Compared to how things were in the past, life has slowly but steadily become tougher due to the recession. Most people are getting deeper into financial difficulties due to loans they have been unable to repay. However, there are individuals who have managed to take several loans and pay them back on time, allowing them to maintain good credit scores. Such individuals never face any difficulties with financial institutions when it comes to getting a loan, due to their good financial history. On the other hand, individuals with bad credit scores never get any loans and in most cases, they are blacklisted by financial institutions and cannot even get a minimal loan of $5000. With unsecured loans, this situation has changed; making it possible for individuals with a poor financial history get access to loans amounting to $5000. These loan types include:

Family loans

This involves getting a loan from close friends or family members. It is considered as one of the best methods for one to quickly get a loan that does not have any strict regulations, especially with regards to the time set for the loan to be repaid. Unlike banks that have to check on your financial background and deny you the loan if what they find is not good, family members will always be willing to give you the cash and in most cases without any accumulating interest.

Institutional Loans

In most cases people may find it a bit difficult and embarrassing to approach their friends or family members to ask for a loan, in order to prevent them from knowing about their financial problems. When individuals have such reservations, they end up looking into other avenues to get the loans. They end up approaching their employer who in most times will offer unsecured loans. Some companies even have loan facilities for their employees as a way to boost their productivity. Most of these loans are usually offset directly from their salaries making it difficult for the borrower to avoid paying back the loan.

Non-Conventional Bad Credit Loans

In cases where you do not succeed in getting your unsecured loans through the above means, and your chances of getting your loan approved by the bank are next to nothing due to your poor financial history, there are other alternatives you can go for that readily give loans to individuals regardless of their credit scores. Loans from these money lenders as outlined below are usually approved in good time and chances of one being denied a loan are minimal.


When you get yourself in a situation where you need money urgently and you are not able to approach your bank for a loan due to your poor financial background, you have the option of getting the loan from a pawnshop. Before you get any loan from a pawnshop, you will have to bring an item that is of the same value or more than the amount of money you need as a loan. Soon after the exchange is agreed upon, you get your cash. You will be required to sign an agreement as to when you are expected to pay back the cash with interest. If you fail to honor the agreement, then the pawnshop will never look for you but simply sell your property in order to recover their money.

The fact that you have a bad credit score does not mean that you cannot have access to loans. There are various options available for you.