A bad credit score can truly put you in the worst financial situation. Once you are in that category, you’re seen as a high-risk individual to lend to. As a consequence, you have a host of issues to contend with; very high-interest rates, security deposits, short repayment terms, and much else is what you can expect with bad credit.
Naturally, if you’re trying to avail of emergency loans, you must already be in a financial emergency. In such situations, additional stress isn’t what you’re after – but it’s all you seem to be landing yourself in. Lenders are there to help consumers with all credit scores whenever they require rapid cash. Some of the most crucial elements to consider when looking for emergency loan lenders are how much the loan will cost, the conditions you can acquire, and how soon you can apply and get funded.
Luckily, there are solutions for people like you. In this article, we’ve put together a list of the top lenders for emergency loans with bad credit out of the hundreds out there. We’ll tell you why we think they’re the best, what they offer, the pros and cons, and other general information when it comes to getting a loan.
So what are we waiting for? Let’s get to it!
Top 4 Sites For Bad Credit Loans With Guaranteed Approval On The Market:
After analyzing many lenders and their strengths and weaknesses, we’ve come to the companies on this list. If you’re struggling to find a loan with your credit score, these are legitimate lenders that you can go to if you’re struggling.
- Money Mutual— Overall Best Online Lender For Bad Credit Loans With Guaranteed Approval, Editor’s Pick
- Bad Credit Loans – Best Emergency Loans For Bad Credit Borrowers Online
- Cash USA – Popular Same Day Loans With Instant Cash Approval
- Personal Loans – Best For Unsecured Personal Loans With No Credit Check
#1. Money Mutual – Overall Best Online Lender For Bad Credit Loans With Guaranteed Approval, Editor’s Pick
Money Mutual is an online marketplace that connects the borrower to the lender. While the website has some basic requirements such as being 18 and having a checking account, its strictest requirement is that it asks borrowers to have 800$ in monthly income. The application process here is significantly simple, with some basic questions that need to be filled.
There’s no cost for Money Mutual’s services, and it doesn’t ask you to do a credit check either. This is a plus point because a hard credit check reflects badly on the borrower’s credit report. Money Mutual has other ways of checking your credit.
These are things like the monthly income requirement, your past payment history, and other details about your financial history to measure how creditworthy you are.
As for where its services are available, you can find Money Mutual in every state except New York and Connecticut.
Money Mutual is quite a legitimate website, with over 3,400,000+ verified reviews on Consumer Affairs.
Money Mutual follows a simple and relatively quick process. Once you fill in the application and provide the relevant details, it connects you to its network of lenders. Money Mutual has over 60+ lenders that work with individuals with bad credit. These lenders will then review your case, and you will be paired with one accordingly. Money Mutual informs the borrowers that the lenders it connects them with may have terms and conditions of their own, and the loan borrowers may receive depending on their independent qualifications.
Money Mutual focuses on short-term loans, so if a payday loan, personal loan, or anything similar to that is what you’re looking for, this is a good website to opt for.
Money Mutual focuses on bad credit loans, so it’ll pair you with lenders that accept poor FICO scores below 600. However, the website isn’t responsible for the interest rates and other details of the loan. These change from lender to lender.
Money Mutual is renowned for its speed. With its extensive network of lenders and the easy online process, borrowers can expect funds in as little as a day. For this reason, it’s at the top of our list for emergency loans with bad credit. In a tight situation, fast funds are what you’re looking for.
- Fast service
- Specializes in bad credit
- A very good option for short-term loans, these are easier to process and quicker to fund, which is why Money Mutual usually gets their borrowers the money quickly
- No costs for their services
- Many verified reviews
- Many kinds of short-term loans are available, such as payday loans, advancements, installment loans, and more
- Part of the Online Lenders Alliance
- No credit check
- Connects you to lenders very fast
- High monthly requirement of $800
- Not available in New York and Connecticut, and only available in the USA
#2. Bad Credit Loans – Best Emergency Loans For Bad Credit Borrowers Online
Established in 1998, making it one of the oldest online marketplaces on this list, Bad Credit Loans is another online platform that connects the individual and the lender. Compared to Money Mutual, the requirements are a lot more relaxed on this platform.
To apply for the services of Bad Credit Loans, you need to be 18, have a bank account, provide your Social Security Number, and your residency as well as proof of citizenship. There’s no monthly income requirement, which makes it a lot more accessible regarding who can apply. Although there is no minimum credit score requirement for this brand, it does charge high rates and origination costs.
The overall process is similar to Money Mutual, and you need to fill out a simple process that takes a few minutes to cover. Once this is down, it’ll immediately run your case against its network of lenders. In a while, you’ll have lenders willing to work with your case based on your credit score.
It’s important to note that Bad Credit Loans are also not responsible for the individual terms of the lenders. These are very situational and are decided by the lender and your credit score.
At Bad Credit Loans, you can expect loans from $500 to $10,000. The services of Bad Credit Loans are completely free of cost.
On top of that, all the loans offered at Bad Credit Loans are unsecured. Unsecured loans mean that you won’t have any collateral if you fail to repay the loan. None of your belongings will be at risk.
There’s a lot of variety in terms of loans, and you can get:
- Mortgages, which are property-based loans.
- Business Loans, which are for any business-related endeavor.
- Auto Loans, specifically for any expenditure related to vehicles.
- Student Loans, which are for university fees and the like.
- Personal Loans, which are for any personal purchases.
- Debt consolidation loans, which fuse multiple loans into one loan with a lower interest rate.
- As you can see, the variety in terms of loans is high here to cater to any emergency.
As the name implies, this website specializes in bad credit and pairs you with lenders who work with bad credit individuals. If you have a low FICO score rating and need cash urgently, this is a website for you. They offer their services in every state as well.
However, one thing to note is that personal loans usually cap out at $5,000 for people with bad credit.
- An experienced platform. It’s been around for quite a long while
- Very fast funding speed
- A diverse selection of loans
- More relaxed requirements
- Available in every state
- Free service
- All loans are unsecured
- One of the few places to offer debt consolidation loans
- Good reviews on multiple websites
- Good for short-term loans needed in an emergency
- Easy and accessible application process
- Not accredited by the BBB
- High APR rates
- The website can be a bit misleading. It says it offers up to $10,000, but personal loans tend to max out at a much lower amount
#3. CashUSA – Popular Same Day Loans With Instant Cash Approval
Established in 2015 by bringing together various lenders, Cash USA is an online platform specializing in lending to individuals with bad credit.
This website specializes in two things: dealing with bad credit and peer-to-peer borrowing. Peer-to-peer borrowing refers to a process that lets individuals borrow from other people directly. Cash USA deals with all kinds of credit, whether you have no credit, poor credit, or fair credit.
The online process is just as simple and quick here as it is in the previous two, and once your information has been recorded, they will forward it to a list of lenders willing to work with your case and credit score.
Cash USA also will only do a soft credit check of your credit report. This doesn’t negatively impact your credit score and won’t appear on your report.
Cash USA has some requirements that are a bit stricter than the sites mentioned on this website. It requires you to be a US citizen, be 18+, have a checking account and provide your phone number; which all seem like basic requirements, but the strict one is the $1,000 monthly income requirement. But, that is after taxes and can be hard to meet for some borrowers.
The loan terms offered at Cash USA are between 3 to 72 months, but this can vary from lender to lender. The APR is 5.99% to 35.99%.
At Cash USA, you can get debt consolidation loans, mortgages, personal loans, medical loans, and auto loans. With a large selection of loans, and a high limit ranging between $500 to $10,000, and over a million monthly users, Cash USA is a great choice to opt for if you need cash urgently but don’t have the credit to apply elsewhere.
Cash USA works to connect you with lenders who won’t only just work with your credit score but are also relevant to the kind of loan and the amount you need. In turn, it makes it very convenient and efficient. It also helps borrowers save a fair bit of time they’d otherwise spend on sifting through loan offers and websites.
- Variety in loans
- Everything is online, from applications to payments
- Very fast at connecting you to a lender due to how the process works. It connects you with relevant lenders
- Offers medical loans and debt consolidation loans
- Loan variety
- Very simple process
- B rating from the BBB
- Offers unsecured loans, so no collateral
- High monthly requirement
- High APR rates, although this is to be expected with bad credit
#4. Personal Loans – Best For Unsecured Personal Loans With No Credit Check
PersonalLoans is an online marketplace that excels at large loans due to the high borrowing limit of $1,000 to $35,000. It’s also one of the few online platforms to offer loan terms from 3 months to 72 months. The APR is the industry average of 5.99% to 35.99%. However, as previously said, people with bad credit can expect themselves to find higher APR rates than if they had good credit.
Another benefit of this platform is that, like the rest, they only do soft credit pulls, which allows you to check rates without having your score negatively affected. A secured personal loan is the closest thing to a quick-approved personal loan.
They also have a large network of lenders, and with the easy application process and fast funding speed, you can expect your financial issues to be taken care of pretty quickly. A personal loan is an unsecured loan that you can use for any purpose. However, it lacks loan variety. There are three types of loans available at PersonalLoans:
- Peer-to-peer; refers to letting individuals borrow directly from each other.
- Personal installment loans; these are paid off in regular installments, which are agreed upon before the loan is given.
- Bank personal loans; personal loans can be used for a variety of purposes, depending on the borrower.
Though it lacks loan variety, it excels in offering personal loans, as the name implies.
Besides the soft credit union, personal loans check your creditworthiness through other means, such as your bank statement, your monthly income, and your bank details.
After this information has been processed, it will match you accordingly with a lender when it finds one appropriate to your case and the kind of loan you want. Some personal loan lenders may even deposit the funds into your bank account the same day you’re approved for financing.
There are the usual requirements of being a legal US resident, your Social Security Number, and is 18+. While PersonalLoans does not have an income requirement, it does need you to show your source of income. It can be from a job, or social security benefits, or disability benefits. A checking account will also be necessary.
- Very high loan amount
- Fast process
- Specializes in personal loans
- Relaxed application requirements
- Good for small or big loans
- All loans are unsecured
- Large network of lenders, so you can find someone favorable to you
- Lack of loan variety
How to Choose the Most Suitable Emergency Loan Option And The Best Lending Agency?
When coming up with this list, we prioritized a few areas.
- Their speed – In an emergency, you need cash, and you need it fast. One of the key factors for this list was how fast the mentioned companies delivered the funds. All four of these companies deliver results in a day at the earliest.
- Do they check your credit? – Another factor was whether or not the lender would do hard pulls on your credit. Surely, you don’t want anything to affect your credit score further badly, and that’s why we picked companies that either don’t do credit checks or if they do, it’s a soft pull, which doesn’t affect your report.
- Legitimacy – Getting a loan can mean encountering many predatory lenders. All of the mentioned companies have good reviews on multiple sites and do not directly promise to get you a loan with perfect terms, only to connect you with lenders who are willing to work with you. Installment loans, on the other hand, can be deposited quickly and need monthly payments.
- How they stack up to other platforms – After analyzing and comparing factors like funding speed, their network of lenders, the types of loans available, the application processes, and more – these websites offer the most accessible and helpful loans compared to other lenders.
Things You Need To Know Before You Apply For a Bad Credit Loan
- Inquiries – you don’t need to be cautious of credit pulls or soft credit checks. These don’t show up on your credit report and will not negatively affect your score, and in fact, you should take advantage of this as much as you can. It allows you to window shop by looking at different rates and finding the best deal for you without affecting your credit score.
Only a hard credit pull can negatively affect your credit score, and the marketplaces we’ve gone over so far don’t do hard credit pulls.
- Credit repair – You should know that pulling up your credit report is also something you can do by contacting one of the 3 credit bureaus. Credit repair through a credit repair company is usually the best bet, but if you’re financially struggling, putting some effort into repairing your report might be a good idea.
You should check to see if there’s any inaccurate or negative information that shouldn’t be there. If there is, you can dispute the company with the bureau and can get them removed. This will help you improve your score, which will help you find better interest rates and deals.
- Secured loans – you want to be wary of these. They’re not necessarily bad, but they come with high risk. A secured loan takes collateral if you’re unable to pay back the loan you owe, whereas an unsecured one doesn’t take any collateral. Unsecured loans come with higher APRs, but nothing you own is at risk, whereas the opposite is true for secured loans.
- Applications may not mean approval – just because you applied doesn’t necessarily mean you’ll get a loan. You may even get a match, but the deal may not carry all the way through. Remember, marketplaces only offer to connect you with a lender; the rest is between you and them. As such, they’re not responsible if you fail to get a loan or if the lender rejects your case for any reason.
- Documents – Make sure all your documentation is in order. The less time you waste on getting your papers sorted, the faster you’ll be able to apply for a loan and get one.
- Your capability – before you apply for any kind of loan, remember to budget the amount you’re borrowing into your monthly/yearly expenses. Is the amount you’re borrowing something you can realistically afford to pay back? If it’s in installments, then that’s all the more reason to budget. You should know how much of your paycheck you can safely spend on paying back a loan.
- Terms and conditions – before you sign anything, read all the terms and conditions a few times and make sure you understand everything clearly. A good loan is both favorable to the lender and the borrower. Anything else treads on exploitation.
Therefore, you should know everything about the fine print before signing and moving forward with your loan. Be very wary of lenders that aren’t transparent with you about these terms and conditions, and avoid them if they pressurize you into taking any sort of loan.
FAQs About Emergency Loans With Bad Credit
Here, we’ve compiled some frequently asked questions about lending marketplaces and how the entire process works. Loans are usually taken through a bank, and for first-time users of platforms like these, it can be a little strange and foreign.
Q1. How Do Lending Marketplaces Work?
Online lending platforms like the ones we’ve mentioned function very simply. They became popular due to the 2008 financial crisis. A lot of lenders needed a way to connect with borrowers, so lending platforms came into play.
They act as an online bridge between the borrower and the lender. Once you’ve given them your information, they’ll start connecting you to their list of online lenders that they work with. It’s that simple. However, there are some things you should know about these marketplaces.
They aren’t directly responsible for the lenders. They can only connect you and match you with one. This means that everything after that is between you and the lender. APR, origination fees, interest rates, repayment terms, and whether or not they lend you the money and finalize the deal is all between you and them. Any online marketplace is not responsible for this. Also, the terms and rates you see on an online platform may not be representative of the actual terms and rates you’ll get. This is something that varies from lender to lender.
They also won’t settle any disputes between you and the lender. Don’t expect them to help out with anything more than saving you a lot of hours by finding you a relevant lender.
Q2. Are They Legitimate?
There are many scams out there, but the websites we’ve mentioned so far are legitimate. Before going forward with any marketplace or lender, it’s a very good idea to do a background check yourself. This means going around, gathering reviews, asking people who have used these platforms, and checking for any potential red flags before you proceed. Although a no-credit-check loan is the easiest type of unsecured personal loan to get approved for, it isn’t necessarily the best choice for everyone.
Q3. How Can I Tell If A Platform Or Lender Is A Scam?
There are some signs that, if you know how to pick up on them, will let you know whether a lender or a platform is a scam or not.
- Transparency – the platform should be extremely clear and transparent about what it can and cannot do for you. Marketplaces that offer you deals that sound too good to be true or offer you anything else besides connecting you with a good lender are most likely scams and aren’t worth your time or money. Marketplaces that aren’t clear with you about things like loan terms, APR rates, and other important financial details are also ones you should steer clear of. A legitimate lender or platform will always be transparent with you.
- Pressurizing – If any lender affiliated with a marketplace or a marketplace itself pressures you or overly persuades you into accepting their loan, that’s a sign to jump ship and run. Any legitimate lender or marketplace will not pressurize you into taking their services and will usually emphasize that you don’t have to sign anything you don’t want to or think you shouldn’t.
- They don’t act professional – have you noticed that all the websites we’ve mentioned do some sort of credit check of your financial history? It is a sign that they’re legitimate. Lenders and platforms that don’t do any sort of credit check on you or your financial history are usually looking to do a quick scan and get away with it, and you should be wary of these kinds of loans.
- Check reviews – before you go forward with any platform, it’s very important to check the reviews of actual users who have had experiences with them. This can help you see potential scams, as even if you pick up on every sign, some websites are very good at appearing legitimate. The Better Business Bureau is a good place to visit for a plethora of information on multiple lending platforms. Know who you’re dealing with before you sign any sort of deal.
- Faking information – if a lender asks you to fake any sort of information, whether your credit history, income, or legal identity, that’s a very surefire way to tell they aren’t legitimate.
Q4. What Should I Do For Better Interest Rates?
You can do a better deal overall or better interest rates to clean up your credit report as much as possible. It can help you be more creditworthy, and it can improve your credit score. Even the slightest improvement to your score is worth it, as it can be the difference between poor or fair credit. This can help you get better interest rates and avoid things like security deposits and other hassles you have to deal with due to bad credit. If you feel like there’s any sort of information on your credit report that’s inaccurate, it’s not a bad idea to go to the bureaus and see what you can do about it. You can also go to a credit counselor to see what you can do about cleaning your credit report if a credit repair company isn’t something you can afford right now.
Q5. What Are My Alternatives?
If you fail to apply for a loan through a lending platform, you can still choose alternatives. Non-profit organizations, credit unions, and family and friends are a good last resort. With places like credit unions, you can get a better deal and lower interest rate than you would elsewhere.
Q6. Will My Information Be Misused?
You may be cautious of handing out precious legal information about yourself to an online platform. You wouldn’t be wrong in being cautious either; there’s a lot of places on the internet that misuse your information. However, with the websites we’ve mentioned, you don’t need to be worried about that.
Your informa,l be protected. Still, be wary of websites that ask for unnecessary details or too much information. They’re most likely a scam.
Conclusion On Loans For Bad Credit
To summarize, online marketplaces are a very viable option to go for if you’re suffering from bad credit. Many issues come with that; you’re not eligible for most loans, the kinds of loans you have access to are very limited, and if you do find one, you have to deal with issues like high-interest rates and additional fees. Your loan agreement will contain specific terms and conditions. After approving a loan application, most emergency lenders deliver loan proceeds to the borrower’s account within a few business days.
On top of that, the entire process takes an incredible amount of time that you may not have to spare. After all, in this day and age, time is money.
That’s why online marketplaces have skyrocketed in popularity. They act as a no-nonsense middle-man between you and the lender. You only need to give the relevant information they ask for. Once that’s done, you need to wait until you’re matched with a lender simply. By trimming down the process, you save a lot of time. Legitimate platforms like the ones we’ve mentioned also work on finding you a good deal, so if you have a bad FICO score and you want a short-term personal loan, they’ll work on finding you a lender that gets you exactly that.
It can be hard to trust an online platform, especially when it comes to lending, which was an industry already plagued with scams even before the advent of online marketplaces. Still, as with any industry, there are proper safe places to go to.
Hopefully, this article has helped you find some places to contact if you need an emergency loan with bad credit and has helped answer some questions you might have about online platforms and how to know which one’s safe and which one isn’t. Finding a loan with bad credit can be tricky, but it doesn’t have to be.