TFS Guarantor Loans - TFS Logo

39.9% on loans from £3,000 to £10,000, until 31st August 2018.

Terms and conditions apply. Click here for details.

39.9% APR Representative.

Bad Credit Loans

At times, through no fault of your own, you could find yourself in a difficult financial position, it happens to all of us. What’s worse is, when you need a loan but you have bad credit and can’t secure one from banks or other credit providers. When you seek out a loan, you find that you’re judged on your previous credit history, whether that be because you’ve never borrowed money or you have struggled making payments on other debt or loans in the past.

Loan providers automated systems will deem that you’re not fit to take out a loan with them. So, what now? What can be done if you’ve been rejected due to bad credit? If you find yourself asking these questions and you have a poor credit score, TFS Loans are here to help. Here at TFS, we can provide bad credit loans to those with poor credit.

So, what is a bad credit loan?

Simply, a bad credit loan is for those who cannot borrow money due to poor credit. It is suitable for those that don’t wish to pay the high charges of payday loan companies and when you’re unable to secure a loan due to bad credit.

You can use this bad credit loan for almost anything, from financing that car you need, consolidating any other outstanding debts you may have or even funding your ideal wedding, the loan is yours to use as you see fit, for anything that comes your way.

Why would I have bad credit?

There are many factors in life that can lead to poor credit, whether it be missing repayments on alternate loans or debt repayments, becoming bankrupt or simply never having built a credit profile by owning a credit card or taking out a loan. All of these can affect your credit score. Many lending companies will see those without a sufficient credit history as a risk, as you are not deemed a ‘trust-worthy borrower’. TFS operates on a trust basis for our loans, not on a bad credit score.

How do I know if I have bad credit?

What a credit score does for loan companies/banks, is tell them simply if you’re going to a suitable option to grant a loan to. Through analysing your previous credit history, it can be determined whether or not you are likely to be an ideal borrower, making repayments on loans provided by lenders. However, most lenders have different ways of deciding approval for a loan, some may grant those with bad credit a loan, while other companies may not.

Can I secure a loan with bad credit?

The short answer is yes. Here at TFS Loans, we lend money via guarantor loans. Essentially, a guarantor loan does not take a decision based on your credit history. We operate on the basis that if you have someone who trusts you to make repayments, we trust you too. If you have someone who can co-sign the paperwork with you as a guarantor, then you can secure yourself a loan. All your guarantor has to agree to is that should you fail to make repayments on the loan, they will cover the costs until you can resume payment, it’s that straightforward.

How do I improve a bad credit score?

There are many ways to improve your credit score, but one is taking out a guarantor loan when you have bad credit. By taking out a guarantor loan with bad credit, you can gradually improve your credit score over the duration of the loan repayment. Making monthly repayments on a bad credit loan improves your own credit, as long as you continue to make repayments. Paired with paying bills on a monthly basis, credit can be improved over time, making you a trust worthy borrower in the eyes of credit providers.

Why not a payday loan?

A guarantor loan and a payday loan couldn’t be further apart. The only thing they have in common, is that they will provide a bad credit loan and that’s it. Payday loan companies charge significantly higher rates on their loans over shorter periods of time, making repayments difficult to keep up with. They are risky and costly.  A guarantor loan is a more sensible, affordable option. Guarantor loans rely on someone who trusts you to make payments and ensure that should you be unable to cover the costs, your guarantor will cover them for you. In terms of bad credit loans, a guarantor loan is a much safer, sensible and less costly option for those with bad credit.

What other options are there for bad credit loans?

Whilst there are many options for those with bad credit to secure a loan, such as a payday loan, a guarantor loan is one of the most secure and ideal options. The way a guarantor loan operates is that it can provide a loan to someone with bad credit based solely on trust. Simply find yourself a guarantor, who agrees to make repayments on the loan should you be unable to and you could secure yourself a loan, just like that. TFS spread the repayments over a longer period than payday loan companies, making repayments affordable and an asset to improve your bad credit.


You're applying to borrow £4,500.00 over 48 months. Repaying £172.88 per month. Total repayable £8,298.24. APR 39.9% Representative Fixed