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This can give borrowers peace of mind and confidence in their financial decisions. For example, many online lenders do not require a minimum credit score or collateral. Doorstep loans often have very high fees and interest rates, which can make them hard to pay back.

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And if you live in a rural area, it can be hard to find a traditional lending place nearby. Alternative lenders: Alternative lenders, such as online lenders and non-bank financial institutions, may be more willing to lend to unbanked individuals than traditional banks. Check out reviews and compare terms and fees from several different lenders before you decide which one to use.