Due to the standard lending guidelines provided by banks, it may be tougher for individuals with poor credit to obtain a loan. Licensed lenders, on the other hand, offer more lenient rules for those who wish to borrow money.

The amount you may borrow depends on the type of loan (secured or unsecured) and your existing credit score. If you take out a secured loan, you should pay off your loan to avoid having the collateral seized by the institution.