Do you need a loan fast but have a poor credit score? One of the options that you can consider is getting a no-teletrack loan. Lenders came up with a system of checking the history of borrowers by collaborating with a company known as CoreLogic.
This company offers a credit reporting service that provides lenders with information such as a borrower’s credit history. They call the service teletrack. Lenders that use Teletrack, therefore, check your credit history to determine if you are legible for a loan. Teletrack can determine your creditworthiness by looking at your earnings, frequency of making payments as well as employment history.
Not all lenders, however, use this system. Some offer no-teletrack loans to customers even if they have a poor credit rating. No-teletrack loans are short-term and can help you during an emergency. A lender does not consider your past loans or history before approving you for this type of loan. It means that even if you have not paid a loan in the past, you can still qualify for a no teletrack loan.
Should you consider a no teletrack loan?
In answering this question, you must weigh the merits of no teletrack loans against demerits. On the positive side, this loan comes with guaranteed approval. Since the lender does not determine your loan based on your borrowing history, there is a high chance of approving your loan. It is, therefore, a good solution when you need quick cash urgently.
Unlike conventional loans which take days to process, a no teletrack loan can be processed and issued within a day. This is what makes them ideal for emergency cases. Some lenders process these loans within the same day of the application while others deposit the money into your account after 24 hours.
The problem with choosing a traditional loan is that they limit you to a specific purpose. For instance, you must use a mortgage loan to purchase a home. This is not the case with no teletrack loans. The lender does not specify how you will utilize the loan. It means that you can spend the money for different needs such as paying your expenses.
No teletrack loans may be fast and flexible, but they have their limitations. Since the lender does not consider your payment history, they take a significant risk on you. That is why no teletrack loans come with high-interest rates. The rates of these loans may be higher than regular payday loans. It means that you can end up repaying a higher amount than what you borrowed.
You have to research different lenders before considering a no teletrack loan. Some of the lenders that offer this type are not reputable. Through research, you can get a legitimate lender and avoid working with a fraudulent company. No teletrack loans do not give you the opportunity to build your credit. If your aim in acquiring a loan is to boost your score, this is not the best loan to choose.