Personal Loan Options Without a Traditional Hard Credit Check

What Are No Credit Check Loans?

A no credit check loan may be reviewed differently from a bank loan or other traditional credit product. Instead of placing the main focus on a hard credit pull, a lender may look at your income, bank deposits, active account status, identity, state rules, and ability to repay. This type of loan request still goes through lender review, and approval is never automatic.

A hard credit inquiry is used to assess your credit history. This assessment will include all of your previous loans as well as past loan payments that were missed. In some cases, lenders may utilize alternative methods to obtain an applicant’s credit history, such as a soft credit inquiry, or may even obtain credit information from a different source. Most often, if you have a soft credit inquiry performed, it won’t negatively affect your credit rating.

You may be linked to more than one lender through SlickCashLoan, who will review several items prior to determining if they can lend you money. These factors could be your income, account activity, regular deposits into accounts, your current debt, what the states in which you live permit, and whether or not your monthly payments appear affordable.

The time it takes to fund a loan can vary from one lender to another based on bank processing requirements, verification of applicant information required prior to approval, cut off times for each day, and specific state regulations. Although some lenders may provide funds quickly after approval, same day funding is not guaranteed.

How the Review Process May Work

Many no credit check lenders will weigh your income and bank account history over the typical hard credit check you would see with a traditional lender. They will likely be looking at how much money you have deposited into your account, if you have an active checking account, as well as whether or not you have enough income to make payments according to their repayment terms.

At SlickCashLoan, we don't determine your creditworthiness. The lender reviews your application and decides if they want to lend you money. If a lender makes an offer for the loan, prior to accepting the loan, you would receive the loan amount, APR (Annual Percentage Rate), fees, payment schedule, and repayment terms from the lender.

Here are common items a lender may review. Exact rules vary by lender and state:

The online application process is likely to collect your contact details, income details, employment information, and bank account details. A lender will then be able to verify your identity through the use of documentation and account checks prior to their decision on whether they are willing to lend you money.

The timing when funds are sent to you via a direct deposit after accepting an offer from a lender will vary. The lender's process, how your bank processes these types of deposits, as well as what day and time your loan was approved, and whether they need further verification prior to sending the money, may all be factors in how quickly the funds arrive at your account.

Costs, APRs, and Fees to Review First

When reviewing your no-credit-check loan option, you'll want to consider the APR (annual percentage rate), the finance charge, the fees associated with the loan, when you will need to repay the loan, how much each monthly payment will be, if there are any fees for making a late payment, and what is considered to renew or roll over the loan.

Costs associated with short-term loans may be high because a large amount is charged over a short time frame. As the CFPB notes, a typical payday-loan charge of $15 per $100 is nearly as much as a 400% annual percentage rate (APR) for a two-week loan. The cost you pay will depend upon the type of lender, the dollar amount of your loan, the charges or interest rate on that loan, the length of time you repay it, and any applicable laws in your state.

Several lenders will charge fees for their services (such as origination and processing fees) in addition to interest. These fees are typically subtracted from your initial loan proceeds once they have been disbursed to you. As a result, the total principal that you will pay back over time could exceed the amount initially received by you.

The loan amount and term of your loan will depend on the lender you select, as well as the laws of your state and whether or not you are eligible to apply. Some short-term loan options may only provide for a few hundred dollars, and you would have to repay this amount within a very short time frame. Other types of loans, called installment loans, could give you the option to make payments over many months. Before agreeing to any loan, always read through the written agreement.

Service members on active duty and their eligible dependents receive additional protection under the Military Lending Act. The Military Annual Percentage Rate for most types of covered loans may not exceed 36%. Additionally, there may be caps on certain aspects of those loans.

Debt-Cycle Risk to Consider Before Borrowing

No credit check and other higher cost short-term lending should generally be used as a last resort when all lower cost options have been explored. The primary concern is not simply that of an annual percentage rate. A larger problem is needing to borrow money again in order to pay back the original loan or to meet ongoing living expenses.

As the CFPB reports, over 80 percent of payday loans are either rolled over or have another loan taken out in their place before the first loan is paid off (with additional fees for taking out the new loan), essentially turning a single, short-term loan into an ongoing cycle of debt.

Before accepting a loan, you should determine if it will cause a greater amount of financial distress than before by asking whether you could make the full repayment at one time without having to take out another loan, miss your rent, delay paying for utilities, or skip buying food or medicine.

How These Loans May Affect Your Credit

A no credit check loan does not always help your credit. Some lenders do not report regular payments to the major credit bureaus, so on-time payments may not improve your credit score.

A missed payment is not without risk of causing additional issues. In many cases, a lender will assess a fee for being late with a payment in addition to possibly attempting to collect the debt owed, sending it to a collections agency (if allowed by state laws), or reporting the delinquency to one or more of the major three national credit bureaus. These actions can negatively impact your overall credit.

Before you accept an offer, find out which of the lenders reports your payments to credit bureaus. Additionally, before you accept an offer, find out what will happen in case one of your payments is late or missed.

What You May Need to Submit a Request

When you submit a request through SlickCashLoan, we may try to connect you with lenders that do not rely mainly on a traditional hard credit inquiry. Each lender sets its own review rules. A lender may review income, bank account information, identity, state availability, and ability to repay before deciding whether to make an offer.

It helps to have all of your info ready before making an application. Lenders may require a number of things, such as government-issued ID, proof of income, bank account details, proof of address, etc.

A lender may decline your request if the loan does not appear affordable, if your income is not steady, if your account activity does not meet its rules, or if state law limits the loan option.

Use Only as a Last Resort Short-Term Option

A no-credit-check loan should typically be considered only when lower cost options are not available and when you have a clear repayment plan for this short term option. It should not be used to pay regular monthly bills, repeated borrowing, or any payment that is beyond your means.

Some borrowers may use this type of loan for one-time expenses (such as a vehicle repair for their job, an urgent bill, etc.) even though there are other ways to meet these needs. If you do need to use this type of loan for a one-time expense, you should still research all available options before making your decision.

If repayment will cause hardship in paying for your basic needs (rent, food, utilities), then you could be adding additional pressure on your finances. Taking out another loan to repay an old one can create a debt cycle.

Create reminders on your calendar for when you have to make payments, and immediately call your lender if you think that you will be unable to pay on time. You can face extra fees, collections by a third party, and potentially some form of negative impact to your credit from being late or missing payments.

Safer Options to Compare First

Look into other ways to borrow money at a lower interest rate before you accept a high cost loan. Your alternatives might include a credit union loan, a payment arrangement through a utility company, an early paycheck advance through your employer, a local financial assistance program, or aid from family or friends.

You may also want to get in touch with a non-profit credit counselor or local help programs before getting into a high cost short-term loan.

You may want to consider how a no-credit-check loan compares in terms of cost to other financing options, such as a bank loan, a credit card cash advance, or a credit union's Payday Alternative Loan. Reducing the likelihood that you will miss a payment can be achieved by taking advantage of lower APRs or longer repayment periods.

Some companies may promise you will get approved (guaranteed approval) for their loans. Some may ask you for money prior to giving you your loan. Some may refuse to give you written details about the terms of the loan. All three are possible warning signs of a potential scam.

Request Loan Options Without a Traditional Hard Credit Check

SlickCashLoan could help link you with lenders who look at your income, account history, and repayment capabilities as opposed to just a traditional hard credit check. We are not a lender, nor will we approve or decline a loan.

Before you accept a loan, take time to look over all of the costs of the loan (APR, fees), the monthly payment and when it is due, and what will happen if you are late with a payment. Also, make sure that you can afford the monthly payment without risking your ability to pay for housing, food, utilities, and other necessities.

Frequently Asked Questions

Can I get a personal loan without a traditional hard credit check?

It may be possible. Some loan providers may evaluate your income, banking history, ID, and repayment ability as an alternative to using a traditional hard pull on your credit. No guarantee for approval.

Do loan options without a traditional hard credit check come with guaranteed approval?

No. Approval is never a guarantee because each lender will review all of your information and decide on their own if they want to make you an offer.

Can these loans affect my credit?

Yes, they can. Some creditors do not report timely payments made by their customers to the three main consumer reporting agencies. Thus, making timely payments does not positively affect a borrower's credit history. Late or missed payments may result in additional late fees being added to the account balance and collection activity against the account, with possible negative effects on an individual's credit history.

How fast can funding happen?

Funding timing varies depending on the lender, banking process, cut-off time, verification step, and your state's regulations. Borrowers who are approved for a loan may be able to get their money in short order; however, same day funding is not assured.

What loan amount can I request?

Loan amounts vary by lender, state, income, and eligibility. Some short term loans may be for a few hundred dollars, while some installment options may be higher. Review the lender's written terms before accepting.

Are no-credit-check loans expensive?

They can. The APR, fees, and terms of these loans are often higher than those of other loan options. Before you accept a loan, make sure to look at the APR, the finance charge, how much your monthly payments will be, when they are due, and what penalties there will be for paying your loan late.

Why can repeated borrowing be risky?

Repeatedly taking out loans can increase costs by adding additional fees, and also create even more problems for borrowers as they try to recover from their previous loan. Instead of helping solve a borrower's immediate needs, repeated borrowing could end up putting them under greater financial pressure than before.

Do I need to provide collateral?

Many lenders offering these types of loans will not ask for collateral. But it really depends on what the lender's policies are, as many have different requirements. Review your loan agreement so you can determine if the loan was secured or unsecured.

Will lenders contact my employer?

Some lenders may check to see if you are employed. It can be checked through a variety of means, such as by telephone, e-mail, via a form, or other ways that they choose. It all depends upon the lender.

What happens if I cannot repay on time?

You will likely incur charges for late payments. In addition, the lender may submit your debt to a collection agency. Whether or not there is the opportunity to extend a due date or negotiate some other form of repayment is dependent upon the lending institution and applicable state laws. Contact your lender as soon as possible if you think you are going to miss a deadline.

Can I get more than one loan?

Some lenders and certain state laws limit your ability to have multiple loans outstanding at the same time. Multiple loans create a greater risk for late payment penalties as well as increased potential for collection activity.

Is submitting a request safe?

SlickCashLoan has security protections in place for information you provide through this website. However, no online process removes all risk. Before accepting a loan, review the lending company's name, terms of the loan, their privacy policy, fees, and how to reach them.

Additional Personal Loan Resources

• Personal Loans for Bad Credit