Getting credit from high-street lenders can be tough, especially if you’ve yet to build a good credit score. In which case you may want to fast track guarantor loans. The reality is, building a good credit score takes time, something which many younger adults simply won’t have been had the chance to do. On the contrary, damaging your credit score can take just a few moments of disorganisation or mismanagement. Sometimes, it may even be completely out of your control.
You may lose your job which causes you to suffer a loss of income. You may get struck with an unexpected expense that forces you into your overdraft. Before you know it, your bills are due, and you can’t afford them. Missing payments will damage your credit score and subsequently make it tough to get approved for credit in the future.
Enter Guarantor Loans
Nowadays, guarantor loans are more popular than ever. The market is saturated with lenders, all offering a slightly different take on the original guarantor loan concept.
The process of getting a guarantor loan does differ from that of most other loan products. Not least because you have to find a worthy guarantor to support your application. Nonetheless, many lenders are able to process an application very quickly, giving you a decision within just a few hours of the initial application.
The speed of the application process can be largely dependent on you as the applicant.
To make sure your guarantor loan application is processed (and hopefully approved) as fast as possible, we’ve put together 3 top tips to help you avoid any potential delays along the way.
1. Have a worthy guarantor at the ready
Prior to submitting an application, make sure that you’ve fully acquainted yourself with the lenders criteria. If you’re unsure on anything, give them a call and a representative of the company will be more than happy to provide all the information you need.
In addition, it’s worthwhile spending some time with your prospective guarantor and ensuring you have an adequate understanding of each other’s financial situation. This may mean having a frank chat about topics like credit histories and income levels.
This is why we recommend choosing a guarantor that you’re close with.
2. Keep your phone close by during the application process
If a lender is unable to get in contact with an applicant or guarantor during the application process this can cause delays.
Although the majority of the guarantor loan application can now be completed online, it is likely that the lender will need to carry out routine security phone calls with the applicant and guarantor to verify the finer details of the agreement.
If you’re unable to keep your phone handy, it’s definitely worthwhile making the lender aware of your preferred times of contact. For example, you may only be able to pick your phone up during lunch breaks at work, if the lender is aware of this they will endeavour to complete all required phone call conversations during this period.
It’s recommended that your guarantor does the same throughout the entirety of the application process.
3. Don’t leave holes in the application
Some lenders may request that you provide supporting documents such as photocopies of your ID or a proof of address or income. These will simply be used to verify the details you’ve entered on the application form.
We recommend completing as much of the application as possible and avoiding leaving holes, even if the fields are optional. The more information you can provide upfront, the less chance there is of having to submit additional information further down the line.
So, if you are thinking of submitting an application, take your time. Try to avoid completing it on the move or rushing through it. Any mistakes, errors or missed information is likely to slow down the process.
We hope these tips help you to get the funds you need in a timely and efficient manner. If you do have any further questions about guarantor loans, please don’t hesitate to contact us – we’d love to be able to help.