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If you lack confidence in your credit score, you might have some reservations about applying for a loan and may wonder whether it’s possible to get a ‘no credit check loan.’

Our guide shares some key information about applying for a loan with a less-than-perfect credit score and why you should be wary of companies claiming to offer ‘no credit check loans’.

What is a credit check?

When you apply for a loan, responsible lenders are required to carry out a credit check – this is also known as a creditworthiness assessment.

This gives lenders the chance to take a look at your financial history to see how well you’ve managed your credit commitments in the past. This information will give lenders an idea of how likely you are to be able to repay the money you’re applying for. This is called your ‘creditworthiness.’

If you’ve previously struggled with your finances and your credit score has suffered as a result, you might be worried that a credit check could prevent you from being approved for credit when you need it the most. The most important thing to remember is that credit checks are in place to help protect you.

What’s the difference between a hard and soft search?

A soft search provides lenders with an overview of your financial information without leaving a mark on your credit file. Soft searches do not have an impact on your credit score and will only be visible on your credit file to you and the company who carried out the search.

A hard search provides lenders with a better understanding of your financial history. Undergoing multiple hard searches within a short space of time could have a negative effect on your credit score. In addition to this, hard searches will be visible on your credit file for up to 12 months.

What’s Open Banking?

Open Banking is a safe and secure process where you share your recent banking information with your possible lender to demonstrate whether a loan would be affordable for you. You can read more about Open Banking here.

How can I apply for a ‘no credit check’ loan?

The Financial Conduct Authority (FCA) requires responsible lenders to carry out a creditworthiness assessment on applicants before entering into a credit agreement.

You should be wary of any company or individual who state that they offer ‘no credit check’ loans. There’s a high chance that they’re operating outside of FCA guidelines, which could put you and your finances at serious risk.

Before applying to borrow credit, you should check that the company appears on the FCA register.

How can I check to see whether a company is authorised and regulated by the FCA?

You can check whether a company or individual is authorised and regulated by searching for them on the FCA register.

Could I get a loan with bad credit?

We understand that you might be apprehensive when thinking about applying for a loan with bad credit. The good news is that a low credit score doesn’t necessarily mean that you may not be eligible for a loan, although you should think very carefully before applying. Bad credit loans often come with higher interest rates, and your borrowing options are likely to be limited compared to somebody with a good credit score.

A number of the lenders on the Cashflex panel specialise in loans for people with poor credit history and could be willing to consider your application.

Please be aware that responsible lenders willing to consider applications from those with poor credit scores will still be required to carry out a hard credit check or assess your creditworthiness through Open Banking.

Check your eligibility before you apply

Still concerned that your credit score might hold you back?

Our FastCheck tool could offer you some peace of mind by revealing your chances of being approved for a loan before you make a full application.

FastCheck is free to use and will not have any impact on your credit score.

Try our FastCheck tool with no impact to your credit score

Our tool allows you to calculate your chance of being accepted for a loan.

Who can search for a loan with Cashflex?

Whether your credit score is poor or excellent, you can use Cashflex to search for a short-term, personal loan if you:

  • Are over the age of 18;
  • Are a UK resident;
  • Have a UK bank account with a valid debit card; and
  • Have a regular source of income paid directly into your bank account.

How much money can I apply to borrow, and for how long?

With Cashflex, you can search for a personal loan from £100 to £10,000. Depending on how much you apply to borrow, you could repay your loan across repayment terms between 3 and 60 months.

Searching for a loan with Cashflex

The Cashflex process has been designed to be as straightforward as possible. Our online application can be completed in under five minutes at a time and place that suits you.

  1. Tell us how much money you’d like to borrow and for how long. You should never apply to borrow more money than you need or can afford to repay.
  2. In just 60 seconds, we’ll run a soft search and scan our panel of lenders for a suitable loan.
  3. If we’re able to match you with a lender, you will be redirected to their website, where you can find out more about the loan and decide whether you’d like to make a full application.
  4. Should you choose to go ahead with the loan, the lender will be required to carry out some further checks; this will involve either a hard search or Open Banking.
  5. If the lender is happy with the outcome of their checks, they’ll let you know when you can expect your loan to be sent. Some of the lenders on the Cashflex panel are able to send your money on the same day as your application is approved.*

*The time it takes for the money to become available in your account will depend on your bank’s policies and procedures.

Six ways to improve your credit score

Having poor credit can feel disheartening, but there are things you can do to work towards a healthier credit position, starting from today.

Improving your credit score could increase your chances of being approved to borrow credit if you need to in the future and may unlock more desirable borrowing options.

  • Register to vote. You may not think that being on the electoral roll could have an impact on your credit score; however, registering will make it easier for potential lenders to verify you at your current address. This, in turn, could positively influence your score.
  • Pay your bills on time. Just like loan repayments, when it comes to your monthly bills, making late repayments or missing them altogether can seriously harm your credit score. If you struggle to keep on top of your repayments, you may wish to set up a Direct Debit, where the money will be taken automatically.
  • Check your credit report for errors. Outdated and incorrect information could cause your credit score to drop. Make a habit of regularly checking your report to keep on top of the information and report any errors to your credit reference agency (CRA).
  • Think carefully about joint accounts. Sharing an account with somebody who has a low credit rating could have a negative impact on your own score.
  • Do you have a credit card? If so, be sure to stay well within your credit limit. When aiming to improve your credit score, you should also try to keep your credit card utilisation as low as possible. Your credit card utilisation is the amount of money you’re using against the total available balance and is shown as a percentage.
  • Avoid using your credit card to withdraw money from a cash machine. This is called a cash advance and could be viewed as poor money management.

I can’t afford to repay my loan. What can I do?

While this situation can feel really frightening, please try not to panic.

Contacting your lender may feel like the very last thing you want to do, but it’s the first step towards taking back control. Remember, your lender is not there to judge your personal situation; they will handle your query with sensitivity and will be keen to discuss any options that may be available to help ease the pressure.

If you’re worried about money…

Money worries can happen to anyone, at any time, and there’s absolutely nothing to be ashamed of.

You can access free, confidential money and debt management advice through a range of charities and organisations, such as StepChange, MoneyHelper, Citizens Advice, and National Debtline.


Try our FastCheck tool with no impact to your credit score

Our tool allows you to calculate your chance of being accepted for a loan.

You are age 18 and a UK resident

You have a regular income from employment

You have a valid UK bank account with an active debt card

Why choose us

Sometimes, the unexpected happens that means you need money fast. Here at Cashflex we offer a user friendly process to help you find same day loans in a responsible and affordable way.

How much can I borrow?

The exact amount you can borrow depends on your personal circumstances and can differ by lender. You can apply for a loan between £100 and £10,000

What are the repayment terms?

This is dependent on the amount that you wish to borrow. The repayment terms can be: 3 months, 6 months and 12 months to name a few, ranging right up to 36 months.

Can I apply for a loan with bad credit?

Yes. If you are unsure you can use our FastCheck tool to find out your loan eligibility.

Can I repay in instalments?

Yes.

What will I need to get a short term loan?
Can I get a short term loan?

Over 18

You'll need proof that you are over 18.

Bank Account

Hold a valid UK bank account.

Income

Have evidence of a regular income and UK residency.

Worried about money?


If you're worried about the cost of living, need support with budgeting, or think you might need debt advice, StepChange could help. They offer free and impartial support and help hundreds of thousands of people every year to deal with their debts and take control of their finances.

To find out how StepChange could help you, take the free Money Health Check. It's quick and easy to complete, and will give you a personalised recommendation on what to do next.

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Representative example: Amount of credit: £1000 for 12 months at £117.59 per month. Total amount repayable of £1,411.12 Interest: £411.12. Interest rate: 68.9% pa (fixed). 68.9% APR Representative.

We’re a fully regulated and authorised credit broker and not a lender.