What to do if the bank refused you a loan?

When we want to take a loan, we usually go to the bank first. However, we don’t always have sufficient creditworthiness. It may happen that the bank will not want to provide it. What to do in this case? Currently, a wide range of easy-to-obtain non-bank loans is available on the market.

Nowadays, banks have a very wide offer when it comes to loans. We can get a car loan, a home mortgage, a loan for any purpose, an account limit, or a credit card or business loan. Currently, however, banks are not monopolists on this issue. There is a whole range of non-bank financial institutions that operate both stationary and online. They are usually visited by people who have not received a loan from the bank. It is worth knowing, however, that sometimes it is a very good option even for those who have sufficient creditworthiness. Often, money can be obtained faster, easier and even under better conditions.

The most popular bank loans


Currently, bank loans are the most popular. Sometimes you don’t even have to visit the branch to get a loan. The advantage is that it can be used for any purpose. You don’t have to explain what you spend the money on. It can be both buying a car and going on vacation, renovation, treatment, repayment of earlier debts, or even the organization of an event such as a wedding.

The amount we can borrow at the bank depends on our creditworthiness. It is influenced by a number of factors. Usually we can get the best offer at the bank where we already have the account to which we transfer our salary.

Often, in such cases, you do not need to show any documents. Of course, the more installments we distribute, the lower they will be. However, it should be remembered that in this case the overall cost of the loan will be higher.

Who can get a loan from a bank?


As a rule, banks have more stringent requirements than non-bank loan companies. Our creditworthiness will always be checked before you grant us a loan.

It is primarily influenced by the amount of our income on the account, expenses, type of employment contract, but also whether we have fulfilled our obligations in the past and even whether we are included in the voter list.

The higher the loan amount you want to get, the higher the bank will have. We can sometimes receive smaller amounts immediately, without any certificates, based solely on our receipts and checking our credit history.

Do you earn a lot and the bank refused you a loan?

Sometimes, however, we have high earnings, but we will not receive a bank loan. This can happen, for example, when we have defaulted other loans in the past.

Sometimes even a small delay is enough. It also happens that we fulfill our obligations, earn a lot, but we still receive a negative decision. For example, because we pay a high mortgage installment or have a large family to support.

Low creditworthiness – where to go?

Low creditworthiness - where to go?

If the bank refused to grant us a loan and we need money badly, there is a solution. We can borrow money from family or friends, but also from a non-bank loan company, of which there are a lot on the British market. The latter offer both popular payday loans and installment loans. The former allow you to borrow smaller amounts and repay the entire liability, for example within 30 days.

This is a good solution when we suddenly need money, and we are sure that within a month we will get a payment and we will pay off our commitment peacefully. Due to the fact that such a loan is repaid in a very short time, its costs will be much lower than in the case of an installment loan.

Non-bank loans in the UK

As for installment loans offered by non-bank financial institutions, they operate on similar principles as those at the bank. You borrow a certain amount, usually more than for payday loans, and then repay it monthly or weekly for a set period of time. The interest rate is usually higher than for bank loans, but the requirements are lower. Thanks to this, such a loan is more accessible and can be a salvation for someone whom the bank has refused.

Usually you can get it in a few minutes, without leaving your home. You should always check whether the company you want to borrow money from is registered and supervised by the Financial Conduct Authority. It is a government institution whose goal is to guarantee certain standards in the financial services market.