Best Bad Credit Medical Loans Of 2024

Best Bad Credit Medical Loans

BEST OVERALL BAD CREDIT MEDICAL LOAN

Upgrade

4.0

Our ratings take into account loan cost, loan details, eligibility and accessibility, customer experience and application process. All ratings are determined solely by our editorial team.

Minimum Credit Score

580

APR range

8.49% to 35.99%

Loan amounts

$1,000 to $50,000

Compare Rates

Via Credible.com’s Website

580

8.49% to 35.99%

$1,000 to $50,000

Editor’s Take

Upgrade was launched in 2017 and provides accessible online and mobile credit and banking services. Since that time, the platform has made more than $3 billion in credit available to over 10 million applicants and continues to expand its online and mobile services. Although maximum APRs are on the high end compared to other online lenders, Upgrade makes loans available to those with poor credit history.

Loans amounts, which range from $1,000 to $50,000. Upgrade has two- to seven-year terms  available. Upgrade charges an origination fee between 1.85% and 9.99% of the loan, and borrowers will encounter a $10 fee if their payment is more than 15 days late or if the payment does not go through; there are no discounts for autopay. That said, Upgrade borrowers are not subject to a prepayment penalty, so you can reduce the overall cost of the loan if you’re able to pay it off early.

Beyond offering accessible personal loans, Upgrade streamlines the lending process with a mobile app that lets borrowers view their balance, make payments and update personal information. Upgrade’s Credit Heath tool also makes it easy to track your credit score over the life of your loan.

Pros & Cons

• Low minimum credit score requirement
• Borrowers can use loans to cover business expenses
• Offers direct lender payoff for debt consolidation loans

• High APR range
• Charges fees for origination, late payment and insufficient funds

Details

Eligibility: 

• Minimum credit score: 580
• No minimum income requirement
• Allows co-applicants

Loan uses:

• Debt consolidation
• Home projects
• Large expenses
• Business expenses

BEST FOR FAST FUNDING & BELOW-AVERAGE CREDIT

LendingPoint

4.0

Our ratings take into account loan cost, loan details, eligibility and accessibility, customer experience and application process. All ratings are determined solely by our editorial team.

Minimum Credit Score

600

APR range

7.99% to 35.99%

with autopay

Loan amounts

$2,000 to $36,500

Compare Rates

Via Fiona.com’s Website

600

7.99% to 35.99%

with autopay

$2,000 to $36,500

Editor’s Take

LendingPoint is an online lender based in Atlanta that offers personal loans to prospective borrowers in 48 states and Washington D.C.; it does not offer loans in Nevada and West Virginia. Prospective borrowers in eligible states can apply online and benefit from quick funding.

LendingPoint personal loans range from $2,000 to $36,500; Georgia loans have a minimum loan amount of $3,500. Repayment terms range from 24 to 72 months—or two to six years.

There are two main disadvantages to LendingPoint: high maximum APRs and origination fees. While you can typically avoid high APRs by maintaining a high credit score, LendingPoint origination fees (up to 10%) depend on the state you live in.

Pros & Cons

• Quick funding
• Low credit score requirements
• No prepayment penalty

• Origination fee up to 10%
• Co-signers or joint loans not permitted
• Not available in Nevada and West Virginia

Details

Eligibility: 

• Minimum credit score: 600
• Must live in a state other than Nevada or West Virginia
• Doesn’t allow co-signers or co-applicants

Loan uses:

• Debt consolidation
• Home project
• Medical expenses

BEST FOR COMPARING MULTIPLE OFFERS

Universal Credit

3.5

Our ratings take into account loan cost, loan details, eligibility and accessibility, customer experience and application process. All ratings are determined solely by our editorial team.

Minimum Credit Score

580

APR range

11.69% to 35.99%

Loan amounts

$1,000 to $50,000

Compare Rates

Via Credible.com’s Website

580

11.69% to 35.99%

$1,000 to $50,000

Editor’s Take

Universal Credit is an online lending platform that offers personal loans between $1,000 to $50,000 through its partners. Repayment terms range from three to seven years.

While Universal Credit makes finding a personal loan accessible even to those with damaged credit, it comes with a few tradeoffs. First, it charges high APRs, well above the most competitive rates seen on our list. Second, Universal Credit charges a 5.25% to 9.99% origination fee on all personal loans. Because this is deducted from your loan proceeds, you’ll need to factor this in when determining your loan amount to ensure you receive the necessary amount after the fact.

Pros & Cons

• Flexible qualification requirements
• Next-day funding
• No prepayment penalty

• High APRs
• All personal loans charge a 5.25% to 9.99% origination fee

Details

Eligibility:

• Minimum credit score: 580
• Minimum income requirement: Does not disclose
• Doesn’t allow co-signers or co-borrowers

Loan uses:

• Debt consolidation
• Large expense
• Home project

BEST FOR QUICK APPROVALS

Upstart

3.5

Our ratings take into account loan cost, loan details, eligibility and accessibility, customer experience and application process. All ratings are determined solely by our editorial team.

Minimum Credit Score

300

APR range

7.80% to 35.99%

Loan amounts

$1,000 to $50,000

Compare Rates

Via Credible.com’s Website

300

7.80% to 35.99%

$1,000 to $50,000

Editor’s Take

Upstart has made a mark on the personal loan space because of its artificial intelligence- and machine learning-based approach to borrower qualification. In fact, Upstart estimates that it has been able to approve 27% more borrowers than possible under a traditional lending model. With competitive APRs, Upstart is not a top lender for borrowers who can qualify for more competitive rates. Even so, the platform’s minimum 300 credit score makes it an accessible option to those with fair credit.

Upstart also offers a pretty flexible range of loan options, with amounts ranging from $1,000 to $50,000 so you don’t have to borrow (or pay interest on) more than you really need. And, while Upstart’s loan cap is lower than some lenders—this is likely to be enough for many prospective borrowers.

Even though Upstarts three-, five-, seven-year loan terms are more restrictive than other lenders, it’s likely to be an acceptable tradeoff for applicants who might not be approved in a more traditional lending environment. Plus, it’s available in every state except West Virginia and Iowa, so it’s as widely available as many other top lenders.

Pros & Cons

• Accessible to borrowers with fair credit
• Offers prequalification with a soft credit check
• Ability to choose a custom payment date

• Charges an origination fee up to 8% of the loan amount
• No secured or co-signer option
• Loans only available for three-, five-, seven-year terms

Details

Eligibility: 

• Minimum credit score: 300
• Minimum income requirement: $12,000
• Doesn’t allow co-signers or co-borrowers

Loan uses:

• Debt consolidation
• Medical expenses
• Educational expenses

BEST FOR A RANGE OF REPAYMENT OPTIONS

Avant

3.5

Our ratings take into account loan cost, loan details, eligibility and accessibility, customer experience and application process. All ratings are determined solely by our editorial team.

Minimum Credit Score

580

APR range

If approved, the actual loan terms that a customer qualifies for may vary based on credit determination, state law, and other factors. Minimum loan amounts vary by state.

9.95% to 35.99%

Loan amounts

Example: A $5,900 loan with an administration fee of 4.75% and an amount financed of $5,619.75, repayable in 36 monthly installments, with an APR of 29.95% would have monthly payments of $250.30. If approved, the actual loan terms that a customer qualifies for may vary based on credit determination, state law, and other factors. Minimum loan amounts vary by state.

$2,000 to $35,000

Compare Rates

Via Credible.com’s Website

580

If approved, the actual loan terms that a customer qualifies for may vary based on credit determination, state law, and other factors. Minimum loan amounts vary by state.

9.95% to 35.99%

Example: A $5,900 loan with an administration fee of 4.75% and an amount financed of $5,619.75, repayable in 36 monthly installments, with an APR of 29.95% would have monthly payments of $250.30. If approved, the actual loan terms that a customer qualifies for may vary based on credit determination, state law, and other factors. Minimum loan amounts vary by state.

$2,000 to $35,000

Editor’s Take

Founded in 2012 and based in Chicago, Avant is a consumer lending platform that offers secured and unsecured personal loans through a third-party bank (WebBank). Unsecured loans are available in Washington, D.C. and every state but Hawaii, Iowa, New York, Vermont, West Virginia and Maine. The platform specializes in middle-income borrowers with fair to good credit and only requires a minimum score of 580 to qualify.

Maximum loan amounts are low compared to other lenders, but the low minimum amount and flexible repayment terms (two to five years) make it an accessible option for borrowers. However, as with many loans for subprime borrowers, Avant personal loans come with a price. In addition to charging an administrative fee of up to 4.75% of the loan amount, Avant’s APR range (9.95% to 35.99%) is on the high end for applicants with a good to excellent credit score—and there is no autopay discount. Still, the platform earns top marks for borrowers with less than stellar credit who need quick access to funds.

Pros & Cons

• Secured and unsecured loan options available
• Low credit score requirement (580)
• Loan terms available up to 60 months

• Charges an upfront administrative fee
• High starting APR for prime borrowers
• Co-signers and co-applicants not allowed

Details

Eligibility: 

• Minimum credit score: 580
• Minimum income: $20,000
• Doesn’t allow co-signers or co-borrowers

Loan uses:

• Debt consolidation
• Large expenses
• Home projects

BEST FOR ONLINE EXPERIENCE

LendingClub

3.5

Our ratings take into account loan cost, loan details, eligibility and accessibility, customer experience and application process. All ratings are determined solely by our editorial team.

Minimum Credit Score

600

APR range

8.98% to 35.99%

Loan amounts

$1,000 to $40,000

Compare Rates

Via Credible.com’s Website

600

8.98% to 35.99%

$1,000 to $40,000

Editor’s Take

LendingClub is a peer-to-peer—or marketplace—lender founded in 2007. As the largest online lending platform for personal loans, LendingClub has worked with over 3 million customers and funded more than $55 billion in loans. It’s also one of the most geographically widespread options, with lending capabilities in every state except Iowa and the U.S. territories.

While LendingClub imposes high APRs and no autopay discount, applicants can choose to borrow between $1,000 to $40,000. This is a higher maximum loan cap than some other lenders. That said, LendingClub’s loan terms are limited to two to five years, which is less flexible than other lenders on our list. Borrowers also are charged an origination fee between 3% to 8% of the total loan amount, which is taken from the loan proceeds at funding.

LendingClub also makes debt consolidation easier by offering a balance transfer loan. With this type of loan, LendingClub offers direct payment to third-party lenders, including over 1,700 creditors. Not only does the platform take care of payments for you, you can choose exactly how much of your new loan amount you want LendingClub to pay toward each creditor.

Pros & Cons

• Will directly pay off third-party creditors as part of balance transfer loan
• Co-applicants permitted
• Available to borrowers with fair to excellent credit

• Origination and late fees
• Limited loan term availability
• High APR range

Details

Overview: LendingClub is a peer-to-peer—or marketplace—lender founded in 2007. As the largest online lending platform for personal loans, LendingClub has worked with over 3 million customers and funded more than $55 billion in loans. It’s also one of the most geographically widespread options, with lending capabilities in every state except Iowa and the U.S. territories.

LendingClub also makes debt consolidation easier by offering a balance transfer loan. With this type of loan, LendingClub offers direct payment to third-party lenders, including over 1,700 creditors. Not only does the platform take care of payments for you, you can choose exactly how much of your new loan amount you want LendingClub to pay toward each creditor.

Eligibility:

• Minimum credit score: 600
• Minimum credit history: Three years
• Allows co-applicants

Loan uses:

• Debt consolidation
• Home projects
• Medical expenses

Summary: Best Bad Credit Medical Loans

Company	Company - Logo	Minimum credit score	APR range	Loan amounts	Learn More CTA text	Learn more CTA below text	LEARN MORE
Upgrade		580	8.49% to 35.99%	$1,000 to $50,000	Compare Rates	Via Credible.com's Website
LendingPoint		600	7.99% to 35.99%	$2,000 to $36,500	Compare Rates	Via Fiona.com's Website
Universal Credit		580	11.69% to 35.99%	$1,000 to $50,000	Compare Rates	Compare rates from participating lenders via Forbes Advisor
Upstart		300	7.80% to 35.99%	$1,000 to $50,000	Compare Rates	Via Credible.com's Website
$2,000 to $35,000		580	9.95% to 35.99%	$2,000 to $35,000	Compare Rates	Via Credible.com's Website
LendingClub		600	8.98% to 35.99%	$1,000 to $40,000	Compare Rates	Via Credible.com's Website
Some APRs, loan amounts and term lengths are available only for certain loan purposes.

Tips for Comparing Bad Credit Medical Loans

When comparing the best personal loans for medical bills, shop around and compare lenders to get the best deal available to low-credit borrowers. Look for offers with low or no fees, competitive interest rates, flexible repayment terms and minimal additional costs.

Follow these tips when comparing bad credit medical loans:

• Determine each lender’s interest rates and fees. Loan costs are usually higher for borrowers with poor credit than for more qualified applicants. However, some lenders specialize in low-credit borrowers and may offer more competitive rates than more traditional financial institutions. That said, some bad credit medical loans may include fees or penalties for late payments, early repayment or other missteps. Make sure you understand the costs of borrowing before signing a loan agreement.
• Consider qualification requirements. It’s best to have a credit score of at least 670 to qualify for a personal loan, but some lenders impose less rigorous requirements or consider additional factors like education or income. Online lenders often have more accessible qualification requirements than banks and credit unions. Many lenders offer a prequalification process that lets prospective borrowers see what rate they’re likely to qualify for without impacting their credit score.
• Find a funding speed that works for you. If you need the funds quickly, compare lenders that offer fast funding speeds. Some bad credit medical loans are funded as soon as the next day while others may take several days or weeks.
• Choose a repayment term that fits your budget. Many bad credit medical loans have shorter term lengths than traditional loans. This means they can be paid off more quickly and at less cost overall, but they may also come with higher monthly payments.
• Compare customer support offerings. Choose a lender that offers live customer support if you have questions during the application process or after your loan is finalized. Compare customer service offerings between different lenders to get the best support possible.
• Evaluate additional features. Some bad credit medical loan lenders offer additional features such as payment flexibility, lower rates for autopay and other discounts. Likewise, evaluate each lender’s online resources, including calculators and educational materials.
• Read customer reviews. Consider each lender’s reputation when comparing personal loans for medical costs. Ask friends and family for recommendations and read customer reviews and ratings to evaluate customer satisfaction.

What Is a Bad Credit Medical Loan?

A bad credit medical loan is a type of personal loan specifically designed for people with limited credit who need to cover the cost of medical care. These loans may offer fast access to cash and flexible repayment terms—but interest rates may be high for borrowers with less-than-stellar credit. That said, some personal loans are tailored to borrowers with bad credit and have less stringent qualification requirements than traditional personal loans.

How Do Bad Credit Medical Loans Work?

Bad credit medical loans work like other personal loans in that borrowers receive a lump sum of cash repaid over a set term. Payments are typically due monthly, and interest accrues on the entire loan balance. Some loans come with origination fees and other borrowing costs, though some online lenders forgo these costs in favor of a fee-free structure.

• Interest rates: Interest rates for personal loans typically range from 6% to 36%. That said, rates vary by lender and ultimately depend on factors like the borrower’s creditworthiness. Consumers with bad credit do not usually qualify for the most competitive rates.
• Fees: Some bad credit medical loans may include origination fees, late payment fees and prepayment penalties. Origination fees typically range from 1% to 10% and are built into the loan’s annual percentage rate (APR). Make sure you understand what these are before signing a loan agreement.
• Loan amounts: Personal loans often range from $1,000 to $50,000, but some lenders offer up to $100,000. Ultimately, the loan amount a borrower qualifies for depends on their credit score, meaning less qualified consumers may be limited to lower borrowing limits.
• Loan terms: Most personal loans come with repayment terms between one and seven years—or 12 and 84 months. Shorter loan terms translate into higher monthly payments but lower interest accrual over time.
• Collateral requirements: Most personal loans are unsecured and do not require collateral. However, some lenders require less qualified borrowers to pledge assets as collateral or offer more competitive rates to those who do.

When to Consider a Medical Loan

The best medical loans can help consumers who can’t pay for medical expenses out of pocket and do not qualify for traditional financing due to poor or no credit history. Still, bad credit medical loans typically have higher interest rates than other types of financing, so it is important to compare several lenders to get the best possible rate.

How to Get a Bad Credit Medical Loan

The process for getting a bad credit medical loan varies by lender. However, there are a few general steps you can follow when applying:

1. Check your credit score. Before applying for a bad credit medical loan, check your credit score to understand what lenders will see when they review your application. This can help you determine which lenders are more likely to approve your loan request.
2. Decide how much you need to borrow. Calculate how much you need to borrow to cover your medical bills early in the application process. Doing so can help you choose a lender that won’t require you to borrow more than necessary—or one that offers borrowing limits high enough to meet your needs.
3. Research different lenders. After checking your credit score, research potential lenders and their associated interest rates, fees and repayment terms. Some lenders may allow you to prequalify without a hard credit inquiry. This can help you understand the rates you’re likely to qualify for without negatively impacting your credit score.
4. Gather relevant documents. Most lenders require applicants to provide documentation such as proof of income and bank statements before approving their loan request. Have these on hand when applying to speed up the process.
5. Identify a co-borrower or collateral. Some lenders may require a co-borrower or collateral to approve your loan request. This can improve your approval odds or help you qualify for a lower interest rate. Make sure you understand these requirements before submitting your application.
6. Submit a formal application. Once you have researched and chosen a lender, complete the loan application. Be honest and thorough in order to increase your chances of being approved for the best possible terms.

Methodology

We reviewed 18 popular lenders based on 14 data points in the categories of loan details, loan costs, eligibility and accessibility, customer experience and the application process. We chose lenders that have a minimum credit score requirement of 600 or lower and ranked them based on the weighting assigned to each category:

• Eligibility and accessibility: 30%
• Loan cost: 25%
• Loan details: 20%
• Customer experience: 15%
• Application process: 10%

Within each category, we also considered several characteristics, including loan amounts, repayment terms, APR ranges and applicable fees. We also looked at whether each lender accepts co-signers or joint applications and the geographic availability of the lender. Finally, we evaluated each provider’s customer support tools, borrower perks and features that simplify the borrowing process—like prequalification and mobile apps.

Where appropriate, we awarded partial points depending on how well a lender met each criterion.

To learn more about how Forbes Advisor rates lenders, and our editorial process, check out our Loans Rating & Review Methodology.

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