Same Day Loans For People on Benefits (2021)

If you’re on benefits you’ve probably asked yourself if it is possible to get access to an immediate or same day loan. You’re much more likely to be able to get one if you’re on benefits if you can afford the regular repayments. Either with savings, the benefits you’re earning or other income you may be earning. Not every person on benefits doesn’t have income so, it is entirely likely you can get a loan but it really depends on how able you are to make repayments.The other questions that determine your eligibility will be your credit score and any assets you have and where you live. If you still live at home, have few bills and good credit you’ll get access to better rates. 

Can I get a loan if I’m unemployed?

Even if you’re unemployed it is possible to get access to same day loans. Some same day loan lenders will look at income from buy-to-let real estate and other investments, but not all. The question will always be can you afford the monthly repayments, it doesn’t matter how you will but you need to be able to show you could.

One of the best ways to increase your chances of getting to same day loans if you’re unemployed or on benefits is to have a guarantor sign alongside you. Not all lenders require this, but it will certainly widen the pool. A guarantor can be any friend or family member, they sign on your behalf and promise to pay any debts if you default. If you do use a guarantor, the lender will ask for all their financial details, their employer details and do a soft credit check on them as well a hard pull once you push ahead.

What should I be aware of?

Payday loans for people on benefits or that are unemployed are expensive, they can easily get out of hand if not paid on time. If you are on benefits and want to apply for a loan, we’d always recommend you check out what benefits you’re eligible for using the government’s eligibility tool, you can check it here

What lenders can I apply to if I’m unemployed and have a bad credit history?

CashFloat offers bad credit loans and loans or the employed if you can prove a steady flow of income. This income can be rent payments, pension, benefits and other non-typical income. They are a specialisation lender for those with bad credit, no credit or are unemployed.

We’ve also put together a list of same day loan lenders you can check out.