Where to Get a Personal Loan With Poor Credit

iQuanti: If you need money but have a poor or fair credit score, you might not know that getting a personal loan is an option. Luckily, there are many personal loans available that don't require you to have good credit. These loans often come with easy applications and quick approval decisions, so you can get the cash you need quickly. Here are three lenders you can get poor-credit loans from if you're working to build a better credit score:

Installment lenders

Installment loans are short-term, unsecured loans that give you a lump sum of money you'll pay back in fixed monthly payments, or installments. You can pay these loans back over a few months or even years. Many lenders offer installment loans you can apply and get approved for online from the comfort of your home.

While installment lenders often consider your credit score when approving you for a loan, many will also consider factors like your income, employment history, and current debts. They don't require a good credit score, so you may get approved with poor or fair credit. Just remember that you may get a higher interest rate than borrowers with good or excellent credit.

Cash advance lenders

Cash advances are short-term, small-dollar loans that can help you cover expenses before your next paycheck. Cash advance lenders will consider factors like your income when deciding whether to approve you, since you'll repay this loan on your next payday. Because of this, many lenders don't require you to have a good credit score and may approve you with poor or fair credit. But be cautious with cash advances and make sure you can pay the loan back with your upcoming paycheck. If not, you can face interest penalties until it's paid up.

Title lenders

Title loans are secured loans that let you use your vehicle as collateral and are a good option when your credit score is struggling. With these loans, you can receive funds worth 25 to 50 percent of your vehicle's value, and you can keep driving your car as you repay the loan.

Many title lenders are more flexible when it comes to your credit score since you're letting them hold onto your car's title. But as with a cash advance, you'll want to be sure you have a plan in place to repay the loan quickly. Otherwise, you may face penalties, interest, or vehicle repossession if you don't pay it back.

How to find the right personal loan

The right personal loan for you depends on your financial situation and how quickly you need money. Luckily, many lenders for installment loans, cash advances, and title loans can get you the money you need either the same day you apply or within 24 hours.

A cash advance may make the most sense if you have a steady income and an upcoming paycheck. If you own a car and its clean title, you may choose to use the car as collateral via a title loan instead. And if you want to get an unsecured loan with a larger sum of money, you could consider applying for an installment loan. Whatever option you decide, you'll want to be sure it's the right choice for your unique needs.

The bottom line

It's possible to get a personal loan if you have poor credit through installment, cash advance, and title lenders. And these loans can enable you to quickly get access to the money you need for a reasonable price as long as you pay back the loan on time. But keep in mind that even if you can get a loan with poor credit, you should aim to build your credit score through on-time payments and responsible financial management. Doing so can ensure you'll have additional loan options at more favorable rates in the future.

Notice: Information provided in this article is for information purposes only. Consult your financial advisor about your financial circumstances.

Source: iQuanti, Inc.

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Categories: Personal and Family Finances

Tags: financial services, loans, personal finance