Personal Bad Credit

Posted by admin on August 22nd, 2009 at 12:00am

Question:
Where can I obtain funds to begin a small business with personal bad credit?
I’m searching for a small loan to start a business but I currently have some negative credit. I’m only trying to get 5 to 15 thousand to be used for promotions. I have worked in the printing and graphic design business since 1996 so I do have experience.

Answers:
I would recommend starting the credit issue. Either employ a reputable personal bad credit repair service, or obtain your credit report and start contacting every creditor who lists anything that you dispute.
Rather than cash, see if you can get your vendors to send you net 30 or 60 day terms regarding promotional material. You have been in the industry for some time and if you have gained a relationship with them maybe they would cut you a break in good faith that you will bring future business.

Do you own any collateral? I got a loan from Wells Fargo Financial a while back and I have personal bad credit as well. Also try AIG. Do be cautious of the loan scammers out there. Never give your personal details to any lender unless you get a verifiable business name, address and phone number. And the big indication is that the lender will want money up front before you get the loan. That is not legal in the United States and Canada. If there are any fees associated with any loan, they would be deducted directly from the loan proceeds. Best of luck.

Banks work their own construct for opening accounts. As far as I know, they used Chexsystems. It’s essentially credit report for your checking and savings accounts.
Even with personal bad credit, they shouldn’t automatically deny you for an account. If you have a poor mark on Chexsystems, you will be rejected.
When I had one a while back, I essentially had to ask one of my friends who knows or are at least has a good relationship with the bank account manager. He put in a good word for myself and they opened an account for me.
Ever since then, I have carried out this referral thing for a couple of friends of mine, and it worked for them also.

Under Bad Credit Questions