Emergency Loans for Bad Credit

Writer and editor - Joseph Smith | Updated on 2020-02-20
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Emergency loans with bad credit options

Emergency loans can get you money fast. They require that you pay off the debt quickly, too.

Emergency loans do exist for people with damaged credit or no credit and help to cover a range of emergencies or personal expenses.

Here are some emergency loans to opt for if you have bad credit.

Loans Amount Cost / APR ? Bad Credit Features
CashUSA
$500 - $10,000
Individual rates
Bad credit allowed
Allowed
  • Loan terms start at 3 months.
  • Next-day deposit: In some cases ?
  • High approval rates ?
  • Time for decision: 1.5 min ?
  • Type of service ?
QuickLoanLink (Personal loan) $300 - $35,000 APR:
Starting at 6.90% ?
Bad credit allowed
Allowed
  • Loan term 2 months to 7 years
  • Credit check type: Soft ?
  • Next-day deposit: In some cases ?
  • Min creditscore: 550
  • High approval rates ?
  • Time for decision: 1.5 min ?
  • Type of service ?
HonestLoans
$400 - $5,000
$30 - $750 ?
Bad credit allowed
Allowed
  • Same-day deposit: In some cases ?
  • High approval rates ?
  • Time for decision: 1.5 min ?
  • Type of service ?
CreditLoan (Personal loan) $100 - $40,000 APR:
Starting at 5.34% ?
Bad credit allowed
Allowed
  • Loan term 2 months to 7 years
  • Same-day deposit: In some cases ?
  • High approval rates ?
  • Time for decision: 1.5 min ?
  • Type of service ?
LifeLoans (Personal loan) $500 - $40,000 APR:
Starting at 5.99% ?
Bad credit allowed
Allowed
  • Loan term 2 months to 5 years
  • Credit check type: Both ?
  • Next-day deposit: In some cases ?
  • Min creditscore: 580
  • High approval rates ?
  • Time for decision: 1.5 min ?
  • Type of service ?
GazelleLoans
$300 - $5,000
Individual rates
Bad credit allowed
Allowed
  • Same-day deposit: In some cases ?
  • High approval rates ?
  • Time for decision: 1.5 min ?
  • Type of service ?
OppLoans (Direct Lender)
(Personal loan)
$1,000 - $5,000 APR:
Starting at 99.00% ?
Bad credit allowed
Allowed
  • Loan term 9 months to 3 years
  • Next-day deposit: In some cases ?
  • Low approval rates ?
  • Time for decision: 1.5 min ?
RubikLoan
$100 - $1,000
$1,000 - $5,000
$15 - $300 ?
APR from 6.9% ?
Bad credit allowed
Allowed
  • Same-day deposit: In some cases ?
  • High approval rates ?
  • Time for decision: 1.5 min ?
  • Type of service ?
Personal Loans (Personal loan) $500 - $35,000 APR:
Starting at 5.99% ?
Bad credit allowed
Allowed
  • Loan term 3 months to 6 years
  • Credit check type: Soft ?
  • Next-day deposit: In some cases ?
  • Min creditscore: 580
  • High approval rates ?
  • Time for decision: 1.5 min ?
  • Type of service ?
BadCredit.com
$100 - $5,000
Individual rates
Bad credit allowed
Allowed
  • Next-day deposit: In some cases ?
  • High approval rates ?
  • Time for decision: 1.5 min ?
  • Type of service ?
OpenCashAdvance
$200 - $5,000
Individual rates
Bad credit allowed
Allowed
  • Same-day deposit: In some cases ?
  • High approval rates ?
  • Time for decision: 1.5 min ?
  • Type of service ?

Payday loan

Payday or emergency cash loans are generally for $100 to $1000. They offer the most manageable sum of the three options but require a quick turnaround in terms of repaying the debt.

Most lenders that offer emergency payday loans online don’t report your on-time payments to the credit bureaus. These types of emergency loans can help you with expenses in a pinch but aren’t a viable solution for raising your credit score.

Some other benefits of payday loans include:

  • Avoiding overdraft or late payment fees
  • No damage to your FICO score
  • Typically low requirements for easy approval

Emergency personal loan

Emergency personal loans can be as high as $15,000. A monthly income of $2000 boosts the approval odds for most personal loans. Try to avoid any hard credit checks during the application process, as these can damage your FICO score. Usually, a soft credit is often available and does not hurt your credit score.

There are no guaranteed approval loans, but there are many different lenders with widely varying requirements. Don’t give up on receiving an emergency personal loan if the first lender turns you down.

Installment loan

Installment loans let you repay over time. They typically range between $1,000 to $5000. If your need for funds lies somewhere between a payday and an emergency personal loan, you may want to pursue an installment loan. By doing this, you grant yourself more time to repay the debt.

Where can I get emergency loans with bad credit

First, understand that there is no such thing as guaranteed approval, which means there are no guaranteed loans.

Any direct lender can issue you an emergency loan, and each lender has different requirements.

Common lenders include:

  • Banks
  • Credit unions
  • Financial institutions
  • Online lenders

Online emergency loans with no credit check

Installment loans for bad credit saw a surge online in 2020. Both lenders and borrowers are transitioning away from payday loans, which come bearing tighter repayment deadlines.

Although installment loans break payments into more manageable chunks and allow more time to pay off the debt, they work best in the short-term. You can think of them much like personal loans.

Installments can offer as little a time window as three months (90 days) or a span of up to seven years. These installments include both the monthly rate and the interest rate.

Online installment loans are a great choice if you’re having trouble with eligibility. Most of them have low requirements, and some offer no traditional credit check. Some information will be needed, but it may not involve your FICO score.

Here’s what’s expected:

  • At least 18 years of age (21 or older means increased eligibility)
  • Monthly income of at least $800 ($2,000 per month pre-tax can help you if you need a more substantial personal loan).
  • Active bank account
  • A form of ID
  • Proof of income (usually a pay stub will suffice)
  • Bonus: If your FICO score is 600 or more you’ll notice significantly improved interest rates

For emergency cash loans online, installment loans are your best bet, albeit a connector may work better than a direct lender. You’ll want to apply to as many lenders as possible in a short amount of time.

Remember, there is no such thing as a guaranteed loan, no matter what any ads or lenders tell you upfront.

Direct lender or connector for emergency loans with bad credit

Depending on how bad your credit score is, and the amount you’re looking to procure, you may go with a direct lender or a connector. Let’s define the two, first.

A direct lender is an individual lender. As stated above, it can be a bank, credit union, financial institution, or online lender. Each has its method of approving loans.

Connectors may be the best answer for gaining approval if you have bad credit. Assuredly, they offer a few advantages. Connectors:

  • Offer a service of connecting you with individual lenders
  • Cover a larger area and can have a network of 100 lenders or more
  • Enable you to submit one application that is forwarded to multiple lenders

Connectors exist to help you gain approval and can save the time and disappointment of visiting countless direct lenders on an individual basis.

As a rule of thumb, the higher the requirements for the loan, the more difficult receiving approval will be, and thus, the more reason to choose a connector over a direct lender.

Things to consider before applying for an emergency loan

Here are some key questions to ask yourself before applying for an emergency loan.

  • Is an emergency loan necessary? – It may seem like a needless question, but it’s worth asking yourself with total honesty. Loans create more debt. There are always risks associated.
  • What is the exact amount needed? – Spend some time crunching numbers to get as exact a figure as possible. Be sure to include the probable interest payments. The amount needed is perhaps an easy question, but an essential one. The amount determines many decisions down the road. If your credit score is below 600 and you need an emergency personal loan over $5000, then you would do better with a connector.
  • How soon can I repay the debt? – If it will take you months or more to repay the loan, then you’ll likely need an installment loan. Installment loans rarely cover more than $5000. If you need a higher sum, your approach may become more complicated. An emergency personal loan combined with a debt consolidation loan may be in order. Either way, at this stage, seeking financial counsel, is your best bet.
  • What’s your credit score? – Exactly how bad is your credit score? If you’re FICO stands above 600, and you require a loan amount less than $1000, you may bypass going the connector route and visit your local payday loan lender.
  • What kind of loan? – Once you’ve answered the questions above, you should know what type of loan you need and an idea of how difficult it will be to gain approval.
  • Direct lender or connector? – If your chances for approval are slim, don’t waste time, get in touch with a connector.

Pros and cons

Pros

  • Short-term quick stitch – Life and emergencies happen. Sometimes the funds just aren’t where you need them when you need them. A personal or payday loan can correct that and even help you avoid complications.
  • Multiple payment options – Like with an installment loan, you have a realistic way of repaying your borrowed amount and avoid adding more debt.
  • Approval is possible – Different lenders have different requirements.
  • More purchase opportunities – Emergency loans can open up possibilities for purchases by providing the cash flow when you need it or an investment that your credit would not usually allow.
  • Maintain your credit – An emergency loan that helps you cover rent, or other owed payments can save your FICO score a few points.

Cons

  • More debt – It bears repeating. Loans create debt. Generally, a loan should be your last option.
  • Fees – Different lenders, such as banks, credit unions, and financial institutions, bring charges like initiation fees with them. Keep track of these. Over time, they can add up significantly.
  • Interest – Interest rates are how most lenders stay in business. Lowered monthly payments, as with a debt consolidation loan, can mean paying for a longer time, which means more interest paid, and a more considerable debt sum.
  • No guaranteed approval – Loan approval is never guaranteed, no matter if you’re opting for a payday, emergency personal, or installment loan.

Alternatives to emergency loans for bad credit

A couple of other options present themselves, depending on your situation. If you require an emergency loan to cover some other debt, you may opt for a debt consolidation plan.

Debt consolidation and debt consolidation loans for bad credit

Debt consolidation loans for bad credit offer another venue for managing your debt, timeline, monthly payments, and interest amounts.

Debt management

Debt management can provide debt solutions without the use of a loan at all. The National Debt Relief program can help you in some ways. They can effectively lower your monthly payments, interest rates, and even the total amount of debt owed. Also, they offer debt counseling to help you get your debts cleared as fast as possible.

Summary

Emergency loans for bad credit can mean a way out. You have several options in terms of who to turn to. Whatever you choose, have a plan, forecast costs, and read the fine print.

Joseph Smith

Joseph Smith
Writer and editor

Joseph Smith is an experienced freelance writer with over 11 years of experience. His area of expertise includes finance, loans and lending. His work has been featured on various large websites including this one.
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