Bad Credit Loans: Find Lenders That Work with Low Credit Scores
Find loan options designed for borrowers with less-than-perfect credit
Estimate Your Monthly Payment on a Bad Credit Loan
Note: Bad credit loans typically have higher interest rates. This calculator provides estimates only.
Compare Lenders That Offer Loans for Poor Credit
Upgrade
Loan Amount
$1,000 - $50,000
APR Range
8.49% - 35.99%
Term Length
24 - 84 months
Min. Credit Score
560+
Best for: Debt consolidation
OneMain Financial
Loan Amount
$1,500 - $20,000
APR Range
18.00% - 35.99%
Term Length
24 - 60 months
Min. Credit Score
550+
Best for: In-person service
Avant
Loan Amount
$2,000 - $35,000
APR Range
9.95% - 35.99%
Term Length
24 - 60 months
Min. Credit Score
580+
Best for: Fair credit borrowers
LendingPoint
Loan Amount
$2,000 - $36,500
APR Range
7.99% - 35.99%
Term Length
24 - 60 months
Min. Credit Score
580+
Best for: Building credit history
Peerform
Loan Amount
$4,000 - $25,000
APR Range
5.99% - 29.99%
Term Length
36 - 60 months
Min. Credit Score
600+
Best for: Alternative lending
Who Qualifies for Bad Credit Loans?
Typical Eligibility Requirements for Bad Credit Loans
| Requirement | Description | Minimum | Recommended |
|---|---|---|---|
| Residency | You must be a legal resident to qualify for most loans. | US residency | Same as minimum |
| Income | Stable income is essential to demonstrate repayment ability. | $1,000+ monthly income | $1,500+ monthly income |
| Banking | An active bank account is needed for loan deposits and payments. | Open checking account | Account in good standing |
| Credit Score | While bad credit is accepted, there are still minimum thresholds. | As low as 450 (varies by lender) | 550+ for better terms |
| Age & Identification | Basic requirements to enter into a loan agreement. | 18+ years old, valid ID | Same as minimum |
* Requirements vary by lender. Meeting minimum requirements does not guarantee approval.
Pros and Cons of Getting a Loan with Bad Credit
Pros of Bad Credit Loans
- Accessible to borrowers with poor credit history
- Fast approval and funding options
- Opportunity to rebuild credit with on-time payments
- Various loan types available for different needs
- May offer more favorable terms than payday loans
Cons of Bad Credit Loans
- Significantly higher APRs than prime credit loans
- Limited loan amounts (typically under $10,000)
- Risk of predatory lending practices
- May require collateral or co-signer
- Additional fees that increase the total cost
Step-by-Step: How to Apply for a Loan with Poor Credit
How to Apply for a Bad Credit Loan
- 1
Find Lenders That Accept Bad Credit
Research and identify lenders that specialize in bad credit loans. Look for those that clearly state their minimum credit requirements.
- 2
Use Pre-Qualification Tools
Many lenders offer pre-qualification with a soft credit check to show potential offers without affecting your credit score.
- 3
Apply with Basic Documentation
Complete the application with your personal information, income verification, and banking details. Be honest about your credit situation.
- 4
Review Terms Carefully
If approved, carefully review the loan terms, including APR, fees, repayment schedule, and any penalties. Compare offers if you have multiple options.
- 5
Receive and Use Funds Responsibly
Once you accept the terms, funds are typically deposited quickly. Create a repayment plan and consider setting up automatic payments to avoid late fees.