Guaranteed Approval Credit Card: Worth It?

You’ve probably entered the term Guaranteed Approval Credit Card into your search engine of choice at some point or another, just as millions of Canadians do each year.

Or, just like so many other Canadians, you got a letter in your mailbox bearing the caption Guaranteed Approval Credit Card Is Ready. The word guarantee is a very bold one and not to be thrown around lightly.

See, when consumers see a word like “guarantee” related to any offers of money, they either become skeptical or they throw themselves into it 100%

We’ve put together this post for you to better understand what you’ll get the next time you type guaranteed approval credit card into Google or whichever search engine it is you prefer to use (because in the end they will all show you what we’re going to discuss today).

The first thing you need to know is that some of these offers are for partially secured credit card loans, meaning that before you can access cash via credit, you’re going to have to pony up some of your own cash first.

This somewhat defeats the purpose of what you’re after.

Another result you’re sure to get when you search for a guaranteed approval credit card are offers for payday loans. This is about as toxic situation as it gets. You’ll never win with payday loans because they’re deliberately designed to make you lose.

The interest rates are pretty bad to begin with, but it’s the window of time that is almost certain to lock you into the trap. Trying to balance your regular life expenses with a larger sum of money is almost destined to result in a default…and those defaults result in stiff penalties that will turn what was supposed to be a two-week loan into an affair that drags on for months for up to 600% interest.

Finally, you can also expect to encounter credit card offers from lenders who’ll charge you a very high interest rate as well as sometimes ding you with sneaky “administrative fees” that have no bearing or meaning, but they know that if you’re in a bad credit situation, they can get away with it.

So what you have to ask yourself now is, do you really need a guaranteed approval credit card, or would you be better off with a personal loan from a private lender like LoanAway?

With LoanAway, our application process starts with an 8 minute online form. Within a couple of hours of receiving that information, our loan specialists will have your application processed and you will get approval by the end of the day.

Right off the bat you’re accessing an application process that is a lot faster than the average guaranteed approval credit card out there. Plus, most of our customers have their loans in their bank accounts within 24 hours of starting the application.

When it come to repayment, we offer a window as long as 36 months, which many of our customers have told is very helpful.

To learn more about how a loan will be a greater help to your finances than a guaranteed approval credit card, reach out to us online or give one of our specialists a call at (866) 689-0091 (toll free).