Should you fail to meet the repayments as outlined in the terms of your loan, there are several courses of action that your lender may take; you may incur late fees and your payment history could be divulged to a credit reporting agency. It is important to note that this will impact negatively on your credit score, and your account may be referred to a collections agency. In some cases, the lender may offer extension, renewal or refinancing opportunities, however this may result in additional fees. Late or Missed Payments: It is crucial that you carefully review the procedures in your loan agreement regarding late or missed payments. This will vary from lender to lender, but may include higher interest rates, late fees and other charges. Ensure that you are aware of these practices before you accept the terms of your loan. Collection Practices: Failure to repay your loan could result in your account being referred to a collections agency. Please consult your individual lender’s policy for the terms, which apply to your own loan agreement, as these can differ between lenders. Loan Renewal: In the event that you miss a payment, submit a late payment, or present a partial payment, it is possible that your lender may offer you an extension or renewal on your loan. As a result of this, additional fees may incur, which will be automatic in some cases. Please note that each lender will have their own repayment policies, complying with individual state laws. How Late Payments Affect Your Credit Score: Late or missed payments may be reported by your lender, resulting in a lowered credit score. Before signing your loan documents, ensure that you review your lender’s policy regarding credit reporting. You are entitled to query the implications of late or missed payments with your lender at any point during the loan process. As Willow Loans is not a lender, we are unable to provide information on repayment options for specific loans. To apply for a personal loan with bad credit simply fill out the application form and Willow Loans will search multiple loan providers to find the best loan for you. If you have any further questions, please refer to the FAQ section, or get in touch with Willow Loans via the contact page.