Bad Credit Personal Loans “Guaranteed Approval” $5,000

Everyone might sometime in their life need to borrow money to cover unexpected expenses. A bad credit score can make your alternatives seem limited. This is where bad credit loans like personal loans and installment loans may come to your rescue, for example, when you need to consolidate debt.

We only list what we think are the best loan companies for bad credit; this means we have personally vetted them so that you only see services that are active and accepting new customers. All services we list here provide loans up to at least $2,000 but a majority has a maximum of $5,000 or $10,000. Personal loans may go as high as $50,000. Read more about guaranteed approval here or check out best bad credit loans below.

Credit Score for loan from $5,000 to $10,000 – Our Recommendations

  • 550 and above: Try a personal loan (see link above) because you can get a larger amount and yet still have a low monthly payment.
  • 480-550: Attempt a pre-approval for a personal loan first, most use a soft check anyway (which won’t lower your credit score). If you get denied, a small installment loan or payday loan is your next option.
  • 480 and lower: Lender requirements will vary, so still attempt a pre-approval with a personal loan. But for credit scores 480 and lower, small installment loans or payday loans are usually the best bet for success.

FAQ – (Bad credit Personal Loans with Guaranteed Approval)

How do I find Bad credit personal loans with guaranteed approval $5,000 – $10,000?

A common question we often receive is where one could find personal loans with guaranteed approval, like “Bad credit personal loans guaranteed approval $5,000”. The answer is that no lender can guarantee approval, but there are lenders today with widely different requirements. The solution is to keep applying at different lenders if you get denied or to start improving your credit score.

Where do I find No credit check loans from $5,000 to $10,000?

Every direct lender
does some kind of credit check, but some only verify if you have an income. $800 before tax is usually enough, and $2,000 when it comes to personal loans. What you want to avoid is a hard credit check, which affects your credit score in a negative way. In most cases, when you apply for a loan, the lender usually only performs a soft credit check, which doesn’t affect your credit score. When you accept the offer, a hard credit check is performed.

Is it possible to improve my credit score easily?

In our article 10 Things You Can Do To Improve Your Credit Score we have listed 10 things that can improve your credit score.

In this article

Introduction to Personal Loans for Bad Credit ($5,000 to $10,000)

Updated on 2023-01-12

What is a personal loan?

An unsecured loan for bad credit, is a type of financial assistance advanced to borrowers to meet their basic or pressing financial needs. They normally offer incredible advantages and often are easy to obtain as compared to other types of loans.

What are the basic requirements? (to get closer to a Bad Credit Guaranteed Approval $5,000 loan)

Most lenders will dictate that borrower meet the following basic requirements before approving their personal loans:

  • 18+ years old, but older than 21 years is recommended
  • Earning a monthly income of at least $1,000 pre-tax. However, the recommended monthly income is $2,000
  • You will need a checking account
  • Verification of income through employment history, such as a pay stub
  • Personal identification, such as a driver’s license or passport
  • Phone number and email address in order to receive important loan-related updates

Advantages of a Personal Loan

Personal loans offer numerous advantages over other types of loans. They include:

  • Flexible repayment – these loans are multipurpose
  • Personal loans do not require a lot of documentation. This usually makes processing quick and easy
  • Personal loans do not require collateral or security
  • Amounts commonly start at around $2,000 to $5,000

What is a bad credit loan?

A credit score is a be-all and end-all as far as the financial world is concerned. They are extensively recognized, but over and over again shrouded in mystery if you dig deep into its real meaning. They are essential in everybody’s daily life, yet, while most people know that it’s vital to strive and achieve a good credit score, they are left wondering: what is a bad credit rating?

Here is a snapshot of what you should call a bad or good credit score:

  • 750 and higher: Excellent credit score
  • 700 – 750: A good credit score
  • 650 – 700: Regarded as a fair credit score
  • 600 – 650: Termed as a bad or poor credit score
  • Below 600: With a credit score under 600 it’s becoming harder to secure a loan but not impossible. Some smaller lenders specialize in loans for people with bad credit scores under 650. See loans above.

About personal bad credit loans with guaranteed approval

It can be tempting to find bad credit loans with guaranteed approval or no credit check at all for popular amounts like $5,000. Instead, look for lenders that accept really low credit scores or no credit score at all. Unfortunately, no lender can guarantee a loan, and some kind of check is always performed. On the other hand, if you’ve been denied a loan in the past, keep in mind that new lenders surface all the time with different requirements and older ones might change theirs. Some lenders have a minimum credit score between 550 to 580, while others only verify your income.

This applies to personal, installment, and signature loans as they sometimes are called. So keep on trying, and leave no stone unturned.

Debt consolidation with a personal loan

Personal loans and installment loans are perfect solutions for debt consolidation. Taking out a personal loan for debt consolidation can help many people to get back on their feet financially.

Defaulting on any kind of loan has serious consequences and could potentially lead to bankruptcy; however, consolidating your debts into one loan with affordable repayment terms can prevent this from happening. A personal loan may offer terms that are more favorable than those available on other forms of credit, and therefore can lower the monthly payment amount. Consolidating your debt with a personal loan also has the added benefit of helping to improve your credit score over time, thereby making it easier to qualify for an even better rate in future.

Read more below about improving your score.

Increase your chances for approval with a co-signer

When applying for a loan, having a guarantor or co-signer can significantly increase your chances for approval. A co-signer is someone who guarantees that the loan will be repaid, and that the repayment terms will be honored. The unsecured loan will instead be turned into a secured loan.  It should be someone with good credit, and stable income.

Although it may feel uncomfortable to ask someone to assume such responsibility on your behalf, having a guarantor or co-signer present can make a potential lender more comfortable about lending you money. This could mean all the difference for you and your loan application.

$5,000 personal loans from Credit unions – Direct lenders

When it comes to personal loans, credit unions are often overlooked. However, credit unions are actually a great way to get the funds necessary for taking care of unexpected expenses. Not only do they offer competitive interest rates, but also flexible repayment plans that can make financing more manageable. What’s more, credit union staff usually provide personalized service and guidance throughout the loan process so that borrowers understand their options and choose the right product for their needs. But they normally require an established credit history.

Some nation wide credit unions are Consumers Credit Union, Alliant, American First Credit Union, Sky One Federal Credit Union, PenFed and Navy Federal Credit Union.

What are some common uses for a $5,000-$10,000 loan?

  1. Debt Consolidation
  2. Pay off credit cards
  3. Pay off medical bills
  4. Pay off home repairs
  5. Invest in a mutual fund or stocks
  6. Purchase a new car
  7. Pay for college tuition
  8. Expensive repairs like repairing a car
  9. Furnish a new home
  10. Start a small business
  11. Moving Expenses
  12. Refinancing

Debt-to-income ratio: an important factor for approval

When you’re considering taking out a guaranteed personal loan, one important factor to keep in mind is your debt-to-income ratio (DTI). This number tells lenders how much income you have relative to the amount of debt that you owe.

To calculate this figure, you take the sum of all of your monthly debt payments (including car loans, personal loans, credit card payments) and divide it by your total gross monthly income. As a result, you’ll receive a percentage that typically reflects your ability to manage those debts in comparison to how much money you are making – an important factor when applying for credit. It’s important to note that borrowers with higher DTI ratios could find it more difficult to qualify for new financing than those with lower DTI ratios.

Depending on what you decide to apply for, lenders will likely review your debt-to-income ratio to determine if you can afford additional loan payments. Your debt-to-income ratio also has an impact on your credit score which further affects your ability to obtain financing and the rate at which such financing is provided. Make sure you know what this percentage looks like before pursuing any kind of loan – it could mean the difference between success and failure.

Another way to improve your chances for a loan is to improve your credit score. Read more below to find out how to do it.

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Credit Scores

How does my credit score affect the loan offers I get?

Your credit score affects your loan offers in a few different ways. First, it can determine whether you’re approved or denied for a certain type of loan. If you are approved, your credit score then influences the rates and terms you have to choose from. Many lenders for example have a threshold starting at 520 credit score for a personal loan.

For example, you’ll get a better interest rate the better your credit score is. If you have a poor credit score the interest rate will be higher. You also may be able to borrow more money for a longer period of time. It’s still possible to get a loan even with a credit score that’s less than perfect. You just may not be able to borrow a huge amount and may also need to choose from a shorter loan term instead of a longer loan term.

How can I check my credit score?

There are a few different ways you can check your credit score. There are many websites offering free credit score checks, which can be extremely helpful to get a ballpark idea of where your number lands. However, these are usually considered “educational” scores. Lenders almost always look at your FICO score to process your loan application.

To see a more accurate number, you can pay for your FICO score or check to see if your bank or credit card company offers any kind of free credit monitoring service. These are becoming increasingly common, so it’s definitely worth looking into before you pay for anything.

Another paid service with scores from all three bureaus is

How can I improve my credit score?

The biggest thing you can do to improve your credit score is to pay all of your bills on time, especially the ones that regularly report to the credit bureaus. They include your mortgage, student loans, car loans, credit card bills, and any other type of loan or credit products. Once you hit the 30-day late mark, your credit score starts to deteriorate. But if you keep up with all of these monthly payments, you’ll start to see a steady improvement when you improve your payment history.

Paying down debt is also a good way to see fast improvement in your credit score. The lower your debt utilization, especially on credit cards, the higher your score will go.

How to use your credit card to improve your credit score

    1. Use your credit card regularly.
      One of the best ways to improve your credit score is to use your credit card regularly. This shows lenders that you are responsible with credit and are more likely to repay any debts you may incur. Try to use your credit card for small purchases such as gas or groceries, and make sure to pay off your balance in full each month with on-time payments. This will improve your positive payment history and also length of credit history.
    2. Keep your credit utilization low.
      Your credit utilization is the amount of debt you have relative to your credit limit. For example, if you have a credit limit of $1000 and a balance of $500, your credit utilization would be 50%. It’s important to keep your credit utilization low, as this is one of the biggest factors that lenders look at when determining your creditworthiness. Aim to keep your credit utilization below 30%, and ideally below 10%. Doing a credit card debt consolidation by moving debt off your credit cards into a personal loan can also help.
    3. Opening a new credit card and doing balance transfers.
      New credit and balance transfers are two helpful tools for achieving a good score. New credit involves opening new accounts and making payments on time to prove that you’re able to manage a number of lines of credit responsibly. Balance transfers involve moving the balance from accounts with high utilization to a new card. This will lower your total utilization.
    4. Keep old accounts open.
      Closing old accounts can actually hurt your credit score, as it lowers the average age of your accounts and can increase your credit utilization ratio. If you have an old account that you no longer use, consider keeping it open and using it sparingly to keep it active.
    5. Use a mix of different types of credit.
      Lenders like to see that you can manage different types of credit responsibly, so it’s important to have a mix of different types of accounts on your credit report. In addition to revolving lines of credit such as credit cards, try to get a car loan or personal loan to diversify your borrowing history.
    6. Check for errors on your credit report.
      Errors on your credit report can negatively impact your score, so it’s important to check for them regularly and dispute any that you find. You can get a free copy of your credit report from each of the three major credit bureaus once per year at
    7. Authorized user Piggyback strategy.
      Piggyback on the credit card of a person who already has excellent credit by becoming an authorized user on their account. With this strategy, their credit history will be “copied” to you!
    8. Get help from a professional if needed.
      If you have poor credit, you may want to seek help from a professional credit counseling service before applying for new loans or lines of credit. These debt management services can help you develop a plan to improve your credit score and get back on track financially. Credit Card debt relief services can also be worth considering. The majority of the time, for-profit businesses offer debt settlement programs, which results in the company negotiating with your creditors to let you pay a “settlement” to settle your debt.
    9. Be patient.
      Improving your credit score takes time, so be patient and focus on developing good financial habits.
    10. Monitor your progress.
      Checking your credit score and credit history periodically can help you see where you need to continue improving and celebrate your progress along the way.

Read more about improving your credit score here.

What’s the Difference between a Soft and Hard Inquiry

Lenders use soft and hard credit inquiries to verify your credit history. Depending on what a soft or hard inquiry shows, a lender will decide what sort of interest rates and other loan terms to offer you. The better your credit rating, the lower the interest rates and the higher the loan sum you qualify for.

Soft credit checks can be done without your knowledge. Your employer, businesses you patronize, and others can all run a soft credit check on you without your permission.

Some lenders run a soft check during the pre-approval stage of a loan application and only run a hard check if you qualify for a loan.

Unlike a soft check that doesn’t impact your credit score at all, a hard check/hard pull is more in-depth and negatively affects your credit score. When the credit bureaus (Experian, TransUnion, or Equifax) are contacted for a hard inquiry, your credit score drops. Too many hard pulls and your credit score will experience a significant drop.

Lenders can’t perform a hard check without your consent.

Some lenders use hard checks from the onset of your loan application. To prevent your credit score from taking too much of a hit, it’s best to only work with bad credit lenders that don’t use hard checks at all or use them only after making you a loan offer.

Understanding Loan Agreement Terms Before You Sign Up for a $5,000 to $10,000 loan

When you’re taking out a loan, it’s important to understand all of the terms of the loan agreement before you sign on the dotted line. This is the contract between you and the lender.

  • Loan Amount: This is the total amount of money that you are borrowing from the lender. Also known as principal, is the money you agreed to pay back in the beginning.
    Interest is how much you have to pay to borrow the principal.
  • Interest Rate and APR: The interest rate is the percentage of your loan balance that you will be required to pay in interest charges over the life of the loan. The APR (annual percentage rate) is a broader measure of the cost of borrowing that takes into account not only the interest rate but also any origination fees or other charges that may be included in the loan agreement.
  • Repayment Schedule: The repayment schedule outlines how much you will be required to pay each month (or other agreed-upon interval) and when those payments are due. It’s important to make sure that you can afford the monthly payments before you agree to a loan repayment schedule.
  • Origination Fee: This is a one-time fee charged by the lender for originating (i.e., processing) your loan. Origination fees are typically expressed as a percentage of the total loan amount.
  • Payoff Penalty: A payoff penalty is a fee charged by some lenders if you pay off your loan early (before the agreed-upon term is up).
  • Late Payment Fee: A late payment fee is charged if you miss a scheduled payment on your loan.
  • Prepayment Fee: A prepaid fee is sometimes charged if you make an unscheduled extra payment on your loan (i.e., if you pay more than what’s required for that particular payment period).
  • Closing Costs: Closing costs are fees associated with finalizing your loan agreement and can include things like appraisal fees, credit report fees, and title insurance fees.
  • Documentation fee:  A Documentation fee is a fee charged by a lender to cover the cost of preparing and processing loan documents. This fee is typically charged when a loan is approved and can range from a few hundred dollars to several thousand dollars. The fee is usually paid upfront and is non-refundable,
  • An application fee is a fee charged by a lender to cover the cost of processing a loan application. This fee is typically non-refundable and is due when the loan application is submitted. The fee may cover the cost of obtaining a credit report, verifying employment and income, and other administrative costs associated with processing the loan,
  • Overdraft fee: An overdraft fee is a fee charged by a bank when a customer withdraws more money from their account than is available. This fee is typically charged when a customer overdraws their account, meaning they have insufficient funds to cover the withdrawal. Overdraft fees are typically associated with loans, as they are a form of short-term borrowing,
  • Co-Signer: A co-signer is an individual who agrees to be legally responsible for repaying your loan if you default on the payments.
  • Collateral: Collateral is something (usually an asset such as a vehicle or piece of property) that serves as security for your loan and gives the lender permission to seize it if you default on your payments.

When taking out a loan, it’s important to understand all of the terms outlined in the loan agreement before signing on the dotted line. By understanding key terms such as interest rate, APR, repayment schedule, origination fee, and prepayment fee, you can make sure that you’re getting a fair deal on your loan and avoid any unpleasant surprises down the road.

Online loan application process – Bad credit personal loans guaranteed approval $5,000 – 10,000

  1. Applying for a loan online is a convenient way to get the money you need. You start with selecting preferred amount.
  2. You will need to provide some basic information about yourself, including your name, address, verification of income, and Social Security number.
  3. In most cases, you will see an offer from the lender in a couple of minutes with the amount, APR, repayment schedule (also known as amortization schedule) and other details.
  4. Once you have submitted your application, a loan officer will review it together with your credit report and make a decision. Most the process is usually automatic.
  5. If you are approved for a loan, the money will be deposited into your bank account.
  6. You will then be responsible for making monthly payments on the loan.

What is an installment loan?

An installment loan is a type of loan in which the borrower pays back their debt on the principal sum over a period of time, making regular fixed payments.

This type of loan can come with various repayment terms depending on the agreement between borrower and lender, with many being offered at 3, 6, 12, 24, 36 or 48-month terms. Interest rates, monthly repayment amounts and how long you have to pay off your loan can all be tailored to your unique situation.

When using this type of borrowing option, you will get a lump sum payment and receive smaller payments over time that will add up to equal the original amount given to you. Strategies like budgeting and setting up automatic payments facilitate paying back an installment loan more easily. Examples of online installment loans are personal loans, auto loans, mortgages, home equity loan, student loans and buy-now pay-later loans.

3-12 months installment loans

As of late, many lenders have started to offer loans with terms of 3–12 months. These are often called installment loans by the lenders, as personal loans are commonly viewed as 12-month or longer loans. But in practice, they are much the same as personal loans.

Things to check – Installment loans $5,000 – 10,000

When applying for an installment loan, there are important fees and terms to consider.

A little research upfront could save big in the long run.

How to apply for an online $5,000 installment loan

See online loan application process subheading.

Requirements for online $5,000 installment loans

See requirements subheading.

What Is the Distinction Between Installment and Payday Loans?

Installment loans and payday loans are two types of financial instruments used by many individuals . However, they differ in terms of their purpose, loan period, and payment structure.

While installment loans are taken out for a set period, usually to cover a large expense such as a debt consolidation or a vehicle purchase, payday loans are short-term loans intended to cover immediate cash flow gaps.

Additionally, while installment loans require regular payments made over time to cover the principal amount plus interest charges, payday loans must be repaid while typically with just one larger sum that includes both the principal loan amount plus complete interest charges.

What is a payday loan?

A Payday loan is, in our opinion, an incredible cash advance if you are able to repay it in time. If you apply for a payday loan online, your application might get approval immediately depending on your bank or lender. See more information about payday loan online with no credit check and instant approval here. We think that these loans are the best when it comes to meeting emergencies. Getting a payday loan is most times easy and quick, available for people with bad credit that want small sums of money. If you’re looking for loans with a low credit score, this is it.

Qualifications of a payday loan

Lenders usually subject borrows to the following minimum qualifications:

  • One must be over 18 years old
  • One must prove that he/she is employed
  • One must own a legitimate bank account bearing his/her official names
  • One must have a stable income of at least $800 pre-tax


Payday loans are becoming more and more popular due to the following reasons:

  • They are a fast source of money during financial emergencies
  • They do not require any credit report
  • They can guard your credit profile from damages covering late fees from other loans
  • They allow borrowers to be independent
  • Payday loans are unsecured loans


  • Normally up to only $1,000

About Deposit and Decision Time for $5,000 loans

Deposit in this context refers to a lender placing in your bank account the loan amount you have requested. Decision time is how long a lender takes to evaluate and approve your loan application.

Many bad credit personal loan lenders say they offer “Next business day deposit”. In truth, some can receive your loan application, approve it, and have funds deposited into your bank account within the same business day.

While same-day or next-day bank deposits are possible, no lender can guarantee it due to various factors. For instance, larger loan sums need to undergo a manual verification process that can delay transferring the money to your account.

A smaller payday loan online with same day deposit may not need to undergo a manual verification process, but delays can still occur due to discrepancies in your loan application or issues with your bank.

Payday loans have the shortest decision time – typically taking no more than 90 seconds to approve a loan application. That’s because the loan application is processed online and payday loan amounts are usually small.

Bigger loans, such as monthly installment loans for bad credit or signature loans that are worth thousands of dollars, may take longer due to the required manual review of your application.

FAQ – More questions and answer

Can I pay off debt collection accounts with a personal loan, and get it off my credit report?

Yes, and yes! A personal loan could be a great solution if you’re looking for a way to take care of debt collection accounts and keep them off your credit report. If the creditors or collection agencies haven’t notified the credit bureaus yet, it’s possible you can make a payment to them before it becomes an issue. And if you successfully negotiate something called a “pay for delete” arrangement, the collection can be completely erased from your credit report.

How can I know if I’m working with a licensed lender for my $5,000 loans?

To ensure you are working with a licensed personal loan lender, you should check with the state’s financial regulator, such as the Department of Financial Institutions or the Office of the Comptroller of the Currency. Additionally, you can check the lender’s website to see if they are licensed in your state. We have a list here with all regulators per state.

Do it yourself or hire a credit repair company?

Deciding between DIY credit repair and hiring a company is a tough decision. On one hand, nothing that a credit repair company can do for you cannot be achieved without their help. All the resources you need to repair your credit score are available online – for free.

On the other hand, it’s entirely possible that you are pressed for time and may lack the expertise to complete all the steps involved in the process of repairing your credit score. A job well done requires intimate knowledge and complete attention to detail, something that is challenging to accomplish with tight deadlines or due to other time constraints.

For example, while DIY credit repair requires drafting letters and following up after responses have been received – along with other duties – all these tasks can be handled by an experienced credit repair service on behalf of its clients.

Just got lender documents, what should I check?

  1. Check the interest rate and any fees associated with the loan.
  2. Review the repayment terms and make sure you understand them.
  3. Verify that the lender is licensed and registered in your state (see how above).
  4. Ensure that the loan agreement is signed by both parties.
  5. Check to see if the loan is secured or unsecured.
  6. Make sure that all the terms and conditions are clearly stated in the loan documents.
  7. Confirm that the loan is in compliance with applicable laws and regulations.
  8. Make sure that the repayment amount is affordable for your budget.
  9. Check for any prepayment penalties or other restrictions.
  10. Confirm that the loan is insured if applicable.

What credit score do you need for a $5000 ($5k) personal loan?

Ballpark example: 550 score. But that’s not everything, the most important thing is your income. Can your income cover the extra payments a loan creates?

What is the easiest type of $5,000 loan to get with bad credit?

In order easiest type of loan payday loan, small installment loan, auto title loan, auto loan, personal loan, credit card and lastly mortgages.

Using a co-signer is also an easy way to secure a loan.

Easiest loan lender? We hope one of the listed lenders is the easiest. That is our goal—to find the easiest one.

Alternatives to a $5,000 cash loan?

There are a few alternatives to taking out a loan that you may want to consider.

  1. Family and Friends. Another alternative to taking out a loan is borrowing money from family or friends. This can be a good option as it usually comes with low or no interest rates and flexible repayment terms. However, it can also be a risky option as it could damage your relationship if you are unable to repay the money that you borrowed.
  2. One possibility is to ask for a payment plan with creditors so that you can spread your payments out over time and make them more manageable.
  3. Increase your income through an extra part-time job or freelance work.
  4. Work towards improving your credit score in order to eventually qualify for better loan terms and lower interest rates if the need arises.
Lauren Ward

Lauren Ward
Writer and editor

Specializing in original, well-researched web content, including blog posts, news articles and web copy. Areas of expertise include personal finance and lending. 10 years of experience as freelance writer and working at Federal Reserve Bank of Richmond. Read more about us »

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