Whether it’s a broken boiler or a car that needs replacing, unexpected bills and expenses can come out of nowhere. One way to get through this stressful time is with a 6 month loan. These loans can be used to cover urgent expenses and are repaid in a short space of time.
We want you to feel confident to make a fully informed decision about your finances, which is why we’ve made this handy guide about 6 month loans. As a transparent broker rather than a lender, Tendo is committed to helping you understand the benefits and financial implications of loans. In this guide, we’ll look at what a 6 month loan is, how you can decide if its right for you, and how to apply for one if you think it’s the best choice.
What are 6-month loans?
6 months loans are a type of short-term loan that need to be repaid within 6 months. These loans are designed to give you fast financial assistance to cover urgent costs such as household bills, car repairs, vet bills and medical care.
Key characteristics of 6 month loans include:
- Short term repayment : repay the loan over the course of 6 months
- Higher interest rates: typically higher interest rates than loans with longer terms
- Online application: easily apply online with our simple form
Although a 6 month loan can help you cover urgent expenses, you need to borrow responsibly and feel confident that you can meet the repayment terms.
Why choose Tendo Loan to be your 6 month loan lender?
As a transparent broker, rather than a direct lender, we work with a panel of lenders to find you the best loan based on your unique circumstances. Our online application form is quick and easy to fill out and will help us assess your personal and financial circumstances. We’ll help you find a loan that suits your budget to ensure you can comfortably make the repayments.
Along with 6 month loans, we work with lenders that offer loans with repayment periods ranging from 3 to 36 months. Our panel of lenders offer flexible repayment terms to ensure you can pay the money back at a pace that suits you.
It’s incredibly important to us that you only borrow as much as you can comfortably repay, as part of your application, we’ll ask what you intend to use the loan for and your current financial situation. This will help us, and the lenders, determine whether a loan is the right choice for you.
How much can I borrow with a 6 month loan?
We work with a panel of lenders who offer loans ranging from £100 to £5,000. You should only apply to borrow as much as you can comfortably repay. Short term loans should also be reserved for essential expenses, such as household bills and boiler repairs. Try to avoid using a 6 month loan to cover non-essential expenses, these are “wants” rather than “needs”, things you can cut back on or eliminate without significantly impacting your ability to live. Ideally, you should also avoid using a 6 month loan to pay off existing loans as this can lead to a cycle of debt.
When you apply to get a loan quote, we’ll ask various questions about your financial and personal circumstances. This includes information about your income, regular expenses and how often you’re paid. We’ll also ask about your marital status and whether you have dependents or other financial obligations. This information will help our panel of lenders decide how much you could borrow and confidently repay.
Does having a poor credit history stop me from getting a 6 month loan?
While many traditional loan lenders only consider applicants with a good credit history, this isn’t the case for our 6 month loans. Our panel of lenders consider applicants with all credit types, so you could be accepted for loans for bad credit, even if you’ve been turned down for loans elsewhere.
Here at Tendo, we won’t do a credit search on you when you apply for a quote. However, the lender will typically complete a soft credit search when you apply for a loan to help them assess your application. If you are happy with the quote, the lender will then conduct a hard credit search.
Requirements for 6 month loans
To be eligible for a 6 month loan, lenders require you to meet the following criteria:
- Be at least 18 years of age
- Be a UK resident
- Be employed and earning over £500 net per month
- Have a bank account (and your wages paid into it)
- Have a valid phone number and email address
What to do if you’re struggling with debt
6 month loans are a big financial responsibility, so it’s important to consider your options before you get one. There are services and resources you can turn to if you’re in need of financial help. This includes the following services:
