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You’ve run out cash and need a loan to make it to your next payday. Do you ask friends, apply for a new credit card or take a payday loan? If speed and avoiding a credit check are at the top of your priorities list, a payday loan could be your best move. In this post, we’re giving you our top facts about cash loans for bad credit ratings. Take a look at these vital points to make sure you pick the right course of action for your situation. We’ll begin with:

Cash loans are usually based on your income

Payday loan companies like Cigno Loans might not assess your credit score, but your income certainly plays a large role in the process. If your rating is low but you have a steady monthly income, you’ll certainly quality for a payday cash loan for bad credit. At Cigno, we try to have an open mind towards the needs of individual applicants rather than see everyone as a just a collection of digits.

We need to see that you can easily afford the loan you’re looking for. It would be terrible on our part if we gave out cash loans to people that are were not earning enough to pay for them. One of the fastest ways to land yourself in a deepening puddle of debt is to continue borrowing amounts that you cant afford. We do our best to avoid this by ensuring we remain very careful with who we accept. As long as we can see in your most recent bank statements that you have a regular income, we’ll be able to make you a loan offer.

Loans for bad credit pay much faster

We can all benefit from cutting down our spending and putting more effort into planning our days more carefully. Living a simpler life is not as tough as you’d think if you’re prepared to make a few sacrifices. The more we spend, the more risk we take in overstretching our incomes. When money is tight, speed becomes a pressing concern. This is why payday loans are designed to pay out very quickly.

Cash loans work for bad credit borrowers so well because they ditch the credit check. This is one of the main reasons they can be so fast. Credit checks take a lot of time to process properly. Our team doesn’t have to do them, so we can move on and get your application through the stages in double quick time. In most cases, we can ensure your loan is paid to your bank account within 24 hours of your application being approved.

As you can imagine, this kind of lightning speed is perfect for situations where you need the cash right away. If your car’s broken down or a pipe has burst in your house, you can’t exactly wait weeks to have it fixed. These are the exact circumstances where an immediate injection of the exact level of funding you need can be a real lifesaver.

Repaying what you owe is crucial in restoring your rating

However, you choose to borrow, you should always aim to make repayments exactly as outlined in your agreement. Planning your day-to-day is a huge step towards taking control of your finances. Whether you chose to use a credit card or payday loan, making repayments on time is the best way to prove that you’re responsible with credit. This is the path to reducing your debt, increasing your credit score, and being able to access the best interest rates for large loans in future.

If you decide to take a payday loan, you have to make sure that you don’t miss repayments or fail to pay at all. This can have a very negative impact on your credit score. If your ambition is to raise your rating back up to stellar levels as soon as possible, the last thing you want to do is fail to successfully repay your loan on time.

Responsible borrowing

Although Cigno is providing a lending service, we encourage to only borrow when you really need them. If you are in a financial bind, please get in contact with us. The other thing to remember is that you should only apply for a bad credit loan when you are 100% confident you will be approved. Always give the terms and conditions a thorough look, as you should be aware of the commitment you are making and the associated repayments. Even though responsible borrowing is a short-term solution, you should work towards minimising your debt and your need to seek financial assistance. Create a budget and set obtainable financial goals.

Disclaimer: Please be aware that Cigno Loans’ articles do not replace advice from an accountant or financial advisor. All information provided is intended to be used as a guide only, as it does not take into account your personal financial situation or needs. If you require assistance, it is recommended that you consult a licensed financial or tax advisor.

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