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Debt consolidation loans for bad credit

Take multiple debts and consolidate them under one affordable monthly payment. A great way to quickly repay your creditors, you can apply for consolidation even if you have a ‘bad’ or ‘poor’ credit history.



You could have the money in as little as two hours



Our online application takes minutes to complete



Focus on one monthly payment



You won’t pay any upfront fees



Got bad credit? No problem. You will always be considered



We have a team of experienced advisors

What is a debt consolidation loan?

Through debt consolidation, you borrow an amount of money equal to – or exceeding – the total value of how much you owe. These funds are then used to repay your creditors while leaving you with one monthly payment instead of several.

This method is typically suited to those who have multiple sums regularly going out, leaving them with reduced disposable income. Debts which have high interest rates are also frequently covered which can make this solution an effective means of restoring financial control.

Although this method doesn’t make debts vanish or ‘write them off’, the main appeal is management – restoring control and helping make your life easier.

Example debts
Total owed
Monthly payments

Personal loans
£20,000
£867

Credit cards
£7,412
£245

Payday loans
£252
£23

Store cards
£289
£26

Total
£27,953
£1,161

£28,000
£932 – that’s more than £200 extra in your bank account per month!

Can I apply for a debt consolidation loan with poor credit?

Debt consolidation is certainly open to you if you have poor or bad credit. All scores are considered and you’ve got nothing to lose by getting in touch. All you have to do is use our quick application form, tell us a little bit about yourself, and you could have the funds you need in just a couple of hours.

What is a bad credit score?

Although life would be easier if this was a straightforward question, it unfortunately isn’t. As there is no universal rating system in the UK, it’s a little difficult to actually answer what a bad credit rating really is. For example, credit agencies Experian and Equifax both use different criteria to assess a person’s history.

In the case of the former, the firm details credit scores out of 999. Anything between 0 and 720 is generally regarded as being ‘poor’ or ‘very poor’. Equifax, on the other hand, classifies scores out of 700 and will detail ratings under 379 as being poor or lower.

Therefore, to assess whether you have a bad credit score, you should contact one of these organisations and see what figure they give you. If you fall into one of the above categories, however, then this number may prevent you from obtaining certain financial products or favourable interest rates.

Good news though, regardless of how poor your credit score might be, you just need to apply and we’ll help find the best loan for your needs.

No guarantor needed

Although some loan providers will insist you have a guarantor if you have bad credit, this is not essential with us. If you don’t want a guarantor, then we will still strive to find you debt consolidation without one of these individuals.

However, if you want the added security of a guarantor with your consolidation loan, we will do our best to oblige. You can find more information on our guarantor policy available here.

Can I apply for a debt consolidation loan with no credit check?

Understandably, if you have a history of poor credit, you might get a bit nervous about making an application. It’s worth noting that once you apply for debt consolidation, your credit score will eventually be checked. Still – even if you have a very bad credit score – all ratings are considered.

Although you cannot secure a loan without a credit check, having a poor history – in itself – may not cause your application to fail. In fact, you have nothing to lose by applying for a debt consolidation loan.

Debt consolidation loans with bad credit – what can I expect?

When you apply for debt consolidation, one of our advisors will identify whether this solution is right for you. Assuming you have a sustainable source of income to make loan repayments and you’re a UK resident, you should qualify. Then comes the choice between a secured or unsecured loan.

Secured or unsecured?

When choosing between a secured and unsecured loan, you should be aware of what these both are. If you have bad credit, secured may be the only option available to you. This means you may be offered lower interest rates but the loan may be ‘secured’ against an asset – such as property. If you fail to make the repayments, this asset could be put at risk.

With unsecured, assets aren’t placed at risk but interest rates could be higher. Your advisor will confirm which option may be best suitable for you and, ultimately, they will strive to find you the best deal possible.

How can debt consolidation help me?

If you’ve got multiple creditors each asking for money, you’re aware of just how stressful this can be. Managing these and ensuring each gets paid on time, is not only time-consuming – it can sometimes be impossible.

This is where debt consolidation comes in. Instead of juggling bills to all your creditors, you can pay them all off and hopefully never have to worry about these firms again. Then, all you need to do is focus on making one affordable payment each month. As well as this, you can:

  • Ensure the loan is tailored to your circumstances.

  • Agree on a fixed repayment rate so you know exactly what to pay.

  • Eventually improve your credit score.

Sounds good? We can help you secure a loan of up to £75,000 and the money could be in your account in just two hours.

What debts can be consolidated?

With a consolidation loan, generally speaking, all unsecured debts can be consolidated. This includes:

For more information, take a look at what debts can be consolidated?

Can a debt consolidation loan help my credit score?

Taking out debt consolidation can ultimately be a good way to improve your credit history. However, your rating will usually initially worsen as you’re taking out a new line of credit. Eventually though, your credit score should improve as you make regular payments on time. Furthermore, as your credit utilization ratio decreases and the number of creditors shrinks, you should also start to see improvements in your credit rating.

If you want to find out more information, we’ve written a useful guide on the matter – How does debt consolidation affect credit scores.

I’ve got bad credit, how much can I borrow?

Bad credit can sometimes feel like a curse – holding you back from securing much-needed funds. Fortunately, your history won’t stop you from applying through Consolidation Express. Although the amount you may be entitled to will differ depending on your circumstances, we could help you secure loans from £5,000 up to £75,000.

Debt consolidation – Available UK wide

If you have a poor credit history, it can feel like the financial world is closed to you. However, with a debt consolidation loan, you can start to repay your creditors while making positive steps towards ultimately improving your score.

To find out if this would be the best option for you, get in touch today. We promise to be completely straight with you about your credit rating – and we’ll strive to find you the best outcome possible.

 

Debt consolidation FAQs

How much does a debt consolidation loan cost?
We’re a broker so the price of a loan is dependent on your provider. However, because we want to ensure you’re getting a fair deal – and that consolidation is the best option for you – we’ll be clear about the costs involved.

What is APR?
APR stands for annual percentage rate. It is the official term used to help you understand the interest rate and the ultimate cost of borrowing. All lenders must disclose their APR before providing a financial product. In our case, The lenders on our panel offer loans between 12 and 120 months, with rates from 4.4% APR to 49.9% APR.

When will I have to make my repayments?
The details of your repayments can be found in the policy documents issued by your consolidation loan provider. If you can’t find these, contact the organisation.

When will I get the loan?
You could get the money you need within 24 hours. However, the exact timescales depend on your consolidation loan provider.

How do I use a debt consolidation loan?
Once you have the money you need, you use the funds to close accounts with your creditors one by one. We’ve covered this in more detail in our guide ‘How to consolidate debt’.

 

Stop calls from creditors

Stop relying on others for money

Invoices easier to manage

Regain financial control

Have disposable income in your account

Keep track of your payments

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