To be able to fulfill your day to day expenses you may need financing facilities from different types of financial institutions to meet needs. But the world where every lender has given and judged on the base of your credit rating, it is extremely difficult to fulfill all the legal documentation to get loans if you have a low credit rating. It will be inferior if you are a defaulter. The lender might not entertain your debt request.
In this situation, there are multiple online debt services provider including CashFloat; offering a helping hand to those who have a low credit rating or gone bankrupt, Like Amigo, Buddy Loans exclusively target those needy people to provide financing. The only thing they need a buddy who can act as a guarantor.
Buddy Loans also provide guarantor loans with easy repayment of
You can borrow from £1,000 to £10,000 base on your need and easily repay in equal monthly payments over the horizon of 12 to 60 months. The monthly repayments are fixed.
Buddy Loans being the online debt service provider has following distinguishing features;
Who Can Apply For Loans
In the dire need of financing, when everyone has declined your debt request based on your bad credit score, Buddy Loans provides online debt services to all those who fulfill the following criteria;
- An individual
- UK resident
- Employed or Unemployed – It does not matter
- Have a valid UK bank account
- Have a Guarantor – UK Based
Your Buddy Loan Guarantor
Guarantor is the key person upon which whole Buddy Loans system is based. Any person can act as a Guarantor, they can be your parents, family members or friends, who knows you from a long time, can give surety that you can repay the loan.
- Guarantor can be any Family Member, Close Friend, Colleague, Friend or any other person
- Guarantor should be an adult (aged between 18 to 75).
- Have a valid UK bank account
- Good Credit Score
- Monthly earning minimum of £1000
Interest Rate
One of the key features of any debt is interest rate and its hidden feature. Buddy Loans being credible debt facility provider has disclose interest rate on their website and interest rate is also defined and set at the time of loan agreement. Interest rate on loan is fixed at a rate of 41.16%, along with annual percentage rate (APR) of 49.9%.
Payback Period
To facilitate the debtor, Buddy loan has
Late Payments
If you think you might face some issue in making your said monthly repayment, it is advised that you inform the company as soon as possible so they’ll ask the loans guarantor to pay for you otherwise if you do not pay your agreed monthly payment on time a late fee of £12 may be added.
Buddy Loans Review
Online Portal
Buddy Loans focus on zero paper policy, giving it sustainable competitive advantage over traditional debt system. Providing online monthly loan payments and making it paperless makes it more attractive to customers.
And you do not need to go anywhere to submit your application along with all other documents. Buddy Loans debt facility is not limited of regular office time, their services are available 24/7.
Buddy Loans portal is user friendly, all information regarding debt facility, is at the distance one click.
Quick Processing Method
One of the distinguishing Buddy Loans
After completion of application process and getting satisfactory report, they issue your desired debt amount along with customize features within the same day.
Ideal for Debtor Who Have Bad Credit Score
In the era of credit score, where everyone is willing to give you debt if you have a excellent credit history but with bad credit score; no one is there to facilitate you.
Buddy loan is an excellent option for those having a bad credit history. Buddy Loans enter the debt market to facilitate debtor while focusing on individuals who have a bad credit scores.
Guarantor Do Not Need To Own Any Asset
In the field of debt facility; the worth of guarantor cannot be denied, like all other: Buddy Loans also requires a guarantor to facilitate your loan request. However to facilitate debtor and to promote the culture of easy debt facility, Buddy Loans make debt process easy.
While being a mortgage guarantor; it does not require guarantor to own house or a car or any other asset, guarantor need to have a good credit score and regular monthly income. That’s enough!
Guarantor can be anyone i.e., parents guaranteeing your mortgage or family member or any friend.
No Hidden Charges
Buddy Loans maintains professional behavior. They disclose all their processing charges up front on their website. One of the best feature distinguishes Buddy Loans from other.
They charge Zero Processing Fee
Buddy Loans have no fees for early settlements too
As they are lenders and not brokers so you should not worry about any hidden brokerage charges. They don’t charge you for setting up the loan. They have a quick payout, so anyone in need of fast cash can surely rely on them, they will send you complete loan payment without deducting any upfront charges or fee.
Positive Customer Feedback
Their customers have given them much praise and have rated excellent on Trust Pilot. Buddy Loans, being new guarantor loan company focuses on making good name for itself. Customers are admiring the company for its friendly and cooperative staff as well as for their professional behaviour.
The loan setup is 100% online and no paper work is involved.
It makes more attractive for its customers.
They even have a fee for late payment. Being said that, there are cheaper options available, so make sure to do your research before applying for a loan.
Higher Fixed Interest Rate
As interest rate is key feature of any debt, users intend to focus on what types of compound interest and at what rate creditors are offering them. Comparing to other financial lenders, Buddy Loans offer debt at quite a higher interest rate of 41.16%, along with annual percentage rate (APR) of 49.9%.
Moreover, they offer fixed interest rate.
If one person have a good credit score and debt payback period is short, on the other hand person who have low credit score and take maximum time to payback the debt, in the eye of Buddy Loans both are equal and both will be charged at same fixed interest rate.
Buddy Loans should use dynamic system which change interest rate as per customer credit history and payback period.
Low Credit Limit
To gain sustainable competitive advantage; Buddy Loans need to enhance their credit limit. So, they can facilitate higher personal financial customer needs.
As of now; buddy loans attracts limited market because they only provide financial assistance up to £10,000.
Conclusion
This critical review is provides key information, important facts, and pros and cons. They provide quality services to their customers. Buddy loans team know how to identify customer needs and expectations, they try their best to fulfill within shorter span of time.
In the dynamic environment, every lender offer different types of loans and their features targets customer needs, also competing to provide quality services to expand customer base in the United Kingdom.
With easy debt repayment plan, Buddy Loans facilitate their debtor to successfully pay off debt faster, at the same time; also help you to achieve good credit score.
With friendly interface, professional employees, customize debt requirements, Buddy Loans is steadily established their name in market.
Matthew is a Co-Founder at BusinessFinanceArticles.org. Matthew was a floor manager at a local restaurant in Wales. He lost his job after the pandemic and took initiative to make a team and start the project.
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