Best Personal Loan: If you have a low credit score, you may have fewer loan options and higher interest rates. But no need to worry! There are some personal loan providers who are willing to work with applicants with all types of credit profiles.
In this article, we will talk about some of the best loan providers, who are known to offer loans even to people with bad credit scores. These top lenders include First Tech Federal Credit Union, Upstart, Upgrade, Avant, and Prosper. So, let’s know how these loan providers can be beneficial for you and how you can achieve your financial goals, no matter what your credit score is! What are you waiting for? Let’s know how you can fulfill your dreams with these loan providers, even if you have a slightly low credit score!
Bad Credit Personal Loans: Advantages and Disadvantages
Advantages:
- Quick money: You can get money immediately if you qualify for a loan.
- Credit improvement: Paying on time can improve your credit score.
- Fixed payments: There are fixed installments every month, making it easier to plan.
- Controlled interest rates: In some states, interest rates are capped at 36%.
Disadvantages:
- Strict terms: It is difficult for those with low credit scores to get a loan.
- High costs: People with bad credit have to pay high interest rates.
- Mortgage risk: Risk of losing property if the loan is not repaid.
- Temporary solution: There is a risk of getting trapped in a debt cycle by taking a loan.
- Conclusion: A personal loan can fix bad credit, but keep in mind that it is not a permanent solution to the problem.
Best Personal Loan
1. First Tech Federal Credit Union
| Rating | 4.6 |
| APR | As low as 8.94% |
| Loan Amount | $500 to $50,000 |
| Minimum Credit Score | Not disclosed |
| Loan Term | Up to 84 months |
If you think you won’t be able to get a cheap loan with a low credit score, First Tech Federal Credit Union can prove you wrong. Interest rates start at 8.94% and you can get a loan from $500 to $50,000. The best part? You don’t even have to disclose your credit score!
2. Upstart
| Rating | 4.4 |
| APR | 7.80% to 35.99% |
| Loan Amount | $1,000 to $50,000 |
| Minimum Credit Score | 300 |
| Loan Term | Up to 60 months |
Upstart is the best option for people with a credit score around 300. Yes, you heard it right! People with a 300-credit score can also get a loan from here. Interest rates start at 7.80%, and loan amounts can range from $1,000 to $50,000. Even people with low credit scores can fulfill their dreams!
3. Upgrade
| Rating | 4.4 |
| APR | 8.49% to 35.99% |
| Loan Amount | $1,000 to $50,000 |
| Minimum Credit Score | 580 |
| Loan Term | Up to 84 months |
Upgrade is best suited for people with a slightly better credit score, i.e. 580 or above. Interest rates start at 8.49% and you can get a loan amount of $1,000 to $50,000. If you need a long-term loan, you can get a term of up to 84 months.
4. Avant
| Rating | 4.3 |
| APR | 9.95% to 35.99% |
| Loan Amount | $2,000 to $35,000 |
| Minimum Credit Score | 600 |
| Loan Term | Up to 60 months |
Avant is for those who want to repay their loan quickly. Interest rates start at 9.95% and loan amounts range from $2,000 to $35,000. People with a credit score of 600 can also avail a loan from Avant. The loan tenure is up to 60 months, so get ready to settle quickly!
5. Prosper
| Rating | 4.3 |
| APR | 8.99% to 35.99% |
| Loan Amount | $2,000 to $50,000 |
| Minimum Credit Score | 600 |
| Loan Term | Up to 60 months |
Prosper is great for people with a credit score around 600. Here you get interest rates ranging from 8.99% to 35.99% and loans from $2,000 to $50,000. If you don’t have a good credit score but still need a loan, Prosper could be a good option.
6. Lending Point
| Rating | 4.1 |
| APR | 7.99% to 35.99% |
| Loan Amount | $2,000 to $36,500 |
| Minimum Credit Score | Not disclosed |
| Loan Term | Up to 72 months |
LendingPoint says, “No problem, we’ll help you!” Here you can get interest rates from 7.99% to 35.99% and loans from $2,000 to $36,500. There are not many inquiries about credit scores, so it’s perfect for people who don’t want to share their credit score.
7. Universal Credit
| Rating | 3.9 |
| APR | 11.69% to 35.99% |
| Loan Amount | $1,000 to $50,000 |
| Minimum Credit Score | 580 |
| Loan Term | Up to 60 months |
Universal Credit gives you loans ranging from $1,000 to $50,000 at interest rates ranging from 11.69% to 35.99%. If your credit score is 580, you can get a loan from here. This is a good option for those who are not too concerned about their credit score.
8. One Main Financial
| Rating | 3.4 |
| APR | 18.00% to 35.99% |
| Loan Amount | $1,500 to $20,000 |
| Minimum Credit Score | Not disclosed |
| Loan Term | Up to 60 months |
One main Financial is for people who need small loans. Here you get loans from $1,500 to $20,000 and interest rates range from 18.00% to 35.99%. If you want a small loan amount and want to repay it quickly, then One Main Financial may be a good option for you.
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