What is a low or bad credit score?

The term “bad credit” is somewhat vague, so we will try and make it clear for you. Having bad credit doesn’t always mean that your history is really bad, it might just be that your credit rating is less than perfect, if you have ever been rejected by a lender for bad credit, it might just be that your score did not meet their minimum requirements.

Basically people with bad credit or low credit scores can be divided into two explanations.

The First: You have been active in the credit market, but due to unforeseen circumstances like losing your job, or some financial difficulties, you have not kept your accounts up to date or have neglected to pay your accounts, and even though there is no judgements against you, your score has dropped so low that you can not get credit.

The Second: You have never had credit before and therefore there is no information to base your credit rating on.

Having no credit or poor credit is a major stumbling block to getting a loan because you are viewed as a high risk customer who might default and leave the credit provider struggling to collect the loan repayment. It is a known fact that until your credit score is top notch, you won’t fit the standard lending guidelines that banks have to follow.

However, we assist hundreds of clients from South Africa, every month in obtaining loans even if their credit scores are not top notch, but off cause we will check your credit score and affordability, as well as some business rules that is in place to protect our credit providers.

loans for bad credit online

Is it possible to get loans for bad credit?

In life nobody likes to be judged, but when it comes to loans and credit, credit providers will look into your credit score when you apply for credit,  for them to make an informed decision about whether or not to lend to you, and if you have bad credit you can be sure that they will not always consider helping you out. Your credit score is always busy calculating and from your first credit application it starts evaluating you. Every time you pay your credit on time it starts adding up, also, every time you pay late it subtracts and by not paying at all it starts going into the red. All detail of your credit behavior is listed by Credit bureaus. When you open an account or take on credit of any kind, your repayment behavior is recorded by credit bureaus, whether good or bad.

So the higher your score the better the risk for credit providers and lenders, this signals to them that there is a good chance that your credit installments will be settled without any issues. A poor or low credit score indicates that the borrower has had issues settling credit or debt in the past and will possibly do the same in the future, thus reducing your chance of getting an approval or if you do get an approval, it will be with a not so favourable interest rate or term.

When applying for credit, all credit providers will check out your credit score and so should you. There are plenty of ways for you to find out your credit score and most credit bureaus will even let you check your score free once a year. You can Sign up at Transunion(ITC), Experian or Compuscan. You have an option to either sign up and pay a small fee and get it immediately or on a monthly basis, or once a year you can get a free credit report from any one of the credit bureaus. Credit scoring can be complicated, but it doesn’t have to be, what you need to understand, is that every payment or no payment that you make will reflect. Learning to be responsible with your credit score can set you up to reach your goals.

Some Factors that affect your credit score:

  • Payment history, (good payments, late payments, no payments, judgments)
  • Length of your credit history (how long have you been credit active),
  • New credit or accounts,
  • Accounts in use,
  • How many new inquiries.


It is very important that you know your credit score, and that you access your credit report regularly.

If you fall into the poor credit or high risk category, the truth is you are either going to end up paying more for a loan over shorter terms or you will most probably not get a loan. If your credit is bad, or lower that what you would like it to be, understand that it does not have to be that way, best is to build it up before taking out a loan. The best way to do that is to start out by paying credit that you have due, and keeping up the payments as your credit rating will only improve over time. Emergencies can happen at any given time and you might be in the need of a loan very urgently. Many people have a tough time getting a loan approved from banks as they have a bad credit history. Our lenders specialize in assisting people like you and can help you meet your need in a time of financial emergencies.


Some lenders might ask collateral to process a loan especially if you have bad credit, No Collateral? You can still apply.

Please have a look at our Basic Criteria and Required Documents before applying for a loan with us.

What you need to know about loans application procedures

  • We can not assist you if you are under debt review, administration or sequestration
  • Your loan application will be subject to a Credit Check, and Affordability assessment as required by the NCR (National Credit Regulator)
  • You need to be over the age of 21 and under the age of 60
  • You need to be permanently employed for at least 6 consecutive months with the same company
  • All loan applications are subject to employment confirmation
  • You must have a valid South African bank account in your name
  • We do not assist people that is self employed (if you are self employed or a business owner read here)

So what to do now?

Complete our application and let us help you take the guessing out of whether you will qualify or not.

Remember – We can assist you in obtaining a loan, as most of our service providers are willing to look past some of your mistakes. While everybody can apply with us and may qualify, not everybody will be approved depending on your credit status and affordability, you might find that your loan can be unsuccessful because of your previous credit behavior.

Applying for a loan with us won’t cost you anything, it is free, so even if you are unsuccessful the first time, try again within a month or so, as conditions change and applying next month could get you a better answer.

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