Emergencies can occur in anyone’s life most unexpectedly. Be it in a form of a medical emergency, car breakdown, or any other unforeseen expense. Having emergency funds might help you manage your expenses, but what if your funds are not enough, or let’s say you have no emergency fund at all?
You might plan to get a personal loan from a bank but that won’t be a good choice since the bank takes time to approve a loan also their eligibility criteria are pretty stringent.
To help you in such a situation some emergency loan lenders offer urgent loans. Such loans are quick, and you may still qualify without a fair credit.
Can I Apply Online for Urgent Loans for Bad Credit?
Yes, you can apply for urgent loans for bad credit online with personal loan lenders like Montana Capital Bad Credit Loans. We strive to provide our customers with a straightforward experience so they can get a loan with utmost ease.
You can apply for emergency loans with us by following three easy steps mentioned below:
- Fill Online Application
When you visit our official website you may apply for an emergency loan by filling out a simple online application form. You need to provide us with a handful of information to help us form a lending decision. - Get Pre-Approved
Once we receive your loan request, we provide you with a list of lenders that fits best based on your application. You can choose a lender you like, post which you may receive a loan agreement that you have to digitally sign, only if you accept the loan terms mentioned on the loan contract. - Receive Funds
Now you just have to wait for the loan funds that probably be transferred into your bank account within a short duration.
What Documents are Required for Qualifying to Emergency Loans?
Emergency loans with bad credit loans require some basic documents for loan approval. Unlike, traditional loans that require a pile of documents emergency loans can be availed much quicker and with a few documents.
Basic requirements to qualify for an urgent loan with bad credit are:
Income Proof
Income proof plays a crucial role in getting approved for a bad credit personal loan. Lenders ask for income since it’s a way to determine your ability to repay the loan & also to determine the value of the loan amount. Though having a regular 9-5 job is not a prerequisite and there are various other ways to be used as proof of income, which include:
- Paystubs
- Bank Statements
- Income Tax Returns
- Disability Insurance
- W2 Form
- 1099 Form
- Pension Statement
Address Proof
Providing proof of residency helps lenders to be assured that you are a legal resident of the state. You can choose any of the following documents to be used as proof of residency:
- Driving License
- Property Tax Receipt
- Utility Bill
- Lease Agreement
- Voter Registration Card
- Insurance Card
Identification Proof
A valid Id is needed that could confirm your DOB, name, and face. You can use any of the following documents to prove your identity:
- Driving License
- Passport
- Birth Certificate
- State Issued ID Card
Bank Account
To make the lending process streamline and receive the loan funds quickly you must have a checking account.
Types of Emergency Bad Credit Loans
You would be happy to know that there are both secured and unsecured personal loans option available as urgent loans for bad credit. The difference between both is you would need collateral for approval of a secured loan, while unsecured loans are solely approved based on your monthly income and your present debt-to-income ratio.
There are four types of emergency loans for bad credit available:
Payday Loans
If you have a steady monthly income and seeking short-term loans (for 2 to 4 weeks), you may choose to go with a payday loan. Many lenders don’t have a minimum credit score requirement and the lending decision would be based on your income. Additionally, some payday lenders may ask for an advance check or ACH authorization to secure the loan.
Installment Loans
If you have a bad credit score but can show your ability to pay the loan, an installment loan might be the best choice for you. These loans let you borrow money as a lump sum that can be repaid in fixed monthly payments. Installment loans are unsecured personal loan means you can be approved for a loan without providing any collateral.
Car Title Loans
One way to meet your urgent financial requirement is by using your car title as collateral for the loan. These loans are secured personal loans that require you to have a clear car title on your name. In exchange for the loans lenders usually put a lien on your vehicle that you are entitled to get back once you repay the loans completely.
Pawn Loans
If you have some valuable items that hold monetary value and can be used as collateral for the loan, you may also choose to go with pawn loans. Lenders decide the value of your item and provided a loan based on that value. However, once you repay the loan, you may get possession of your item back.
Advantages of Emergency Loans for Bad Credit
When you are in dire need of money but couldn’t arrange it due to poor credit history or any reason, an emergency loan with bad credit can be your ultimate solution. It lets you borrow money without fulfilling hefty requirements. Some major benefits of bad credit emergency loans are:
- Consolidate Debts
If you are struggling to qualify for regular debt consolidation loans, you may choose to use funds from emergency loans to consolidate debt. Consolidating debts can additionally help you in managing your debts and also save your money on the interest rate by allowing you to pay a single monthly payment. - Fast Application Process
Usually, we want to receive the funds quickly whenever we have some urgent requirements. With Montana Capital Bad Credit Loans, you can be assured of a fast and straightforward loan application process. - Build Credit History
If you show commitment to making the loan payments on time you are paving way for better credit history. Since, payment history holds the largest weightage in your credit score, making timely payments can boost your credit score. - Both Secured & Unsecured Loans
The good thing about urgent loans for bad credit is that you can choose from either a secured or unsecured loan, based on your present situation. Since secured personal loans have better chances of approval, they should be your priority provided you have something to be used as collateral. - Bad Credit is not a Problem
Since these loans are designed to meet emergency requirements of people with bad credit, loan approval doesn’t solely rely on your credit history. Along with credit score, there are various other factors like income, debt ratio, etc. that lender uses to determine your loan eligibility.
How to Choose Best Emergency Loans for Bad Credit?
Before you decide to apply for a loan make sure to measure the lender based on a few factors that include:
- Annual Percentage Rate
APR or annual percentage rate should be your priority to choose any lender. Since APR consist of interest rate, origination fee, application fee, etc. it determines the overall cost of the loan and also the fixed monthly payment you have to make. - Funding Time
Since you would need the loan on an emergency basis you must consider the time lenders take to approve and disburse the loan amount. While some lenders may approve your loan within the same day others might take a few days or a week for loan approval. - Repayment Terms
The duration of the loan will determine the amount of loan that you have to pay each month. If you choose a long duration you have to pay a lower monthly amount however, you will eventually end up paying more interest rate. - Penalties and Fees
A personal loan comes with various costs and charges that include in your overall loan cost. Therefore, you must not ignore and always be aware of charges like prepayment penalties, late fee charges, and any other charges for the loan. - Lender’s Reputation
Since there are various predatory lenders in the market, considering the lender’s reputation becomes a vital factor before applying for a loan. When you work with a reputable lender you can be assured to get a loan with better loan terms and without any hassle.
Where can I use Loan proceeds from Emergency Personal loans?
Since emergency loans are designed to meet your urgent requirements, they can be used for any purpose. Once you get the loan amount you gain all the rights to use loan funds totally at your wish.
Our past customers have been using their funds from urgent loans for various reasons including:
- Medical bills
- Rent & Mortgage Payments
- Utilities Bill
- Funeral or Wedding Expenses
- Home Renovation
- Vehicle Repair
So, for whatever reasons you have, you can apply for emergency loans for bad credit and use the loan amount in any way you wish.
Where Can I get Urgent Loans for Bad Credit?
Multiple lenders can help you in getting urgent loans for bad credit. Below we have shared three loan options to choose from:
Bank
If you are in luck, you may get an emergency loan with bad credit from the traditional banks as well. However, banks may have some high requirements when it comes to credit scores and monthly income. Also, it might take a few days to weeks for your loan application to be approved.
Credit Union
A Credit union loan can be another option you can consider getting emergency loans. However, the requirements are pretty different here, first of all, you need to be a member of any credit union also the loan amount won’t be that high.
Online lenders
The last and best way for getting emergent loans is online lenders. The great thing about applying with online lenders is you can get a lending decision in quick time and that too without a hard credit check on your account. Moreover, the requirements for approval are also on the lower end and approval time is quite faster than other options.
Alternative to Emergency Loans with Bad Credit
Getting an emergency loan won’t be the optimal choice for everyone, as it depends on your present situation. In case you find yourself not fit for the bad credit emergency loans; you can choose from any of the alternatives mentioned below:
Home Equity Loan
In case you own a house, you can even use it to get a loan. Home equity loans come with lower interest rates; however, the equity of your house would be used as collateral to secure the loan. Not making a timely payment may result in the foreclosure of the property.
Medical Repayment Program
This alternative is especially for people struggling in paying their medical bills on time. By discussing with hospital authorities, you might be able to set up a gradual repayment plan, where you can pay the amount in small portions over a specific period.
Credit Card with Zero Interest
Some lenders offer credit cards at absolutely zero interest for a certain amount of time. If you repay the amount before the time, you won’t be charged any interest for the credit. This alternative might be hard to avail of & if you do not make payment before the period ends, you have to pay all the interest incurred.
How can I Improve my Credit Score?
Improving your credit score can make you eligible for a better loan with better terms in the future. However, improving your credit score is not something you can achieve in a day or week, it requires persistent efforts and financial discipline for some time.
Below we are providing some effective ways that you can follow to improve your credit score.
- Always make your payments on time
- Keep your credit use under 30%
- Avoid applying for too many credit products
- Have a mix of credit products
- Avoid closing your old accounts
We recommend that you download a copy of your credit report & look for any possible errors. You must raise disputes with credit bureaus in case you find any errors. Sometimes these errors on credit reports are the reason why your credit score keeps falling.
Frequently Asked Questions on Emergency Loans for Bad Credit
- How fast can I get an Emergency Loan?
There is no doubt that emergency loans are much faster than any traditional loan. Some online reputable lenders may approve your loan within a business day others may take a couple of days or a week for approval. - Will Emergency Loan Impact my Credit?
Applying for emergency loans might reduce your credit score by a few points. Though some lenders run a soft credit check and that doesn’t impact your credit score in any way. To keep building your credit score you need to make all loan payments promptly. - Can I Get Emergency Loans with no Job?
Yes, as long as you have other sources of income that generates steady cash flow each month, you can get an emergency loan with bad credit. Having a steady monthly income is essential since it shows your ability to repay the loan.
Apply for Emergency Loans with Bad Credit Today!
Looking for emergency loans with a poor credit score? At Montana Capital Bad Credit Loans, we offer personal loans to people with bad credit scores and help them meet their emergency needs. Our loan offers are flexible and can be applied online using a few simple steps.
So, apply today and say bye to your financial woes!
Don’t wait another minute!
Take the first step today for your quick loan!