There are numerous ways quick cash can be helpful. One often encounters situations that require one to act quickly or else one may miss the opportunity.

In a situation like this one often banks upon savings but often returns dejected as savings are minimal to survive the rental and other living costs. You must have been in a situation where you have an urgent task and cannot wait until payday to get it done. You can either bank on savings or your friends for help.

But what if both options lead to no or minimal help. You need cash flexibility like 12 months loans. It is one way to bridge your immediate needs without waiting for the person to pick up your call or bothering your loved ones for help.  It is more economical than credit cards and overdraft expenses.

The blog states nearly everything about 12-month loans. If you are eager to know read further

What Are 12-Month Loans? 

A 12-month loan is a short-term external cash facility ideal for emergencies. It is an unsecured loan facility that helps bad credit and low-income individuals meet requirements without any possible obstacles.

These loans are generally 4-6 months loans but lenders provide the facility to extend repayment for up to 12 months.

It grants borrowers the feasibility to meet other liabilities easily and make timely payments. Though the primary qualifying criteria for these loans are income a lender still analyse the borrower financial habits and credit profile to lend out the right amount.

Thus, you can get 12-month loans from a direct lender in the marketplace if you meet the minimal criteria.

7 Facts About 12-Month Loans That Can Help You Borrow Right

Before applying for these loans you must know the functionality and the costs involved. It will help you resolve things better and borrow right. Here are some facts about 12 months loans that would help you know the apt understand the best time to use it for:

1. Emergency purpose loans 

These loans are exclusively for emergency purposes. Individuals face everyday cash issues before the salary credits. But there are some situations where one cannot wait until the next day to get the task done. The purposes like- 

• Emergency boiler repair
• Credit card bill payment
• Rent payment
• Childcare costs
• Medical costs 

The loans have limited pay for only emergency purposes. 

2. Have competitive interest rates 

If you approach 12 monthly loans you may find interest rates competitive compared to other loan facilities.

The reason is – these loans have competitive interest rates because the lender shares the risk if the borrower default.

While availing of these loans you must calculate the repayment you can pay easily. It would help you close the loan quickly.

3. Swift application process 

One of the best reasons for the popularity of these loans is – quick loan application. You can conduct the entire process online without dealing with the lender face-to-face. Most individuals share busy schedules and thus cannot visit lenders for small cash needs.

Instead, you can lend at the website portal and fill in a quick loan application by providing your personal information like- name contact details email and the amount needed.

4. Manageable loan installments 

Most individuals applying for these loans are ones with poor credit histories. In this case finding an apt lender to get an instant loan is difficult. If you are in a situation like this a 12-month loan can help. You can get one despite credit issues and a bad credit profile.

The lenders here only conduct a soft credit check before approving the loan. If he finds that the borrower cannot afford the loan he may decline or reject the loan application.

The soft credit check does not harm the credit score. It depends on you how you maintain your credit score by maintaining regular payments on the loan.

5. No credit and soft credit check loans 

Most individuals applying for these loans are ones with poor credit histories. In this case finding an apt lender to get an instant loan is difficult. If you are in a situation like this a 12-month loan can help. You can get one despite credit issues and a bad credit profile.

The lenders here only conduct a soft credit check before approving the loan. If he finds that the borrower cannot afford the loan he may decline or reject the loan application.

The soft credit check does not harm the credit score. It depends on how you maintain your credit score with regular payments on the loan.

6. Requires no guarantor or collateral 

A 12-month loan relieves one of the stresses of finding and talking out with a person to be a guarantor. Getting one is not easy, especially when you live far away from your relatives. Thus loans take out the hassle of involving a third person in finances and relieve you of any collateral stress.

You can avail of any loan amount up to £5000 depending on your situation and circumstances as an individual authority over the loan and repayments. You are solely responsible for clearing the debt within the timeline.

Check bad credit loans if you need a higher loan amount with unmanageable credit history.

7. Eligibility criteria for a 12-month loan

If you are wondering whether you are eligible for the loan then it is a good idea to analyse the eligibility criteria:

• You must be older than 18 years of age
• You must be a UK citizen
• You must provide 3 years’ worth of evidence of your address
• You should have a regular income 
• You should hold a valid email and phone number
• Should possess a valid debit card
• Should have no insolvent or bankrupt status

If you meet the criteria, you can get instant cash without further delay.

You can contact direct lenders for bad credit installment loans and get them within the same day. With no paperwork and collateral details the process becomes smoother and swift.

These are known as installment loans because you can split the payments into months/weeks and pay the same amount on fixed interest rates until the loan period. Do not worry about bad credit as lenders help bad credit profiles get minimal cash without any issues.

Bottom line

You must have some clarity over 12 months of loans. It would help you meet time-critical needs quickly without waiting for someone to help you. Bad credit history or no credit history does not matter. If you have a sound income profile you can qualify.