Bad Credit Personal Loans in Nevada (15k), Utah (5k), Arizona (2k)

Today we are discussing personal loans in three different States in the western United States. We are going to visit Las Vegas, Reno, and Carson City Nevada where borrowers and lenders got together to do business outside of the conventional banking system.

Then we will be going over to Arizona for an applicant who wants to borrow $2000 in Phoenix, with the lender living in Scottsdale, and another possible (potential) lender living in Tucson. For the third and final loan, it’s a $5000 personal loan in Salt Lake City Utah, with the lender being in Provo.

These are very much all-purpose personal loans for a variety of different reasons, but each borrower needs to get some straight cash to look after some debt that they have. The interest rates are split between 10.5%, 11.5%, and 12.5%, and all of these loans are installment type loans with various terms in regards to how many months the loans are out. All of these applicants have low credit scores which is made them all fit into the category of “undesirables” by the conventional banks in Utah, Nevada, and Arizona.

The same rules apply in regards to how the conventional banks are treating your average everyday consumers when they have bad credit scores. They can’t find approval with any of the conventional banks in their area, and they also need to borrow more money than what a payday loan company would ever lend out. Not to mention that these borrowers can’t pay back the complete loan in a short-term such as one-week, two weeks, three weeks, or the maximum of one month that most of these payday loan companies work with.

All of these applicants were looking for a reasonable interest rate well under 15% APR in the terms of their loan agreements.

$15,000 Bad Credit Personal Loan in Nevada

So our first personal loan was for a $15,000 principal over a three year term at 10.5%. They need to get some debts paid off that have been piling up over the last two years because they weren’t earning enough money on a monthly basis to pay down all of the bills that they have coming in. Obviously, this applicant has to come to grips with how much money they have coming in, and learn to adjust how much they are spending each month in utilities, car payments, rent, cell phone bills, and “entertainment costs”.

This applicant lives in North Las Vegas, just east of the North Las Vegas Airport and lives in a basement suite over on E. Bonanza Rd. – just north of the Veterans Memorial Hwy. She works as a blackjack dealer in the Bellagio casino and has worked there for the last three years.

She used to be a teacher working in South Las Vegas, at the John R. Hummel Elementary School on Placid Street just south of East Silverado Ranch Boulevard. She had worked there as a teacher for seven years before being laid off due to lack of seniority, and she had to start all over again. As most people know, blackjack dealers don’t make allot of money and rely on getting tips from the patrons who are gambling on their tables. In total, her monthly income is only about $3200 after tips, and after deductions she only takes home about $2600. This makes her DTI number come in at 53%, which is right on the borderline with most loan officers when they are discussing whether or not they will approve a loan.

As you can see in the table below her FICO score is only 603 after she had it checked with FreeCreditScore.com. We advised her that she didn’t have to pay any money to get her credit score checked, and the next time she gets her credit score checked she should be using her free-once-a-year option.

The reason this applicant wants to borrow $15,000 is because she has an accumulated credit card debt of $12,000, is behind on her rent, and her cell phone bill is maxed out with the possibility of service disconnection. She is planning to move out to California to start over with friends and work in a florist shop in six months, so she also needs a few thousand dollars to pay for relocation costs, so her reason for borrowing $15,000 is varied. This is why we consider her loan application to be in the category of all-purpose.

She couldn’t get approved with her bank either (One Nevada Credit Union) located at S. Mojave Rd. not far from Watson Drive and N. Heritage Way. The actual name of this branch is the Nevada Federal Credit Union. She set up an appointment with the loan officer at the credit union to try and convince them to lender the $15,000 at a reasonable interest rate. The loan officers and the staff at the NFCU were very professional and extremely polite. They explained to her in detail why they couldn’t approve her personal loan based upon her DTI rating (53%), her personal monthly income, and her outstanding debt. As with most loan officers they do wish they could lend you the money if they could, but they are bound by the policies of whatever bank they are working for – in this case a credit union.

She had no choice but to consider finding a private lender for a higher interest rate online. She used our site to make an application (I should say pre-application) and she had an answer back within 72 hours of filling out the form. The lender turned out to be not from Las Vegas at all and lived in Carson City with their offices in the Reno/Sparks area.

They agreed-upon a very reasonable 10.5% interest rate over a three-year term. The total amount of money paid back to the lender over the three years was $17,427.57, and the total interest on the loan was $2430 approximately. This was a monthly payment of $478 (approximately) for the three years. You can see the rest of the information for this Las Vegas based applicant below.

$2,000 Bad Credit Personal Loan in Arizona

The next applicant lives South-East of Las Vegas in Phoenix Arizona, and he wanted to borrow a smaller amount of money, which almost fit into the payday loan or cash advance category because it was only $2000. There are certainly payday loan companies in Phoenix and in the Scottsdale area who will lend out up to $1500 to some of their repeat customers, but for first-time customers they will only lend out three or four hundred dollars.

This particular applicant lives in the Sun City, Peoria, and Glendale area of Phoenix. To be a little more exact he lives on West Olive Avenue not far from the Phoenix Wickenburg Highway. He needs to borrow $2000 quickly for emergency purposes, but needs a six-month term in which to pay back the loan. Even if a payday loan company would provide him with the cash, he would still not be able to pay back within 28 or 30 days. He needed to find an alternative to a payday loan company which led him to funding FUSA for the first time.

This applicant’s employment history is very solid because he has worked at the Peoria City Hall Amphitheater for the last five years, and makes a fairly decent living there. He has two children and is a single father which adds to his monthly costs driving his DTI up to over 60%, and along with his bad credit score he was not eligible to get a loan with his branch (Gold Canyon Bank which is also on West Olive Ave.).

He doesn’t have a line of credit because he doesn’t have any home-equity to use as a security, and he doesn’t have any credit cards that are not maxed out. He needed to borrow the money to get his car repaired, because his work travel is extremely troublesome using public transit, not to mention he has to get his kids off to school and back. He found a garage that would repair his car for $1800 and they could get it done in three days, by the time they get parts.

He had no real choice but to find a private lender who would give him a loan for six months and hopefully at an interest rate that was not over the top. He could afford loan payments of $350 a month in his opinion, and he had the bank statements and pay stubs to somewhat prove that he could handle that amount.

By using the pre-application service here he made it known how much he wanted to borrow, for how long, and what interest rate he desired. He actually put his interest rate at 13%, but as you can see by the table, he ended up paying an interest rate of 11.5%.

The private lender who lent him the money has been online for over three years now, and has been giving private loans to bad credit applicants in Arizona consistently, charging interest rates of 10% up to 50% depending on the status of the borrowers and the applicants.

This lender works with a group of lenders who deal with small consumer loans all through Arizona, with a specific concentration of lending in the Phoenix area. Their home base is actually in Scottsdale Arizona. Their offices are not far from the Scottsdale Stadium just off of North Drinkwater Blvd. and East Osborn Road (they have chosen to keep their exact address private, and keep a low profile online).

You can see the terms of this loan in a purely numerical fashion in the table below. You will notice that we had listed Tucson as being one of the locations for this loan, but that information was a bit erroneous because in the early stages of this applicant’s request he had been approached by a lender based in Tucson (actually a little bit south of Tucson in Green Valley). However, the table below shows the details of the finalized loan agreement.

$5,000 Bad Credit Personal Loan in Utah

For the last loan today we’re heading straight North up into the state of Utah where the borrower lives in Ogden and the lender lives in Salt Lake City. This borrower needs to borrow $5000 as a personal loan and needed a term of two years in which to pay it off. They were also asking for an APR of less than 15% on the note.

Her initial lender was in Provo and it looked like she would be getting approved for a loan by them, but that fell through fairly quickly when the lender inexplicitly decided to not go through with it. This left her to her second option which was a lender based in West Valley city (an area of Salt Lake City).

The borrower has grown up in Utah her entire life and she is only 27 years old (at the time of this application) – she has lived in Bountiful, Farmington, Layton, and even as far south as Provo, but has steady work now in North Ogden. She can afford payments of $200 as she described in her pre-application form, and as you can see in the final loan agreement with the private lender she only ended up making payments of $108.11 (biweekly). This is approximately $16 more per month than what she wanted to pay in installments, so it worked out in the end as something affordable for the two-year term.

As you can see her FICO score was 640, which isn’t the worst case scenario, but definitely low enough that none of the banks in her area would lend her money. She tried to get approved at her branch (the Golden West Credit Union) which he had switched to from the Bank of America a couple of years ago because of the BOAs unreasonable fees. She was declined there but kept going to other banks in the area to try to get approved for the $5000 loan.

She tried to get approved at Key Bank, the Bank of Utah over on Washington Boulevard, and Bancorp also on Washington – no joy. She drove into Salt Lake City and tried there too as well. She was declined at the Wells Fargo Bank, at Liberty Bank, Bank Of The West, Premier Services Credit Union, and finally at the Zion’s First National Bank.

What she didn’t realize at the time was that when you make applications for credit at multiple different banks, there is a record on the books (I should say in a database) of all the applications she makes. It worsens your credit score when the banks can see a record of all your requests for credit.

When the banks see that you have been trying to get money from various different lenders, they hold that against you in the short term. This is why you should always understand what your personal DTI percentage rate is, what your credit score is, and what your recent consumer payment history is before you go trying to get approved for new credit. I wish she had known this before she went on this binge of applications.

Below you can see that the private lender from Salt Lake City provided a 12.5% APR with biweekly payments of $108.11, for a two-year term. The total interest on the $5000 loan came up to $637 – not bad at all we consider that this applicant was being turned down by every bank in her area.