Getting a Bad Credit Home Improvement Loan

Sometimes it's necessary and sometimes it's just on a whim, but all of us have felt the need to improve our homes at one time or another. In this day and age it's simply not enough to just have a roof over your head, everyone wants to live in style and comfort and many times this means improving what we already have. By tapping a home improvement loan we can add luxury to our lives in the form of a swimming pool, designer kitchen, spa or hot tub. Of course if you've had past credit problems this can put a real damper on your home improvement dreams. We all know that bad credit loans are hard to get, or are they? What if you could apply for and get approved for a bad credit home improvement loan.

There are many reasons that people have bad credit from bankruptcies to late or unpaid bills. While these will hurt your credit score it doesn't mean you still can't get a loan to make improvements to your home. Bad credit lenders are available and they will work with you no matter what your past history is and you may find that getting a home improvement loan with bad credit isn't as impossible as you thought.

You can get a home improvement loan either with or without collateral. If you choose not to use your home as collateral you'll find that this type of unsecured loan may be a bit more restrictive, but you should still be able to get a home improvement loan for up to $25000 with a repayment period up to 10 years. If you're willing to use your home as collateral however you'll find that you can borrow more money, have a longer time to repay it and the interest rate will be lower. If you feel comfortable that you won't have problems repaying the loan then the secured option where you put up collateral is definitely superior, but make sure you're comfortable with the idea that your home can be taken from you if you fail to make your payments.

While a bad credit home improvement loan will have a higher interest rate than a traditional home improvement loan, you shouldn't let that stop you. The rates will still be reasonable plus you'll be adding not only to your own pleasure, but also to the value of your home. And your credit score will climb as you make payments on this loan meaning you can eventually refinance the home improvement loan at a lower interest rate.

Overall, bad credit home improvement loans are a win-win situation for you, improving your home, your lifestyle and your credit.