Bad credit loans are often referred to as Bad credit History Loans .These are offered by brokers who can check hundreds of lenders on your behalf. Whether you’re looking for a secured or unsecured loan, you will usually be considered on a bad credit loan. This is because your broker will know which lenders are sympathetic to those applicants who have had credit problems. The goal of these kinds of loans from the perspective of the financial institutions was to earn higher interest rates and hence more money .However, when the number of people with bad credit history got these kinds of loans it resulted in a bubble which finally burst in 2008.