When you need money in a hurry and you have exhausted all your options, being refused a payday loan is frustrating. Do no refusal payday loans really exist? When lenders refuse a short-term loan UK, bad credit is the obvious reason. But this is not always true.

Lenders work with various risk clients, they work on a percentage of risk when reviewing your application. If you have a recent CCJ or you filed bankruptcy in the past couple of years, then it is going to be very difficult to find a lender that will take the risk.

Many of the lenders in the UK are willing to take on a customer with a low credit score, as long as you can prove you can make timely repayments. You should show evidence that you are making amends for your low credit score. Low credit scores are not a major obstacle when it comes to applying for a payday loan.

Payday loans in the UK

So how do you turn a declined loan into a no refusal payday loan? The only way is to demonstrate that you are not a bad risk by cleaning up your credit file and improving your credit score.

Use a direct lender that acts as a free broker and will send your application to a number of lenders from one application. When your application is forwarded to numerous lenders, the chances that at least one will accept your application is increased. This can yield a positive result.

No refusal payday loans UK

It is important to note that no regulated payday loan lender really offers no refusal loans. This type of loan does not exist in lenders under the FCA (Financial Conduct Authority). This is due to the fact that UK lenders have a duty to be responsible, acting with due care. As a result, lenders are not allowed to provide you a loan if they feel you do not have the realistic chance of making repayments in a timely manner.

What is the Financial Conduct Authority (FCA)?

The Financial Conduct Authority monitors lenders in the United Kingdom and has set out rules that lenders must follow. Any lenders breaching these rules stands a high risk of losing their license. Lenders have to be very careful when reviewing your application, ensuring that they do not issue a loan to you if they feel you cannot afford it.

It can be very misleading to see no refusal payday loans advertised. All lenders have their own eligibility criteria and will carry out a soft credit check before approving a payday loan. Most criteria includes being over the age of eighteen and being a UK resident with a steady income and a UK bank account.

Only use a regulated lender for your no refusal payday loan

It is advisable to only use regulated lenders that follow the rules of the FCA and you can check for their FCA license in the United Kingdom. Also double check that they have positive reviews. This can be done through the Financial Ombudsman’s Lender Compliant files, where you can see any negative reviews relating to the lender you want to sign a loan agreement with.

If refused, you must accept it

This is a very hard pill to swallow. When you are refused a payday loan, you are probably tempted to try elsewhere. By submitting numerous applications, you can hurt your credit profile, the more declines you receive the worse it will be. The only course of action is to work on improving your credit history to reduce the risk of being declined in the future.

Be a responsible borrower

Being responsible can benefit you in the long run. While the lender has a duty to not approve a loan if they feel you are a risk and cannot afford it, it is also your duty to not apply for a loan you know you will never be able to repay. Lenders do refuse payday loans every day, so being declined is something you will have to accept and work on improving your credit file for the future.

Consider financial help

If you are in a dire financial situation, rather than applying for more debt, you may want to seek the assistance of a professional who can guide you and help you in improving your financial situation for the better. Serious debt is harmful, not only to your credit score, but you will find it can be detrimental to your health, causing you to stress and worry. Expert advice is valuable and can help you manage your debt more effectively.

Financial help can range from debt relief orders to debt arrangement schemes and sequestration bankruptcy to individual involuntary arrangements. Speak to an expert to see what will work best for you to manage your debt moving forward.

Payday loans UK

You will be happy to know that no refusal payday loans are available if you can prove you can repay the loan. They are a great option when not abused and you need money quickly and can repay in a short period. It provides an on-demand cash flow for unexpected bills and expenses.

No refusal payday loans are similar to guaranteed payday loans and no credit check lenders. It offers the idea that everyone that applies will be accepted without a credit check and without taking their credit history or financial circumstances into consideration. When using a reputable lender, they will still take your financial situation, your credit history and your application data into consideration on whether to approve or not.

Do payday lenders accept all applications?

Unfortunately payday lenders do not accept all application. The suggestion is not true and are based on a rumour, due to the fact that payday loans are one of the easiest loans to be approved. While they are easy to get approval for, there is still a process to go through, which means there are some people who will be declined.

Is there such a thing as a no refusal payday loan in the UK?

All lenders in the UK must adhere to the FCA rules and guidelines, which means there is no such think as a no refusal payday loan in the United Kingdom. FCA rules do not allow lenders to offer credit without carrying out the appropriate financial checks.

The FCA wants you to be able to access credit if it is affordable to you, they also have the duty to protect you from the impact of unaffordable credit. UK lenders are therefore required to carry out creditworthiness checks on you before you sign a loan agreement.

Creditworthiness checks include:

• The risk on whether you are able to repay
• How affordable the loan is to you without impacting your financial situation

While every lender has their own eligibility requirements, they must make a reasonable assessment of affordability and credit risk, which means not everyone will pass their credit checks and there are those that will be refused a payday loan in the UK.

Approval starts with the right lender

While it is your responsibility to ensure that you have improved your credit rating and financial situation to show you are not a risk to a lender. You will find it easier to secure approval for a no refusal payday loan by choosing the right authorised UK lender.