Online Mortgage Calculator

If you have never borrowed any money, and always paid cash for your major purchases, then you will need to know how you can get a loan with no credit. You will not have a credit history for a lender to evaluate in order to qualify your loan application. There are things that you can do that will help you get your loan application approved. If you can, you should begin applying for credit so that when you are ready to make a major purchase you will have a history. You can apply for a credit card, a personal loan, or educational loans. All these, if paid in a timely manner, will build your credit rapport.

The moderately easy steps below will show you how you can get a loan with no credit. You will need to gather up all the financial documentation that you have before starting with the first step.

Step 1: Make a file folder to keep your financial information in. You can keep other personal information in a separate folder so that it is readily accessible when you need it. If you make an application for a loan, keep a copy for your records. When you get your pay check, tear off the stub that is attached and keep it filed with your financial records. Any other income that you may receive should have a file folder as well. And when you file your personal income tax return, keep the documentation with your other records.

Step 2: You can go online to a variety of websites that offer free credit reports from one to three of the major reporting bureaus. With no credit, you can get a loan but before applying you should know what your credit report says. It is worth it to pay the additional fee to get your credit score along with the report. Review any information that is reported for accuracy.

Step 3: If you have a checking account or a savings account, talk to the loan officer at that financial institution. You may be able to take out a personal loan that will help you build a credit history. If you have been diligent in managing your checking account and you have enough savings that you can put as collateral for the note, the manager may be willing to help you build your credit by approving a small loan.

Step 4: You can look on line for lenders, but be sure to check their legitimacy before doing so. Peer to peer lending is a situation that allows you to explain your history to a loan officer and find one who is willing to help you by loaning money.

Step 5: If you own your own home, perhaps through inheritance or through a cash sale, you may be able to use the equity for a home loan. If you cannot make the payments that will probably be larger than those for a personal loan, do not elect this option. You can get a loan with no credit, but it would be more prudent to wait for major purchases until you have built a credit history using credit cards or smaller loans to build yourself a positive financial history.