What happens when your credit is ruined and you cannot get a loan or a credit card? Do you have any other options? Can you still get a loan even despite your bad credit? Will any lender look at your application? Should you make improvements to your credit score before you go out and look for financing?

If you have been wondering about some of these questions then you probably have poor credit and want to obtain a loan of some variety. You probably have been encountering some difficulty trying to obtain such a loan or line of credit, and may have been wondering what your best options are to receive such financing. The truth is that a poor credit secured loan may be right for you when you have bad credit and are faced with such a situation as poor credit secured loans are often made to people with bad credit with much less scrutiny and headache. This is because a secured loan is "secured' by the collateral that you provide the lender and the lender can thus have something to fall back on in case you cannot payback the loan. The lender feels much more comfortable by virtue of you providing them with some kind of collateral, and often times they will not have trouble providing you a loan even if you have bad credit because of this added layer of security.

Poor credit secured loans are thus a great way to get approved for the financing you need yet at the same time can provide a means to rebuild your credit back up to a respectable level. The lenders who provide these poor credit loans will still want to look over your credit report, and they may even deny you outright if they see certain kinds of marks that are against their policies such as bankruptcies and defaulted accounts. If your credit report is clear of such marks then you should be able to get approved for a secured loan as long as you can provide the lender with enough collateral and the appropriate income. Lender's that provide secured loans still want to see that you make money each month on a consistent basis, and while they do grant exceptions when it comes to the amount you have to make each month to qualify for a particular loan, they often want to see that you make at least what is considered to be a full-income in the state you live in.

When you have a good idea of where you stand in terms of your credit and income then it is time to find some lenders that can provide you with a bad credit secured loan. If you do in fact have bad credit then you may be surprised to hear that some of the more reputable and more established lenders may still be able to do business with you even if you have poor credit by virtue of the collateral you are willing to provide. Most people think that they should immediately start applying to sub-prime lenders right away, and while this can get you approved very quickly, it will not allow you to become eligible for the best deals around. You should check to see what the lender's policies are before you apply so that can feel confident that they won't flat-out reject your "bad credit" application, and not doing this can waste a lot of your time. You may even want to apply for a secured credit card as these types of lines of credit only require a small amount of collateral in the form of cash, and they are readily available by most credit card issuers even if you have bad credit. If you are responsible and begin making regular and on-time payments each month then you will slowly be building your credit back over time, and this is perhaps the greatest advantage of taking out poor credit secured loans, so get out there and apply and don't forget to make your payments on time each month!

Other Bad Credit Loan Resources