Usually, people with a bad credit score have a notion that they are not eligible for any kind of loans because of their poor credit rating. Whenever they are in urgent need for cash to cope with the financial urgency, they generally search for a good financial planner and loans. So personal loans with poor credit are especially designed to help and perk up the credit rating of a poor debtor. A borrower with poor credit can easily avail this loan without facing any problems at all.

This loan is available in two forms- secured and unsecured. A person with bad credit score can be benefited with this loan with or without placing any security against the loan. If a borrower avails secured loan then it is required for him/her to pledge his home, car or any other valuable documents or jewellery against the loan amount. One can avail a secured loan ranging from 5,000 to 100,000. The loan amount can be repaid within 10 to 25 years. But the lenders who lend unsecured loans do not require the borrower to deposit any asset against the loan. Those borrowers who are not in a position to deposit any security can avail the loan amount from 1,000 to 25,000 and the loan amount can be repaid back in 1 to 10 years payback term.

The benefit of these loans lies in the fact that no credit check is required; so the lenders usually charge comparatively higher rate of interest to compensate the risk involved in it. The borrowed money can be utilized to fulfill the personal needs or to improve their credit rating. For obtaining the finance one needs to apply online and get the approval. The eligibility criterion requires the borrower to be not less than 18 years of age with a permanent employment with valid employment proof, an income of more than 1,000 per month with a current checking account that is at least 3 months old.