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Best Personal Loans for Bad Credit September 2023

Are you looking for the best personal loans for bad credit? At Lendstart, we understand that finding the right loan with a bad credit score can be challenging. That's why we've compiled a list of the top lenders who offer affordable personal loans for bad credit.

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Key Facts

  • APR: Varies by lender
  • Loan Term: Varies by lender
  • Min Credit Score: 300
  • Max Loan Amount: $40K

Pros

pros iconFunds direct deposited often within a single business day

pros iconAbility to compare a range of different options

pros iconHelps people with bad credit to get a loan

pros iconGood range of possible loan amounts

Cons

cons iconAPRs can be high

cons iconNot too much info about lenders

THE OPERATOR OF THIS WEBSITE IS NOT A LENDER, does not broker loans to lenders and/or lending partners and does not make cash advances or credit decisions. This Website does not constitute an offer or solicitation to lend. The operator of this Website is not an agent, representative or broker of any lender and/or lending partner and does not endorse or charge you for any service or product, but may receive compensation from the lender and/or lending partner for forwarding your information to them. In some cases, you may be given the option of obtaining a loan from a tribal lender and/or lending partner. Tribal lenders and/or lending partners are subject to tribal and certain federal laws while being immune from state law including usury caps. If you are connected to a tribal lender and/or lending partner, please understand that the rates and fees may be higher than state-licensed lenders and/or lending partners and you may be required to agree to resolve any disputes in a tribal jurisdiction. Additionally, your information may be going to an aggregator and not a lender and/or lending partner. Your information can be sold multiple times leading to multiple offers from lenders and/or lending partners, and other marketers. Lenders and/or lending partners who buy your information may supplement it with additional information about you that they obtain from other sources. Not all lenders and/or lending partners can provide your requested type of loan and/or loan rate or terms, and we make no promises that you will be able to obtain a loan. Cash transfer times may vary by lenders and/or lending partners and local laws. Lenders and/or lending partners may perform a credit check to determine your creditworthiness. In some circumstances faxing may be required. For details, questions or concerns regarding your cash advance, please contact your lender and/or lending partner directly. Lenders and/or lending partners are solely responsible to you for all aspects of any loan request or loan transaction, including compliance with all applicable laws and regulations relating to your loan request form and any agreement or disclosures relating to your loan request form or loan transaction (including any adverse action notices or Truth-in-Lending Act disclosures). If you are not connected with a lender you may be connected with other financial service providers that offer products associated with your selected loan purpose. Residents of Connecticut, New Hampshire, Washington, and Vermont are not eligible to submit a request for a cash advance on this Website. This service is not available in all states, and the states serviced by this Website may change from time to time and without notice. Short-term loans are an expensive form of credit and not a long-term financial solution. Please use short-term loans responsibly. Loan Example: A $10,000 loan with a 5-year term at 13% Annual Percentage Rate (APR) would be repayable in 60 monthly installments of $228 each. The actual payment amount and year-end balance will vary based on the APR, loan amount, and term selected. In this case the total amount expected to pay by the borrower will be $13,680
Online Lenders Alliance: When you see the OLA seal, you can trust you’re working with a company committed to the highest standards of conduct dedicated to ensuring the best possible experience for their customers, fully compliant with federal law, and working hard to protect consumers from fraud.
© Copyright 2011 – 2023. Lending For Bad Credit. All Rights Reserved. All trademarks, service marks, trade names, product names and logos appearing on the site are the property of their respective owners. Any rights not expressly granted herein are reserved. 

  • $100-$40K Loan Amount
  • 300 Min Credit
  • 6.99-35.99% APR
Editor's Choice
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Key Facts

  • 5K Funds makes it easy to get rates and start comparing terms from multiple lenders.
  • 5K Funds has an extensive network of reputable lenders.
  • Borrowers have the freedom to use a personal loan in a number of ways.

Pros

pros iconQuick & simple online application

pros iconAn extensive network of lenders

pros iconUse your loan for any purpose

Cons

cons iconNot BBB Accredited; F rating on BBB

cons iconLoans may contain origination fees

cons iconHighly thorough initial application

5K Funds.com (the “website”) is not an offer or solicitation to lend. The website only provides a service. It is not an agent, representative, or broker of any lender and does not endorse or charge you for any loan or product. The website operators are not lenders, do not make loans of any type, and do not make credit decisions.
The website collects personal information provided by you and forwards it to partners in our lender network. You are not obligated to use this website or service to initiate, contact, or apply for credit or any loan product with any service provider or lender.
Loan amounts vary from $500 and $35,000, but not all lenders can provide up to $35,000. Providing your information on the website does not guarantee you will be approved for a loan or credit product. Cash transfer times may vary between lenders and may depend on your individual financial institution.
In some circumstances faxing may be required. If you have questions, contact your lender directly for details, questions, or concerns regarding your loan or credit product. Short-term cash loans provide short-term financing to solve immediate cash needs and should not be considered a long-term solution.
This service and lenders are not available in all states. Lenders may perform credit checks with the three credit reporting bureaus: Experian, Equifax, or Trans Union or may perform alternative credit checks or consumer reports through alternative providers.
By submitting your request, you acknowledge, agree, and authorize that your information may be sent to lenders or third-party partners on your behalf. Also, such lenders may obtain consumer reports and related information about you from one or more consumer reporting agencies, such as TransUnion, Experian, and Equifax, to evaluate your creditworthiness.

Loan Example: If you borrowed $2,000 over a 12 month period and the loan had a 3% origination fee ($60), your monthly repayments would be $189.12, with a total payback amount of $2269.44 which including the 3% fee paid from the loan amount, would have a total cost of $329.44. Representative 29.82% APR. If you borrowed $5,000 over a 48 month period and the loan had an 8% origination fee ($400), your monthly repayments would be $131.67, with a total payback amount of $6320.12 which including the 8% fee paid from the loan amount, would have a total cost of $1720.12.

 

  • $500-$35K Loan Amount
  • 500 Min Credit
  • 5.99-35.99% APR
Powered by Credible
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Key Facts

  • Flexible repayment options
  • Great for customers with bad credit score
  • Safe and secure

Pros

pros iconEasy, fast application process

pros iconFunds are disbursed quickly

pros iconBuilds personal credit

Cons

cons iconHigh fees and interest charges

cons iconNo co-signed, joint, or secured loan option

cons iconNo rate discount for automatic payments

Loan Example: A $10,000 loan with a 5-year term at 13% Annual Percentage Rate (APR) would be repayable in 60 monthly installments of $228 each. The actual payment amount and year-end balance will vary based on the APR, loan amount, and term selected. In this case the total amount expected to pay by the borrower will be $13,680

  • $2K-$35K Loan Amount
  • 580 Min Credit
  • 9.95-35.99% APR
Quick Funding
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Key Facts

  • See loan offers from over 100 lenders
  • Loans available for any type of credit
  • Fees depend on specific lender
  • Max Loan Amount: $35K

Pros

pros iconReceive offers from multiple lenders

pros iconLow minimum credit score required

pros iconNo application fee

Cons

cons iconHard credit pull

cons iconMaximum loan amount of $35K

LoansUnder36%.com (the “website”) is not an offer or solicitation to lend. The website only provides a service and is not an agent, representative, or broker of any lender and does not endorse or charge you for any loan or product. The website operators are not lenders, do not make loans of any type, and do not make credit decisions. The website collects personal information provided by you and forwards it to partners in our lender network. You are under no obligation to use this website or service to initiate, contact, nor apply for credit or any loan product with any service provider or lender. Loan amounts vary from $500 and $35,000 but not all lenders can provide up to $35,000. Providing your information on the website does not guarantee you will be approved for a loan or credit product. Cash transfer times may vary between lenders and may depend on your individual financial institution. In some circumstances faxing may be required. If you have any questions, contact your lender directly for details, questions, or concerns regarding your loan or credit product. Short-term cash loans are meant to provide you with short-term financing to solve immediate cash needs and should not be considered a long-term solution. This service and lenders are not available in all states. Lenders may perform credit checks with the three credit reporting bureaus: Experian, Equifax, or Trans Union or may perform alternative credit checks or consumer reports through alternative providers. By submitting your request, you acknowledge, agree, and authorize that (a) your information may be sent to lenders and/or third-party partners on your behalf, and (b) such lenders may obtain consumer reports and related information about you from one or more consumer reporting agencies, such as TransUnion, Experian and Equifax to evaluate your creditworthiness. Representative example: If you borrowed $2,000 over a 12 month period and the loan had a 3% origination fee ($60), your monthly repayments would be $189.12, with a total payback amount of $2269.44 which including the 3% fee paid from the loan amount, would have a total cost of $329.44. Representative 29.82% APR. If you borrowed $5,000 over a 48 month period and the loan had an 8% origination fee ($400), your monthly repayments would be $131.67, with a total payback amount of $6320.12 which including the 8% fee paid from the loan amount, would have a total cost of $1720.12. Representative 18.23% APR. Loan products have a 61-day minimum repayment term. Loan example:.If you borrowed $5,000 over a 48 month period and the loan had an 8% origination fee ($400), your monthly repayments would be $131.67, with a total payback amount of $6320.12.

  • $500-$35K Loan Amount
  • 300 Min Credit
  • 5.99-35.99% APR
Easy Application
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Key Facts

  • Borrowers can find a personal loan option that fits their exact needs
  • Offers a comprehensive knowledge hub
  • Simple to use online loan comparison tool
  • Max Loan Amount: $100K

Pros

pros iconDeals with trustworthy lenders

pros iconWide range of personal loans to check out

pros iconEasy to use comparison tool

pros iconMore than four decades of experience

Cons

cons iconNot a direct lender

cons iconNo live chat

Bankrate.com is an independent, advertising-supported publisher and comparison service. Bankrate is compensated in exchange for featured placement of sponsored products and services, or your clicking on links posted on this website. This compensation may impact how, where and in what order products appear. Bankrate.com does not include all companies or all available products. Loan Example: A $10,000 loan with a 5-year term at 13% Annual Percentage Rate (APR) would be repayable in 60 monthly installments of $228 each. The actual payment amount and year-end balance will vary based on the APR, loan amount, and term selected. In this case the total amount expected to pay by the borrower will be $13,680

  • $600-$100K Loan Amount
  • 300 Min Credit
  • 7.99-29.99% APR
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Key Facts

  • Discounts for Upgrade account owners
  • No prepayment fees
  • Fast funding in 1-4 days

Pros

pros iconOffers a small minimum loan amount

pros iconDeals with credit scores of at least 580

pros iconNo early prepayment fee

pros iconQuick time to funding

pros iconSolid mobile app to manage loans

Cons

cons iconCharges origination fee

cons iconLate fees in place

Personal loans made through Upgrade feature Annual Percentage Rates (APRs) of 8.49%-35.99%. All personal loans have a 1.85% to 9.99% origination fee, which is deducted from the loan proceeds. Lowest rates require Autopay and paying off a portion of existing debt directly. Loans feature repayment terms of 24 to 84 months. For example, if you receive a $10,000 loan with a 36-month term and a 17.59% APR (which includes a 13.94% yearly interest rate and a 1.85% to 9.99% origination fee), you would receive $9,500 in your account and would have a required monthly payment of $341.48. Over the life of the loan, your payments would total $12,293.46. The APR on your loan may be higher or lower and your loan offers may not have multiple term lengths available. Actual rate depends on credit score, credit usage history, loan term, and other factors. Late payments or subsequent charges and fees may increase the cost of your fixed rate loan. There is no fee or penalty for repaying a loan early. Personal loans issued by Upgrade’s bank partners. Information on Upgrade’s lending partners can be found at https://www.upgrade.com/lending-partners/.

Fast Funding Disclosure: *Accept your loan offer and your funds will be sent to your bank or designated account within one (1) business day of clearing necessary verifications. Availability of the funds is dependent on how quickly your bank processes the transaction. From the time of approval, funds sent directly to you should be available within one (1) business day. Funds sent directly to pay off your creditors may take up to 2 weeks to clear, depending on the creditor.

  • $1K-$50K Loan Amount
  • 580 Min Credit
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Key Facts

  • Trusted lender for over 100 years
  • Fast funding & no prepayment fees
  • Flexibility in choosing payments date
  • Max Loan Amount: $20K

Pros

pros iconFast time to funding

pros iconLong track record in the space

pros iconOffers secured and joint loans

pros iconPayment date flexibility

Cons

cons iconCharges numerous fees

cons iconMax possible loan is only $20,000

Information on the Site is not intended for distribution to, or use by, any persons or entities in any jurisdictions or countries where such distribution or use is not authorized or licensed, or where any content displayed on or transaction offered through the Site is unlawful. You use the Site on your own initiative and are responsible for compliance with local laws.

The Site may provide general information about OneMain and the products and services offered by OneMain. Information on publicly-accessible pages of the Site (prior to authentication of your identity) does not constitute an offer to sell or a solicitation of any particular product or service. Some products and services may not be available in all states, and no product or service is available outside the United States. Your eligibility for particular products and services is subject to final determination, restrictions and acceptance by OneMain.

OneMain may discontinue or make changes to the information, products, licenses, or services described herein at any time. Any dated information is published as of its publication date only. OneMain does not undertake any obligation or responsibility to update or amend any such information. OneMain reserves the right to terminate any or all offerings without prior notice. Furthermore, by offering information, products or services through the Site, no solicitation is made by OneMain to any person to use such information, products or services in jurisdictions where the provision of information, products or services is prohibited by law. Example Loan: A $6,000 loan with a 24.99% APR that is repayable in 60 monthly installments would have monthly payments of $176.07 to a total of $10,565.2.

  • $2K-$20K Loan Amount
  • 300 Min Credit
  • 18-35.99% APR
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Key Facts

  • Soft credit pull for pre-approval.
  • Funding of approved loans in as little as one business day.
  • Application takes just a few minutes.
  • Max Loan Amount: $50K

Pros

pros iconSoft credit pull for pre-approval

pros iconFunding could arrive in 1 day

pros iconApplication takes a few minutes

Cons

cons iconAPR presented past pre-approval

cons iconCredit score criteria not clear

cons iconLoans require an origination fee

Best Egg loans are unsecured or secured personal loans made by Cross River Bank, a New Jersey State Chartered Commercial Bank, Member FDIC, Equal Housing Lender or Blue Ridge Bank, a Nationally Chartered Bank, Member FDIC, Equal Housing Lender. Best Egg Credit Card is issued by First Bank & Trust, Brookings, SD, under a license by Visa International.

“Best Egg” is a trademark of Marlette Holdings, Inc., a Delaware corporation. All uses of “Best Egg” refer to “the Best Egg personal loan” and “Best Egg on behalf of Cross River Bank or Blue Ridge Bank, as the originator of the Best Egg personal loan,” as applicable.

The term, amount, and APR of any loan we offer will depend on your credit score, income, debt payment obligations, loan amount, credit history, and other factors. If shown, your loan agreement will contain specific terms and conditions. The timing of available funds upon loan approval may vary depending on your bank’s policies. You can repay Best Egg loans at any time without penalty. Barring any unforeseen circumstances, Best Egg loans have a minimum term of 36 months and a maximum period of 60 months.

To help the government fight the funding of terrorism and money laundering activities, federal law requires all financial institutions to obtain, verify, and record information that identifies each person who opens an account. What this means for you: When you open an account, we will ask for your name, address, date of birth, and other information that will allow us to identify you. We may also ask to see your driver’s license or other identifying documents. Loan Example: A 5‐year $10,000 loan with 9.99% APR has 60 scheduled monthly payments of $201.81 to a total amount of $12,108.6. A 3‐year $5,000 loan with 5.99% APR has 36 scheduled monthly payments of $150.57 to a total amount of $5,420.52.”

  • $2K-$50K Loan Amount
  • 600 Min Credit
  • 8.99-35.99% APR
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Key Facts

  • Loans as small as $100.
  • Fast application and funding.
  • Offers good rates.
  • Max Loan Amount: $20K

Pros

pros iconEasy, fast lender matching process

pros iconFunds are disbursed quickly

pros iconCompetitive interest rates for those with good credit

Cons

cons iconDoes not provide service to borrowers

cons iconBank account required

Terms of your loan will vary based on the amount of the loan and the period of time to repay. Other factors may include the state you live in, your source of income, and your repayment history. Please contact your lender directly for questions regarding your loan.
Loan Example: A $3,000 loan with a 14.99% APR that is repayable in 12 monthly installments would have monthly payments of $270.76 to a total of $3,249.13.
APR for good credit typically ranges from 5.99% to 35.99% and generally will have a repayment term of 3 months to 72 months. Loan amounts under $1,000 will have varying APR’s than what is listed in the represented example above. Please contact your lender for more information.

  • $100-$20K Loan Amount
  • 300 Min Credit
  • 5.99-35.99% APR

Best Bad Credit Loans

Lending For Bad Credit

A Marketplace for Bad Credit Loans

View rates

300

Min Credit Score

6.99-35.99%

APR. Fixed Rate

6.99-35.99%

APR. Variable Rate

$100-$40K

Loan Amount

Varies

Repayment terms

Yes

Soft Credit Pull

Marketplace

Lender Type

N/A

Other Fees

Varies

Origination Fee

Varies

Prepayment Fee

1 days

Funding Time

Pros & Cons

drop-down-btn
  • con-icon Funds direct deposited often within a single business day
  • con-icon Ability to compare a range of different options
  • con-icon Helps people with bad credit to get a loan
  • con-icon Good range of possible loan amounts
  • con-icon APRs can be high
  • con-icon Not too much info about lenders

Loan Purpose

drop-down-btn
  • Credit Card Refinance
  • Debt Consolidation
  • Major Purchase
  • Medical Expenses
  • Household Expenses
  • Relocation
  • Vacation
  • Wedding

Loan Type

drop-down-btn
  • Unsecured Personal Loans
  • Fixed-Rate Personal Loans
5kfunds_l
5KFunds

Fast & easy online application

View rates

500

Min Credit Score

5.99-35.99%

APR. Fixed Rate

5.99-35.99%

APR. Variable Rate

$500-$35K

Loan Amount

3-72 Months

Repayment terms

No

Soft Credit Pull

Marketplace

Lender Type

N/A

Other Fees

Varies

Origination Fee

Varies

Prepayment Fee

Varies no. of days

Funding Time

Pros & Cons

drop-down-btn
  • con-icon Quick & simple online application
  • con-icon An extensive network of lenders
  • con-icon Use your loan for any purpose
  • con-icon Not BBB Accredited; F rating on BBB
  • con-icon Loans may contain origination fees
  • con-icon Highly thorough initial application

Loan Purpose

drop-down-btn
  • Debt Consolidation
  • Home Improvement
  • Major Purchase
  • Medical Expenses
  • Household Expenses
  • Relocation
  • Vacation
  • Wedding
  • Other

Loan Type

drop-down-btn
  • Secured Personal Loans
  • Unsecured Personal Loans
  • Fixed-Rate Personal Loans
  • Variable-Rate Personal Loans
  • Co-singer / Joint loans
avant_logo
Avant

Personal Loans for You

View rates

580

Min Credit Score

9.95-35.99%

APR. Fixed Rate

9.95-35.99%

APR. Variable Rate

$2K-$35K

Loan Amount

12 to 60 months

Repayment terms

Yes

Soft Credit Pull

Marketplace

Lender Type

Yes

Other Fees

Undisclosed

Origination Fee

Undisclosed

Prepayment Fee

1 days

Funding Time

Pros & Cons

drop-down-btn
  • con-icon Easy, fast application process
  • con-icon Funds are disbursed quickly
  • con-icon Builds personal credit
  • con-icon High fees and interest charges
  • con-icon No co-signed, joint, or secured loan option
  • con-icon No rate discount for automatic payments

Loan Purpose

drop-down-btn
  • Debt Consolidation
  • Home Improvement
  • Medical Expenses
  • Other

Loan Type

drop-down-btn
  • Secured Personal Loans
 

What is a Bad Credit Loan?

A bad credit score, typically ranging from 300-579, means the borrower has had credit issues in the past. However, getting a personal loan with bad credit is entirely possible. Bad credit loans are essentially personal loans designed for people with bad or poor credit. These loans can be useful for those with limited credit history or who are rebuilding their credit after a major setback like bankruptcy.

Lenders usually check an individual’s credit score — and history — when deciding whether to lend them money. If your credit score is too low, a lender may view you as a higher risk and reject your application. Even if they do approve your application, you could end up with high-interest rates, short repayment terms, and small loan amounts.

Fortunately, some lenders are willing to work with low credit score borrowers and offer dedicated plans for borrowers to get the funding they need.

Credit Score: Good vs. Bad Credit

Many lenders use the FICO scoring system when checking an applicant’s credit score and history. Here’s how FICO breaks down your credit score:

  • Excellent or exceptional credit — 800+
  • Very good credit — 740 to 799
  • Good credit — 670 to 739
  • Fair credit — 580 to 669
  • Poor credit — 579 and below

Your credit score consists of several factors, including:

  • Payment history (35%) — on-time payments vs. missed or late payments
  • Amounts owed (30%) — how much of your available credit you’re using
  • Credit history length (15%) — average age of all open accounts
  • New credit (10%) — recently opened accounts and recent hard inquiries
  • Credit mix (10%) — types of accounts you have (ex. loans and credit cards)

Other things, like bankruptcy or foreclosure, can also affect your credit. These types of things can remain on your credit report for at least seven years.

Qualifying for Personal Loans with Bad Credit

Qualifying for personal loans with bad credit can be more challenging than good or excellent credit, but it's not impossible. Here are some tips:

  1. Improve Your Credit Score: If you're not rushing to get a loan, consider improving your credit score. This can increase your chances of approval and help you get a lower interest rate.
  2. Show Stable Income: Lenders want to know that you can repay the loan. Showing a stable income can improve your chances of approval.
  3. Limit Your Loan Amount: Only borrow what you need and can afford to repay. This can increase your chances of approval and make your loan more manageable.

How do Personal Loans for Bad Credit Work?

Bad credit loans work similarly to other personal loans in many ways. When you apply and get approved for a personal loan for bad credit, you’ll typically receive it in your bank account as a lump-sum payment. Once you have the money, you can then use it as intended. You will have to start making regular payments on the balance (plus interest) until the repayment term ends or you pay it off in full.

Personal Loans for Bad Credit: Key Considerations

Here are the main things to consider when getting a bad credit loan:

  • APR or interest rate: Personal loans come with an interest rate that’s typically a percentage of the loan amount. They may also come with an APR, or annual percentage rate, including the interest rate and any lender fees.
  • Term: This is how long you have to repay the loan. It can be anywhere from a few months to several years. Bad credit loans sometimes come with shorter terms and higher monthly payments.
  • Lender fees: Loans for bad credit may include additional fees, like an origination fee or prepayment penalty.
  • Credit score: Your credit score tells lenders how risky it is to lend you money. The better your credit, the better your chances of getting a loan.

Discover the Different Types of Bad Credit Loans

When it comes to personal loans for those with bad credit, there are several options available. Understanding the different types of loans can help you make an informed decision and find the best option for your specific needs.

  • Secured or unsecured personal loans: These two types are the most common. Unsecured loans don’t require collateral, while secured loans do. Having collateral could increase your chances of getting a loan. These loans are usually considered installment loans because you must make regular payments (installments) over time until the balance is paid off.
  • Peer-to-peer (P2P) loans: A P2P loan is a personal loan that’s funded by individual investors. Since the individual investor sets their own requirements, this could be a good option for borrowers with poor credit.
  • Payday loans: These are short-term loans that come in small amounts — usually no more than $500. They often come with high-interest rates and financing fees, making them difficult to repay on time. This option is best for borrowers who need a small, one-time loan and can repay what they owe on their next payday.

Regardless of the type of loan you choose, it is important to carefully review each loan's terms and conditions to ensure you understand the interest rates, repayment terms, and any other fees involved. Remember, taking out a loan with bad credit may come with higher interest rates and fees, so finding the best option for your specific financial situation is important.

Pros and Cons of Bad Credit Loans

Like any loan, bad credit loans come with several pros and cons.

Pros Cons
Easier to qualify for than other forms of credit or financing  It may come with higher fees or interest rates 
Funds may be available more quickly Some have short repayment terms that can be difficult to manage
It can be used to improve your credit score over time (with on-time payments) Secured loans require collateral, which you could lose if you don’t make payments
Can help in the face of financial emergencies This can lead to a cycle of debt if you’re not careful

 

How to Get a Bad Credit Loan

Here are the typical steps for getting a personal loan for bad credit:

  1. Check your credit score: Knowing your credit score can help you determine which types of financing are available to you. You can get a free copy of your credit reports from the major credit bureaus — Experian, Equifax, and TransUnion.
  2. Compare lenders: Every lender has different requirements, rates, and terms. Compare different lenders to find the best personal loans for bad credit.
  3. Consider a cosigner: If you don’t qualify on your own, choose a lender that accepts cosigners. This can increase your approval odds and potentially get you better rates.
  4. Prequalify: Prequalification lets you check your rates and terms without affecting your credit score. It’s not a guaranteed offer, but it can give you a better idea of what you might qualify for.
  5. Calculate the loan cost: After finding a loan, calculate how much it will cost you each month and in total. Be sure to include any fees and interest charges. Make sure the loan fits into your budget. If it doesn’t and you miss a payment, it could hurt your credit score.
  6. Complete the loan application: Oftentimes, you can apply online. This will typically result in a hard credit inquiry, affecting your credit score. You may need certain documentation, such as proof of income or employment, bank account information, and other personal information. Some lenders will request additional information after you apply.
  7. Wait for the decision: It can take several days or more before you hear back from the lender. Some bad credit loan lenders will let you know sooner, though.
  8. Review and accept the loan offer: Read through the loan agreement and accept it if everything looks good. You’ll then receive the funds.
  9. Make payments: You’ll need to start making payments on the loan until it’s repaid in full.

Should You Get a Bad Credit Loan?

A personal loan for bad credit may be a good idea if you:

  • Need fast funding for an unforeseen bill or expense
  • Have poor credit but are working on improving it
  • Have a steady income and can reliably pay off the loan
  • Have a good track record of paying off your debts on time

Consider your options carefully before applying for a bad credit loan. If you have time, try to improve your credit score as well. Here are some ways to do this:

  • Make on-time payments
  • Try to pay down some of your current debts
  • Limit credit card usage
  • Keep older accounts open (to add to your credit history)
  • Check your credit reports for errors
  • Become an authorized user on a family member’s credit card or loan

Comparing Personal Loans for Bad Credit

Loan terms, rates, and credit score requirements vary by lender. But here are some of the best lenders for bad credit loans:

Lender*

Typical APR

Loan Term

Loan Amount

Recommended Minimum Credit Score

OneMain Financial

18.00% to 35.99%

24, 36, 48, or 60 months

$1,500 to $20,000

Any

5kfunds

5.99% to 35.99%

61 days to 72 months

$500 to $35,000

300

Lending For Bad Credit

Depends on lender

Depends on lender

$100 to $40,000

Any

Loans Under 36%

Undisclosed

Up to 60 months

$500 to $35,000

Any

Bankrate

6.70% to 36%

1 to 12 years

$500 to $100,000

560 to 600

*Rates subject to change