$10,000 Bad Credit Loan

Despite the terrible state of the economy it is still possible for a person with bad credit to get a loan for up to $10,000.

$10,000 bad credit loan online

The best place to look for such a loan is online where a wide variety of lenders make loans to people with bad credit available. Going online enables to a borrower to connect with nontraditional lenders who are willing to ignore credit scores if a person is willing to pay higher interest or put up collateral for a loan.

One of the best options a person with bad credit has for getting a line of credit is a secured loan. To get a secured loan a person puts up something of sufficient value as collateral. If the borrower is unable to pay this loan off, the lender simply takes possession of the collateral and sells it to recover the cost of loaning the money.

Borrow $10,000 at the pawnbroker

The most common form of secured loan provider that most people are familiar with is the pawn shop. A pawnbroker is able to loan money without a credit check because he or she simply takes possession of the collateral and keeps it until the loan is paid. If the loan is never paid the pawnbroker gets to sell the collateral.

One way a person could get a $10,000 bad credit loan could be to check with pawnbrokers to see if they could pawn something they own for the money. Pawnbrokers loan money on a wide variety of items including jewelry, recreational vehicles, motorcycles, automobiles, tools and equipment. If a person has expensive goods they don’t need, pawning those items could be a good alternative to traditional lending.

There are also a number of online pawnshops that loan money on gold jewelry and other items. It might also pay to check with pawnbrokers outside your area to see if they’ll give you a good deal especially if you’re trying to pawn a big ticket item.

Other $10,000 bad credit loans

Another kind of loan available to people with bad credit is high interest loans. Many lenders are willing to lend money to people with bad credit if they are willing to pay a high interest rate.

Before taking out such a loan a person should ask themselves if they will be able to pay off that high interest. The best way to determine this is to simply write a list of all the payments you regularly make and the payment you will make on the high interest loan. Then add up the payment amounts and compare it to your monthly income. If the amount you’re going to pay is higher than your projected income you can’t afford that high interest loan.

Browse the market

Always check with several different lenders before you take out a high interest loan to make sure you’re getting the best deal available. One of the great advantages to online lending is that you can quickly check with a wide variety of lenders before taking out a loan.

If you don’t see the interest rate you want offered, you shouldn’t be afraid to ask lenders if they’ll be willing to work with you. A lender might be willing to reduce an interest rate or give you better terms if you’re willing to work with them.

One way you could get a lender to give you better terms is to be willing to make a payment upfront. For example if you could make an initial payment of $500 on a $10,000 loan a lender might give you lower interest.