Loan companies do give you a good indication of what you need in order to apply for a loan with them. They’ll be up front about the requirements and what types of credit they deal with for the most part. There are even companies that will tell you what minimum credit score you need. Then there are loans for people with bad credit, and he companies are usually straightforward of course, but the requirements are quite different.
Most people think that loans for people with bad credit means that the companies simply aren’t going to check your credit at all. First of all, every loan company handles things differently. There are some companies that will check your credit, but they will look for different guidelines, easier ones than what companies use when looking to provide traditional loans for people with good credit. The credit check may even be a soft inquiry rather than a hard inquiry.
Don’t get me wrong though because there are many companies that completely leave the credit check out. They provide loans based on employment history and other factors that show you are qualified to take on a loan. One thing you’ll find is that the loans that actually check your credit are going to be the ones that usually give you the best rate. Sometimes you’ll find that you won’t get approved with every single one of these loans.
In other words, just because they provide loans to people with bad credit doesn’t mean they are going to give you a loan. The ones that check your credit are going to be the ones that are the most strict out of the group. However, as you can see there are pros and cons to each type of bad credit loan, so you’ll just have to see which one has the terms that sound good to you.