Bad Credit Loans
Borrow up to £10,000, no matter your credit score
Why choose Amigo Loans for a bad credit loan?
Up to 25 times cheaper than payday loans
Bad credit scores accepted
One affordable monthly payment
What are bad credit loans?
Bad credit loans, simply enough, are loans for people with bad credit. And we like to think they're something we're very good at.
We know that life doesn't hand out everything on a plate. If you have a poor credit score, or little to no credit history in your name, then your credit rating may be holding you back. Whatever the reason, it can mean high street lenders will be unwilling to lend to you or you may not be able to borrow money via typical credit providers.
Can I get a loan with a bad credit history?
Yes, we don't see why not. And we don't think it should cost you a fortune either.
What are the best loans for bad credit?
In terms of interest rates and repayment options, a guarantor loan provides a service that may not otherwise be available if you have bad credit. The concept is simple: you have a guarantor that trusts you to make the repayments, and who will make them on your behalf if you don't. These loans are useful if you have bad credit because they're based on relationships and trust, rather than a credit score. This gives us a guarantee that the loan will be repaid, and it reduces the risk for you. This also means we don't charge anywhere near as much interest as other bad credit loan options available.
UK homeowner or have good credit
Happy to pay if you don't
Will a guarantor loan help improve my credit score?
As long as you keep up the repayments as well as your other bills, this will go a long way to improving your credit score. A guarantor loan not only provides a finance option when you're unable to borrow elsewhere, but can also help to rebuild your credit score, improving your ability to borrow in the future.
Award winning for a reason
We're not the only ones that think we're doing things a bit special:
Moneynet Award 2020
Best Mid Cost Loan Provider
Consumer Credit Award 2019
Best Guarantor Loan Provider
MONEYNET AWARD 2019
Best Credit Builder Product
Best Companies 2019
2 star 'outstanding' accreditation
Business Excellence Awards 2019
Excellence in Financial Technology
Credit Excellence Awards 2018
Alternative Lender of the year - Finalist
What is a bad credit score?
A credit score is essentially a number that lenders can choose to judge you on, while a bad credit score is one that suggests you might be a risk (as in, you might not pay them back!). Most loan providers will be unlikely to accept an application for finance from somebody with a bad credit score. But we know you're so much more than just a number, which is why we won't say no just because your credit score is lower than someone else's.
A credit score comparison of credit rating agencies
To complicate things further, each credit reference agency uses its own scale to determine whether someone's credit rating is good or bad. For example, a credit score of 600 would be considered ‘poor' with Experian, but ‘Excellent' with Equifax.
What causes a bad credit score?
1 Missed payments
3 Thin credit
How do I check if I have a good or bad credit score?
Are guarantor loans better than payday loans for bad credit?
We'd definitely say so. Though they're generally taken out for different purposes, payday loans are marketed as a quick and easy way to borrow money, tiding people over until payday. This is a very short-term option and usually requires full repayment within a week or two, often at a very high rate of interest. This means they can be very expensive, difficult to pay off and could have a negative impact on your credit profile.
We're proud to set ourselves apart. An Amigo loan can be spread over up to 5 years with an APR up to 25 times smaller than that of a typical payday loan. This means we can provide the benefits of a payday loan as well as so much more. Which begs the question - if we're so much cheaper, why do people use payday loans at all?
Well, we're relatively new to the scene. In the past, the only bad credit loan option available was a payday loan. This means that people have often never heard of a guarantor loan as an option for borrowing with bad credit, or else wrongly associate us with payday loans when the reality is vastly different.