Guarantor loans non homeowner
The term non homeowner simply means an individual who either resides as a tenant or living with parents, essentially an individual who does not own their own property, whether mortgaged or outright. When it comes to getting a loan, in reality it poses a problem for lenders, as the fallback position of additional security is not there. What is meant by that is that being a homeowner provides additional security in the form of property for any potential lender should the individual not pay the repayments on their loan.
We specialise in organising guarantor loans for non homeowners, simply apply here now and let us do the rest for you, you can apply for up to a maximum of £7500 if your guarantor is a non homeowner, or up to £10,000 if your guarantor is a homeowner
In essence, all lenders want to lend money, that is how they make their profits, however they also have to make sure as much as inherently possible that any money they lend will be repaid with interest. The problem for any lender with an application from a non homeowner is that the security of a property is simply not available. If you add into the equation the fact that the individual may also have bad credit, in the form of late repayments, defaults etc, from previous credit, then it is not difficult to see why lenders are reluctant to lend money in those situations.
However there is a solution and that is guarantor loans for non homeowners. These are a type of loan whereby the applicant provides a guarantor, whose credit file is used instead of the applicant. As a guarantor is provided, the lender therefore has the additional security they desire, which means that the chances of getting a loan are that much higher. Also, it means that typically the rates of interest are lower than other options such as payday loans.
In many ways this type of loan is a return to the days of olde, when guarantors were used to guarantee a loan applicant in case of non payment. In much the same way, guarantor loans now offer the same option, and have become increasingly popular as they provide a viable solution to those who have no property to offer as security and/or have had issues with credit in the past.