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Which payday loan is
best for people with
bad credit?

Which payday loan is best for people with bad credit?

Strong Service Benefits

Our loans offer people with a bad credit history or no credit at all a chance to get a personal loan. With loan repayments made on time and in full our loans could help people to correct their credit score or create a good score if they have never had credit before.

Easy and Secure Application

Quick approval Process

Contactable by Email

Representative Example:
305.9% APR. £400 borrowed for 90 days.
Total amount repayable is £561.92 in 3 monthly instalments of £187.31.
Interest charged is £161.92, interest rate 161.9% (variable)

Please note:
Finacerr is NOT a lender – we are a licensed broker working with the most popular direct lenders in the market to find you the most suitable short-term loan plan. Our FREE quoting service compares more than 40 lenders quickly and finds you a lender with the lowest rate that they are willing to lend to you today.

Rates from 45.3% APR to 1575% APR – we provide a no obligation quote, your APR will be based on your personal circumstances

Finding the Best Low Cost Loan In The Uk From Direct Lenders

Low Cost Loans Guarantor

Loans are helpful when you want a temporary relief or a long-term financial assistance; however, it is not for free. Although it will suffice your financial dilemma, you’re actually paying more than what you’ve borrowed, without you even noticing it. Most experts suggest low cost loans as an alternative. These cheap, flexible low-interest loans can be used for many purposes without spending a lot on the settlement. Once approved, you can freely use it to improve your home, buy your dream car, finance your wedding, or better yet, control your finances. As mentioned, a loan comes at an extra cost; thus, use it wisely.

Lowcost loans are usually found in banks and traditional loan facilities but the problem is, these establishments are hard to please. Aside from a specific minimum income, you need to have a good or excellent credit rating to be approved. As a result, many borrowers are rejected because of a bad credit. If you’re one of those, you probably know now that your chances of getting approved are slim; however, this should not leave you down or desperate. There are many lenders nowadays who are more versatile and considerate. As long as you can provide their primary requirement – which is the capability to settle the loan – then you have the chance to get approved.

This is good news for those who are self-employed or are receiving an alternative source of funds, such as benefits, pensions, or alimonies. Even without a job, they can acquire the money they need to sustain their daily needs. But do take note that only a few lenders may consider this.

Application Process

Online loans have stunned borrowers because of the convenience it offers when it comes to their overall service, especially the application. Their customer service can be reached through a phone call, email, or even chat. The best part is – most online lenders are available 24/7. Applying, on the other hand, also serves utmost convenience as there’s no need to leave your post. You don’t even need to get dressed as there’s no one to impress. Unlike the traditional application process, you will not have a face-to-face interaction with the lender. Rather than following a complicated method, all you need to do is fill out a 5-minute application form with the necessary details, such as your personal and financial information, and wait for a verification call. After submission, the lender’s decision is released in a matter of minutes and it won’t be long until your money is transferred. Usually, the lender can send the money electronically to the bank account you’ve provided in just an hour!

Repaying The Loan

Every lender has its own terms and conditions when it comes to settlement. But generally, short-term loans are settled within two to three weeks; long-term loans, on the other hand, are compensated after a year or until thirty years, depending on the amount and the loan agreement. If you can’t wait for the due date, you may repay off the loan earlier without any charges; but, you still need to confirm this with the lender.

Why Take Out A Lowcost Loan?

There are many types of loan present in the market, but if you want to put your money in the right place, place it on a lowcost loan. This loan secures that you’re not spending a lot on its interest rate and other charges. If you’re struggling financially, the last thing you want is to deal with expensive rates. However, you should not focus on the rate alone but to the overall service as well. Every lender works differently that’s why it’s important to conduct a research first before signing up a loan contract. Finding the right loan provider offers multiple benefits and here are as follows:


A good lender provides terms and conditions that are straightforward. Their fine print does not include any inaccuracies or hidden charges so you know how much you’re going to pay.


A good lender offers a less complicated way of borrowing money. Moreover, their rates are affordable and easy to settle.


A good lender understands the need of their borrowers; thus they provide ways on how they can lend the money at the soonest possible time. When your need is urgent, the last thing you want is to wait.


A good lender allows you to settle your finances easily and does not apply extra cost when you want to pay it in advance. Although it’s understandable for a lender to penalize you due to late payments, you may want someone who doesn’t charge you for early payment or overpay.

4 Steps: Simple Online Loan Application

So far, online application is one of the easiest ways to obtain money. Basically, lenders will ask you to follow these four steps:

  1. Ask for a personalized quote
  2. Accomplish an online application form
  3. Verify the application
  4. Receive funds via bank transfer

Low-Cost Loans Bad Credit

With a bad credit, you end up repaying for the financial mistake you’ve done for a long time. Banks and most lenders consider the credit report as a primary factor to get approved; thus, if you have a bad credit remark, your application is usually declined. Meanwhile, if you’re lucky enough to find a lender who can accommodate your request, chances are your repaying high-interest rates and low amount. Despite getting approved, the lender will still see you as a high risk and the only way that they can protect their business is to apply expensive charges. The high-interest rate is what usually puts the borrower to the vicious cycle of debt. Luckily, there are low-cost loans available for anyone with an unpleasant credit remark. If you’re clueless about this loan option, here are some frequently asked questions to help you get enlightened.


Where can I use lowcost loans for bad credit?

You can use it on almost anything without the need to tell the lender. Some of these may include buying a new vehicle, home improvement, debt consolidation, paying educational fee, special events, etc.

Will the application affect my credit report?

If you’re just asking for a personalized loan quote, your credit report will not be affected at all. However, once you’re approved and you’ve accepted the loan, your credit file will be updated to let other loan providers know that you have a loan with another lending firm. Take note: using multiple loans may affect your credit score negatively and as a result, you may find it hard to create a new credit line in the future.

What will happen if I missed a payment?

Late payments may prompt the lender to get in touch with you; this is the time when you and your lender will talk about your current situation. Are you having a hard time repaying the loan? How much penalty fee has been added? Repaying the loan on time is important so as to avoid repaying additional charges. This also saves your credit report. Besides, you can always talk to your lender if you think that your finances are not enough to cover the loan amount. Who knows, they might offer a flexible way to settle it.

The next actions depend on the loan agreement. For instance, you will only be charged if it’s more than 5 days after the due date and the loan wasn’t settled yet. If the debt is still not settled, the lender will submit your account to a debt collection partner.

Remember: Late payments are considered as a financial mistake and this contributes to a lower credit score. In the future, creating a new line of credit is nearly impossible.

Can I cancel the loan?

Basically, this depends on the lender and their terms and conditions. Some lenders won’t allow you to cancel the loan agreement after you signed it. Meanwhile, there are lenders who may allow you to discard the loan before a specific number of days. For example, the loan contract states that the loan may be canceled on or before 14 days; if you want to terminate the agreement, you may contact the lender immediately and ask for a cancelation request. Once the lender approved your request, you need to settle the additional charges first before you completely get out of the loan.

Lowcost Loans: Choosing The Right Direct Lender

By simply typing a few keywords to the search bar, a thousand results will appear within seconds. Indeed, looking for a lender online is easy. However, not every lender displayed in your monitor is legitimate or the right one. Every lender has their own rates, terms and conditions, and way of dealing with clients. You may want someone who can deliver well.

Below are some tips on how you can choose the right direct lender:

  • Consider Your Needs

One unwritten rule of borrowing money is to take only what you need. Going over the intended loan amount may result in a huge financial mistake. The interest rates alone are very high and borrowing a big amount (unless it’s really necessary) will only cause another problem than a solution.

  • Repayment Method

When repaying the loan, you have two options: issuing postdated check or through a bank account. Before you apply for a loan, find out which among the two suits you. Can you lend the lender a postdated check without any conflict? Or would you like them to just deduct the loan amount on the agreed period? Whatever it is, find a lender who offers the payment method you want.

  • Extension

There will be times when you will find difficulties in repaying the loan. Thus, make sure that the lender you choose offers an extension. A “roll over” gives you enough time to get the money ready. However, avoid extending the loan as much as possible as it only results in additional charges.

Low Cost Loans: No Guarantor Involved

A guarantor increases the chance of a bad credit borrower when borrowing money. This is because the lender is confident about the loan being settled. If you choose to default, your guarantor will repay the loan on your behalf to avoid charges and a negative credit score. However, you can always look for other options if you think guarantor loans won’t work for you.

If you own a house, a car, or any property, you may apply for secured loans. As the name suggests, an asset will be used to secure the loan. Even with a bad credit, you can request a bigger amount and a lower interest rate. Just be sure to settle the loan on time to avoid additional charges. Moreover, avoid defaulting the loan or else, your property will be legally repossessed by the lender. Since you are not able to abide by their terms and conditions, the collateral will be sold and the money will be used to repay the entire loan amount, including the interest rates and other fees.

Lowcost Loans UK: Low-Cost Loans Offer Instant Relief

Aside from being affordable, low cost loans offer instant financial relief. The entire application process is accomplished in a speedy manner so that you can have the money in as fast as one day. Usually, a completely filled out application form is enough, together with the bank account and proof of income. No other documents are involved, thus minimizing the verification process. Most lenders do not even conduct any credit check and if they do, they will only use the credit report as the basis of the interest rate to be charged and the loan amount that you can borrow.

Getting a low cost loan is ideal when you want a fast and affordable financial assistance. But, be sure to keep this in mind: lowcost loans are not for everyone. Even if you badly need the loan, you need to guarantee yourself and the lender that you can settle the loan on time. Failing to assess your capability to settle the loan may only result in a bigger financial problem.

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5 most recent personal loan reviews

Review of Totally Money

Hello, I would like to say how quick, simple and relatively easy to apply for the loan can be. The person who phoned me was very polite and any questions that I needed to ask were answered quickly and easily, they were very knowledgeable and I would recommend them to anyone. I don't think they could be better personally. And the money transfer is really fast and it was all sorted out that day.

Review posted by Stephen Hancock, Leeds

  • Customer Service
  • Flexibility
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Review of Chirpy Loans

My partner needed a loan asap and after he was turned down by his bank for a loan and several other banks, we felt we should give Chirpy loans a try. 15 mins after filling out the application, someone called up and approved the loan within minutes. The girl was super friendly and made sure we would be able to pay the loan back. Its great that they believe in you.

Review posted by Nicola Bird, Oxford

  • Customer Service
  • Flexibility
  • Ease Of Use
  • Value For Money

Review of My Jar

At a time I needed financial help, My Jar loans took me through everything I needed to know and bent over backwards to get the money requested to me in the shortest time, really good service. Strongly recommend them to anyone.

Review posted by Peter Middleton, Barnstaple

  • Customer Service
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All reviews have been sourced from TrustPilot.com for authentic quotes.