Basic Loan Options There are all kinds of loan options available to people with bad credit, including:

* Payment Option Loans
* Interest Only Loans
* 30 Year Fixed Loans
* 40 Year Loans
* 50 Year Loans
* 90 Days No Payment Loans
* No documentation loans
* Cash Out Loans

Special Concerns For People With Bad Credit

People with bad credit usually have some special concerns, and making smart choices can save you thousands of dollars.

One of the main concerns is the payoff of bad debt or collections.

Many borrowers find that they have errors on their credit report, and don’t want to pay that debt off. Sometimes the bad debt items are actually debts that a borrower has co-signed on to help out a friend or relative (in this sense it is not really their debt, even though legally it is).

Many borrowers are surprised to find that a lender will require a car loan to be paid off, even though the car is not theirs and they only co-signed on the loan.

Checking With Lenders

Many lenders will require you to pay off some or all of the bad debt.

Other lenders will not require you to pay off all the debt, or will put caps on it so you end up getting more of your money out in a refinance rather than the money going to pay off old debts.