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Interest Â Charges of Direct Quid [link widoczny dla zalogowanych] Apply For Instant Loans There are 2 types of bad credit loans. the secured and unsecured. Secured bad credit loans are when the person borrowing money needs to put up collateral to secure the deal. Collateral is real estate, cars, jewelry, furniture and personal belongings that have value. This is the leverage that the loan company uses as a guarantee that the borrower pays back with an interest rate of 5% to 10 % which is lower than unsecured bad credit loans. Unsecured bad credit loans are the loans given to a borrower without the need of collateral and leverage for the borrower to pay. The rates, however, are much higher than secured bad credit loans.
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Loans werent always processed in this way. Prior to 2010, in fact, guaranteed private student loans were common, and they were backed by the federal government. The private bank originated the loan, but the government would step in if the student defaulted. When this program was eliminated in 2010, some elected officials claimed that the work would eliminate all banks in the country, but that hasnt happened. In fact, there are still guaranteed private student loans available, but they work in a much different way. [link widoczny dla zalogowanych] Micro Financing: Micro Capital can be a form of financial solutions for entrepreneurs and small enterprises missing entry to bank and related solutions. Search for: