As we mentioned earlier, sometimes lenders pull a soft or hard credit inquiry before approving your application

As we mentioned earlier, sometimes lenders pull a soft or hard credit inquiry before approving your application

However, sometimes your partner won’t be able to sign the contract as a cosigner unless you are applying together for the money. Another point to keep in mind is that not all lenders permit you to bring a cosigner in your contract.

  • Pre-qualify for a Loan and Complete Your Application

Soft credit pull does not impact your score by any means, but hard credit pull can potentially decrease it. However, if you decide to pre-qualify for the loan, you can stop this from happening.

Several lenders enable you to check out rates and approval without a hard credit pull, which can work in your favor. Thereupon, you can do that by using the broker’s pre-qualification tools to see offers and measure your chances of qualifying at competitive rates.

The pre-qualification tool may ask you general questions regarding your income, the amount of money you desire, what you need it for, repayment loan terms, and plans.

Subsequently, after the pre-qualification stage, you e to submit a formal application. This application will also require your basic contact details and identity information.


An overdraft, AKA line of credit, is a short-term financial instrument offered by a bank to enable its customers to pay off their bills and other expenditures when the account balance reaches zero. In this arrangement, account holders are authorized to withdraw cash higher than their account balance for a temporary period.

In a nutshell, it is one of the simplest substitutes to poor credit/ no credit check loans where you do not need to make a contract with a new lender as it is your current account’s extension. Your existing relationship with the bank highly influences the overdraft facility.

Typically, there are two categories of overdraft. A secured overdraft is more like a traditional loan. Clients take this loan against their current or saving account. On the other hand, an unsecured overdraft is a loan that is not against anyone’s saving or current account.

Short-term Loan Plans

As the name suggests, borrowers are obligated to pay off the borrowed money within a few weeks up to a year. In these types of loans, borrowers receive cash from lenders faster than medium and long-term loans. There are multiple types of small-term loans, such as overdrafts, payday loans, bridge loans, refund anticipation loans, and more.

Generally, we refer to these loans as bad/poor credit loans. However, these loans are much smaller than personal cash loans, and you ounts in these packages. So, if you need hefty amounts, short-terms loans are not the best way out.

If you need a few hundred dollars, you can take that from a friend or colleague instead of signing up for a small-term package. However, if there are no options available and you are all right with repaying it quickly, go for it.

Credit-builder Loan

A credit-builder loan is an installment loan. In this arrangement, users have to pay fixed monthly payments. Paying your installments and bills on time is also a way to boost your credit score. Hence, a credit-builder plan contributes to a strong credit score.

One drawback is that you can not seek hefty amounts in these plans. However, it is a helpful tool for people who want to improve their credit reports and score.

According to FICO, a healthy credit score, typically higher than 670, can help you access better resources, loans, and convenient interest rates.

Credit Union

Getting a loan from a credit union is a practical option when you need to fund an upcoming expense, consolidate debt, or do something else.

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