If you don't know where to turn for bad credit loans, you're not alone. Thousands of people struggle with their finances month after month, weighted down by a credit rating that they don't know how to fix.

Bad credit loans can be found in several forms, however, and can occasionally be quite easy to come by.

Whether you only need a little money to tide you over until your next payday or you need a thousand or more, bad credit loans exist to meet your needs.

Cheque advance

A cheque advance is probably the most common of the bad credit loans. These loans work by lending you money in exchange for a personal cheque that you make out for the loan amount plus a service charge.

You usually have around two weeks to pay back the loan, or until your next payday (whichever comes first.)

Should you not repay the loan or make payment arrangements at that time, the cheque advance lender can either cash the cheque or pursue other legal options.

Pawn shops and stores

Pawn shops and stores are another common form of bad credit loans. These stores allow you to bring personal property of value in and use it as collateral on a cash loan the loan being an amount that's equal to or less than their estimated value of the item minus service charges and holding fees.

Most pawned items have one month to be claimed or renewed, and if they are not then late fees can be assessed and added to the amount that you owe.

After 90 days pass, most pawn shops will put unclaimed items on their shelves to sell in order to regain the money that they loaned to the original owner.

Title loans

Yet another common form of bad credit loans are title loans. These loans work much like pawn shops, but differ in two major ways the property used as collateral is the title for an automobile or truck, and the owner usually gets to keep the vehicle after they get the loan.

The lender gains a legal claim to the title (known as a lien), and should the borrower not repay the loan then they can repossess the vehicle to sell in order to regain their money.

Other loans

Other forms of bad credit loans exist some banks offer bad credit loans in exchange for some collateral of value, or as a remortgage of real estate.

Other finance companies and lenders offer some of these same types of loans, with a variety of interest rates and repayment terms.

While you may have to pay slightly more for these loans, they can be a definite assistance when you need the money.

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