If you have borrowed money and for some reason you defaulted in repayment of the loan amount, there is a possibility that the lender may initiate a court claim against you. When the lender does it, you get a letter to the effect that someone is making a County Court Claim against you saying you owe some money to him/her. If you admit and pay the amount claimed, you can avoid a hearing or judgment. If not, there will be a hearing and finally the Court will decide whether you have a debt to pay or not. The court may also prescribe the amount and the manner of repayment. When the court issues an order directing you to repay the debt, this order is called a County Court Judgment (CCJ).

A CCJ is recorded on the Register of County Court Judgments for six years. You can avoid your name from entering the register by paying in full the amount of the judgment within one month. Normally, when a CCJ is entered against you in the register, it becomes difficult to raise a loan. Financial organizations, banks, building societies and loan companies use the registered information in deciding whether you should be given loans or not. However, despite CCJ, there are still options available to you in the form of bad credit personal loans.

Bad credit loans may be secured or unsecured. The former type of loans requires you to furnish collateral which is generally your home, whereas the later ones do not require any such formality. However, unsecured bad credit loans are not easy to procure. Even if you get them, the rate of interest will be very high and the repayment period very short.

Bad credit loans may be personal loans, business loans, debt consolidation loans, holiday loans, car loans, etc. You can find them with many lenders in the UK financial market.

The author is a business writer specializing in finance and credit products and has written authoritative articles on the finance industry.
He has done her masters in Business Administration and is currently assisting Chance4finance as a finance specialist. To find a bad credit secured loans ,that best suits your needs, visit http://www.chance4finance.co.uk

Tags: debt consolidation loans, business loans, bad credit personal loans, bad credit loans, car loans, repayment period, building societies, loans bad credit, unsecured bad credit loans, ccj, personal loans bad credit, business writer, county court judgments, holiday loans, masters in business administration, masters in business, authoritative articles, finance industry, county court judgment