3 Reasons To Get A Joint Loan

1. Joint Loans could mean you can borrow more money

If you were applying for a loan on your own, your income, credit history, employment status and residential status will all be taken into account. Unsecured loans for single applicants can range from £1000 to £25,000, depending on these circumstances. The loan lender will determine their decision on these criteria and whether they feel you can afford the repayments. You could potentially borrow more money with a joint loan. By joining salaries with your partner, your household income will increase, making a loan lender more likely to offer you the cash you need.

2. Even with bad credit you could get a joint loan

Some people have a less than perfect credit rating which may be detrimental to you if you apply for a loan. However, if you apply for a loan jointly with your partner who has a better credit history, you could be in a better position to actually have the loan application accepted. There is always the risk of being declined though by reason of an associated adverse connection, but this all depends on the lenders specific criteria, which you will never know until you try.

3. If you have a low income, a joint loan may be the way to borrow money

People who are on a low income are limited as to how much they can borrow on their own. If you opt to take out a joint loan, you have more of a chance of getting your application accepted. From a lenders point of view, lending £5000 to someone with a salary of £12,000 is very risky. But put in a joint loans application with 2 incomes totalling £32,000 you are more likely to get the money you need.