Open MenuClose Menu
Warning: Late repayments can cause you serious money problems. For help, go to moneyhelper.org.uk
Compare lenders like The One Stop Money Shop choosewisely.co.uk x
The One Stop Money Shop
  • About Us
  • Loan Types
    • Borrow Money
    • Direct Lenders Bad Credit
    • Instalment Loans
    • Payday Loans Alternatives
    • Quick Loans
    • Short Term Loans
    • Small Loans
    • Urgent Same Day Loans
  • Loan Purpose
    • Bad Credit Loans
    • Car Loans
    • Home Improvement Loans
  • FAQ
  • Guides
  • Documents
  • Contact
  • Apply Now
Apply Now

Call our team today 01924 377771

Bad Credit Loans Online

The One Stop Money Shop understands that if you have a bad credit score, you can still be financially responsible and a reliable borrower. We are able to take a view on bad and poor credit histories, looking at your recent track record and other factors such as your income and employment.

We offer loans for bad credit ranging from £400 to £2,500 that are repaid over 6 to 24 months. As a direct lender, we will process your application from start to finish and you can check your eligibility online for free.    

Check Eligibility
loans for bad credit

What Is A Bad Credit Score?

Your credit score is generally an indication to lenders of how well you manage your finances. A higher number indicates that you manage your finances well and are likely to be reliable when it comes to repayments, whilst a lower score could indicate to lenders that you are more of a risk when it comes to repayments.

However, it’s important to remember that each credit reference agency (The three main ones in the UK are Experian, Equifax and Transunion) may hold different information about you and use an entirely different scoring system, so you don’t just have one credit score. Plus, individual lenders may also complete their own scoring when you apply for credit too.

Your credit score changes over time as you borrow more money and pay this off on time and in line with your credit agreements. However, any failure to pay this may negatively affect your credit score and impact your chances of being accepted for a loan. 

This is where your credit score can become ‘bad’ over a period of time, but you can also have a bad credit score due to having little to no credit score whatsoever, which can seem a little unfair.

What Causes A Bad Credit Score?

Your credit score can be negatively impacted by a number of factors, ranging from your borrowing history through to not being on the electoral register. Here are a few aspects that can hinder your credit score.

  • Late Payments

    Failing to pay back loan instalments on time will negatively affect your credit score, as this indicates that you potentially aren’t a responsible borrower. To avoid this, make it a priority to pay your instalments back on time each and every month.

  • The Electoral Register

    Because lenders use the electoral roll in their verification process to identify you and where you live, so it’s important to ensure that your details are present there and that they’re up to date too. Otherwise your application is much more likely to be rejected, which can then cause further issues down the line in regards to your chances of being accepted for other credit applications.

  • Declaring Bankruptcy

    Declaring bankruptcy will significantly affect your credit rating, as will the usage of an Individual Voluntary Agreement (IVA), which is an agreement between yourself and your creditors to pay all or parts of your debts via regular payments. This is where you arrange to make payments to an insolvency practitioner who will then divide your money between creditors. Bankruptcy will appear on your credit file for at least six years too.

  • County Court Judgements (CCJ)

    If you’re always paying your instalments in full and on time, you’ll never need to worry about being the subject of a County Court Judgement (CCJ). A CCJ can be issued against you if a creditor believes that you are unable to repay your debts. They can apply to the courts and if they agree, you’ll receive information about this via the post. 

    At this point there are a few options for you to choose from such as repaying the full amount back immediately, asking for a new instalment schedule or disputing the claim itself. It’s important to note that the CCJ will remain on your credit file for six years, unless you pay the amount off in full within a month of it being issued or you successfully dispute the CCJ itself. 

  • No Credit History

    Your credit score will also be adversely affected if you’ve never actually taken out a credit card or had any kind of loan. So your credit score is classed as ‘bad’ because it doesn’t exist and as such, lenders have no credit history to analyse to determine whether you will pay off any money that you borrow on time or not.

How To Get A Loan With Bad Credit?

It’s possible to be accepted for a loan when you have a ‘bad’ credit score. For example, here at One Stop Money Shop we consider applications from everyone and are more interested in your current financial position than what may have come before. When it comes to applying for a loan, it’s always best to be as prepared as possible and there’s plenty of steps you can take to ensure that you have all the information you need for the application process.

  • Check Your Credit Score

    Before beginning the application process for any loan, it’s important to check what your credit score is currently. You can get free copies of your credit report from Experian, TransUnion and Equifax (The three main credit reference agencies in the UK). 

    It’s important to review the credit score and the details of the report itself to see if you can identify any patterns with missed payments and closed accounts in your credit history. You should then look to take the necessary steps to improve your credit habits in the future. 

    You should also review the report to determine if there are any instances of information that you believe to be there in error. Because you may have the right to dispute these credit report entries and have them removed from your credit history.

  • Budget For Repayments

    It’s important to consider if you can afford the monthly repayments before applying for and agreeing to take out any loan. After all, if you fail to repay any instalments, this will likely damage your credit score further. You can use our handy calculator to help you to determine what your monthly repayments will be depending on the overall loan amount and the interest charged.

    It’s also important to look out for lenders that charge origination fees. These fees are usually charged upfront by lenders to cover any miscellaneous costs. However we do not charge origination fees here at One Stop Money Shop and it’s completely free to apply for a loan. We will only charge you interest for taking out the loan and all the details surrounding this will be presented to you prior to taking out the loan, enabling you to make an informed decision.

Pros and Cons of Bad Credit Loans

There are various pros and cons when it comes to taking out a loan when you have bad credit. But if used correctly and responsibly, a bad credit loan can have a real positive effect on your financial health.

Pros

  • Improve Your Credit Score:

    Taking out a loan when you have a bad credit score can give you the opportunity to turn a corner and get your credit score back on track. By keeping up with regular payments on your loan, you can prove over time that you are a responsible and trustworthy borrower and in turn increase your credit score.

  • Access To Money Quickly:

    If you require money quickly due to an emergency repair, necessary large purchase or other unforeseen and unexpected cost, a short term loan can provide you with the money you require, fast. Even if you have bad credit, you may be accepted for a loan to help you with the outgoing costs.

Cons

  • Higher Interest Rates:

    Generally, loans for people with bad credit tend to have higher interest rates and as such, repayments are higher. This is due to the perceived higher risk associated with bad credit and the higher interest offsets the risk for the lender.

  • Potentially Damage Your Credit Score:

    As much as repaying your loan off on time each month can improve your credit score, the opposite can have an adverse effect on your score too. So it’s important to make sure you can afford your repayments before taking out any loan.

Why Apply For A Loan With One Stop Money Shop?

Here at One Stop Money Shop, we understand the various reasons why you may need to take out a loan and over the last 18 years we’ve helped thousands of customers to get the money they needed, fast.  Our application process can be completed in less than five minutes and successful applicants can receive their funds within 1 hour or on the same working day of the application if approved before 3pm. You can apply to borrow anywhere between £400 – £2,500 and this can be repaid over a period of 6 – 24 months in equal monthly payments.

 

We pride ourselves on providing quick, easy and reliable access to funds for customers who require it. Here are some more reasons to choose One Stop Money Shop for your money lending needs.

  • Fast Application Process

    We understand that it can be stressful when you require funds quickly, especially if it’s for an emergency repair or purchase. Our easy to use application process takes only five minutes to complete and if your loan is approved by 3pm on the same working day, you’ll receive your funds on the same day. We won’t leave you hanging around.

  • Reliable & Trusted Lender

    For nearly 20 years we’ve been providing funds for customers who require quick access to them. We’ve helped thousands of customers and built a reputation as a trusted and reliable independent lender. Our commitment to excellent customer service and satisfaction has always been at the heart of what we do.

  • Flexible Repayment Terms

    We provide flexible repayment terms allowing you to tailor your loan agreement to your needs. Our repayment terms range from 6 to 24 months, allowing you to schedule your repayments to suit your budget.

  • Applying Won’t Affect Your Credit Score

    Whenever you apply for a loan with us, rest assured that it won’t negatively affect your credit score. We conduct soft credit checks that don’t leave a footprint on your credit history, allowing you to explore your options freely without worrying about adverse effects on your credit score.

  • No Hidden Costs

    We believe that transparency is key and we’re committed to clarity and honesty with all our customers. Which is why our loans have no hidden fees or costs associated with them. Before you take out a loan with us, we will provide you with all the information in regards to the amount you will repay, which will only include the loan repayment plus interest.

  • Exceptional Customer Service

    Our friendly and knowledgeable team are always on hand to assist you with anything you require. From any questions you have surrounding your loans through to how to apply for one. Our dedicated team is only a phone call away and we strive to provide prompt helpful advice when you need it.

What Is The Criteria For Applying?

We have developed a straightforward eligibility and acceptance criteria to ensure all applicants and customers have a smooth borrowing experience. To apply for a loan, you must meet the following requirements:

  • Over 25 Years Of Age:

    We are committed to responsible lending, which is to always act in the customer’s best interests and as such you must be over 25 years of age, to apply for one of our loans.

  • UK Residency:

    To be eligible for our loans, you must be a full-time United Kingdom resident. We prioritise serving customers within the UK to ensure we provide a seamless borrowing process.

  • Employment Status:

    Whether you are employed full-time or part-time, we welcome your application. We understand that individuals have different work arrangements, and we consider both employment types for loan approval.

  • Ability To Make Monthly Repayments:

    As responsible lenders, we want to ensure our customers can comfortably manage their loan repayments. Therefore, we assess your ability to repay monthly based on your income and expenses, not just your credit score.

  • Valid UK Bank Account Holder:

    A valid UK bank account is necessary to facilitate smooth and secure transactions. It lets us deposit the approved loan amount directly into your account for quick access.

  • Valid UK Mobile Number & Email Address:

    We require a valid UK mobile number and email address to communicate with you throughout the loan process. This ensures you promptly receive updates, loan offers, and the necessary documentation.

How To Apply For A Bad Credit Loan

It’s easy to apply for a loan with The One Stop Money Shop, but if you need any help with the application process, please get in touch with us, our experienced customer service team will be more than happy to help.

1. Online Application

Head over to our safe and secure online application form and fill in your details. It’s super simple to use and quick and easy to fill out too. 

2. Assessment & Approval

After submitting your application, our team of experts will assess and review your application to determine if you are successful or not. 

3. Receiving Your Money

If your application was successful, we’ll send you a clear and fair loan offer with all the terms and conditions. Once signed, the money will be sent directly to you.

 

Fast application in less than 5 minutes

Apply Now

No Obligation. 100% secure

How To Improve Your Credit Score

If unsuccessful in your application, here’s our advice for improving your overall financial health and credit score to improve your chances of being eligible in the future.

  • Build Your Credit History

    If you’re in a position where you have little or no credit history, it’s important to take steps to build your credit score. There are various ways to do this, but one of the simplest solutions would be to take out a credit card and use it to make smaller purchases throughout the month (on items you were going to buy anyway) and then pay them off once your next payday comes around.

  • Register On The Electoral Roll

    By law, you must be registered on the electoral roll, even if you aren’t planning to vote. But it’s important that the details on the electoral roll match your current circumstances. Be sure to check these details, especially if you’ve recently moved houses.

  • Don’t Miss Payments

    It’s really important you don’t miss payments when it comes to your direct debits, rent/mortgage payments or any existing loan repayments. Your payment history is one of the most important factors when it comes to your credit score and by having a long history of on time payments, you can achieve an excellent credit score. 

  • Catch Up On Your Bills

    If you’re behind on any bills, it would be a good idea to try and prioritise catching up with them. Whilst a late payment can stay on your report for up to seven years, having the accounts all current can have a positive effect on your credit score. Plus of course it stops further late payments being added to your account as well as any late fees on top of that. If you’re struggling with the management of debt, it could be a good idea to talk to a credit counsellor who may help you to negotiate with lenders and also set up a debt management plan for you.Longer Time to Pay

    Instalment loans give you more time to pay back the money than short-term loans. You have several months or even years to repay the loan, which provides you with breathing space to manage your finances, especially if unexpected expenses arise.

  • Limit Applications For New Accounts

    Whilst you may need to open up new accounts to build up your credit score, you want to generally limit the number of times that you submit credit applications. This is because each application could lead to a hard inquiry which could have a negative effect on your credit score that just compounds even further, as more hard inquiries build up. Opening new accounts will also decrease the average age of your credit accounts, which could also hurt your score as a consequence.

Frequently Asked Questions

Is It Possible To Get A Loan With Very Bad Credit?

Yes, it is possible to get a loan with very bad credit, but we will require some essentials such as having a stable income and employment, so that you are in a position to repay your loan without falling into financial difficulty. 

We do not want to give a loan to someone who has lots of outstanding debts and create a situation where a new loan will put more pressure on them. 

You might find that speaking to a debt professional or charity is more effective, such as StepChange or Citizens Advice Bureau. Equally, you should consider taking steps to improve your credit score or using products such as credit builder cards to slowly build up your credit score.

Can I Get a Loan With a CCJ?

Yes, we will consider customers who have a CCJ and it will depend on how long it has been since you had the CCJ and whether this has been satisfied or not. Whilst CCJs can take 6 years to be removed from your credit file, we are interested in what your track record has been like since then and whether you have been paying off loans and other types of credit recently on time and if you have a stable income and employment to cover the interest repayments from your loan. For more information, visit CCJ loans.

What Is The Easiest Loan To Get When You Have Bad Credit?

There are certain products available specifically for people with bad credit, however these do come with risks and one should take a moment before going ahead.

Guarantor loans allow you to get a loan by having someone else to co-sign your loan agreement. This can specifically help someone with bad credit, because it looks at the cosigner’s credit score rather than yours. But it means that the guarantor will be liable for any missed payments and if this is a parent, friend or spouse, this can be awkward.

Secured loans help you leverage something valuable that you own such as a car, home or jewellery to borrow money – but your collateral is at risk if you do not repay.

Credit union loans can be a safe choice because they are run by non-profit organisations and do not come with any late fees. However, the application process is much slower than traditional lenders.

What Is a Bad Credit Score?

A bad credit score is classed around 561-720 out of a total of 999, according to Experian. 

Anything lower than this ranging from 0-561 is considered to be very poor credit.

Are You a Direct Lender?

Yes, we are a direct lender and have been since 2005. The One Stop Money Shop will process your loan application every step of the way and there are no other middlemen or partners involved, so you can have peace of mind when you apply.

We are willing to offer loans for people with bad credit scores and will always take a view once they can demonstrate their desire and ability to repay their loan on time.

Ready to Apply?

It takes less than 5 minutes, and you’ll get a fast loan decision. If approved, we can usually pay the money into your account the same day*. We’re a direct lender not a broker, so our loans don’t require any security to approve.

Apply Now

No Obligation. 100% Secure

Click me

Ring us if you need help

01924 377771

The One Stop Money Shop Ltd is authorised and regulated by the Financial Conduct Authority registration number 713424.

Registered Office, Ground Floor, Cora House, 20, Gills Yard, Wakefield, WF1 3BZ.

Registered in England and Wales company number 04402345. Data Protection Z6613603.

Trustpilot

*loans fully approved before 3.30pm will be paid the same working day.

Our Options

  • Borrow Money
  • Direct Lenders Bad Credit
  • Instalment Loans
  • Payday Loans
  • Quick Loans
  • Short Term Loans
  • Small Loans

Useful Links

  • About Us
  • Guides
  • Documents
  • Privacy Notice
  • FAQ
  • How to Complain
  • Sitemap

Contact

  • The One Stop Money Shop Ground Floor, Cora House 20, Gills Yard, Wakefield WF1 3BZ
  • [email protected]

    Opening Hours:

    Mon to Fri, 8am - 4pm

Trustpilot

*loans fully approved before 3.30pm will be paid the same working day.

Copyright 2023 The One Stop Money Shop. All Rights Reserved

Digital Marketing, Website Design & Development by Simul Digital

Scroll to top