There are several features of bad credit loans that make them quite different to normal lending instruments. For one thing, they are generally made to people under pressure.
These borrowers are people who need a (usually small) loan for an urgent need, and have very few lenders available to them. Perhaps even no borrowers in sight at all. That makes them somewhat desperate. It is pressure.
And then, they will probably also be under pressure because repaying their new loan will be just as difficult as trying (and failing) to repay the earlier loan that earned them their reputation as a risky borrower. Read the rest…
