Emergency Loans

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  • 100% Online Process

  • Borrow up to £5,000

  • UK Based Lenders

  • Bad Credit Accepted

  • 2 Minute Application

  • Same Day Transfer

  • Representative Example: Rates from 35.9% APR to max 1304% APR. Minimum Loan Length is 3 months. Maximum Loan Length is 36 months. Representative Example: £250 borrowed for 3 months. Total amount repayable is £411.63 in 3 monthly instalments of £137.21. Interest charged is £161.63, annual interest rate of 292% (fixed). Representative 1192% APR (variable). *HappyPenguin will not perform a credit check but lenders will determine your loan eligibility by performing a soft search. If you accept the loan offer presented to you, a hard credit search will be performed.

    Your Guide to Emergency Loans

    Life is unpredictable. Just when you think you’ve gotten everything in order, you might find that the world throws a curveball your way that you never expected. Maybe you end up with a flat tyre and need to pay for someone to come and recover your vehicle from the side of the road. Perhaps your washing machine breaks down, and you need a new one.

    If you’ve been hit by an unfortunate surprise, and you can’t afford to wait around for your next payday, then you might want to consider an emergency loan.

    They are designed to get people back on track and living life as normal as quickly as possible. Various things can be classed as an emergency, so it’s worth speaking to your loan provider about whether you’re applicable for this kind of loan.

    What is an Emergency Loan?

    Essentially, they are short-term cash advances intended to help people get back on their feet. By giving you access to cash in a financial emergency, these loans ensure that you can pay for any unexpected bills as quickly as possible. Most of these loans come with straightforward application processes and no hoops to jump through. In some cases, you can apply for the money you need online and have it within your bank account in an hour or two.

    If you need money to pay for something within the next 24 hours or less, an emergency loan is often the best option. Since almost every person has been in a situation where they’ve been hit with an unexpected bill at one time or another, an emergency loan is quick and easy to access. However, you might need to pay a little more interest for the convenience of getting your money fast.

    On the other hand, the pay off is that you get the £100 you’re looking for with absolutely no waiting, you can access that money for virtually any reason, and you won’t have to wait weeks to be approved. It’s all about speed.

    What are they for?

    Different people define the word “emergency” in different ways. You might think that paying several hundred pounds for a vet bill is an emergency, while people without a pet might consider their emergencies to be more common with their homes or car. Ultimately, there aren’t very tight restrictions on what loan providers consider an emergency.

    Anything that you need to pay for immediately (often within 48 hours or less) and you can’t afford on your own can be an emergency. Although this probably shouldn’t apply to when you want an “emergency” shopping spree or vacation. Common uses for this type of loan include:

    • Car repairs
    • Utility bills
    • Unexpected vet expenses
    • Replacement for household items
    • Home repairs

    How Do Emergency Loans Work?

    When you’re dealing with an emergency, the last thing you want to do is deal with complicated paperwork and application forms. They are designed to be as simple as possible so that you can get the money that you need fast. Usually, you’ll apply to borrow the money that you need, and agree to pay that cash back over a specific period.

    Payment arrangements can be made so that you automatically send money to your loan provider once a month. This way, you don’t have to worry about defaulting on your loans or paying them off late. If you choose a payday loan over an instalment loan for your emergency cash, then you may be expected to pay the money you borrow off in one chunk. Usually, you’ll be asked to give back the money you owe the next time you are given your monthly wage.

    It’s best to look at all of your options when you’re considering a loan, so you can ensure that you’re getting the deal that you feel most comfortable with. Remember, these loans are intended as a means to give funding to those who need cash as quickly as possible. Whether you’re dealing with an unexpected car implosion or a failed MOT, short term loans are there to help.

    What are the Terms of an Emergency Loan?

    The experience that you can expect to get with your will depend on some things, including the provider that you’re borrowing the money from. One thing that you should keep in mind is that most emergency loans are intended for small amounts of money. Usually, you won’t be able to borrow several thousand pounds from an emergency loan.

    Additionally, whether you choose to pay the money that you borrow back through an instalment process, or all at once, the loan will not last long. Terms on emergency loans are very limited, as they’re intended to get you through until your next payday, or perhaps slightly longer.

    The idea is to give you the initial cash you need to get you back on your feet, and then you pay that money back as soon as possible. It’s worth checking what kind of terms and how much money an emergency loan provider can offer you before you begin your application.

    Who Will Qualify for An Emergency Loan?

    Most of the time, short-term loans are easily to successfully apply for than long-term or personal loans. This is because your lender is taking on less risk when giving you the money. They know that they’ll be getting the cash they give you back within a short amount of time. Because of this, some emergency loan providers won’t pay much attention to your credit rating either.

    Although the FCA demands that all loan providers must check a borrower’s credit rating before giving them the loan, your emergency loan company might take other factors more seriously. For instance, they might want to know how much money you have coming in each month, and if you have any other financial commitments to deal with that might stop you from making your repayments.

    Almost anyone will be able to successfully apply for a short term emergency loan without much of a problem, even if you do have bad credit. Most of the time, all you’ll need to do is prove that you are a registered citizen of the UK and that you are older than 18 to apply. You’ll also need a verifiable source of regular income that proves you can afford the loan, and a UK bank account that your money can be paid into.

    How to Apply?

    Like with most short-term loan solutions, these loans are designed to be quick and easy to apply for. All you need to do is choose the amount of money that you would like to borrow, and how quickly you will be able to pay for that money. Once you’ve entered that information, then your loan provider will let you know how much the cash advance you need will cost.

    If you feel that you can afford the monthly repayments or the one-off cost of your loan, then you can go ahead and complete an application – either online or over the phone. This will usually involve answering a few basic questions about your income, where you live, and what your general expenses are.

    Remember that emergency loans are unsecured lending products, which means that you won’t need to put any assets or valuable items up as security for your loan. This will mean that you’re protected if anything was to go wrong with your cash advance. However, if you do feel as though you won’t be able to pay back the money that you borrow on time, then you will need to contact your loan provider as quickly as possible.

    In some cases, you may be able to roll the term of your loan over for a little longer, which will give you more time to find the money you need.

    Will an Emergency Loan Affect Your Credit Score?

    Generally, taking out a loan will not affect your credit score poorly. Although emergency loans require you to access credit quickly, there’s nothing wrong with doing this as long as you can pay back the money that is owed according to the terms and conditions laid out by your loan provider. As with any other loan, if you adhere to the rules of your cash advance, you might find that your credit score increases.

    Taking out loans and paying them off on time is one of the best ways to grow your credit score and prove to other people that you’re a reliable lender.

    Comparing Emergency Loans

    Although it’s essential to get money as quickly as possible when you’re looking for emergency loans, it can be a good idea to take some extra time out so that you can find a deal that’s better for you. Comparing your options is always a good idea with loan products, as it will help you to find the interest rate that’s best for you in the long term. Make sure that you look at:

    • The APR: Because your emergency loan is a short-term lending product, most APRs will look huge, because they’re meant to cover an entire year. However, they do give you a baseline on which to start your comparison.
    • Additional fees and costs: make sure that you check for any extra expenses associated with the emergency loan that you don’t want to pay.
    • Speed: Find out how quickly your emergency loan provider can put the money you need into your bank account so that you can handle your situation.
    • Repayment options: Ensure that the loan provider you choose gives you all the time that you need to pay the money you borrow back in full.
    Warning: Late repayment can cause you serious money problems. For help, go to moneyadviceservice.org.uk. Happy Penguin is a broker, not a lender, and does not make credit decisions.