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As a result, they may be able to offer lower interest rates on personal loans than banks or other for-profit lenders. Banks also often have a wide range of loan products to choose from, so the bad borrower can find a loan that meets their specific needs.

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. Cardholders should carefully consider their options and only use cash advances on credit cards as a last resort. As long as the clawson borrower makes their payments on time and in full, they can demonstrate their ability to manage debt responsibly, which can have a positive impact on their credit score.

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