Best Personal Loans for Bad Credit of April 2024

Need a personal loan but have poor credit? Discover this year's the top lenders offering bad credit loans with guaranteed approval.

Financial difficulties can be extremely stressful, especially when you're struggling to pay your bills. If you have a bad credit score, the situation can feel even more dire as traditional banks typically require a credit score of 660 or higher to approve a loan. The good news is that there are reputable lenders that provide bad credit loans with guaranteed approvals, which you can obtain online. Most loan providers charge too high-interest rates to be affordable to customers with poor credit. It is important to carefully review the terms and conditions to ensure you are getting a loan that is right for you.

If you find yourself in need of a personal loan and have bad credit, check out Benzinga's best loan options only from trusted and reliable lending companies.

Quick Look: The Best Bad Credit Loans With Guaranteed Approval

• Best for No Origination Fees: SoFi
• Best for Emergency Loans: Avant
• Specializing in Emergency Loans and Bad Credit Loans: Happy Money
• Best for Fast Funding: BadCreditLoans
• Best for Instant Payday Loans: Prosper
• Best for Quick Cash Approval: NetCredit
• Best for Interest Rates: PersonalLoans

7 Best Personal Loans for Bad Credit With Guaranteed Approval

Here are some of the best personal loan options for those with poor credit.

1. Best for No Origination Fees: SoFi

SoFi has made a name for itself as a leading online personal finance company that helps consumers refinance debt, get out of debt and manage their finances in a convenient all-in-one setup. With SoFi personal loans, you have the flexibility to select loan terms ranging from 2 to 7 years. This allows you to tailor your loan repayment schedule to fit your financial situation and goals. Keep in mind, though, that the longer the term, the more you will end up paying in interest, especially for consumers with bad credit.

One of the key benefits of getting a personal loan through SoFi is its no late fees and no origination fees offer. This can save borrowers a significant amount of money over the duration of the loan. Additionally, this transparent pricing structure means that borrowers can easily understand the total cost of their loan and avoid any surprises.

2. Best for Fast Funding: Bad Credit Loans

Established in 1998, BadCreditLoans aims to assist anyone with a poor credit history. They connect borrowers and lenders through a sign-up form as a mediator. Although the BadCreditLoans website does not act as a direct lender, it works with trustworthy lenders who have a successful track record and meet high-quality standards. As a result, customers and lenders may straightforwardly deal with one other. They also connect their clients with tribal lenders, which typically charge higher interest rates because they don't adhere to any Annual Percentage Rate (APR) laws.

Personal installment loans, peer-to-peer loans and traditional bad credit personal loans are all the options they provide. Depending on the lender, the funding may come from corporations or individuals. For a more convenient option, you may also apply for a loan through the platform's mobile app. BadCreditLoans only sends your application to lenders who fit your precise criteria.

The services offered by BadCreditLoans are entirely free of charge. Most similar platforms lack this capability. Signing up and submitting an application to a lender is free, as are applicable taxes or other fees. As a borrower, you are solely responsible for any fees and conditions lenders impose on their loans.

3. Best for Emergency Loans: Avant

Avant is a lender you can try right away by visiting the website, submitting an application and taking a look at the loan options that are available. The website is easy to use even on a mobile device and your business can take advantage of:

• No collateral, unsecured financing
• An online loan eligibility calculator
• Loans that could be as high as $35,000
• A range of loan terms that suit your situation

With a great customer service team and available funding for any number of situations, you can turn to Avant when it’s time to finance emergencies, unexpected expenses, etc. Remember, though, you will need to contend with the repayment terms and interest rates attached to the loan.

4. Specializing in Emergency Loans and Bad Credit Loans: Happy Money

Happy Money is a debt consolidation platform that works around personal loans and helps consumers just like you pay off credit card debt. Previously known as Payoff, the platform will connect you with approved lender who can offer the lowest rates and help you consolidate a range of credit card debt.

5. Best for Instant Payday Loans: Prosper

Prosper offers both personal loans and investing resources, but the most powerful part of this platform comes in the form of personal loans you can use to get your life back on track. You can borrow anywhere from $2,000 to $50,000 for any number of purposes on a fixed rate. Everything is handled through Prosper so you don’t get stuck with a third party and it works well for those who are trying to get back on their feet, even if they don’t have income at the moment.

6. Best for Quick Cash Approval: NetCredit

NetCredit works quite well for those who have little to no credit. Plus, it can serve those who have struggled with or are struggling with their credit. You can check your eligibility for a personal loan without impacting your credit score and you get several benefits, including:

• Low origination fees
• Low late fees
• Several loan options to choose from
• Quality customer support

Remember, though, that NetCredit is not available in the following US states: CO, CT, IA, ME, MD, NV, NH, NH, NY, NC, PA, VT, VA, WV and DC.

7. Best for Interest Rates: PersonalLoans

PersonalLoans is the most acceptable alternative for getting personal loans for bad credit with guaranteed approval. It’s a reliable, open and customer-focused lending institution with the most eligible terms and conditions for safe borrowing and outstanding loan amounts. PersonalLoans uses powerful data encryption to safeguard your private information.

The company offers the following services for your financial needs:

• Payday loans: A bad credit payday loan is a small short-term personal loan typically up to $1500 where lenders rely on your credit score and ability to repay the loan when evaluating your application.
• Fees and Interest Rates: PersonalLoans offers a variety of trustworthy lenders with competitive interest rates and fees ranging from 5.99% to 35.99%, depending on loan size and other factors.
• Quick Funding: Applying for a bad credit loan is a quick and easy process, with the possibility of receiving funds as soon as the next business day if approved.

What Are Bad Credit Loans With Guaranteed Approval?

Bad credit loans with guaranteed approval are specifically designed for individuals with poor credit history. These loans are typically offered by online lenders or alternative financial institutions, as traditional banks may be hesitant to approve personal loans for bad credit. Guaranteed approval means the lender may not conduct a credit check or overlook a poor credit score. While this may appeal to those who struggle to obtain a loan due to their credit history, the terms and conditions of these loans are often less favorable. Interest rates are higher, repayment terms are stricter and fees are more expensive, making them a risky option for borrowers.

Different Types of Personal Loans for Bad Credit

Different types of loans are available for people with poor credit score through various platforms, each with different interest rates, funding times and repayment periods. These platforms make it easier to get approved for a bad credit loan without significantly impacting your credit score.

• Unsecured personal loan: An unsecured personal loan is a loan that does not require collateral, making it riskier for the lender. Interest rates are higher for unsecured loans and they are used for various purposes such as debt consolidation or home improvements.
• Secured personal loan: Secured personal loans are backed by collateral such as a car or house, reducing the lender's risk and potentially allowing for lower interest rates. However, if the loan is not repaid, the lender can take possession of the collateral.
• Joint personal loan: A joint personal loan involves multiple individuals applying together to increase approval chances and potentially secure better terms. All parties are equally responsible for repayment, with missed payments affecting all credit scores.
• Co-signed personal loan: A co-signed personal loan is a loan where the borrower is supported by another individual, usually a family member or friend, to help them qualify for better loan terms. Both parties are equally responsible for repayment, requiring clear communication and a repayment plan.
• Payday loans: Payday loans are short-term loans with high interest rates and fees, which can lead to a cycle of debt for borrowers.
• Cash advances: Cash advances are short-term loans with high interest rates and fees that allow you to borrow money against your future income. They should only be used for emergencies and it's important to understand the terms and conditions to avoid financial difficulties.

What to Look for in Personal Loans for Bad Credit

There are other elements to consider while determining which platforms you should try, but the following are among the most important because they help you get excellent service and avoid scammers.

• Company's reputation: check the company's reputation by ensuring they have been in business for a while, are registered, have a physical address and website. Avoid scammer lenders who ask for payment before processing loans, as approved lenders do not charge fees and conduct business honestly.
• Interest rates: When looking for a personal loan for bad credit, it is important to consider the higher interest rates that may come with it. Comparing rates from multiple lenders can help you find the best deal. Applying for a pre-approved loan allows you to see all the information, including the interest rate, without affecting your credit score.
• Fees and charges: Ask about any extra fees that may be associated with it, such as prepayment fees, late payment fees, and insufficient funds fees. These fees can vary from lender to lender and can quickly add up, so it is crucial to be aware of the total cost of the loan before agreeing to the terms.
• Loan terms: Before signing a loan agreement, carefully review the terms including the repayment schedule, loan amount, and monthly payments to ensure they align with your financial goals and you can comfortably afford them.
• Loan approval process: Some lenders may offer guaranteed approval for bad credit loans, but it is important to understand the approval process and be prepared to provide necessary documentation such as income and employment history.Understanding the process can increase your chances of approval.
• Privacy: The selected sites encrypt data to protect the privacy of borrowers seeking personal loans for bad credit and ensure that personal information is not revealed to third-party lenders.
• Transaction time: As soon as you're authorized for the bad credit loan, it's a fantastic idea if you can get your hands on the money right away. It's recommended to choose a company that can transfer the money to your checking or savings account within 24 hours to avoid any delays and know exactly when the loan will arrive.
• Credit impact: Some lenders may report your loan activity to credit bureaus, which can help improve your credit score over time. Make sure to choose a lender that reports to credit agencies if rebuilding your credit is a priority. When applying for a loan, lenders will check your credit report to determine your eligibility. It is important to review your credit report online and check for any errors to potentially improve your credit score and qualify for a lower interest rate.
• Customer experience and satisfaction: Before choosing a lender for a personal loan with bad credit, take the time to read customer reviews. Reviews can provide valuable insights into the lender's reputation, customer service and overall loan experience. Look for lenders with positive reviews and a history of satisfied customers.

Benefits of Using Online Loan Platforms for Bad Credit Cash Loans

If you have bad credit and are in need of a cash loan, traditional lending institutions may not be willing to help. However, there are online loan platforms that offer bad credit cash loans, providing a solution for those who are in a financial bind. Here are some benefits of using online loan platforms for bad credit cash loans:

• No credit check: One advantage of a bad credit loan is that lenders do not consider your credit history. They will instead focus on factors such as your employment status and ability to repay the loan.
• Flexibility: Online lending tools allow you to obtain a loan without having to explain the reason for borrowing the money. This allows you to use the funds for personal needs such as shopping or emergencies like medical expenses.
• Hassle-free application: Reputable internet lenders offer fast loans for people with bad credit, with simple application processes through their websites or mobile apps. Loan requests are processed quickly and applicants are notified once approved.
• No collateral required: Most loans are secured by real estate or other valuable assets that can be converted into cash rapidly. The absence of suitable collateral might concern those with bad credit. If you're only looking for loans for bad credit, you won't have to worry about this anymore. Aside from the fact that no collateral is required, lenders are more ready to make these types of loans to employed persons.
• Less documentation needed: Having no credit score can be an issue when dealing with a bank, as it may require additional criteria to be met before obtaining a loan. Online personal loans for those with bad credit are more convenient and do not require lengthy paperwork or verification.

Alternatives to Bad Credit Loans

Even if you've gone through all of these steps and are still unable to acquire a loan, you still have a few other choices. These are only a few examples:

• Leverage what you already have: Make a thorough financial assessment. To ensure your well-being, make a realistic plan for your money. Selling some of your assets is possible if the situation gets too dire.
• Ask your employer: You can request a salary/cash advance if you are on good terms with your bad credit loan companies. This short-term loan will allow you to survive till you have another choice.
• Borrow money from a family member or friend: Friends and relatives are always our final recourse when it comes to lending. You can borrow money from friends or family members during difficult times. However, don't take their generosity for granted. Consider the loan the same way you would a traditional money lender. If you do not reciprocate, you may lose a valuable relationship.

Choose a Bad Credit Loan Today

While personal loans for bad credit with guaranteed approval may seem like an attractive option, it is crucial to carefully consider the terms and conditions before accepting any offer. By comparing interest rates, fees, loan terms, repayment flexibility and the application process, you can ensure you are getting the best possible loan for your financial needs.