Poor credit can happen despite your best intentions. When your credit is less than great., you may find yourself struggling to get back on your feet. Recovering is possible, however, and there are a number of options available to you if you need assistance.
The first step on the road to recovery is to examine the cause of your situation. Look at your circumstances to discover what led you to have a low credit score. Consider these common scenarios that often lead to a drop in your credit rating:
- Late payments: Your payment history makes up 35% of your FICO score. Any late payments you make can bring your score down.
- Bad debt: If you don’t pay your balances, creditors can send your unpaid debt to collection agencies. Collections have a negative impact on your credit history.
- Loan defaults: If you stop paying on a loan, it can show up on your credit report and lower your credit score.
- Bankruptcy: Filing for bankruptcy will cause your credit score to plummet.
- Foreclosures: Similar to defaulting on a loan, losing your house to foreclosure will negatively affect your credit score.
If you understand what led to a drop in your credit score, a loan can help improve your credit. However, you should never consider payday loans.
Payday lenders charge very high fees. It isn’t unusual to pay a $75 fee to borrow $500, working out to a 300% interest rate. Even with bad credit, you may qualify for an unsecured loan with a 35% interest rate from a bank. You will save thousands of dollars and get to a better place financially if you skip payday loans altogether.
A loan isn’t the right solution for every situation. If you want a loan for debt consolidation, you may be better off applying for a balance transfer credit card. Many balance transfer credit cards offer 0% interest, and you’ll pay the debt off faster by not paying interest fees.
If you’ve considered your options and still feel that a loan is an ideal solution, there are plenty of companies willing to help. Today, these companies include plenty of online lenders.
Best Personal Loans for Bad Credit
While online lenders can offer competitive interest rates to borrowers with poor credit, don’t rule out your local financial institutions yet. If you have a bank account, see if you can get approved for a loan with your bank. Credit unions are another excellent choice for borrowing if you have bad credit. The most interest a credit union can charge by law is 18%, making it a good option if you qualify.
However, if you’re struggling to get approved for a loan, borrowing money from one of these top online lenders can help.
1. OppLoans

About the Company
OppLoans is our pick for the best lender for bad credit. They are an online loan company based in Chicago that is dedicated to fast funding, affordable interest, and personalized service.
OppLoans has maintained full accreditation by the Better Business Bureau since 2006. As of this writing, they have an A+ rating.
On Trustpilot, OppLoans has received 4 out of 5 stars and a 100 percent “Excellent” rating.
Personal Loan Facts
APR99% to 199%Loan Amount$500 to $5,000Loan Term6 months to 36 monthsOrigination FeesNoneMinimum Credit ScoreAnyMinimum Age18 YearsTime to Funding1 DayHard Credit CheckNo
Terms
OppLoans offers repayment terms ranging from 5 to 24 months. They accept several payment options, and you can choose to pay weekly, biweekly, semi-monthly, or monthly.
Rates
Installment loans from OppLoans range from 59% APR to 199% APR. This range is typical of personal loans for bad credit. However, your individual rate will depend on your home state, income, and the total amount borrowed.
Fees
OppLoans charges late fees equal to the greater of 5% or $7.50 for payments that are 10 or more days late. If your payment is returned unpaid, OppLoans charges a $30 fee. There are no application fees, origination fees, or penalties for prepaying your loan.
Loan Amounts
OppLoans offers a minimum loan of $500 but can lend up to $5,000. How much you’re able to borrow depends on where you live and your personal financial history.
Time to Funding
OppLoans funds their personal loans quickly. They can deposit the proceeds in your account in as little as one business day.
Qualifications
- Monthly income of at least $1,500
- Bank account in your name with at least 40 days of history
Refinancing
OppLoans will allow you to refinance your loan if you’ve made several months’ worth of on-time payments. Refinancing could lower your interest rate and save you money over the life of the loan.
Credit Reporting
OppLoans reports payments to Equifax, Experian, and TransUnion.
2. Fig Loans

Personal Loan Facts
APR36% to 190%Loan Amount$300 to $800Loan Term4 months to 6 MonthsOrigination FeesNoneMinimum Credit Score300Minimum Age18 YearsTime to Funding1 DayHard Credit CheckYes
About the Company
Fig Loans began its operations in 2014. The main office is in Houston, Texas, but you don’t have to live there to qualify. Fig Loans provides installment loans with flexible repayment options to help borrowers reach lasting financial independence.
The company does not have an accreditation from the Better Business Bureau and therefore does not have a rating. Fig Loans is, however, certified by the U.S. Department of the Treasury.
On Trustpilot, Fig Loans has a ranking of 5 out of 5 stars and a 94 percent “Excellent” rating. The next most common rating is “Great” at 3 percent.
Terms
Fig Loans offers repayment terms that range from 4 to 6 months. They require you to make payments in equal monthly installments.
Rates
The installment loans from Fig Loans start at 36% APR and can reach 190% APR. Although this range is typical of personal loans for bad credit, your rate will vary based on your home state, income, and the total amount borrowed.
Fees
Fig Loans does not charge an origination fee. You will pay a fee of up to $10 for late payments. If you repay your loan early, there are no prepayment penalties.
Loan Amounts
Fig Loans offers loans of $300 to $500. Becoming eligible for a larger loan amount of up to $800 is possible for established customers.
Time to Funding
Fig Loans can approve your application in as little as two hours. However, you might have to wait up to four business days for the cash you borrow to reach your account.
Qualifications
- Residency in Texas, Missouri, Ohio, Utah, or Illinois
- Minimum credit score of 300
- Regular source of income
- Bank account in your name with at least 90-days of history
Refinancing
Fig Loans will allow you to refinance your loan, but this could cause you to pay additional charges.
Credit Reporting
Fig Loans reports payments to Equifax, Experian, and TransUnion.

Personal Loan Facts
APR149% to 399%Loan Amount$500 to $3,000Loan Term6 months to 24 monthsOrigination FeesNoneMinimum Credit ScoreAnyMinimum Age18 YearsTime to Funding1 DayHard Credit CheckNo
About the Company
Integra Credit provides personal loans to people with credit scores in the poor range The company is based out of Chicago. They are known for offering nearly instant approval decisions to applicants.
The company has maintained full accreditation by the Better Business Bureau since 2018. As of this writing, they have an A+ rating.
On Trustpilot, Integra has received 5 out of 5 stars and an 86 percent “Excellent” rating. The next most common rating is “Great” at 9 percent.
Terms
Integra’s repayment terms last from 6 to 36 months. You repay the loan in equal monthly installments.
Rates
The interest rate you receive from Integra depends on your state of residency, income earned, and amount borrowed. Typical rates range from 99% to 399% APR, which isn’t unusual for bad credit loans.
Fees
Late fees differ depending on which state you live in. You may owe a late fee of $10, $18, or 5 percent of the payment amount.
Loan Amounts
Integra allows borrowers to take out loans in amounts of $500 to $3,000. The amount you can borrow is determined by your home state, income level, and repayment term.
Time to Funding
Integra prides themselves on quick decisions. They can deposit the money you borrow on the next business day if your application meets specific deadline requirements.
Qualifications
- Proof of income
- Bank account in your name
Refinancing
Integra doesn’t disclose whether refinancing is possible for their installment loans.
Credit Reporting
Integra reports your payments to Equifax, Experian, and TransUnion.
4. LoanMe

Personal Loan Facts
APR12.90% to 184%Loan Amount$2,600 to $100,000Loan Term36 days to 84 DaysOrigination Fees17% to 20%Minimum Credit Score500Minimum Age18 YearsTime to Funding1 DayHard Credit CheckYes
About the Company
Based in Anaheim, California, LoanMe started in 2013. The company strives to disburse funds as quickly as possible if they approve your application.
LoanMe has maintained full accreditation by the Better Business Bureau since 2014. As of this writing, they have an A rating.
On Trustpilot, LoanMe has received 4 out of 5 stars and a 78 percent “Excellent” rating. The next most common rating is “Great” at 13 percent.
Terms
LoanMe offers repayment terms between 36 and 180 months. They expect you to make payments in equal monthly installments.
Rates
The rates for loans from LoanMe start at 9.90% and can go up to 184.36%. LoanMe offers one of the lowest rates for bad credit personal loans, though any rate under 13.33% requires a FICO score of at least 760. Other borrowers can expect rates of 90% APR or higher, which is typical for this type of loan. Your actual rate will vary according to your home state, income, and the total amount borrowed.
Fees
You’ll pay an origination fee ranging from 17% to 33% of the principal to get a loan from LoanMe. Late fees are charged in the amount of $15 after a 15-day grace period. LoanMe does not charge a fee for paying off your loan early.
Loan Amounts
Installment loans from LoanMe are available in amounts between $2,600 and $100,000. How much you can borrow depends on where you live and your personal finances.
Time to Funding
LoanMe is the fastest to fund loans in this list of lenders. Your money can reach your account three to four hours after approval.
Qualifications
- Proof of income
- Bank account
- Residency in Arizona, California, Delaware, Idaho, Kentucky, Missouri, New Mexico, South Carolina, or Utah
Refinancing
LoanMe doesn’t disclose whether you’re allowed to refinance your loan. They welcome potential borrowers to contact them for more information
Credit Reporting
LoanMe reports account activity to Equifax, Experian, and TransUnion.
Is a Personal Loan for Bad Credit Right for You?
There are reputable online lenders who provide unsecured loans for people with bad credit. If you’re struggling to get your debt under control, a personal loan from one of these lenders can help you get back on track.
Some lenders charge higher interest rates, so be sure to compare fees before you agree to the terms and conditions. You should also make sure you understand the repayment terms to prevent the loan from further affecting your credit score. With the right planning, you can set yourself on the path to an improved credit score and a better financial position.