Payday Loans for Terrible Credit

Cara Bradley

Written by

Cara Bradley

5 min read

Updated: 23/02/2024

Sometimes, a broken hoover or an unexpected car repair can suddenly leave us feeling the pinch when we least expect it.

If you need to search for a loan, Viva Money might be able to help you.

What are payday loans?

When you take out a payday loan, you borrow a sum of money from a lender to tide you over between paydays. Usually, you will need to repay the loan in full within a month.

Can I search for a payday loan with Viva Money?

Viva Money is a credit broker. We help people search for suitable loans; however, we do not work with any lenders offering payday loans.
The trusted lenders on our panel offer short-term personal loans from £100 to £10,000, with repayment terms between 3 and 60 months, depending on the amount you apply to borrow. Short-term loans give you more time to clear your balance, as opposed to payday loans which usually require full repayment within a month.

Can I search for a loan with Viva Money even if I have terrible credit?

You can search for a loan with Viva Money if you:

  • Are over the age of 18;
  • Are a UK resident with a UK address;
  • Have a UK bank account with a valid debit card; and
  • Have a regular source of income paid into your bank account.

Being approved for a loan with terrible credit could be difficult. Be aware that if you are offered a loan with bad credit, you may be subject to a higher rate of interest, and you may not be able to borrow as much money as you’d like.

Viva Money work with a number of lenders who are happy to consider applications from those with less-than-perfect credit scores.

The Viva Money process has been designed to be as straightforward as possible.

  1. Choose your ideal loan amount and term. Remember, you should never borrow more than you actually need or can afford to repay. Then, complete our online application.
  2. In just 60 seconds, we will run a soft search on your credit information and scan our panel of lenders for a suitable match. Soft searches don’t leave a footprint on your credit file, and do not affect your credit score.
  3. If we’ve been successful in finding you a loan, you will be redirected to the lender’s website to complete your application. This will include undergoing a hard credit search.
  4. If the lender is happy with the outcome of their additional checks, you will be sent a loan agreement. Read through this carefully before you decide whether to sign and return. You must be confident that you are able to make your monthly repayments on time every month.

If approved for a loan, how quickly will I receive the money?

Some of the lenders on the Viva Money panel are able to send the loan to your bank account on the same day your application is approved.
The time it takes for the money to appear in your bank account depends on your bank’s policies and procedures.

How can I improve my credit score?

If your credit score is looking a little worse for wear, it may help to know that there are things you can do to work towards a healthier credit position.

  • Register to vote.
  • Check your credit report for errors.
  • Ensure all bills are paid on time.
  • If you have a credit card, stay well within your credit limit and make at least the minimum repayment amount each month.
  • You should avoid using your credit card to withdraw cash from ATMs.
  • Avoid making too many credit applications over a short period of time. Too many hard searches can lower your credit score.

I can no longer afford to repay my loan – what can I do?

If you have taken out a loan that you can no longer afford to repay, you must contact your lender as soon as you can to discuss how best to manage your account and get you back on track.
Lenders appreciate that life can be unpredictable and sometimes our financial circumstances can change beyond our control.

Loan alternatives for terrible credit

If you’ve decided that a loan isn’t the best option for you right now, you may be wondering if there are any alternatives to consider when you need money to cover an emergency.

If you are on a low income you might be eligible for additional help, depending on your circumstances. If you’re unsure whether you qualify for any additional benefits or grants, you may find the Turn 2 Us benefits calculator tool useful.

When you apply for Universal Credit, you will usually receive your first payment 7 days after the end of your first assessment period. If you’re experiencing money worries while waiting, you can apply for an advance on the website. The advance will be paid back through deductions from future Universal Credit payments.

If you’re already receiving Universal Credit, you may be able to get a Budgeting Advance to help with emergency household costs, such as a broken appliance. This will also be repaid through your usual Universal Credit payments.

Feeling as though we can’t access the money we need to fund an urgent expense can be scary, but please try not to panic. It may feel as though you have exhausted all options but help and advice is always available.
Debt charity StepChange offer a range of financial hardship advice on their website, including information on food banks, emergency gas and electricity tokens, and possible help from your local council, such as free school meals.

I’m worried about money – who can help?

We understand how consuming money worries can be, which is why we are extremely proud to have teamed up with debt charity StepChange to provide a Money Health Check quiz. The quiz can be taken online for free. The answers you provide will remain confidential and will trigger tips on what you can do next.

You can also access free, impartial money and debt management advice on sites such as MoneyHelper, Citizens Advice, and National Debtline.