A person gets a bad credit rating according to a specific FICO score. FICO is a way of taking past payment history and the current financial situation of a person to come up with a score. If your score is anything less than 620, lenders would see that as a risk. It’s important to keep in mind that the lower your credit score is, the more risk a lender would have to assume in preparing a bad credit loan. Making your payments on time and not falling deep into debt is important to keep your credit rating higher.

A lender will take your credit score into account before pre-approving a bad credit loan to ascertain how much risk a consumer might be. If a person requesting a loan has a history of not paying back debts on time, that would raise a big red flag to a lender. Besides that, if the person owes so much money to others, the lender might think the consumer wouldn’t be able to make loan payments. While many online lenders will choose to pre-approve a bad credit request, it’s important to know the risk first.

The easiest way to find out if you can be approved for a quick loan with a poor payment history is to send a completed request form to us at Caliber Bad Credit Loans. We will promptly send your request out to a lengthy list of lenders who may be able to pre-approve you, even with a bad credit score. Besides looking at your past payment history, the lender will take into account your situation today and your ability to pay on time.

There are ways you can repair a bad credit score. You need to establish better credit habits, and then your score will slowly improve. If you didn’t pay debts on time in the past, you should begin doing so now. Don’t let a due date slip by without having your payment sent in. Another factor in your credit rating is how many debts you have. If you are in a better financial situation now, with a steady income, try to pay off some of the debt. These are steps you can take to repair your bad credit score.

Look around on the internet and ask friends for help finding a trustworthy individual or organization who can help you. Choose carefully, because it’s important for you to find someone with a good reputation that you feel comfortable with. One way to check this is to look at reviews other people have left online. The person you work with can help you analyze how you came up with a bad credit score and will give you steps and tips to improve it. Good luck!