As of June 2020, the unemployment
rate stood at 11.1%*. This unemployment rate is on the higher side, and
in the midst of the current COVID-19 pandemic, job uncertainties have increased.
Imagine a situation wherein you lost your job all of a sudden? There’s no
reason to panic yet, as you can look for emergency loans even if you don’t have
a current job. You can use these funds until you get employed next.

How to Qualify for
a Loan if you are Unemployed?

Two factors can influence
your chances of availing an emergency personal
loan
despite
having no current job. They are: Your Credit Score and any Alternative Source
of Income.

• Your
  Credit Score

Your credit plays a vital
role in getting your emergency loan approved in case you are currently
unemployed. The financial lenders will definitely go through your credit
history as well as your credit score in order to determine your ability to
repay the availed loan amount.

If you have a high credit
score, then the financial lenders will definitely consider offering you a loan.
On average, a credit score of 670 and above is considered to be extremely good.
Ultimately, it also depends upon the scoring model** such as
Vantage Score or FICO.

The credit scores are usually
calculated utilizing the information present in your credit reports. You can
verify the same on an annual basis and at no additional costs. If you have a
good credit history, then so is the chance of you having a good credit score.
It is very important for you to consistently check your credit score and fix
any issues with respect to the same in order to correct your credit score.

Always remember that any past
due amount which is older than 30 days can cost you at the very least 100
points on your credit score.

• Options
  with respect to Alternative Income

If you do not possess any
employment proof in case of a layoff, then you can show alternative sources of
income to your financial lender to express your loan repayment ability. Unemployment
benefits can easily be used*** to represent your income status on the
following:

• Pension as well as retirement
  benefits
• Income of your spouse in case
  of availing a joint personal loan
• In case of any disability
• Child support or alimony
• Social Security benefit
  payments

In case you have certain
savings in your bank account, or in case you are a freelancer having an
independent source of income, or if you have any upcoming job offer, then you
can even present those as your source of income to your financial lenders.

What to do in case
you do not qualify for any loans?

In case you do not possess
any income to avail a personal loan, then there are certain alternatives for
emergency loans. Following are some of the alternatives:

1. Applying
   for a loan along with the Co-Signer

If your credit score prevents
you from availing a personal
loan
when you are currently unemployed, then having a cosigner while applying for
the same can definitely help your cause. The co-signer can be a family member
or your friend having a good credit score. The advantage of having a co-signer
is that it increases your possibility of getting your loan approved. You can
try to get your loan at a lower interest rate and if possible avail a larger
loan amount as well.

Always remember that both you
as well as your cosigner are responsible for the payment of the loan amount. So,
in case either one of you misses those payments, then you come under financial
scrutiny.

• Getting
  a Joint Personal Loan

Just like a cosigner, you can
always apply for a joint personal loan with anyone who has good financial
security and credit score.

The basic difference between
the two is that the cosigner only shares the responsibility of repaying the
loan and not the ownership. In case of a joint personal loan, both the
applicants are the owners. Availing a joint personal loan can be beneficial for
friends, couples and families in which one member is unemployed while the other
has a steady source of income.

• Applying
  for a credit against your home or HELOC

If all of the above options
do not meet your requirements, and in case you are a homeowner, then a Home
Equity Line Of Credit (HELOC) may be able to offer you some emergency cash. The
credit allows you to borrow money against your home and therefore is not
dependent on your income. It basically involves a revolving line of credit
through which you can borrow based on your requirements.

HELOC is not dependent on
your income. But, it uses your home as collateral against the availed credit.
In case you’re unsure about making the repayments, then you have to be
extremely careful before availing this credit and should consider choosing any
alternative routes for financial assistance.

References:

* https://www.wsj.com/articles/june-jobs-report-coronavirus-2020-11593651420

** https://www.debt.org/credit/report/scoring-models/

*** https://www.dol.gov/coronavirus/unemployment-insurance

Having a bad or poor credit score generally makes it tough but not impossible to avail a personal loan. Credit unions, Peer-to-peer loans, Home equity, and even debt consolidation without any loan can definitely improve your credit rating. This, in turn, increases your financial options in the future. But a bad credit score will certainly not help you in getting a loan at a good interest rate. You could try to dispute credit report through Smart Credit. Or, you can still try to find a bad credit loan at interest rates which are much lower when compared to those you would find on Payday loans*.

What are Bad Credit Loans?

Bad credit usually refers to low
credit history or credit score. Acts such as late payment as well as maxed out
credit cards contribute towards lowering your credit score.

Bad credit loans are usually
an option for individuals whose credit scores reflect some sort of financial
missteps. It is also useful for those individuals who simply wouldn’t have had
the time to build any sort of credit history. Bad credit loans are either
unsecured or secured personal loans. The applicable interest rate, loan
tenure period as well as the processing fee varies from one financial lender to
another depending on the kind of loan.

Several financial lenders such as banks, online lenders, and credit unions offer bad credit loans to those individuals who have poor credit. However, the criteria as to whom they consider creditworthy borrower varies from one financial lender to another. Few lenders have a good setup requirement when compared to others which makes it quite evident for an individual with a bad credit score to shop when looking for such bad credit loans.

UK credit matching service Now Loan can allow people with poor credit histories to attain the loan they need despite bad credit.. Services like this compare dozens of lenders and match borrowers with the right one for them instantly.

What is Considered a Bad
Credit Score?

Credit scores are usually a
means to gauge your likelihood to repay a loan. The credit scores usually range
from 300 to 850. If your number is higher, then it is more likely that you
would repay the loan amount.

Bad credit score ranges
from 300 to 650**. Individuals in this category are usually considered
high-risk borrowers and end up paying the highest interest rates. Individuals
in this category are usually the prime candidates who look for bad credit
loans.

However, the definition of a
good and bad credit score is quite subjective and varies from amongst different
financial lenders. Some lenders do not prefer to offer financial products to
those individuals who have a credit score below 650. Few financial lenders who
like to market to different consumers will opt for individuals having scores
below 650. A general descriptive score index can be as shown below:

• Excellent credit score: 760-850
• Very good credit score: 700-759
• Fair credit score: 660-699
• Poor credit score: 620-659
• Extremely poor credit score:
  Below 620

How can you get a Bad Credit
Loan?

Availing a personal loan with
a bad credit history though difficult, is not impossible. But it definitely
requires some effort from your end to research the most affordable loan out
there for you. Following are a few steps you can follow to avail a personal
loan in case you have a bad credit history:

• Checking
  your Credit Score

The first step towards
availing a personal loan with bad credit involves checking your credit score. Always
remember that any individual is entitled to one free credit report on an annual
basis from each of the credit reporting agencies.

• Look
  for a Guarantor

Several financial lenders are
willing to offer loans to individuals with poor credit history if they have
backing from a guarantor. This will prove to the lender that there are reduced
risks associated with granting your loan.

• Compare
  between Different Bad Credit Personal Loans

If you are on good terms with
any financial lender such as a bank or a credit union, and if your account is
in a good position with regular paychecks, then you can try to avail a personal
loan. Besides, you must also go through the reviews of different bad credit
personal loans available online to find out any hidden or extra fees. This will
also ensure that you have not missed out on any chance and have availed the
best offer available.

• If
  possible take advantage of Pre-Qualifications

Prior to applying for any
personal loan with different financial lenders, you are allowed to check if you
pre-qualify for the personal
loan
without pulling any hard credit checks. This is quite an ideal way to shop
around bad credit loans without creating any impact on your credit score.

• Look
  for Secured Loans

Few financial lenders also
offer secured personal loans which are quite easier to avail for individuals
who have a below-average credit score. Such loans are usually backed by certain
assets like a car or your home. However, the advantage is that they have a
lower APR which works out in your favor.

References:

* https://www.consumerfinance.gov/consumer-tools/payday-loans/

** https://www.experian.com/blogs/ask-experian/credit-education/score-basics/what-is-a-good-credit-score/

With many either working from home or looking for something
new, now is the perfect time to start a side hustle. These side hustles could,
later on, become full-time, profitable jobs all on their own, but by starting
them when you have the financial security of a job, you can forget the stress
of starting your own business or a new career and learn as you go. Start now so
that by 2021 you may just have a fully-fledged business on your hands to call
your own.

1.   
Sell Items Second-Hand Online

One of the most significant opportunities that you can
manage and turn a profit
right from your own home is to sell second-hand items online. The
second-hand market is booming, and so too is the upcycle market. If you love to
get crafty and want to see some money from your passion, this is the best way
to go. You will need to build up a customer base and remember to try to make
your marketing materials and product photos as professional as possible to
fetch the highest amount.

2.   
Start Day Trading

There are so many different types of stock or even currency
that you can trade. From working the stock market to trading the value of
currencies, to even taking your efforts to the cryptocurrency world. You have
so many options, and with automated trading software, you only need to keep an
eye on your connection and spend a few extra minutes a day to adjust your parameters.
You can even get started today and open
an account in just a few moments, and then get started with trading even if
you don’t have any experience.

3.   
Become a Consultant

If you have the experience, you can offer your advice and
expertise to those around the world as a consultant. You can be a consultant
for anything, even cleaning up as Marie Kondo has proved to the world. People
want help and guidance in areas that they are lacking, so if you find you
always seem to be helping others see what you think is obvious, it’s time to
start working on your own as a consultant. Start first with your own network,
and work to create a fair price point so that you can sell your services to
them.

4.   
Take Your Passion Freelance

If your talent doesn’t lend itself properly to consulting,
then just offer your services for a price. Many careers are already based on
this model, and it isn’t difficult to get started. It is the same as starting a
business with the only difference being that your overhead is significantly
smaller and all your profits go to you, not another employees’ bank account.

5.   
Become a Tutor

The third option is to teach your skills. This doesn’t have
to be a one-on-one tutoring session with a teenager either. You can teach
people how to cook in a series of webinars that are paid access. You can teach
them how to start a successful social media account. The online learning market
is enormous, and you can find your own very successful slice of that pie.

6.   
Start a Thriving Blog 

There is no reason why you cannot start a thriving blog that
you can monetize while doing any of the above options. In some cases, like
teaching online, it will actually help you bring in more money and clients.

If you don’t have
credit yet, you should see to it to start building one as soon as possible. You
should get a credit card or apply for a loan and make on-time payments on what
you owe to receive an excellent credit score. Yes, that’s the best way to establish
your credit profile.

When you’re just
kicking off your journey to this goal, it’s normal to worry about not getting
approved for a loan because you have no credit history. But you have to keep in
mind that you can still qualify for a loan even without credit.

Just make sure to use
the loan for a good purpose and avoid having too many debts (here’s what to know about investing, budgeting, and debt reduction).
For you to obtain a loan despite your credit situation, take some time to read
this article to learn how to get one.

Take Out an Online Personal Loan

An online personal
loan is one of the most preferred money borrowing options for people with no
established credit history. Since you’re working with an online lender, there’s
a possibility that you won’t go through a tight credit check during your loan
application.

Typically, your
online lender will only ask you for a proof of income and employment certificate
as requirements to get the loan.

Work with a Co-Signer

Working with a
co-signer is another tactic to secure a loan even if you don’t have yet an
existing credit profile. The person who will co-sign the loan with you can be
your friend or relative (in fact, anyone whom you trust). But you should keep
in mind that your co-signer should have a stellar credit history to boost your
chances of obtaining the loan.

The person who
co-signs with you for the loan should also understand the responsibility of
being a co-signer. In such a time when you miss payments or you default on the
loan, your co-signer will have to pay the unpaid amount. If ever he/she won’t
continue repaying, his/her credit profile will receive bad marks.

If you’re going to
borrow money with the help of a co-signer, have some good sense of paying the
loan on time to avoid putting your co-signer’s credit profile at risk.

Go to a Lender Who Conducts Non-Traditional Credit Checks

Mainstream lenders
and major lending institutions follow strict rules when checking a borrower’s
credit profile. That’s why not all loan applicants get approved for a loan due
to such stringent credit checks.

That’s why if you
need to borrow money without having an established credit history, go to a
non-traditional lender. Your credit score is not a big deal to non-traditional
lenders, but you still need to show that you have the means to repay the loan
by providing your recent payslips, bank statements, and certificate of
employment.

You can browse the
internet and compare the loan offers of non-traditional lenders. There are
direct lenders and lending networks that can give you an advantageous soft
credit check loan.

Apply for an Alternative Payday Loan

Another
credit-building loan that you can get is an alternative payday loan. Members of
credit unions can apply for this loan and receive a small loan amount with a
repayment period of 1 to 6 months. It’s an excellent loan to build your credit
because it’s much easier to repay than a regular payday loan.

Aside from the loan
term and loan amount, alternative payday loans have affordable fees and rates
than regular payday loans. Perhaps the only catch with this loan type is that
you need to be a registered credit union member to avail
of it. Usually, a borrower needs to be a member of the credit union for a few
months to get qualified for this credit-building loan.

Get a Secured Loan

Lenders who offer
unsecured loans require you to have a good credit history if you want to borrow
cash from them. Your good credit score serves as proof that you’re a good
payer, so you won’t find it a challenge to get such loans.

But what if you’re
just starting to establish your credit profile?

Well, if you’re in
this situation, don’t worry much because there are secured loans that allow you
to borrow cash even with no credit. As its name suggests, this loan type
requires you to have an asset that you can put as security against the money
you owe. If you default on the loan, your lender has the right to seize that
asset in exchange for your non-payment.

You can offer either
your car, home, land, bond, mutual fund, stock, or a collector’s item as
collateral against the loan. Since the loan is secured with collateral, there’s
a chance that you can enjoy an affordable interest rate.

Takeaway

If you want to build your credit profile,
you should take note of the ways mentioned in this post to achieve your goal.
Even with no credit, you can obtain a secured loan, alternative payday loan,
soft credit check loan, or online personal loan to start your credit-building
journey.

Cryptocurrencies are a hard concept to wrap your mind
around. They are an unregulated currency that is mined from computers with
specialist hardware. They only have value because we assign them value, but at
the end of the day, that is the same as with any paper currency around the
world.

What really makes cryptocurrencies stand apart is the technology backing them. Blockchain
has huge implications for the future, from all but eliminating voter fraud to
making it easy and secure to transfer sensitive medical data. It is this
backing technology that means it’s really not a matter of if cryptocurrencies
will gain traction, but when, and even further than that which cryptocurrency
will come out on top of the format wars.

Right now, however, there is huge potential. For the
everyday person, this potential comes in trading. The market is very volatile,
which is perfect for buying high and selling low again and again and making a
pretty profit while you are at it.

To get started, you will need:

The Perfect Bitcoin Wallet

To buy or sell Bitcoin
(or any other cryptocurrency), then you will need a digital wallet. These
wallets are easy to set up, and when you choose a good one is very secure. They
are perfect whether your intention is to buy and hold or to sell and buy regularly
through daily trades. Choose the right one and remember to compare before
making your final decision.

The Right Trading Software

Before you can start
trading, you are going to want to choose the
right trading software for you. You don’t want to manually make trades. This
opens you up to the potential of emotional trading that can be exhausting and
full of costly mistakes. Instead, you will want to use a trading program that
will help you take advantage of continuous market scans and make smarter trades
on your behalf. You will put in the parameters, of course, but with trading
software, you can take the emotion out of the trade.

You also often only need internet access, so you can continue to trade on the
go through your mobile device.

A Profile on the Right Trading Market

There are actually a wide variety of ways that you can trade
Bitcoin and other cryptocurrencies that go well beyond buying these cryptocurrencies
when they are low, selling when they are high, and waiting for the next drop.
Learn all you can about the variety of ways you can trade in Bitcoin and choose
the right market for you. You will then need to decide on how exactly you
intend to trade.

There is day trading, trend trading, Bitcoin hedging, buying, and holding, and
so much more. You can even make money trading without even holding any Bitcoin
yourself with Bitcoin CFDs.

In every instance, you will need to have an account on the
relevant market, so choose how you intend to trade and set up an account.

The Right Hardware

You need only a few things to trade with cryptocurrencies.
One is a device that can connect to the Internet. A good computer or mobile
phone will suffice, but it needs to be reliable. The second is a robust and uninterrupted
internet connection. Ensure you have these two components, and you should
be able to source everything else digitally from wherever you are.