The offers that appear on LoanStart.com are from companies from which LoanStart.com receives compensation. This compensation may impact how and where (including the order in which) offers are presented to consumers. LoanStart.com does not make loan offers but instead pairs potential borrowers with lenders and lending partners. We are not a lender, do not make credit decisions, broker loans, or make short-term cash loans. We also do not charge fees to potential borrowers for our services and do not represent or endorse any particular participating lender or lending partner, service, or product. Submitting a request allows us to refer you to third-party lenders and lending partners and does not constitute approval for a loan. What you may be presented is not inclusive of all lenders/loan products and not all lenders will be able to make you an offer for a loan.
Published at January 1, 2015 by Ana-Maria Sanders
When you can’t secure alternative financing, what’s the alternative? Let’s look at the solutions that may be available when you think there’s nowhere else to turn.
Take Advantage of Our Related Offers
At LoanStart, our number one goal is to pair you with a personal loan provider. Unfortunately, we don’t always find a lender for everyone who wants a loan.
If we are unable to pair you with one of our loan partners, we will sometimes present you with related offers. We invite you to investigate these offers to see if they are of any benefit to you.
Reach out to Your Creditors
There are many reasons why people use our site to request funding, but one of the most common is for help finding a personal loan online for debt consolidation. Sometimes there is real urgency here. If you need to pay off debt soon or face late payment penalties, it may be time to reach out to your creditors.
If possible, call them on the phone and explain your situation. Let the lender know that you want to pay off your loan but that you need more time to do so. The creditor could move your loan’s due date into the future, which could help you avoid penalties.
It’s certainly no sure thing that your creditors will help you out. But many times, these companies will be willing to extend the length of a loan term if it means that they will be able to get their money eventually and without having to deal with a collection agency.
Speak with an Expert
If you don’t know everything about debt management, don’t beat yourself up – none of us do. We all need help from time to time. A financial advisor might be able to help you reevaluate your spending habits and get your finances back on track.
You should be careful, of course. Financial agencies don’t always have their clients’ best interests in mind. So depending on your situation, it could make sense to work with a non-profit credit counselor first.
Check Your Credit Rating
Chances are if you keep getting rejected it has something to do with your credit rating. It may be even lower than you think, and it might not be your fault. Get a hold of your credit rating and find out what the lenders see.
Look for mistakes. Your score may be lower because of punishments you don’t deserve. You should be able to resolve these errors. It’ll take some work, but it’s worth it to get your credit rating back up.
A higher credit rating doesn’t only increase the likelihood of loan approval; it may also help you get a lower interest rate on the funding.
Consider Borrowing from a Family Member or Friend
Before you can borrow money from anyone, you must convince them that you’re a wise investment. That’s true for lenders, and it’s also true for your friends and family.
So, before you ask the people you know to help you out with a loan, prepare some points on why it makes sense to lend to you. Don’t make it look like a favor. You can write a contract and include a specified interest amount. You can make it clear that this isn’t charity. You can show them how they will make money by lending you money.
If you can make them feel confident that you’re a smart investment, they’ll be a lot more likely to lend you the money.
Final Thoughts
This article assumes that a lender pairing did not occur when you fill out our loan request form. If you haven’t filled the form out yet, then you should do that first – even if you think we won’t be able to find you a lender. You never know until you try.
We hope these tips help you deal with the aftermath of not getting a loan. Money problems can be very stressful. It can get even worse when your alternative funding options don’t pan out. We wish you the best of luck as you plan out what you’ll do next.
