What is Ninja Loan? How It Works, Pros and Cons

The high-interest rate that accompanies taking loans makes it the last resort for many borrowers. Even with collateral, assets, and well-paying jobs, getting a loan seems a herculean task.

NINJA loan comes to the rescue for borrowers who do not have both collaterals or jobs. In fact, with no means of repaying your loans, you can get NINJA loans with high credit scores.

Getting a loan without collateral or sure means of repaying is not easy. However, with Ninja loans, you can get some financial assistance when you best need it while you figure out how to repay.

This article explains in detail what this loan means and who is eligible to get one. In addition, you will gain clarity on how often you have to pay your credit Ninja and tips on how to get out of a credit loan.

A quick glance at the table of contents below reveals the order in which these questions are duly answered.

What is NINJA Loan?

NINJA is an acronym that stands for ” no income, no job, and no assets.”

Normally, loan lenders verify each applicant’s ability to repay loans before approving a loan. However, the slang NINJA loan explains a scenario where the lenders do not verify the applicant’s ability to repay.

Prior to the 2008 financial crisis in the US, they were rampant and readily available. It was majorly used in situations where lenders and brokers did not want trouble qualifying otherwise non-qualifying loans.

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This is a term that best describes low-quality subprime loans. It best describes a loan situation where all the lender has to show is his/her credit rating.

The new regulations imposed by the US government after the 2008 financial crisis sent it into extinction. Basically, these loans do not meet the standard lending practices across the credit market. So, only a few NINJA loans are available following these restrictions.

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What Does NINJA Loan Stand For?

This stands for a loaning practice that doesn’t require the lender to duly verify the repayment ability of the borrower.

The term stands for “no income, no job, no assets”. They are loans available to individuals with no sustainable income, job, or asset but with high credit scores.

Who Created Ninja Loans?

No income, no job, no assets loan was first used by Charles R. Morris. He popularized the term in 2008, after he used it in his book the Two Trillion Dollar Meltdown.

He had used this term to explain mortgages where the borrower did not have to supply verification of income, job, and assets.

Afterward, the acronym has been used by mortgage lenders to explain situations where lenders are willing to mortgage loans to borrowers with no income, no jobs, or no assets.

How Does NINJA Loan Work?

NINJA loan framework offers a borrower loan based on the borrower’s credit score. Basically, there is no detailed verification of income or assets to get a loan from financial institutions that offer this type of lending.

The only eligibility that exists for borrowers in financial institutions that offer this loan is a good credit score above a certain threshold to qualify.

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This type of loan offer is provided through subprime lenders generally. So, tendencies of credit score requirements being lower than those of mainstream lenders exist.

Most financial institutions offering this type of loan allow borrowers to repay the debt within a given timeframe. Basically, NINJA offers, attract an initial low-interest rate that increases over time.

Legal actions can be taken against debtors who fail to adhere to the payment plan. This can greatly affect the offender’s credit score and limit the chances of obtaining other loans in the future.

How to Get a Ninja Loan

Getting this loan can be quite easy since it doesn’t require a lot of paperwork. Follow these steps below to get this loan.

  • Find a financial institution that offers this type of loan
  • Discover their credit score threshold
  • Depending on the financial institution, fulfill other eligibility requirements
  • Be qualified for a loan
  • Apply for the loan
  • Repay the loan within the stipulated timeframe.

What are the Pros and Cons of NINJA Loans?

Just like any endeavor in life, This kind of loan has some advantages as well as disadvantages. If you are looking forward to borrowing from a NINJA loan financial institution, study the table below to gain more clarity before applying.

S/NPros of NINJA LoansCons of NINJA Loans
1. The applications are quickly processed. It doesn’t meet the new standard for lending and loan applications.
2. It requires less paperwork compared to traditional business loansIt is very risky for the borrower as they do not sign the underwriting practices that keep both sides out of trouble.
3. It is appealing to borrowers who dislike customary documentation because of its speedy deliveryBorrowers may take out larger loans than they can repay
4. They require no evidence of collateralLenders are not secured by any assets and may lose all if the borrower defaults
5. It offers low introductory interest rateThe low introductory rates are bound to rise in the future.

Is Ninja Lend Legit?

The NINJA loan framework was designed as an easy way to boycott the intense and lengthy process that assesses the ability of the borrower to repay the loan.

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NINJA lender is one of such financial institutions operating with the NINJA loan framework. Ninja lend is a legit marketplace for lending companies. Here, marketing companies can buy and sell rejected loan applications.

Is CreditNinja a Payday Loan?

Yes, Credit Ninja is a payday loan. As a financial institution operating on the NINJA loan framework, its installment loans give you access to funds in a safe and timely manner.

Creditninja payday loan rates and fees range from $62.5 to $125.0. Interestingly, borrowers can easily apply for a personal loan through the online request platform. Click the button below to ascertain the terms and conditions.

Does CreditNinja Check Credit?

Yes, just like other financial institutions offering this service – CreditNinja checks credit.

Basically, to get a loan from Credit Ninja you must be eligible. Below is their description of eligibility requirements.

” Your eligibility depends on creditworthiness and your resident state. To check eligibility, just fill out our quick online application. It will only take a few minutes and won’t affect your credit score.”


The need to borrow money may arise even while unemployed. Most times, you may not have a realistic means to pay back the money you intend to borrow.

With no collateral, job, or asset – getting a loan from a traditional mortgage or financial institution appears impossible. However, the NINJA loan comes to the rescue although not without some limitations.

This article explains in detail what the NINJA loan means, how it works, and its pros and cons.



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