PERSONAL FINANCE BLOG

Money shouldn´t stop making your plans come true. Learn how personal loans can help you!
The Best Loans Available for People with Poor Credit
7 Sep 2018

The Best Loans Available for People with Poor Credit

The average household has at least $16,000 worth of loans they’re actively managing. Including credit cards, that loan debt totals about 13 trillion dollars among all United States families.

Why are loans so popular?

Loans are flexible and relatively easy to get which enables people to pay today’s important expenses including things like car repairs, home improvements, medical expenses and more.

If you’re in need of a loan to meet your financial obligations but are struggling with poor credit, you may be wondering what your options are. Fortunately, there are a lot of loans out there tailor-made for people who have credit issues.

In this article, we will discuss a little more about what poor credit loans encompass and how to find the best loans for poor credit on the market today!

What Are Poor Credit Loans?

Loans are borrowed money products that lenders offer to customers in exchange for various interest rates and fees. All loan products are subject to approval and approval typically hinges on a central factor – your credit.

If you have poor credit, chances are you won’t qualify for very many loan products. This can make it difficult to borrow the money you need.

Poor credit loans service the 68 million consumers who are struggling with their credit ratings and give them options. With a poor credit loan, you’ll typically find slightly lower borrowable amounts with slightly higher interest rates and fees.

You may also find contingencies where lenders require you to offer collateral in order to take on a loan. This collateral can encompass a wide variety of things including vehicles, boats, stocks, property and more.

On the plus side, in exchange for those concessions, lenders either don’t check or are extremely lenient when it comes to checking borrower’s credit scores.

Where Can You Get Poor Credit Loans?

There is no single place that offers poor credit loans. These products are items that lenders can choose to offer on an a-la-carte basis in addition to their traditional loan products.

You can find poor credit loan products through a traditional bank. You can find them at your local credit union. You can even find them conveniently online.

To get started finding and comparing hundreds of the best loans for poor credit online right now, you can use the tools we offer through Bonsai Finance. They will allow you to filter through multiple lenders, their terms, and conditions quickly to find the best provider for you.

The Best Loans for Poor CreditWhat Are the Best Available Loans for People with Poor Credit Right Now?

Again, to get a personalized overview on what poor credit loans you specifically have the best chance of qualifying for, we recommend using our loan finding tools. In the way of specific loan recommendations that are popular right now, below are a few lender suggestions.

Notable Secured Loan for Poor Credit: OneMain

OneMain financial offers direct, secure (collateral-based) loan products that are frequently awarded to those with poor to average credit. These loans are offered in varying lengths (typically 24 – 60 months) and can be worth anywhere from $1,500 – $10,000.

Notable Unsecured Loan for Poor Credit: Avant

Avant is a lender who is known to award loans to applicants who are hovering in the 600 credit score range. This provider is another direct lender who does not rely on peer-to-peer lending (a popular means of funding loans online) which means that you could get your money as quickly as the same day you apply.

Loans range from $2,000 – $35,000 based on your credit rating and loan term.

Notable Peer-to-Peer Loan for Poor Credit: PeerForm

You will need a credit score of over 600 to qualify with this lender. That restriction enables PeerForm to offer loans as high as $25,000. PeerForm is unique in that it sources funding from multiple parties to fund a loan.

Because of this diversified funding however, loans can take weeks to receive.

The Key Advantage to Taking on a Poor Credit Loan

When your credit is bad, you may want to throw in the towel on borrowing altogether. The problem is that stopping borrowing means stopping your opportunities to rehabilitate your credit score.

If you take out some of the best loans for poor credit, you’ll have a chance to make timely payments and prove that you can borrow responsibly. As you do that, you’ll find that your credit score builds and in the near future, your borrowing options will expand substantially!

Wrapping Up Best Loans for Poor Credit

If you are in need of money fast but have poor credit, your options are limited but not non-existent. Above we’ve outlined how to find the best loans for poor credit and have suggested some lenders that may be worth looking into if your credit score falls within their acceptable, relatively low range.

The issue with applying for the best loans for poor credit with a single lender is that you’re only getting one offer. This increases the amount of time you’ll have to spend shopping around for products and looking a party who will approve your application.

To speed up your best loans for poor credit search substantially and get money as quickly as today, let our team help.

At Bonsai Finance, we’ve crafted sophisticated online tools that enable borrowers like you to scour the web for hundreds of qualified online lenders. At the click of a button, you can compare and contrast a variety of lenders who specialize in working with low credit borrowers.

Find the money you need today by leveraging our online tools now! Alternatively, feel free to learn more about the best low credit score credit card providers.

For more information on all of your biggest financial questions, read more in the Bonsai Finance Learning Center!