With a little bit of patience and a little bit of time spent doing research on various loan options, most individuals can still find bad credit loans that will suit their borrowing needs.

Below, you'll find several suggestions on ways to start your loan search in order to find the lending options that work best for your particular needs.

Bank loans While some banks prefer not to issue bad credit loans, there are a lot of banks that do. Often these are banks that you've had dealings with in the past, or that you currently hold accounts with… repeat business tends to give them a bit more of a feeling that you're going to repay what you owe.

Additionally, try to make sure that you have sufficient collateral to secure the loan; using a high-value item that is easy to find a market for (such as an automobile or real estate) makes it easier for the bank to realize that they'll be able to get their money back one way or another if you're unable to repay the loan.

Finance company loans

If you don't want to use a traditional bank for your bad credit loans, you might want to think about using a finance company or other

These finance companies exist for the sole purpose of issuing loans (as opposed to traditional banks, which offer a variety of other financial services), and often deal with people who have had credit problems in the past but have sufficient collateral with which to secure the loans.

Finance companies and other similar lenders tend to charge higher interest rates, but generally offer a higher acceptance rate in comparison to traditional banks.

Online loans

A popular alternative to traditional banks and finance companies is the use of online lenders for bad credit loans. These lenders offer loan services from the convenience of your own home, 24 hours a day.

Additionally, many online lenders are able to finance loans for individuals with a variety of credit ratings provided they have sufficient equity in their home to secure the loan.

Often, the loans that online lenders provide have competitive interest rates and terms… a lower overhead due to the lack of a physical structure helps these lenders to keep costs low and allows them to pass the savings on to their customers.

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About the Author

John Mussi is the founder of Direct Online Loans who help homeowners find the best available loans via the www.directonlineloans.co.uk website.