Here’s How You Can Get a Loan Even Without Credit


If you don’t have credit yet, you should see to it to start building one as soon as possible. You should get a credit card or apply for a loan and make on-time payments on what you owe to receive an excellent credit score. Yes, that’s the best way to establish your credit profile.

When you’re just kicking off your journey to this goal, it’s normal to worry about not getting approved for a loan because you have no credit history. But you have to keep in mind that you can still qualify for a loan even without credit.

Just make sure to use the loan for a good purpose and avoid having too many debts (here’s what to know about investing, budgeting, and debt reduction). For you to obtain a loan despite your credit situation, take some time to read this article to learn how to get one.

Take Out an Online Personal Loan

An online personal loan is one of the most preferred money borrowing options for people with no established credit history. Since you’re working with an online lender, there’s a possibility that you won’t go through a tight credit check during your loan application.

Typically, your online lender will only ask you for a proof of income and employment certificate as requirements to get the loan.

Work with a Co-Signer

Working with a co-signer is another tactic to secure a loan even if you don’t have yet an existing credit profile. The person who will co-sign the loan with you can be your friend or relative (in fact, anyone whom you trust). But you should keep in mind that your co-signer should have a stellar credit history to boost your chances of obtaining the loan.

The person who co-signs with you for the loan should also understand the responsibility of being a co-signer. In such a time when you miss payments or you default on the loan, your co-signer will have to pay the unpaid amount. If ever he/she won’t continue repaying, his/her credit profile will receive bad marks.

If you’re going to borrow money with the help of a co-signer, have some good sense of paying the loan on time to avoid putting your co-signer’s credit profile at risk.

Go to a Lender Who Conducts Non-Traditional Credit Checks

Mainstream lenders and major lending institutions follow strict rules when checking a borrower’s credit profile. That’s why not all loan applicants get approved for a loan due to such stringent credit checks.

That’s why if you need to borrow money without having an established credit history, go to a non-traditional lender. Your credit score is not a big deal to non-traditional lenders, but you still need to show that you have the means to repay the loan by providing your recent payslips, bank statements, and certificate of employment.

You can browse the internet and compare the loan offers of non-traditional lenders. There are direct lenders and lending networks that can give you an advantageous soft credit check loan.

Apply for an Alternative Payday Loan

Another credit-building loan that you can get is an alternative payday loan. Members of credit unions can apply for this loan and receive a small loan amount with a repayment period of 1 to 6 months. It’s an excellent loan to build your credit because it’s much easier to repay than a regular payday loan.

Aside from the loan term and loan amount, alternative payday loans have affordable fees and rates than regular payday loans. Perhaps the only catch with this loan type is that you need to be a registered credit union member to avail of it. Usually, a borrower needs to be a member of the credit union for a few months to get qualified for this credit-building loan.

Get a Secured Loan

Lenders who offer unsecured loans require you to have a good credit history if you want to borrow cash from them. Your good credit score serves as proof that you’re a good payer, so you won’t find it a challenge to get such loans.

But what if you’re just starting to establish your credit profile?

Well, if you’re in this situation, don’t worry much because there are secured loans that allow you to borrow cash even with no credit. As its name suggests, this loan type requires you to have an asset that you can put as security against the money you owe. If you default on the loan, your lender has the right to seize that asset in exchange for your non-payment.

You can offer either your car, home, land, bond, mutual fund, stock, or a collector’s item as collateral against the loan. Since the loan is secured with collateral, there’s a chance that you can enjoy an affordable interest rate.


If you want to build your credit profile, you should take note of the ways mentioned in this post to achieve your goal. Even with no credit, you can obtain a secured loan, alternative payday loan, soft credit check loan, or online personal loan to start your credit-building journey.


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