subject: Unsecured Credit - To Finance Your Needs [print this page] Unsecured credit is a finance where in the borrower does not have to place any collateral against the advanced amount. It is a new credit scheme introduced for the betterment of the borrower.
Lenders grant finance depending upon the borrowers repayment ability and his financial credibility. Generally a borrower is sanctioned an amount ranging from 1000 to 25,000 for period of 1- 10 years. A monthly payment plan is initiated for the borrower and it is usually fixed. Tenants and non- homeowners can also obtain instant fund approvals without pledging collateral. You have to prove your repayment sufficiency before the lender .The credit amount can be used to meet various emergencies like pay off pending bills, grocery bills, funding education and shopping expenses.
Eligibility for unsecured credit is as follows;
Applicant must be a citizen of UK;
Applicant must attain the age of 18 years or above;
Applicant must possess a valid bank account in the bank of UK;
Applicant must have a steady job and must earn a sound source of income.
Applicant must have a debit card.
Applicants monthly earning must be over 1000 per month.
If the applicant has some bad credit in the past, the lender is at a risk. Thus the interest rates charged in this type of credit is high. The interest rates usually depend on your credit score, personal income, and the advance you require.
You are charged penalty fees by the lender if you do not repay the loan amount by the due date.
The borrower has to fill just one simple online application form to reach the numerous lending agencies. You have to provide correct information to apply and after applying, you will get the loan within 24 hours directly into your bank account. The details which a borrower has to provide are the name, age, gender, contact information, address proof, account number, etc.
