No guarantor loans - Borrow £50 to £5,000^†

Not everyone who needs a personal loan will be able to secure one using a guarantor. If you are looking for short term finance, you’ll be pleased to know that there are lots of no guarantor loan options available in the UK.

It’s true that no guarantor loans tend to carry higher interest rates, and can be slightly more difficult for people with bad credit to obtain, but that shouldn’t put you off from applying! At ThisLender, we work with a panel of lenders offering no guarantor loans, so we are able to help you find a suitable lender for your needs quickly.

Read on to find out if a no guarantor loan is right for you:

• What is a non-guarantor loan?
• How does a loan with no guarantor work?
• What is a guarantor?
• Why would I need a guarantor for a loan?
• Are no guarantor loans easy to apply for?
• What are the benefits of no guarantor loans?
• Are there any disadvantages to no guarantor loans?
• How can I improve my chances of approval for non-guarantor loans?
• How can I use my non-guarantor loan?
• How do I get no guarantor loans via a direct lender?
• How else can I get a non-guarantor loan?
• Can you get no guarantor loans with bad credit?
• Why choose ThisLender for no guarantor loans?
• Where do I go for help if I’m in financial difficulty?

What is a non-guarantor loan?

A non-guarantor loan is a type of personal loan that does not require an additional person to co-sign the loan agreement. With no guarantor loans, the term agreements stay between you and the lender, without third party involvement from a guarantor.

How does a loan with no guarantor work?

Before deciding which loan product is right for you, it’s important to first understand what a guarantor is.

What is a guarantor?

A guarantor is a person who agrees to take responsibility for your loan repayments in the event you default on your loan. Typically, guarantors are trusted friends or family members who are comfortable taking on your debt if an issue arises with your loan repayments.

So, in comparison to this, non-guarantor loans work by only involving the lender and yourself. Before securing any loan, you have to agree to the lender’s conditions. For no guarantor loans, there is no third person present to sign the loan terms and conditions with you.

Non-guarantor loans are common in the UK, and make up the majority of personal loan agreements.

Why would I need a guarantor for a loan?

Good question. There are lots of reasons why a lender might require you to have a guarantor co-sign the loan agreement. The main reasons for needing a guarantor include:

• Bad credit history
• First time borrower (no credit history)
• Recently started a new job
• Low salary
• Prior CCJs

Are no guarantor loans easy to apply for?

Yes. These no guarantor loans tend to have a far simpler application process than guarantor loans. This means that you can usually receive your no guarantor loan in a matter of hours, or no the next day.

Applying for a no guarantor loan is typically easier if you have a good credit score and borrowing history. Sometimes, first time borrowers might face issues, due to the fact the lender is not able to see a positive track record of paying off credit.

What are the benefits of no guarantor loans?

There are lots of benefits to no guarantor loans. The main advantages of this type of funding include:

• Greater choice: The majority of consumer loan options are non-guarantor, which means there are far more products available for you to choose from.
• Maintain relationships: Asking a friend or family member to be your guarantor can be risky and put a lot of strain on your relationship. Non-guarantor loans enable you to borrow without getting your loved ones involved.
• Avoid risk for the guarantor: When someone agrees to be your guarantor, if you default on repayments it may negatively impact their credit score, as well as your own.
• Flexible repayment terms: When you apply for a no guarantor loan through ThisLender you can benefit from repayment terms between 3 and 36 months. Enabling you to comfortably pay back the borrowed funds at your own speed.
• Fixed interest rates: Non-guarantor loans have a fixed interest rate that is pre-agreed during the application process. This allows you to create a borrowing plan, helping to budget your repayments effectively.

Are there any disadvantages to no guarantor loans?

Unfortunately, non-guarantor loans also come with some negatives. Before taking out a loan product it’s important to be aware of all of the pros and cons, so be sure to read some of the main disadvantages of no guarantor loan products:

• Higher interest rates: You might find that interest rates are higher for loans with no guarantors. This is because the absence of a guarantor increases the overall risk for the lender. They tend to charge higher interest rates to mitigate their risk.
• Lower approval rates for adverse credit: If you have bad credit, or have suffered previous CCJs, you might find it difficult to secure a no guarantor loan. Borrowers with bad credit present increased risk for the lender, and it is at the lender’s discretion as to whether or not your loan will need a guarantor or not.
• Increased liability: In the absence of a guarantor, you become 100% liable for debt repayments. Not being able to pay the money back can have serious consequences, and if you choose a secured loan, it could result in your assets being repossessed.

How can I improve my chances of approval for non-guarantor loans?

If you have adverse credit, and are worried about your approval chances for no guarantor loans - fear not! Your credit score can always be improved. However, there are no quick shortcuts.

The first step to improving your chances of approval is to know exactly what your financial situation is. Get hold of your credit file and make sure that everything is correct and appearing as it should.

After that, you need to start to take steps to improve your score. There are lots of ways you can do this, including:

• Keep your information and details up to date
• Contact your credit report provider to correct any mistakes
• Check for fraudulent activity against your account
• Look into getting a credit builder card

Get more help with improving your credit score.

How can I use my non-guarantor loan?

You should only ever borrow money in the event of financial emergency, when you have no other way of securing funds. Non-guarantor loans are not to be spent on non-essential purchases - such as on shopping trips or leisure activities and holidays.

Instead, non guarantor loans should be used for:

• Debt consolidation
• Medical bills and funerals
• Unexpected breakages
• Household appliances
• Vehicle repairs & MOTs

How do I get no guarantor loans via a direct lender?

If you want to apply for no guarantor loans through a direct lender, you can usually do this online using the lender’s website. The online application process shouldn’t take you long to complete, however it’s important to take time and research no guarantor loans direct lenders to find the best deal.

Not all direct lenders offering no guarantor loans will propose the same interest rates and repayment terms. As a result, it can be quite difficult sifting through the hundreds of UK providers to find the best one. To help with this, we’ve put together a list of direct lenders who are based in the UK.

How else can I get a non-guarantor loan?

As mentioned, the application process for non-guarantor loans is relatively straightforward. If you decide to use our broker service, all you have to do is fill in our online application form. This tends to take just 5 - 10 minutes as we ask some basic questions to get a better idea of your situation and needs.

Shortly after submitting your application, if successful, you will receive a quote from a lender on our panel. This quote is free of charge, and you are under no obligation to continue with the agreement.

After receiving your quote, you can decide whether to procceed or not with your no guarantor loan directly with the lender. At this stage, you will be presented with the loan terms and conditions. Make sure you fully understand the interest rates and repayment period terms.

Once the loan has been approved and the contract has been agreed upon, most of our lenders are able to release funds on the same day, or in as little as 10 minutes^². Which means if you’re looking for a fast loan with no guarantor - you’ve come to the right place!

Can you get no guarantor loans with bad credit?

Yes, maybe. However generally speaking, no guarantor loans for bad credit are difficult to obtain. The lender might require you to take out a guarantor loan because of the higher risk your bad credit history poses.

With that being said, at ThisLender we work with a panel of lenders who are well versed in arranging a variety of loan options, not just no guarantor loans. By using free online application, we'll be able to match you to a suitable ledner for your situation.

Why choose ThisLender for no guarantor loans?

Here at ThisLender, we’re working hard to build a safe space for consumer credit where our customers feel comfortable getting the information they need to make smart borrowing decisions. Applying for a no guarantor loan through ThisLender has lots of benefits:

• Financial Conduct Authority (FCA) Approved: We are authorised and regulated by the FCA, as are the lenders on our panel. This means that we are held to a high standard of lending best practice, and you will be applying via a credit broker you can trust.
• Online Applications: The application process takes just a few minutes and can be completed on the go, or from the comfort of your home. You don’t need to worry about filling out any additional paperwork on our side, we keep all loan applications quick and easy for everyone to complete.
• 100% Free Service: As a broker, we offer a no guarantor loan online matching service in which you will receive a tailored quote from a lender on our panel (no hidden fees). The only fees and charges you will receive happen one you have confirmed the loan terms and conditions with your chosen lender.
• No-obligation Quote: You shouldn’t feel forced into a decision to borrow, and that's why the quote you receive via ThisLender is no-obligation, which means you don’t have to go ahead with the loan agreement if you change your mind.

Where do I go for help if I’m in financial difficulty?

If you are having financial difficulties or need to speak to someone regarding your financial situation before applying for a loan you can get free and confidential advice from MoneyHelper (formerly The Money Advice Service), National Debtline or debt charity StepChange.