Most finance companies and banks offer loans on the basis of the credit score of the applicant. The credit rating is a company-specific system of evaluating the financial credibility of an individual. There are various parameters that the lending companies take into consideration while deciding upon whether an individual who is requesting for a loan, will be able to repay it within the stipulated tenure or not. So, if you have a history of defaulting on your installments or recurring late repayment patterns, your credit score might end up being below average. For an individual with a poor credit score, it is extremely difficult to get a consumer-friendly loan from a lender. At Cashco Financial, we our best to approve your loan application even if you have a bad credit rating. We help you elevate your finances so they are not an issue of constant worry. However, you may still encounter situations that demand immediate financial assistance. So, what do you do in such circumstances?
Understand the difference between secured and unsecured loans
You must first understand the basic difference between a secured and an unsecured loan. The major distinguishing factor that makes in more difficult for an applicant to qualify for a secured loan is the requirement to back up your application with collateral. For example, if you apply for a home loan, you will be required to submit the registration documents of your residence as collateral with the bank. In case you are unable to keep up with your repayments, the bank has the right to seize your property as a compensation for the liability borne by it. On the other hand, an unsecured loan such as a personal loan or a flex loan can be taken without collateral. However, since the unsecured loans come with a higher level of risk for the lender, you will typically be charged a higher rate of interest.
Try Cashco Flex Loans
As the name suggests, a flex loan is a flexible unsecured alternative to your typical secured loans and provides you the flexibility of repaying the amount in a set of scheduled installments that are carefully aligned to fit your needs. Typically, a long term loan offers a lower rate of interest to the applicant. How great it would be if you could get a long-term loan even with a bad credit score! Well, Cashco has exactly what you are looking for. We offer you our incredible flex loans that give clients a long-term financial solution whether he or she has a good credit score or not. Cashco Financial Flex Loans can be taken for a variety of purposes such as an expensive household purchase, a medical emergency, financial setback and are even a great way to consolidate debts. We offer clients a super easy application and funding process.
The fact that flex loans have also been integrated with the Credit Bureau means that if you stick to your repayment schedule, you will actually have your credit score improve. Cashco Flex Loans are an effective approach to rebuilding a low credit rating and re-establishing your financial credibility across Canada. Unlike several other long-term loans that do not report to the credit bureau or contribute to your credit score, flex loans can help enhance your credit rating and make it easier for you to apply for major loans in the future. In addition to this, flex loans can be rightly touted as your personal line of credit which can be either repaid in its entirety any time or be topped with added credit. In other words, flex loans provide the benefit of flexibility to individuals who have a checkered financial history.