Our TrustTwo review found that their loans are particularly suitable for a number of people in the UK who have been unable to obtain a loan on an unsecured basis due to having a bad credit history but have a friend or relative who is prepared to act as guarantor who has a good credit rating. So, if you are in this situation, why not read our review of the Trust Two Loan to see if it meets your requirements.
Who can apply for a TrustTwo Loan?
You can apply for a TrustTwo guarantor loan if you are resident in the UK, are a minimum of 18 years of age and are able to meet the regular repayments. Applications are considered from people that have an adverse credit record but not if you have entered into a debt management plan, an Individual Voluntary Arrangement (IVA) or are bankrupt. You must also have someone that is prepared to guarantee the loan.
How do you apply?
Our Trust Two review found that you can apply online quickly and simply. Subsequently, the guarantor will also be able to provide the required information online. Contact will also be made by phone by TrustTwo with both the applicant and the guarantor. Credit reference searches will be undertaken on both the applicant and the guarantor as well as other checks such as to confirm affordability and identification and address verification.
If the TrustTwo loan is approved the funds are usually paid into the guarantor’s bank account within 3 days of applying. The guarantor can then arrange to get the money to you.
Repayments commence approximately 30 days after the applicant has signed the loan agreement.
Who can act as guarantor for the loan?
He or she must be between 25 to 74 years of age, with a good credit rating who is a relative, friend or someone that you work with although it cannot be your husband, wife or partner. Either tenants or homeowners can provide a guarantee. Our review of TrustTwo found that the guarantor will be held responsible for meeting the loan repayments should the borrower be unable to do so.
What can you borrow the money for?
TrustTwo loans can be used for a variety of purposes such as to purchase a car, pay for a holiday or consolidate other liabilities.
How much can you borrow?
A TrustTwo loan is available from £1,000 to £7,500 if the guarantor is a homeowner our review revealed. However, if the guarantor is a tenant then the maximum amount that can be borrowed is £5,000.
How long can you take to repay the loan?
Our TrustTwo review found that for loans of between £1,000 to £2,900 you can pay the loan back in weekly or monthly instalments over a period of between 12 to 60 months. For loans of between £3,000 to £7,500 you can repay the loan in either weekly or monthly instalments over between 18 to 60 months. It is also possible to pay off the loan early and, in doing so, you may pay back less interest than if the loan had run its full term.
What is the interest rate?
For loans of between £1,000 to £2,900 the annual fixed interest rate is 41.2% and the representative interest rate is 49.9% APR. For loans of between £3,000 to £7,500 the annual fixed interest rate is 36.9% and the representative interest rate is 43.8% APR.
There are no upfront fees.
Conclusion From Our TrustTwo Review
Our TrustTwo review found that their loans may appeal to some people that have a poor credit history who have been unable to borrow the funds on their own but have someone that is prepared to act as their guarantor. However, Trust Two are not the only provider of guarantor loans for people with poor credit so you may wish to look into what other lenders have to offer and compare the terms and conditions with a view to trying to obtain the best deal.