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When you’re looking for a loan with bad credit, there are certain things you need to be aware of so that you don’t apply to the wrong places, waste your time, and damage your credit rating even further. In this post, we’re taking a look at some of the most common factors that prevent borrowers actually achieving a loan with no credit check. Read through these so that you have an understanding of the right loan products to chase and give yourself the best chance of being approved first time.

We’ll start with:


Unsteady income

At Cigno Loans, we specialise in short-term payday loans. These are loans with no credit check because they are designed to be paid to your account as quickly as possible. Credit checks take time, so when you need to act fast, you need a loan that doesn’t include this time sapping process.

Because we don’t run credit checks, we need to be sure that you can afford the loan we’re giving you. To do this, we check your current income. If your current income isn’t high or consistent enough, we’ll be forced to offer you a lower amount or refuse your application entirely. This dynamic will work exactly the same way with any payday loan provider.

You need to make sure you have recent bank statements that clearly show you’re earning a steady salary from work. Have this to hand when you apply along with your ID and you’ll have a great chance at being approved without delay.


Wanting the loan for the wrong reasons

Payday loans are for emergencies. They should never be used to buy things you don’t need or to have a good time. If you put down in your application that you want the money to get yourself a nice new wardrobe for the summer, your application will be delayed or refused.

When you find yourself constantly struggling to make ends meet, saving on variable costs like bills and weekly shopping is one of the best ways to improve your situation. When a cost comes up that can’t be ignored and you don’t have the cash to cover it, that’s when a payday loan can be very handy.

Need the money to buy a new TV or car? Then forget it. Tell us you need the funds to repair your boiler, buy food for the month or any other necessity and we’ll do our best to help. The fastest way to be refused a payday loan is to admit that you want the money for investments or gambling. You might have heard others brag about the money they’ve made using payday loans for seed money, but it’s just not what these loans are made for.   

If you need to make extra money on the side, you’re best bet is to find a part time job, sell things around the house that you no longer use or consider cutting back on luxury services that you no longer need.


Not having ID that’s up to date

When’s the last time you checked whether your passport or driving licence is expired. If it’s been a while, you should double check before you start your loan search. All payday loan providers will ask for official government identification that’s in date and clearly shows your current address. If yours is expired, you’ll need to get it renewed before you can apply.

At Cigno, we aim to process loans within 24 hours of your application. Many of our customers need instant cash paid out so that they can settle urgent costs as soon as possible. If there’s any reason your application cannot be completed, we’ll get back to you as soon as we can to let you know what’s holding us back.

There they are! These are the most common issues that people tend to come across when trying to apply for a loan with no credit check. Bad credit is certainly a limitation, but there are always ways to get your score back up to good levels. The absolute best way to recover your score is to make sure you pay all your credit debts as quickly as possible. We help you do this with handy notifications to your phone to remind you of your upcoming payment dates.

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Read more about no credit check loans here, or in our previous blog post: Can I Get Fast Cash Loans With Bad Credit?