Where to Get $2,000 Unsecured Installment Loans with Bad Credit

If you do not have a good credit rating, it can be difficult to borrow money honestly. In fact, many lenders may even decline you. So you are probably asking where can I get a fast approved loan without a lot of tedious paperwork? Due to a lot of people defaulting on their debt obligations, lenders are losing money and have to tighten their eligibility criteria, especially towards high risk borrowers with poor credit history. Hence, many banks are no longer giving unsecured loans unless you have a high credit score.


Luckily, more online lenders are providing personal loans for various types of credit scores. The catch is that these cash advance are more expensive and you are only allowed to borrow a small amount unless you have a high monthly income. With the credit scoring system, your borrowing cost is directly based on your score - people with low 500+ credit score may need to pay higher loan rates per month. So, if you like to have 2000 unsecured loans via OnlineSignatureLoans.net, you need to maintain a high score.

Person-to-Person Lenders for Installment Loans

There is a new type of financing service from peer-to-peer lenders, such as Prosper.com, Zopa.com and Lending Club. These two websites are not the actual lenders, they act as the intermediary platform or middle man for borrowers and investors. the latter are ordinary folks who wanted to get higher returns on their money by giving out private unsecured loans. When you borrow an online peer-to-peer loan, one or more investors may pool together their money to make the loan. This helps to offset the set of default, and hence the loan rates are good even if you have bad credit.

Like other types of private loans, you can use the money for any purpose but make sure you use it in a productive manner. However, you cannot get a Prosper or Lending Club loan that easily. For example, you may need at least 660 credit scores to qualify for a Lending Club loan and 640 for Prosper.com loans (please refer to their specific websites for the updated requirements). The maximum you can borrow from Lending Club is $35,000 and $25,000 from Prosper.com. For larger loans, more than 1 lender is required to invest and if there are insufficient investors, you may not be able to secure the person-to-person loan at all.

Home Equity Installment Loans From Banks

Banks are always willing to give home equity loans for bad credit because the risk of default among borrowers are very low, according to past statistics. Even so, the banks do not really lose out when borrowers are not able to pay back, sine they can foreclose their property and homes used as collateral. If you need to borrow $20,000 for a few years, home equity loans offer very good rates at 5% to 7% APR. Since these are large loans, you should compare a few bank quotes before finalizing your decision to a particular lender/loan.
The amount of home equity you have depending on the difference in the current value of your home and the outstanding balance on the mortgage. For example, if your home is worth $300,000 and you have a $100,000 mortgage balance, the level of equity is $200,000 of equity in your home or a 33% Loan-to-Value (LTV). This is sufficient to qualify for a home equity loan easily.

Homeowner loans are secured using your home equity, the more the better. With homeowners with bad credit scores, banks will require you to have higher equity or LTV in to get approved. This is to offset the increased risk of making loans to blacklisted borrowers, so they will restrict the maximum home equity loan you can take.

While home equity loan rates are very tempting, the consequences of not paying on time can be very grave. It can lead to home repossession by the bank. You need to consider whether it is worth the risk of losing your home on a $2000 loan.

Connect with an unsecured installment loan lender today!