
Credit scoring usually comes as part of the package with a credit check. For the purposes of getting a quick short term loan most lenders won’t pay too much attention to the results of a credit score when dealing with customers who may have had problems with credit prior to applying. What that means is that while your credit score is important and it’s always a good idea to try and keep it as high as possible, it doesn’t matter so much when applying for an emergency loan online.
What generally tends to happen these days and does happen here at Badger Loans is that in order to access an emergency online loan you will be what’s called ‘soft searched’ first once you have submitted your initial application via ourselves. This is an initial credit search against your name which does not appear on your credit file. It will be a fairly basic search which will give the prospective lender a general idea about your finances and the way you have conducted any previous loans or credit arrangements.
Once you have been approved for a short term loan by one of our lending panel the lender in question will then perform a hard search against your name and addresses which will appear on your credit file. This is an indicator to other lenders that you are looking for credit. Therefore it is important not to apply too many times in quick succession as it will have the effect of making you look like you’re trying to get finance everywhere and not succeeding and that’s a red light for lenders.
Always Read The Small Print
So that’s it, if you want to be borrowing money quickly and hope to get a same day cash advance loan approval in order to meet any emergency expenses, you will have to have a credit check and most likely be credit scored. Please remember to always check your repayment terms before signing anything and always ask questions about anything you don’t understand or feel is unclear.
We hope this helps.