$20,000 Military Loans With Bad Credit: Why Approval is a Realistic Aim

Sep 17
11:31

2012

Devora Witts

Devora Witts

  • Share this article on Facebook
  • Share this article on Twitter
  • Share this article on Linkedin

Seeking a $20,000 military loan with bad credit is not unrealistic, Once the criteria is met, then there is little reason to be rejected - and military personnel offer more security anyway.

mediaimage
There is a general belief that no matter where a person goes for a loan,$20,000 Military Loans With Bad Credit: Why Approval is a Realistic Aim Articles poor credit rating makes it very difficult to get the thumbs up on an application. But there are areas where the influence of low scores are even less than normal. This is clear when seeking a $20,000 military loan with bad credit, despite the large sum that is being sought.The reason is that members of the military are a different type of applicant than civilians, and lenders who specialize in loans to the military are more likely to approving applications despite poor ratings. Often the process of getting loan approval is speeded up by the absence of any credit check facility.There are always conditions and criteria to meet when applying for a loan. But there is little doubt that the chances of approval are improved when members, and former members, of the military approach recognized military loan lenders in the niche for funds.Why Military Personnel are DifferentIn many respects, the people who qualify for military-focused lending initiatives are a safer bet than the rest of us. This is primarily because of the degree of job security that members of the military have. With their employer being the US government, the chances of redundancy are practically nil, so getting a $20,000 military loan with bad credit is easier.It is also generally understood that military personnel are entitled to a greater degree of discounts and incentives than members of the general public - like special incentives when buying a home, for example. What this means is that the cost of many of the loans that are standard for modern living are not as expensive. So, getting loan approval is made simpler.However, it is worth noting that these discounts and incentives are not enough to guarantee escaping from financial strife. While it may be easier to secure a military loan, the loan still needs to be repaid. So, easier does not mean guaranteed.Advantage of No Credit ChecksIn many cases, lenders who specialize in providing loans to military personnel do not carry out credit checks on the applicants. This means that any financial trouble (like bankruptcy for example) is ignored when assessing applications for even a $20,000 military loan with bad credit. The pressure is therefore off, even for those applicants with a terrible credit history.Normally, the fact that credit checks have been put aside when getting loan approval would mean that a higher interest rate is applied. This is to compensate the lenders for accepting the extra risk involved. But because military personnel are paid directly by the US government, it is possible to set up an automatic repayment scheme with a bank, thereby removing the chance of missing repayment.So, even when getting the benefit of no credit check, those applying for military loans can benefit even more. With approval all but guaranteed, so long as all of the required boxes are ticked.Boxes to TickThe basic criteria are easy to meet when applying for a $20,000 military loan with bad credit. As with all loans, there must be proof of age (over 18), proof of income and proof of citizenship. However, providing current or former military status information is enough in this case.After that, there is a need to prove that the repayments are affordable. This is where some applicants lose out, as getting loan approval is dependent on showing that existing debt is not too much to allow for further debt.If there is enough income to spare, then it is hard not to get the green light on the military loan, even if it is as large as $20,000.