How to Borrow Money in an Emergency

If you need to borrow money quickly, it can sometimes be hard to know where to look. Some people are able to use an overdraft or credit card but these are not options available to everybody. You may have already used these or you may not have them. This may be due to a poor credit record or because you have never needed them before. If you are in this situation, where you need money quickly and cannot use a credit card or overdraft then a short term loan could be the answer for you.


With a short term loan you get an instant decision, which means that as soon as you have completed the application you will know whether or not you can have the money. This is really useful as many other ways of borrowing can take a lot longer. If you apply to your bank, for a credit card or overdraft, for example you could wait weeks or longer to find out whether you application has been approved. Then if it has not, you will have to apply elsewhere. To find out right away means that it should not take long before you can get the money that you need and this will enable you to start arranging the loan really quickly.

A short-term loan does have its risks though, so you need to be careful. If you do not repay it on time, there will be fees, like any loan, but these can be more expensive. Therefore make sure that you will be able to manage the repayment when it is due and that you only borrow the amount that you need, rather than more. It can be tempting to get a bit extra just in case you need some more money before you are next paid, but this will mean that you will pay more interest and it could be harder for you to afford to repay it. (more…)

Guarantor Loans, Some Major Advantages Over Other Loans Types

When it comes to loans, there are a whole hosts of different types, all with different points of merit and criteria that can be fitting of many different types of people.

Here we are going to look at some of the key differences between guarantor loans, and payday & logbook loans.

With payday & logbook loans, the interest rates are usually much higher than with guarantor loans, there can be many reasons for this, ranging from, the perceived risk of lending to the demographic of a given loan, i.e are payday borrowers as likely to pay back as someone who wants a guarantor loan?

There are also other reasons for the differences in interest rates, a guarantor loan is guarantee in repayments by a third party, and this third party must have a source of income, a reasonable credit rating, and in some cases be a tenant.

In general, guarantor loans can be administered as quickly in 1 day, meaning that if a potential customer made an application, and qualified for the loan, and the guarantor was accepted, they could have the cash in their bank within 24 hours.

Guarantor Loans

This affords lenders additional security in relation to borrowing to people wanting guarantor finance.

When it comes to logbook loans, a vehicle is put forward as collateral, with vehicles being depreciating assets, they will usually only offer up to 70% LTV, meaning that if you want a loan of £7,000, then your vehicle must be worth at least £10,000 AND it must be free of any outstanding finance.

There are no such issues with guarantor loans, because the loan has someone who is prepared to make the repayments in the event that the customer finds themselves in a position where they cannot make them. So lenders are working with less risk and this can be reflected in the interest rates, passing a lot of that saving on to the customer.

Also, Guarantor loans are not as subject to a credit check as people who take out payday loans, because, again, the loan is guaranteed by someone who can afford the loan, so there are no issues around the (sometimes astronomical) interest rates charged by payday loans companies. (more…)

The time has come to reclaim your money from a mis-sold PPI

Certainly, the recent discovery of PPI mis-selling scandal has led to the realisation, too that banks and other known lenders have been robbing people of their hard earned money for far too long. PPI claims have been made all over the country and news had it that there are still potentially millions of people entitled a PPI refund as a result of the High Court ruling over the scandalous ways of ripping off a staggering amount of money through selling the policy. Billions of pounds have been required to be allotted only to compensate those who were victimised by this horrid fiasco.

But how does PPI really came to affect anyone’s finances to a point that selling it became fraudulent? Well, you most probably have learnt that Payment Protection Insurance is meant to help you keep up with your repayments so your debt will not skyrocket if you suddenly become sick, meet an accident, or are made redundant at work. The policy will cover a percentage of the dues until such time you’re back on your feet or after 12 months, whichever is higher. This idea has been very well inviting to those who are worried about such situations.

reclaim your money

However, in the recent years, banks and other insurance brokers found numerous ways to push people into buying the policy without educating them to it. A vast number of these policies were merely shoved down consumers’ throats even those who were ineligible. Imagine the disbelief and shock that these people went through when they came about the fact that they were not eligible for cover because they were underage, overage, had pre-existing medical condition, or were not employed on a full time basis. There are those, too, that were not informed that PPI was optional and was advised otherwise. They were made to believe that it will determine the approval of their application for any credit agreement.

In much worse situations, thousands of people have yet to find out they have PPI alongside their credit. And when they do… well, you could very well imagine how furious they can get. Yes, there were a lot of instances when banks simply signed their customers up to PPI without their knowledge and agreement to it.

Now if any of this happened to you, you should not let it pass and do not pass up the opportunity to claim your money back at the soonest possible time. All you need at the moment is a great deal of recall of what happened at the time PPI was sold to you, together with presenting as much relevant paperwork with reference to the policy to get the ball rolling.

In reality, there are people making PPI claims on their own but you have the option of hiring the services of PPI claims advisers, too. The process will be the same when the case is reviewed. Opting for the latter will only give you the advantage of the thought that someone is doing all the works for you. Nonetheless, the same amount of effort will be done by the bank when they did the review.

Putting the PPI claim in writing will also be very ideal as the bank will have to refer to as much information and proof as they can. They’ll look into the case for you for 6 or 8 weeks and then reach a decision based on how valid your presented evidence is. It should run generally within that time frame unless there are complications or proof was not sufficient to reach a conclusion.

Banks are legally bound to inform you of what happens to your claim as soon as you have presented your case. They cannot find any excuse not to contact you after their review and if such incident happens, do not hesitate to demand for an answer or make a complaint to the Financial Ombudsman Service. The FOS will take over the review and put your banks actions in question, especially if they were trying to evade their responsibilities of making it right.

Roughly 85% of these claimants have been successful int the past several years and you should not waste any time by hesitating. As long as you are sure that PPI was mis-sold to you, there’s no reason to delay the only thing to make it right – make a PPI claim now and get the money paid to it back.

IVA Debt Advice

How many of you guys owe someone money? I would guess that many of you would say that you do owe someone money. Or maybe not by money but of a favor because of the things that other people did for you when you where in a gloomy difficult situation. Well whatever position you guys are in, it does not change the fact that you still owe them for what they did to you as a favor. So, now the tables have turned, and its time for you to pay up for that favor. What are you going to do?

If you borrowed a favorable amount of money to be paid on a reasonable span of time, but then unfortunately for you, you didn’t quite expect that you won’t be able to pay up. And now, the bank officers are already running after you to return their money. How will I pay them? What will I do? Will I go to jail? Definitely, these are the annoying bugging questions swarming in your heads right now.

But wait just a minute, we’ve been talking of how you can get out of a certain debt but how does one earn a debt anyways? There can be a lot of ways one can earn a debt especially now that we have credit cards, or sales people knocking in front of your doorsteps. So, it’s really not much of a mystery getting you into one. Although there can be many causes of debt, it’s when debt becomes a serious problem and you struggle to meet the repayments that you know you need to find a way out – and fast. But then of course, the main cause of personal debt is when your earnings can’t keep pace with your monthly debt repayments and you start to slide further and further into debt. Don’t despair, debt solutions exist precisely for this kind of situation.

Being in debt can be extremely stressful and affect your whole life. So getting out of debt once and for all should be your priority. There are those people who call themselves as debt advisers, and there’s plenty on them that can be found on the internet or on your local telephone directory. They give you different expert impartial advices and remedies that you can use to clear all your debts and start afresh. It is impossible to find one debt solution that would be perfect for all people as it is very individual. Assessing the amount of debt and how much the individual in question can afford to pay monthly will help debt advisers to craft a plan to make getting out of debt a little easier.

Managing your debts is the vital key so that you can remain control of your mounting debts. The key to managing debt is to make the right choice of debt solution. What you need is to make the repayments more manageable whilst clearing as much debt as possible. Because too many people ignore their growing debt problems until things are out of control and drastic action is needed, they tend to cram and borrow more money from somebody else leading to a new pile of debts.

They say prevention is better than cure. So it’s better if you guys lessen some of your wants and focus more on your needs. If an unwanted salesman comes knocking on your doorstep, don’t think twice! Don’t entertain them and don’t listen to their sales talk. Because in the end, you’ll be the one worrying you heads off in clearing all of those debts.

Debt Consolidation Loans

Debt consolidation loans are one answer to debt problem, but it may not be the right choice for everyone, depending on their situation and the level of their debt. Debt consolidation loans allow you to pay off all of your debt and consolidate several payments into one smaller payment. The advantage of this is that the payments are much easier to make on a monthly basis, and you will no longer have to deal with rude creditors that can cause you more stress than you need.

When done correctly, this is a great way to restructure your debt so that you can become debt free, but not always will it work. If you have serious debt issues, you may not qualify for a loan large enough to pay all of your bills. In cases to where the loan will only pay past due payments, it is only a matter of time before you will have creditors making more demands; in addition to this you will have the loan payment.

Debt Consolidation Loans Bad Credit

Debt consolidation loans bad credit does not mix well. If you are already having credit problems you may not be approved for a loan to consolidate your debt. If you are approved for a loan, you may not be approved for any unsecured debt consolidation loans. Although there are some finance companies or banks that may consider you for unsecured debt consolidation loans, the interest rate may be high so it is important to consider all of your options first.

Is Personal Loans Debt Consolidation Right For You?

Personal loans debt consolidation may be right for you if you simply need to lower your monthly payments and reduce the interest rate for your debt. If you can make your monthly payments after getting the loan without getting into further financial problems, debt consolidation loans may be a good option.

If you have already used debt consolidation loans to consolidate your debt several times, this is probably not the route you want to take. It is also not a good idea to get a loan to pay off your debt, if you intend to increase that debt by making more credit purchases in the near future.

Before deciding if you are a good candidate for debt consolidation loans you will need to ensure that you can make your loan payment without causing yourself any further financial hardship. With it getting more and more difficult to get approved for credit, the last thing you want to do is further damage to your credit history; for this reason you should always consider your options carefully before deciding on debt consolidation loans or possibly another method of repaying your debt.

Debt Help

Often people find themselves in financial peril and never realize that one of the easiest ways to get debt help is to refinance their homes. If you own your own home, chances are you are sitting on assets that can offer you debt help. This is one option to get out of debt, as long as you have not let your debt mount to the point that refinancing your home would not provide enough money to eliminate your excess debt.

When you refinance your home, what you are doing is getting money from a bank or finance company for your home, in return for a new mortgage. You can get a new mortgage from your existing lender, or a new one. When you get a new mortgage it will liquidate the equity in your house so that you have cash and debt help.

Getting Debt Help UK

Sometimes getting debt help isn’t easy, but if you do own your house you will likely have help readily available that can aid you in consolidating your bills into one single payment, which would be the payment you made on your second mortgage. Of course getting a second mortgage isn’t the right choice for everyone.

Debt Help Advice on Second Mortgage

Getting a second mortgage to help you eliminate your debt may be the perfect solution, but how do you know if this is something you should do?

The first thing you will want to do is evaluate your situation, and decide if getting a second mortgage to use for debt help will be good or bad in your situation. Consider what your new interest rate will be; if you are already paying a high interest rate, refinancing may be your best option, as you might be able to get the interest lowered, as well as free up some of your equity to pay down your bills.

If getting a second mortgage is a good option for you, the process is fairly simple. All you have to do is apply at a financial institution that offers mortgages and pay any relevant fees. In some cases they may want to evaluate your home to determine its worth.

Although refinancing your home in order to turn your equity into cash is an option for debt help, not everyone will qualify to do this. In this case you will still have several options, such as government debt help, as well as an IVA, or getting debt management help.

Don’t let your financial problems cause excessive stress in your life when there is debt help for almost everyone.

Stop Juggling Debt with a Guarantor Loan

For anyone with mounting personal debt, trying to stay on top of the associated repayments can prove to be tricky at best. An inability to pay bills on time can lead to debts mounting quickly whilst placing you under a huge amount of pressure.

This situation is unfortunately becoming all too common and therefore the importance of identifying a method of bringing your debt under control has never been higher.

An option does exist which can allow borrowers to bypass personal credit rating problems, whilst still offering an effective solution for consolidating debt and improving the credit rating at the same time.

Identifying Effective Consolidation Solutions

The ability to reduce debt is often easier than it sounds. With disposable income at a premium, what should hopefully be a simple premise can prove to be far more difficult in reality.

There are options available to help bring debt under control though with one of the most effective ways of combating mounting debt being to bring everything together into one lump sum. By using this strategy, commonly referred to as debt consolidation, you will be afforded the opportunity to work towards paying off one single debt with one APR (Annual Percentage Rate), rather than several separate debts, all with their own APRs.

How Do Guarantor Loans Work?

Guarantor loans have been designed specifically for anyone who has a short credit history or a very poor credit rating.  Because they are personal loans, they are therefore absolutely ideal for use in conjunction with debt consolidation.

Under normal circumstances, potential lenders would view an applicant with a poor credit rating or a large amount of debt as too much of a risk.  However with a guarantor loan, these risks are counterbalanced by the presence of a guarantor who will co-sign the loan agreement and undertake a binding commitment to pick up the loan repayments should the borrower fail to do so. This significantly reduces the risk that the lender is exposed to and therefore significantly increases the likelihood of the application being granted.

The loan guarantor can be anyone whom the applicant chooses to ask. Family members and friends are popular choices and as long as they comply with certain criteria such as a good credit rating of their own, being a home-owner, in receipt of a regular income and not already being financial dependent on the applicant, eligibility for the role is very likely.

Because ultimately the responsibility to repay the loan falls onto the shoulders of the guarantor, it is crucial that they have a full understanding of the commitment which they have undertaken. As long as the borrower makes the repayments on time though this will be irrelevant and the guarantor will never have to do anything once they have signed the agreement.

Remove Future Worries

As well as offering the ideal way to consolidate debt, guarantor loans also offer an excellent way to improve the credit rating of the borrower. Assuming that repayments are made in full and on time, a vital demonstration of the ability to keep on top of repayments, whilst reducing the overall debt, will play a central role in improving a credit rating.

If you have a poor credit rating, it is very difficult to acquire the necessary credit to  demonstrate this ability but if you secure a guarantor loan you will be able to improve your credit rating by making the required repayments. This in turn will make it easier in the long term to acquire credit on your own.

Debt Management Plans

Debt management plans can help you to bring your financial problems under control and help you avoid bankruptcy, or having to borrow even more money in order to pay the debt that you already have. Of course debt management plans may not be the right choice for everyone; your own individual circumstances will determine if this is the best route for you to eliminate your debt.

How to Understand and Compare Debt Management Plans

There are two types of debt management plans, one is created by the court system and the other is put together by a debt advice agency such as the Citizen’s Advice Bureau. Debt management plans done by the court will take into account the amount of money you owe and what your payments should be based on your ability to pay. With a debt advice agency you will not have to deal with your creditors directly, but it will end up costing you more due to the fee they charge for their services, which is usually about 15 percent of your payment. Another option is to create your own debt management plans, and pay your payments yourself, though for this to work you do have to be sure to make your payments on time. When you compare debt management plans, you must decide which is the best option for you and your circumstances.

Free Debt Management Plans

For those who cannot afford the fees that accompany debt management plans, there are some situations where you may be able to find free debt management plans. If you want to get out of debt but don’t want to deal with a consolidation loan or an IVA, this may be your best alternative. When you choose one of the free debt management plans, all of your monthly payment will go toward paying debt, plus there are no fees, deposits, or setup fees. If you are already having problems paying off your debt, it doesn’t make a lot of sense to pay even more money for a debt management plan when you can find free debt management plans.

The agencies that offer free debt management plans will setup a payment plan that will be affordable and allow you to finally get out of debt. The agency will also negotiate with your creditors so that you do not have to; creditors tend to be far more cooperative with a debt management agency than with the debtors.

To avoid having to deal with IVA or bankruptcy you might want to compare debt management plans to find the best option for your situation. Getting out of debt does require some effort, and most often debt management plans provide the easiest and fastest way to eliminate debt.

Debt Services

When people find that they are being overwhelmed with debt, it is common for them to turn to a company or organization that offers debt services. Debt counseling services can help you overcome your financial problems faster, and with fewer problems.

How Debt Management Services Can Help

Debt management services can help you arrange an agreement between yourself and your creditors to pay off your debt. A debt services company can take your financial information, such as financial statements that outline your debt and income; bring this information to your creditors so that they can see that you are unable to afford your current payments. The debt services company will try and get your creditors to agree to a lower payment.

Once your payments have been renegotiated with your creditors, the payment should be far less than it was originally, though the exact amount of each payment will depend on many factors. When all the arrangements have been made you will pay the debt counseling company the agreed amount on a weekly or monthly basis and they will distribute the money to your creditors.

The Benefits of Debt Reduction Services

You will find that using debt advisory services will have many benefits. Your total monthly payment will likely be lower and far more affordable than it was before, plus you will only have one monthly or weekly payment to have to worry about instead of several.

When dealing with your creditors through a debt services company you do not have to talk with them directly and negotiate payment, the debt management company will do this for you. This will reduce your stress; as everyone knows how difficult a creditor can be when you are behind on your payment.

Some additional advantages of working with debt management services are that you’ll have more flexibility, plus you will eliminate all of those high late charges. Another advantage is that you can get accepted into a debt management program, no matter how much money you have tied up in assets; you won’t have to worry about using the equity in your home or selling your car.

To qualify for debt management services all you have to do is have the ability to make a monthly payment of at least £100 and that’s all. The actual amount of your payment may vary, but £100 is the minimum. You must also ensure that you make your payments on time each month or week, whichever your agreement requires.

To avoid getting into trouble financially, it is best to change your spending habits, but if you are already have some financial issues that you have to solve, you may want to consider getting help from a debt services company; it’s affordable and it’s easy.