3 Ways To Ensure Safe Loans

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(Newswire.net — May 10, 2021) — If you are in the market for a loan, you may feel overwhelmed by the number of options available. Not only can you find borrowing solutions from your bank or credit union, you should also find a huge range of online lenders that can cater to a variety of borrowers. However, knowing how to find providers that are reputable and trustworthy can be daunting, but luckily, the loan specialists from Quid market are here to help. In this post, we will offer you three ways to ensure that the loans you are considering are safe.

1. Avoid Pushy Lenders

Trustworthy lenders should be understanding and patient, taking the time to listen to you and understand your needs. If you find that a lender is being pushy or putting pressure on you to apply, they should be avoided at all costs. If they also do not take the time to listen or explain the details of their loans, you should reconsider and find something more suitable. Typically, lenders who are aggressive and pushy in their tactics tend to be more interested in scamming those in vulnerable positions, rather than offer solutions to those in need. Instead, you should look for lenders who are FCA approved, display reviews on their website and are willing to answer any questions that you may have.

2. Avoid 100% Guaranteed Loans

For those with poor credit, guaranteed loans may be very attractive, but no reputable lender should be offering these. With guaranteed loans, it is implied that everyone who applies will be approved with no questions asked. While this may seem ideal, this type of loan could end up leaving you in a much worse financial position. FCA-approved lenders should always conduct checks, either on your credit score or your affordability, to ensure that you have the means of making repayments. If they offer 100% approval, the chances are that the lender does not have your best interests at heart, and is simply looking for a way to make money. If you have poor credit, try seeking providers who offer bad credit loans with affordability checks, or take the steps to improve your score before applying.

3. Check For Basic Information

Even if the lender you are looking at is just an online provider, you should be able to find their basic information. Make sure you look for their contact information, such as phone number, email address, and physical address. These should be readily available on the website. You should also check to make sure that the lender is registered – again, this information should be somewhere on the site, but you can also look at Companies House to be certain.

By following these three points, you should be able to find trusted lenders that only offer safe loans. You will be able to avoid providers that do not have your best interests at heart and decrease your chances of being left in a worse financial position. If you need any more help, please seek impartial support from the Money Advice Service.