Can I apply for personal loans with a bad credit score? Or where can I apply for personal loans? Applying for personal loans can help you in times of emergency or when you need fast and quick cash to settle unexpected expenses. However, in order to apply for personal loans, there are certain requirements you will need to have. And this depends on the lender you are making use of.
For instance, LightStream requires you to have a good credit score before you can successfully get loans from the company. If you have a bad credit score, getting a personal loan from this company might be difficult or impossible. But no need to worry, there are several other lenders online that offer personal loans even with a bad credit score.
What Are Personal Loans For Bad Credit?
Personal loans for bad credit are referred to as unsecured loans for people with poor credit scores. Based on FICO, any credit score between the range of 300 and 579 is regarded as a “poor” or “bad” credit score. If you want to get a personal loan and your credit score isn’t good or excellent, you might not qualify for some loans.
You will need to consider getting personal loans for bad credit. But there are certain factors that need to be considered. And these factors include the interest rate, how fast you will be funded, and how you will get access to funds. While some lenders fund borrowers the next business day, others take two business days before funding their borrowers.
Another factor that you will need to check out is the loan repayment. Most lenders offer short-term loans while others offer long-term loans. This means you might have a loan term of 12 months, 6 months, or even 3 months. Lastly, you can decide to make use of banks, credit unions, or online lenders while applying for loans with bad credit. Check out the next outline for some of the lenders that offer personal loans for bad credit.
5 Best Personal Loans for Bad Credit
In this section of the article, we will be discussing some of the best personal loans for bad credit. After careful research, we have compiled the list of the best bad credit loans and they include BadCreditLoans.com, Upstart, Avant, LendingClub, and Upgrade. Here is an overview of the mentioned organization.
BadCreditLoans.com
BadCreditLoans.com is a reputable and well-known lender that offers bad credit personal loans to borrowers online. They offer unsecured loans and nearly everyone can get approved after filling out their application form. You don’t need to pay any fee to use the site, and it is very easy to qualify for loans.
Once you apply for loans, you will get paid the next business day. However, you must be 18 years old to get approved and have proof of your citizenship, a stable income, a checking account, an active email address, and a mobile number.
It should be noted that BadCreditLoans.com doesn’t offer loans. But instead connects you to lenders willing to provide you with quick and fast personal loans. Therefore, aside from the mentioned application requirement, you might need to provide other requirements, and this depends on the lender.
Upstart
Another respected company where you can apply for personal loans even with a bad credit score is Upstart. This company doesn’t care what your credit score is. You can get a fast and quick unsecured loan from them.
Although their APRs vary from state to state and this ranges from 3.22% to 35.99%, you can get quick loans from the company. Borrowers can get a personal loan of $1,000 to $50,000 within a term of three to five years. Note that there are no early payoff penalties and you can apply for loans directly from their online platform.
Avant
Avant also offers unsecured personal loans between the ranges of $2,000 and $35,000, but this varies from state to state. Borrowers can select their repayment term, this ranges from 24 to 60 months. Unlike other lenders, Avant offers eligible borrowers access to refinance their unsecured loans, longer repayment terms, and more.
There are no prepayment penalties, allowing you to save on interest by paying loans early. Once you are approved, you will be paid the next business day. Avant is best for borrowers searching for loans with bad credit scores and with no prepayment penalty. It is worthwhile to note that you must have at least a minimum credit score of 550 to access their services, which can be accessed via their official website.
LendingClub
If you can’t get access to personal loans due to your poor credit score, you should consider getting loans from LendingClub. One of the reasons why LendingClub is the right lender to consider is that they offer a wide range of features that can be accessed via its website. In addition, their application process is easy and fast.
You can get a personal loan of about $1,000 to $40,000 with a repayment term of three to five years. There is no minimum annual income, but you will have to pay origination and late fees. Meanwhile, this company allows you to have a co-borrower and payments are available within the next forty-eight hours after approval. To get started, borrowers can visit their official website with the required documents and credentials.
Upgrade
If you have a credit score of 550, you can apply and get approved for a personal loan with Upgrade. But to enjoy their services, you might need a co-signer. This company offers unsecured personal loans that can be used for debt consolidation, home improvement, credit card refinancing, and much more. Upgrade APRs start from 5.94% to 35.97%. You can get loans from $1,000 to $50,000 within a term of 24 to 84 months.
Once your application has been approved, you can get access to funds the next business day. The downside of using this company is that you will have to pay an origination fee of 2.9% late fee of$10 and its APR is high compared to other lenders. Nevertheless, the company allows for Joint applications, flexible loan amounts, and other great benefits.
