A survey report made public in 2017 states that there were more than 1.56 million unemployed people in the UK; and, most of these had bad credit score that is nothing new in the UK due to consistent high unemployment rate for over the years. Unstable economy conditions and high inflation rate also contribute in growing numbers of British people with poor credit score. The lending agencies also acknowledge beyond the control circumstances; therefore, many of these offer bad credit unemployed loan to help the job seekers survive during the no Job period.
Brexit Effect on Unemployment Rate, UK:
Unemployment in the UK has risen for 1st time in two years after 2016 following continuous fall in unemployment rate; it went up to 4.4% from 4.3%. A considerable drop in numbers of self-employed professionals is noticed after Brexit as more and more workers prefer security in employment. A slowdown is also noticed in numbers of start-up businesses for the 1st time in a decade. Start-up businesses are the great power source of creative economy and support the overall growth rate of nation; the drop in numbers and the performance is serious concern for the job market also. Because of fears of after effects of Brexit on business environment, majority of part time businesses owners are choosing to join a job; therefore, the job opportunities for the fresher or lesser experienced job seekers reduced to alarming level. The outcome of changed circumstances and nature of available jobs, job seekers are taking more time to get a job of choice thus requiring the unemployed loan more to meet out the living and other expenses.
Unemployed Lending a Great Help amid UK’ Economy Turbulence:
If we explore the ONS data and employment data for employers in all the business sectors for the period 2016 – 2017, we find that 4.5m jobs were destroyed or created. It means that almost 22% of all the jobs were either created or destroyed over the 12-months period. If we find the answer of ‘why’, the answer is – ‘high level turbulence in the UK’ economy’. Amid such a high reshuffling, how one can feel financially secured.
The majority of employees are looking for a change to get better wages as they are feeling uncomfortable in meeting out even the routine expenses; the wages growth in the UK has been lower to the ever rising inflammation rate. The outcome is as disturbing for UK’s economy as it is for the person itself; the numbers of people having lower credit score than the average credit score are increasing fast. Mounting debt causes 6 in 10 almost (59%) British families falling short of recommended saving level. From where will these households pay the debts that they took to meet out emergency expenses? How can they improve their credit score while being jobless for longer without any expectations due to high scale reshuffling in business sectors? The only solution to tackle the situation for the meanwhile seams to apply for bad credit unemployed loan at direct loan stores.
How to Get Bad Credit Loan as Jobless Borrower:
If you are facing financial woes because of being jobless for a long, the 1st approach with priority is to apply for JSA (job seekers allowance). According to a report in January 2018, more than 300,000 eligible British unemployed were not on unemployment benefits provided by UK Govt.; lack of awareness seems the major reason for ignoring this facility. Even if you take job seekers allowance, still, you can apply for unemployed loan at direct lending agency with additional advantage of low amount requirement. The loan amount should be used for career oriented purpose like for improving education, joining professional training etc.
When decide to take unemployed loan from a direct loan store, you must shortlist at least 5-6 lending agencies; because each lender lends at different interest rate and terms and conditions. The social reputation of lending agency also matters a lot because you don’t the need just the cash help for the short-term but you also need support to clear the debt at ease. Compare the proposals by going through in between the lines; only after making all the doubts clear, agree for the loan.
Getting unemployed loan even for the bad credit borrower availing job seekers allowance is not a tough task in the UK because direct lending agencies have extended approval boundaries to remain in competition but the borrower needs to focus on the total cost until the last instalment paid instead of getting the cash help at the earliest.