Urgent Cash Loan Bad Credit Australia
Being short on money is something that most people experience on a daily basis, especially since life is extremely unpredictable. Sometimes, people just can’t prepare ourselves for the worst case scenario. And it is during these scenarios that they have no choice but to reach out to options that they might not have considered before. In this case, these options are cash loans.
What is a cash loan? And how do you apply for it?
Basically, a cash loan is a loan which is received by the borrower in cash. Anybody can apply for a cash loan, as long as they meet certain requirements, such as being of legal age, being an Australian citizen and having a steady income transferred into their bank accounts. As long as you have your requirements in check, lending companies can review your application and decided whether to approve or disapprove your request.
When should you apply for a cash loan?
Many people take out loans when they’re in a tight spot. Examples are: (1) you got into a car accident and need to pay off bills, (2) you’ve just been fired from your job and you don’t have money for groceries, (3) there’s an upcoming event and you need to buy new clothes. So, if you’re in a similar situation, then perhaps you should take out a loan, as long as you’re certain you can pay it back, of course.
However, there are a few problems along the way.
Before applying for a loan, you need a good credit score.
What is a credit score?
A credit score is a number between 300-850 that depicts how much a person’s credit is worth. If you have a good credit score, then you can do a number of things, such as take out bank loans and apply for loans from lending companies at the lowest interest rates possible. However, if you have bad credit, then it’s more difficult to find lenders that will lend you money in the first place.
So what constitutes a good credit score? The range is as follows:
- Excellent: 800-850
- Very good: 740-799
- Good: 670-739
- Fair: 580-669
- Poor: 300-579
It’s crucial to have a good credit score, as it can propel you forward in life. But before you can think of improving your score, then you should know how it is calculated in the first place. Below, you’ll find the factors that accumulate your credit score:
1. Payment history
2. Total amount owed
3. Length of credit history
4. Types of credit
5. New credit
Is it possible to apply for a cash loan with bad credit?
Knowing all of these things now, you might be worried about not being granted an urgent cash loan especially if there’s an emergency. Yes, it’s expected that most lending companies will turn you away at the sight of a bad credit score. But you STILL have options because there are some companies out there that have loans specifically for those with bad credit.
Most lending companies who accept applicants with bad credit match you with lenders who are willing to lend you money within a given time period.
Money Problems? No Problem!
Overall, there are always options to choose from when it comes to money problems. Before considering urgent cash loans, perhaps you should talk to your family and friends first. Maybe they can lend you money for the time being, as this is something that we all have trouble with, of course. And if you can’t borrow from them any longer, maybe you should think of asking for an extension from your financial obligations. But if you’ve hit a wall and have no way around it, then you should consider a cash loan instead.
There are some lending companies out there that don’t judge you for a bad credit score. Instead, they see you as somebody who is in urgent need of money. And because of this, they want to help you out as much as you can. So it’s up to you if you let them help you!