If you are in need of a personal loan but with bad credit, you can turn to lenders who provide loans for those who are credit challenged. But before you do, below is a list of do’s and don’ts that you must remember. For more information visit http://www.newhorizon.org/credit-info/do%E2%80%99s-and-don%E2%80%99ts-on-acquiring-a-bad-credit-personal-loan Looking for a personal loan for bad credit? http://www.newhorizon.org/Info/personaloans.htm

1. DO’s &
DON’Ts
On Acquiring
a Bad Credit
Personal
Loan
by: www.newhorizon.org

2. If you are in need of a personal loan but with
bad credit, you can turn to lenders who provide
loans for those who are credit challenged.
But before you do, here are the list of do’s and
don’ts that you must remember.

3. Do check your credit report.
You need to know your exact credit
standing prior to submitting your bad
credit loan application.

4. WHY?
1. It gives you the chance to correct errors in your report.
- It is common for consumers to have a lower credit score than they
should have because of inaccurate reporting.
1. Knowing your FICO score will help you negotiate for a
better deal.
- Yes, even if you are credit challenged, requesting for a lower rate is
still worth a try. Watch out for loan sharks who may try to tell you
that have an extremely low score and therefore is not qualified for a
good deal. If you know your credit standing, no one can tell you
differently.

5. DO shop around and compare.
● Never sign up for a bad credit personal loan offer, no
matter how great the offer may seem to be, without
taking some time to explore your options.
● Use the internet to gather rates from potential lenders.
You can also check the background and reputation of a
lending company by reading reviews online.

6. Do ask for professional help.
A counsellor who specializes in bad credit
cases can assist you, not only in finding
the right lending company, but also in
managing your finances and in creating
an efficient debt repayment plan.

7. What You Should
Avoid?

8. Don’t look at the rates alone.
● Aside from finding a reasonable rate, you’ll also want to
compare the fees associated with your personal loans for
people with bad credit.
● Some lenders may try to entice borrowers into signing
up by offering an incredibly low rate – one which is
bound to increase the moment your cash is released.
● If you look closely, you may be surprised that there are
lots of extra fees and hidden charges.

9. Don’t take out a loan unless it’s an
emergency.
● Ask yourself, do I really need to apply for a
loan or do I have other options?
● It would be better for you to focus on improving
your credit by paying off your debts and keeping up
with your current payments.
● Taking out a new loan can only add up to your
burden.

10. Don’t borrow more than what the situation
calls for.
● Even if you can get approved for a bigger loan amount,
it’s best to keep it minimal.
● Remember that the best deals are exclusively offered to
customers with good to excellent credit.
● Since you have an unimpressive credit rating, you will
not be able to qualify for the best possible deal.
● Therefore, borrow only the amount you need and be
cautious about your spending.

11. RESOURCES:
• If you are looking for nationwide personal loans check this resource
http://www.newhorizon.org/Info/personaloans.htm