Card machine loans with bad credit: can you still get funded?
By Helm, Funding Specialist
- Card machine loans focus on revenue, not credit scores
- CCJs and defaults do not automatically disqualify you
- Soft credit checks do not affect your score
- Strong card revenue is the key to approval
- Many businesses with bad credit are approved daily
If your credit score has held you back from getting business funding, a card machine loan could be the solution. Because approval is based on your card terminal revenue rather than your personal credit history, thousands of businesses with poor credit access card machine loans every year.
Why credit scores are less important
Card machine loan providers assess risk by looking at your actual card transaction data. Your daily card revenue shows them your business is active and generating income. This real-time performance data is a far better indicator of repayment ability than a credit score from months ago.
Credit issues that do not disqualify you
Card machine loan providers regularly approve businesses with:
- County Court Judgments (CCJs)
- Previous loan defaults
- Missed credit card or loan payments
- Low personal credit scores
- Thin credit files
- Previous bankruptcy (if trading under a new entity)
How to maximise your chances
Even with bad credit, these steps improve your approval odds:
- Apply when your card revenue is strongest
- Provide 6 months of card data if possible
- Be transparent about credit issues
- Choose providers who specialise in bad credit
- Apply to one provider at a time
Will applying make your credit worse?
No. Most card machine loan providers use soft credit checks that do not appear on your credit file. Your credit score will not be affected by applying.
Frequently asked questions
What is the minimum credit score needed?
There is no minimum. Card machine loan approval is based on your card revenue, not your credit score.
Will a CCJ stop me getting approved?
No. Many businesses with CCJs are approved for card machine loans every day.
Is the cost higher with bad credit?
It can be slightly higher, as providers may offer a higher factor rate. Compare offers to find the best deal.
Will the card machine loan appear on my credit file?
Most do not. However, check with your provider to confirm.