We normally start fulfilling our financial commitments – paying off mortgage or any other loans, household bills and etc., when we have a permanent job which provides security and paycheck over a long period of time until you reach retirement age. Ideally, that’s the living which every one of us would ever dream of.
In this case, you have been working for more than a year – perhaps more than 3-8 years, and things don’t go smoothly as planned. Although you’re financially stable, your household debt increases and you still need to pay them off as well as your other financial commitments.
Hence, without considering much, here’s your initial plan – as a longstanding member of a local credit union, you start applying for a low interest personal loan from them and hoping to get substantial amount of cash to ease your financial burden. You could even accept a high interest personal loan offer as you have no other options left.
However, things turned out unexpectedly worse before you even started applying. When you first approached your local credit union, they found out that your credit score was not up to their borrower’s requirements which means that you have no chance of being an eligible borrower. In other words, your credit scores not good enough for them.
Then, you tried to have a deeper negotiation with your local credit union and hoping that they could come up with a ‘solution’ – for instance, a loan that can help you to rebuild your credit since you’re a longstanding member. Their final outcome was still a firm ‘No’ and they still couldn’t give you a loan.
By right getting a loan can help you to improve your credit – only when you pay them off consistently. It is clear that traditional banks and credit unions are not willing to give you loans when you have a bad credit.
This question is self-explanatory – yes, since you have no other alternatives. Don’t get misunderstood that you could simply get such loans from any loan companies. Although you seem to have no choice to get such loans from non-traditional lenders, searching for reliable non-traditional lenders from Better Business Bureau (BBB) would probably reduce the chances of approaching “predatory” lenders (also known as usurious lenders).
Here’s a real-life experience of a professor – watch the video clip above, who was unable to get a personal loan from a local credit union which is Missouri Credit Union – which she presumed that she would get one since she was a long-time member in good standing. Fortunately, her local credit union suggested her to go to a loan company – where she finally got a loan, and have trusted her ability to repay them back. Now, it’s good to hear that she’s now creditworthy – her credit scores have doubled, and she can live her life without any financial worries.None found.