Many loan seekers are relying on Better Business Bureau (BBB) directory to check out the trustworthiness of loan companies that offer bad credit personal loans. Based on that online directory, it is possible to obtain free reports which contain important information that can reflect the credibility of BBB and non-BBB accredited companies including BBB ratings, business profiles and records, and many more. However, many are concerned about the legality of some BBB accredited personal loan companies which some loan seekers think that it is much easier to obtain such financial solutions than traditional finance institutions.
Seeking for reliable personal loan companies is not hard – you possibly need to do the following additional things below:
- You need to read BBB’s “News Center” – By getting the updates from the “News Center”, you can take note of previous fraudulent cases so that you will not fall for the same “trap”. Take note there are only a few contents that are related to loan companies or lending services, and the rest are related to consumer tips.
- Visit BBB Consumer News and Opinions blog and take note of the “Alerts/Scams” category – You can possibly look for blog posts about personal loan scams. It is like discovering new “tricks” pulled by scam artists, which have been demystified by BBB authorities. To get more updates from that particular category, it is wise that you subscribe to BBB’s blog email alerts.
- Contact several non-traditional loan companies and ask the right questions – A reputable loan company will normally be transparent about their loan products including the total interest rate or annual percentage rate (APR) applied, total monthly repayments, total loan cost and many more. You can find out from them whether the interest rate applied is totally fixed or adjustable. There are many important questions that you can ask in order to find a reliable loan companies which grant legitimate bad credit loans to their clients, so you need to prepare these questions before you start calling them.
- Check with your state financial or banking regulators – You need to check whether the loan company is registered in your state to operate their lending service. Most reliable bad credit loan companies have no issues with the state financial regulators, so that they can offer legitimate bad credit personal loan to their respective clients.
Be sure that you do not considerate loan companies that accept upfront payment for a bad credit loan application. Always remember not to act hastily by signing loan agreement without reading its terms and conditions. You need to spend more time on researching for the most reliable loan companies.