Best Personal Loans With No Credit Check for April 2024

The Bottom Line

Personal loans with no credit check are an option for quick and easy borrowing if you have poor or no credit. OppLoans tops our list because of its wide availability, range of loan amounts, and lower APRs. But, Fig Loans and Money Key suit most smaller borrowing needs and have short repayment periods, but they are only available in a handful of states.

Guide to Choosing the Best Personal Loans With No Credit Check

What Is a No Credit Check Personal Loan, and How Does It Work?

A no credit check personal loan is a type of loan that relies on non-traditional information rather than credit information for loan approval. For instance, lenders may consider a borrower’s bank deposit history instead of their credit score.

These loans are convenient if you have bad credit or you haven’t established a credit history yet. However, they can be risky and tend to have much higher interest rates compared to personal loans that do check credit.

Pros and Cons of Personal Loans With No Credit Check

Pros Explained 

• Higher odds of approval: You may be able to borrow a no credit check personal loan with only a bank account and a steady source of income.
• Fast funding: Lenders often make funds available no later than the next business day after approval. Some offer same-day funding.
• Credit bureau reporting: Many lenders report your loan history to the credit bureaus, which can help establish or improve your credit score.

Cons Explained

• Higher APRs: Interest rates on no credit check personal loans are significantly higher than traditional personal loans. Rates may be higher which significantly increases the cost of borrowing. 
• Less availability: Personal loans that don’t require a credit check are less common, so there are fewer lenders to choose from. In addition, loans are often available only in specific states.
• Shorter repayment terms: Because of the high-risk nature of no credit check loans, loans typically have to be repaid in 18 months or less. Personal loans from traditional lenders may have repayment terms of up to seven years.

How to Get a Personal Loan With No Credit Check

Understand what you need and can afford to repay. This can help prevent you from borrowing more than you're capable of repaying. After you've shopped around and chosen a lender, you'll need to submit an application and provide your personal, employment, and income information. In addition to your application details, lenders may also ask for your driver's license and bank details or copies of your bank statements to review your deposits and determine eligibility.

Here are some other common details that lenders may require on an application:

• Your age: Lenders cannot discriminate based on age. However, some states require that borrowers meet minimum age requirements before they can enter a legal financial contract with a lender.
• Legal residency: Just like age, lenders can't turn you down because of your national origin. They may ask you about your residency status to determine whether you can pay back the loan. Keep in mind that non-residents and non-citizens may still qualify, but it may be tougher to be approved.
• Income: Almost all lenders ask you for your income and employment information. This is to ensure that your source of income is enough to repay the loan. Some companies may have an income threshold before you can borrow.
• Debt-to-income (DTI) ratio: This ratio represents how much of your income goes to pay off your debts every month. As such, it helps lenders see how much of a risk you are if they approve you for a loan.

If you meet the qualifications, your loan application will be approved. You'll have a chance to review the loan amount and terms, including cost and repayment details. Accept the loan if you agree to the terms, and you'll often receive funds by the next business day.

Where to Get a No Credit Check Loan

There are several places to find no credit check loans. The loan amount, interest rate, and repayment terms will vary depending on the lender.

• Online lenders
• Payday lenders
• Auto title lenders
• Pawn shops
• Banks or credit unions (secured loans)
• Family or friends

The Cost of No Credit Check Loans

Several financial functions decide how much your no credit check personal loan costs to close as well as carry. Let's take a look at what these costs are and why these costs are higher compared to other types of personal loans.

First, let's talk about interest rates. No credit check loans typically carry higher interest rates to compensate for the increased risk assumed by the lender. Even if there's collateral involved, a lender may not risk lending money to someone they have not comprehensively reviewed for cheap. Even our top no credit check personal loan option OppLoan carries with it an APR range of 160% to 179%.

Next, lenders may impose various fees when they underwrite or close the loan. One of the most common charges is the origination fee. OppLoan's fee is $0, though other lenders may incur a charge as part of the process of getting financing.

Last, the loan term and loan amount can dictate your cost. The good news here is short-term loans with quick repayment periods may have lower overall costs but higher monthly payments. In the case of OppLoan, your loan wouldn't be able to be longer than 18%. This is favorable to the lender as long, drawn-out loan terms mean you're carrying interest for longer.

Comparing Personal Loans With No Credit Check 

If you’re comparing no credit check lenders, there are several features to consider to narrow down your options:

• APRs: This is the total annual cost of borrowing money. The higher the APR, the more expensive the loan.
• Fees: Look for upfront disclosure of all fees before you accept the loan.
• Co-signer availability: Some lenders may not allow you to add a co-signer to your no credit check loan application.
• State availability: Many lenders only provide loans in a few states. Verify that loans are available in your state before applying.
• Loan use restrictions: If you have a specific need in mind, determine whether you're allowed to use the loan for that purpose.
• Funds timing: For urgent borrowing, look for lenders that offer same-day funding. Check to see whether there's an application cutoff time for same-day funding.

Types of No Credit Check Loans

This article is primarily about personal loans. However, there are several other types of no credit check loans you can use to secure financing for a variety of reasons. These types of no credit check loans may include but aren't necessarily limited to:

• No credit check personal loans: Some lenders offer personal loans without conducting a traditional credit check. These loans are unsecured, meaning there is no tangible asset backing them up as collateral. Instead, approval may be based on income or your employment verification. 
• Title loans: Title loans are loans that use your car title as collateral to secure the loan. The loan amount is based on the appraised value of the vehicle. If you fail to repay the loan according to the agreed-upon terms, you risk losing your vehicle. In this case, the lender may not make a credit check since credit history plays less of a factor (since the loan may be fully covered by collateral). 
• Cash advances: Cash advances allow borrowers to withdraw cash against their credit card's credit limit. The borrower would have already gone through the credit check stage when they received the credit card; the loan against this credit limit may not require an additional credit check. 
• Pawn shop loans: Pawn shop loans involve using valuable items as collateral for a short-term loan. You can receive a no credit check pawn shop loan based on the appraised value of your item. If you aren’t able to repay the loan, your pawned item is forfeited. Because the pawn shop holds collateral, they often do not require a credit check. 
• Guarantor loans: Guarantor loans involve a co-signer or guarantor with good credit agreeing to repay the loan if the borrower defaults. This arrangement helps someone with a low credit score or small credit history obtain credit. Depending on the strength of the co-signer or guarantor’s financial health, the lender may not require a credit check from the other borrower.
• Emergency loans: Emergency loans are other types of loans intended to address urgent financial needs. They’re meant to have a quick application and approval process so you can get your loan money quickly. Be mindful that though no credit check is usually needed, energy loans may have much less favorable loan terms. 

Alternatives to No Credit Check Personal Loans

No credit check personal loans may not suit all borrowing needs or cost preferences. Consider these alternatives:

• Secured loans: Secured loans, such as those that use your car or savings as collateral, are a useful choice if you don't have excellent credit. Because the loan is backed by collateral, you’re more likely to qualify for a loan and get a lower rate than with an unsecured loan.
• Bad credit loans: Bad credit loans are loans for people with credit in the poor to fair range, meaning a score between 300 and 669. They have higher-than-average APRs, but their rates will likely be lower than you’d get with no credit check loans or payday loans.
• Credit union loans: Some credit unions have personal loans specifically designed for people with poor credit or no credit who are facing emergency expenses. They usually have lower APRs than you’d find with other lenders and less stringent eligibility requirements. You can find a local credit union by using the National Credit Union Administration’s locator tool.
• Co-signed loans: Some lenders allow you to apply with a co-signer (someone with good credit and a source of income). Co-signed loans may improve your chances of qualifying for a traditional personal loan or qualifying with better rates.
• Buy now, pay later (BNPL) loans: BNPL loans allow you to spread payments for purchases over a few weeks or months. Depending on the service and the merchant you choose, the APRs and fees can be relatively low. Some don't charge any fees or interest.
• Payday advance apps: If you’re currently employed and need a relatively small amount of money to pay for an emergency expense, cash advance apps like Earnin or Dave allow you to get an advance of your next paycheck. You can get as much as $500 in most states with no credit checks or interest charges.

Should You Apply for a Personal Loan With No Credit Check?

You might apply for a no credit check personal loan for quick funding or your credit history makes it difficult to get approved for a traditional loan. Since there's no credit check, applying won't trigger a new credit inquiry or affect your credit score. Lenders look for consistent income history to determine loan eligibility, so you'll need to have a reliable source of income to get approved.

If you're ultimately approved, the funds can be used for a variety of short-term needs including car or home repairs or emergency medical expenses.

Because of the risk and cost associated with personal loans with no credit check, it wouldn't be financially wise to use these loans for optional spending like shopping, gifts, or leisure travel. Make sure you can afford the payments. Some lenders report loan activity to credit bureaus, even when there's no credit check for the initial loan. Late and missed payments can impact your credit score.

Why You Should Trust Us

Investopedia collected and analyzed hundreds of key data points from over 70 companies across three months to identify the most important factors for readers choosing a lending company that doesn't perform credit checks.

We used this data to review each company for fees, repayment terms, income requirements, and other features to provide unbiased, comprehensive reviews to ensure our readers make the right decision for their needs. Investopedia launched in 1999 and has helped millions of readers around the world become educated on personal finance.

How We Pick the Best No Credit Check Personal Loans

To evaluate and rank personal loan providers we collected hundreds of data points across more than 70 lenders, including traditional banks, credit unions, fintechs, and special interest finance companies. We researched and evaluated APRs, loan amounts and terms, fees, customer experience, and much more.

To rank the lenders in our database and to generate star ratings, we weighted the data we collected, based in part on what consumers told us were the most important features of a personal loan and lender in a survey we conducted. We grouped those factors into four broad areas:

• Loan costs (advertised APR, fees, and six other factors): 29.25%
• Loan terms (loan amount, repayment term, and three other factors): 22.25%
• Borrowing requirements (credit score, membership requirement, and six other factors): 28.5%
• Additional features (online application, pre-qualification, and eight other factors): 20%

Learn more about how we evaluated personal loans in our complete methodology.

Guide to No Credit Check Personal Loans

Learn more about personal loans:

• What is a personal loan?: A personal loan is an installment loan that can help you cover different personal expenses. Loans can be secured or unsecured, and are taken through banks, credit unions, and other financial institutions.
• How do personal loans work?: When you take out a personal loan, your lender deposits the proceeds as a lump sum in your account. Most lenders require that you pay your loan back in regular installments, usually monthly, plus interest.
• When are personal loans a good idea?: You can use a personal loan for any purpose, including debt consolidation, to buy a new car, or to take a vacation. But before you apply, make sure you can repay the loan to ensure you don't damage your credit.
• How to get a personal loan: There are several steps to getting a personal loan. Do your research on lenders and rates and see if you pre-qualify. Make a formal application (if necessary) and sign your loan documents when you're approved. After you receive your funds, begin repaying your loan.
• How to apply for a personal loan: Applying for a personal loan is fairly easy. Before you apply, though, review your finances and decide how much you need and can afford to borrow. Review the lenders that are available to you, see if you pre-qualify, and submit your application online or in person.
• How to use a personal loan: You can use a personal loan for any reason. Personal loans are helpful when you want to consolidate debt, make home improvements, cover emergencies, or make large purchases.
• Where to get a personal loan: You can apply for and get a personal loan from a bank or credit union. You may also want to consider other financial institutions and online lenders. Requirements and interest rates vary based on the lender you choose.
• Personal loans vs. credit cards: Personal loans are installment loans that usually come with fixed rates and can only be used once. Credit cards have revolving credit lines, which means you can use them more than once, and require at least a minimum payment.
• Alternatives to personal loans: Some of the common alternatives to personal loans include credit cards, lines of credit, payday loans, and retirement loans among others.
• Personal loan calculator: A personal loan calculator can help you figure out your loan payments and overall costs before you apply.
• Personal loans methodology: Review our methodology to see how we came up with our lists of best personal loans.