Can You Get A Payday Loan On Welfare?
People, who are a relay on Welfare or Social Assistance, they all are concern about if they will be able to get a loan or payday loans? There is good news that some of the lenders are ready to work with you and here we mentioned below:
Loans (Payday Loans) For Welfare Recipients And Social Assistance
To get a loan, you have to find out a lender that will accept your monthly income with credit score. After that read thoroughly about terms of the loan before signing a contract especially rate of interest. Some of the loan options for you are:
Auto Title Loan
If you are going for an auto title loan, you must put your vehicle as collateral. It means that, if you fail in paying back your loan, the lender has the authority to repossess your vehicle and get compensation for their loan amount.
You can easily get auto title loans on bad credit and even on low-income verification. However, such loans are carried out high-interest rates and more chances of your vehicle repossession.
Payday loans are famously known as a short-term loan with a small amount ranging from C$100 up to C$2000 and are typically paid back when you receive your next paycheque. Most of the payday loans lenders in Canada accept welfare or social assistance cheque as s proof of income.
Usually, you have 7 to 31 days to pay back your loan and it is the best option than auto title loans with higher interest rates.
Banks and Credit Unions
Banks are credit unions in Canada may be interested to give you a personal loan but most of the banks and credit unions required a good credit score and income source. Customers, who have the potential to pay back the loan on time, may be approved by these institutions.
Being On Welfare Can Affect My Credit Score?
It’s totally a myth that being on welfare or social assistance can affect your credit score. Equifax and TransUnion, are not share your credit history when you apply for welfare or social assistance. If you have a better or good credit score, there are lots of chances to get a loan.
Don’t have a good credit score and struggling for loan approval? No problem, you still have a chance to get a loan even on poor credit score with bad credit loans. Bad credit loans are best and one of the revolutionary step in the money lending industry.
Borrowers, who are struggling for a loan approval due to their adverse credit history, can apply for bad credit loans Canada and get up to C$5000 or more like other good credit scorers.