Direct lenders are non-bank creditors who give loans to individuals and businesses without an intermediary. Direct lending can help to generate great returns which come with fewer downside risks and volatility.

The popularity of direct lending is mainly due to reducing the supply of loans by mainstream banks. Getting loans from banks has become tougher with increased documentation and if you do not have enough credit scores or a high income, then things can get tougher for you.

Who Are Private Lenders?

Private lenders have become popular among people who have credit scores and want to get money instantly.

The direct lenders for bad credit UK are generally more flexible than the banks and their lending terms are more relaxed. Ease of services, convenience, and the fact that it can be availed by all have increased the popularity of direct lenders.

The direct lender uses their own money to give you loans and thus, the lending process is very relaxed. All you need to do is apply for a loan- the private lenders will conduct minimum documentation, verify your basic details and the loan will be processed and disbursed to your bank account within a few hours.

Direct Lending V.S Third-Party Aggregators

Most of the online platforms that help you to get loans are not direct lenders. They are basically third-party aggregators who help you connect to different direct lenders according to your needs.

However, not all aggregators are effective as sometimes it is seen that your loan application gets lost in the flood of all the incoming applications, and they are unable to connect you to a reliable lender.

Thus, it is better to go for recommendations or research a bit to find reputed direct lenders for bad credit UK who will be able to help you in your situation.

Also, when you apply on third-party platforms, your mailbox might get flooded with unsolicited loan offers from unknown lenders. Responding to them might make your personal information vulnerable to leakage to scammers.

What Are The Benefits Of Direct Lenders?

There are several benefits of taking loans from direct lenders, like:

  • You will get fast funding and the money will get disbursed to your account in no time. It will help you get fast and quick access to the funds.
  • When you apply to a reliable direct lender, you can rest assured that your personal information will be safe and secure.
  • You can talk to your lenders directly about the terms and conditions of the loan, which will leave less chance of any error.
  • The application process is convenient and you can apply for the loan very easily.


When you are taking a loan, it is essential to review all the aspects and make an informed decision. You should take time to research before finalizing a lender.