Introduction:
When people opting for running a business of their own is increasing day to day, a loan for such business has only become inevitable. It is not just business, self employed people are engaged in variety of activities. Self employed bad credit loan are meant for all such people who are work for themselves and are suffering from bad credit. You are free to use the loan amount on any purpose like home improvements, buying a car, wedding, holiday tour or for debt consolidation. You can use this amount this amount for clearing debts and increase your credit score.
Types of self employed bad credit loans:
Self Employed Bad Credit Loan are available in the market in two forms - secured and unsecured. In case of self employed bad credit loans borrower is bound to put some collateral against the loan. The collateral can be any of his personal property like home, car, jewelries or anything valuable which has got some equity on it. But unsecured self employed bad credit loans don't require you to put any type of security against the loan. The loan amount comes simply at no cost.
Repayment and interest rate:
As you are a bad credit holder and as the lender feel not secure interest rate charged in this case will a be a bit high. You will avail the loan with an interest rate of 15% APR to 25% APR. But you can get it at lower if you go for a planned negotiation. You can be availed an amount up to ?25,000 with self employed bad credit loans. But with secured ones you will get a chance to avail an amount up to 125% of the security offered. Repayment term will be in between 5 to 25 years.
