Today, getting approval for any size of unsecured loan with bad credit can be difficult. This is because traditional lenders, like banks, have adopted strict lending policies, applying something of a credit squeeze by making the requirements for qualifying more difficult to satisfy.
Of course, there is no great shock in this. Stricter requirements are designed to protect the lenders from the kind of losses they have suffered in the economic crises of the last few years. And of all the loans on offer, unsecured loans carry with them the greatest risks. So, higher interest rates are to be expected.
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