Amigo loans guarantor criteria

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Since the start of the economic crisis, millions of people have been left out in the cold by their bank. If you need a loan and have no credit history, or a bad credit score, you may feel like your only option is to apply for a payday loan, which can mean an APR as high as 4, per cent. There are options out there with less jaw-dropping interest rates that are willing to lend to people that the banks won't. Until recently, one of these options, Guarantor Loans, was relatively unknown, but in recent times they've started to become seen as an increasingly viable alternative to the under-fire payday industry, partly due to the work of guarantor lender, Amigo Loans. Benamor's Amigo Loans is shaking up the industry by returning to a more traditional, trust based form of lending, where affordability is the main focus and borrowers are asked to provide a guarantor to back their application.

Amigo loans guarantor criteria

Amigo Loans is the largest guarantor loan lender in the UK. The Bournemouth-based company has approved over , loans since they were founded in The representative APR is If successful, funds can be transferred within 24 hours but usually takes around 48 hours. Amigo recommend having a guarantor with very good credit history or one which is preferably a homeowner because if you cannot repay your loan , there is a good chance that someone with good credit will be able to. This is why Amigo Loans are popular for those individuals with bad credit especially if they have been unable to access funds from other commercial lenders. Amigo mentions that customers with bad credit are able to rebuild their credit rating if they pay on time because the information is passed onto a credit reference agency. Borrowers with a bad credit history can still be eligible for a loan with Amigo, even if they have a County Court Judgement. However, the guarantor must be aged between 18 and 75 and a very good credit history, preferably a UK homeowner. The idea is that homeowners usually have a strong credit rating in order to get a mortgage and they are less likely to leave town if they have a property. For more information, read about who could be my guarantor. The idea of having a strong guarantor is based largely on trust. Amigo believe that if someone with good credit history trusts you, then Amigo can trust you too. How much you can borrow with Amigo Loans depends on a number of factors. The longer you have the loan open for with Amigo, the more you can borrow.

Guarantor loans. Since the start of the economic crisis, millions of people have been left out in the cold by their bank. Always consider your own circumstances when you compare products so you get what's right for you.

We have access to 10 other guarantor lenders that may be able to offer you a loan with better terms, including lower rates or higher borrowing amounts. Each and every lender will have their own list of criteria. Forces Compare can look through your details and help you find personal loans, or even secured loans, at fantastic rates. Amigo offers guarantor loans. With this type of loan, a guarantor is elected and promises to repay the loan if the borrower defaults. Amigo loans are not the only lenders that offer guarantor loans. There are a range of different guarantor loan providers for borrowers to choose from, some of which are able to offer you better terms.

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Amigo loans guarantor criteria

The loans come with a representative APR of People borrowing money from Amigo Loans will need a guarantor who will have to pay the loan back if the borrower defaults. This involves checking their credit history and their track record of repaying debts. Although guarantors need to be homeowners, the loan is not secured on the property. Amigo suggests asking a friend or family member to be a guarantor. Being a guarantor for a loan means you are responsible for the loan and can be chased for the debt if it goes unpaid. Here's what James Benamor, the CEO of Amigo Loans, has to say: "Over 65, people have acted as guarantors for their friends and family with Amigo and customers tell us it's a positive and rewarding experience. Guarantors have been able to help their loved ones regain financial control, whether it's been to start their own business, buy a car for work or consolidate expensive payday loans. Ultimately this means the borrower will have a wider choice of financial products in the future.

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The eligibility criteria for a loan similar to Amigo loans will be entirely dependent upon the lender. Your loan can be used for any responsible purpose — this might be buying a car, making home improvements, consolidating your existing debts or perhaps paying for further training. What is your feedback about? In his spare time Chris likes forcing his kids to exercise more. However, the rate for Amigo guarantor loans remained the same for many years. You can still contact them through their call centre. Already subscribed? Alternatively, you can also download the free Amigo app, which you can use to both select a new repayment date and manage your Amigo account more generally. Since the start of the economic crisis, millions of people have been left out in the cold by their bank. This will be subject to checks on both the borrower and the guarantor. Your credit score can be affected positively, as Amigo informs your main credit reference agencies when you make a loan payment on time.

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Write a review. How likely would you be to recommend finder to a friend or colleague? The idea of having a strong guarantor is based largely on trust. Borrowers with a bad credit history can still be eligible for a loan with Amigo, even if they have a County Court Judgement. View offers. Loans from. This is subject to our terms of use. Please tell us how we can improve Required. Instant guarantor loans. Have a good credit rating. Compare alternative guarantor loan providers. The guarantor agrees to be responsible for the loan repayments if the borrower defaults. Ever wondered how to buy shares in SoundHound AI?