Provident loans in Ireland are small loans. They are a kind of emergency loan exclusively designed to help people borrow money when their credit score is bad, and they need money for unforeseen expenses. The size of these loans is not so big, so they are paid off in full on the due date. You might be asked to pay down in weekly instalments as well if you cannot afford to make full and final payment on the due date.
Provident loans in Ireland are now no longer available. These loans were famous among the retired, the unemployed and the disabled. These loans were subject to doorstep services, meaning the representative of the lender had to visit your doorstep to hand in and collect payments.
You had an opportunity to discuss your credit needs and repaying capacity with the representative. You could ask them in person if you have doubts. Those loans were quite convenient, but they were very expensive. Interest rates of Provident loans were very high.
Well, if you are looking for a similar sort of loan, you should consider the following alternatives:
No credit check loans are small emergency loans. As the name suggests, these loans do not require a credit check. However, it does not mean that a lender will not run an affordability check. Lenders will run a soft credit check.
Soft inquiries do not show up on your credit report. These loans are quite expensive as lenders will consider you a high-default borrower. Interest rates will be higher than bad credit loans, but the good thing is that no credit check loans are less expensive than Provident loans.
If you are looking to take out no-credit check loans, make sure you borrow money from a reputed direct lender. You can be trapped in loan scams if you do not research. Loan scams will be available at extortionate interest rates. You will fall into debt that you cannot get out of.
Bad credit loans are better than no credit check loans as they carry lower interest rates than them. The size of these loans can be bigger than loans without a credit check, but most of the time, it is not more than €2,500. As the loan amount is not so small, it can be divided into fixed instalments which can be weekly or monthly.
Interest rates can vary by individual because it depends on your credit score. If your credit rating is closer to a fair credit rating, you will likely get money at more affordable interest rates than someone who has a 520 credit score.
However, do not assume that credit score is the only factor that determines your interest rates. Your repaying capacity also matters. This may curtail the borrowing sum. Bad credit loans are offered after running a hard credit check. Hard inquiries will show up on your credit report.
Loans for the unemployed are those loans that exclusively target people who are redundant. No banks or traditional lending institutions will ever sign off on your application when you are laid off, but direct lenders can do so, provided you have some income source to prove that you can repay the debt.
Unemployment benefits, child support, and other allowances are regarded as your income when you are out of work. You are more likely to get money at affordable interest rates if you also have a part-time job or freelance income. Direct lenders have made money lending in Ireland easier and more convenient.
Unemployed loans also involve a credit check, but the size of the loan will be less than €1,000. Most of the lenders will cap on €700. These loans are paid off in full on the due date. Make sure you can manage it because otherwise, late payment fees will be added, and the cost of the debt will go up. You will likely fall into an endless debt trap.
Doorstep loans are the perfect alternative to Provident loans in Ireland. A lot of direct lenders, including MyCreditBucks, provide these loans. They are small emergency loans and called doorstep loans because money is handed over on your doorstep.
These loans carry a small sum, usually lower than bad credit loans. A lender can lend you up to €1,000 provided you have a very good financial situation, and your credit history is excellent. This is because they charge hefty doorstep fees. The loan can amount to a great value.
If payments are collected in fixed instalments, the delivery and collection fees will be even higher. Before you take out these loans, you should analyse your repaying capacity.
Provident loans in Ireland are not available now. Still, if you are looking for funding options with similar features, you can consider alternatives such as no credit check loans, bad credit loans, loans for the unemployed, and doorstep loans.
All these loans are part of personal loans, but they are applied for only during an emergency. If you want to borrow a more considerable sum, you will have to apply for regular personal loans. Small emergency loans can be expensive, so you should carefully scrutinise your repaying capacity.
Borrow money from a direct lender who lends money at the most affordable interest rates. Compare the deals before you sign an agreement. You can even ask people of your acquaintance to know about a suitable lender if they have ever tried.
