Bad Credit Payday Loans Guaranteed Approval

Writer and editor - Joseph Smith | Updated on 2020-03-04
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Bad Credit Payday Loans Guaranteed Approval: Myth or Reality?

Unfortunately, payday loans with guaranteed approval are a myth. While people with bad credit can use payday loans, no loan on the market can guarantee approval. In most cases, when you see the words “guaranteed approval” or “instant approval,” you can safely assume that the lender is referring to an instant decision instead.

Payday loans are useful for people with bad credit since most of the lenders either do a soft credit check or no credit check; because of this, your credit score isn’t negatively affected by the application process, as it would be if the lender did a hard credit check.

Many payday lenders have an automated process in place for loan approval. This process can quickly get all your details and decide, without needing manual intervention, whether or not you qualify for the loan. If you are, you’ll receive a decision in as little as five minutes, which is why lenders can say that their loans are “instant decision,” or, if they’re skirting the truth, “instant approval.”

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 ?

Where to Find Bad Credit Payday Loans with Guaranteed Approval

There are many online payday loans available. Be careful of lenders who advertise “guaranteed approval” and be sure to shop around to find a lender that offers the best interest rate and least predatory fees and terms and conditions.

How to Improve Your Credit Score

Most people turn to payday loans because they feel their credit score is too low to get any other type of loan. If you’ve been unlucky enough to miss a couple of payments, you know exactly how much a bad credit score can affect your life.

While improving your credit score can be a difficult and challenging task, it’s well worth the trouble. Having a good credit score opens up new avenues of credit and ensures that you get the best interest rate possible, which will save you a lot of money in the long run.

When you start the process of improving your credit score, it’s important to understand that there is no easy fix. Improving your credit score involves tackling several aspects of your finances at once, and showing that you can make responsible lending decisions.

Know your credit score

The first step of improving your credit is knowing where you stand. Three main credit bureaus monitor your credit history and generate your credit score. You can get a free credit report from each bureau annually, or if you want one more often, you can pay a once-off fee per report.

These credit history reports will give you a lot of information about your credit history, allowing you to pinpoint the mistakes that led to your bad credit rating. You should use the report to identify your weak areas and plan a strategy to address these issues.

Diversify your credit cards

One of the main things credit bureaus look at is your credit utilization, or how much of your credit limit you’re using. The higher the percentage, the worse your score will be, because it looks like you’re at the limit of what you can afford each month. A good way to improve your credit utilization is to take out one or two more credit cards, but keep their balance at zero. Adding extra credit cards raises your credit limit but still keeps your credit usage at its previous level, lowering your utilization percentage and raising your credit score.

One aspect to be aware of is not to open too many new cards at once. Every card you open lowers your average account age, which is another important factor in your credit score. The older an account, the better, so lowering your account age can make your credit score worse.

Consolidate your credit card balance

If you have multiple credit cards with negative balances on them, try to address the ones with small debts first. You want to get to a point where all your debt is on one credit card, with the others showing a zero balance.

Get a secured credit card

A secured credit card is an excellent way to build up credit without taking on extra debt. A secured credit card is an account where you deposit a certain amount of cash from your bank account, which is then your credit limit. A secured credit card works just like an ordinary credit card and builds up your credit history without the risk of taking on extra debt that you can’t afford to pay off.

Manage your payment dates

One way of using your credit card is to buy everything with it and then pay the balance off each month. It seems like a responsible way to use a credit card, but it can negatively affect your credit score if you’re not careful.

Credit companies report to the various credit bureaus on a certain date each month. Unfortunately for many people, this date rarely corresponds to the date that your credit card bill is due. This mismatch can lead to a situation where you regularly pay down your balance to zero, but the credit card bureau receives a snapshot of your account where you have a high balance. A good idea is to find out when your credit card company reports to the bureau and pay your monthly bill off on that date.

Best Alternatives

  • Credit card – A credit card has a much lower interest rate than payday loans and can also be repaid within a month of taking the loan or after your payday. It’s a safer option than payday loans in that it doesn’t penalize you for paying off your debt early.
  • Personal loan – Personal loans offer better interest rates and more flexible repayment options. You can use the money from a personal loan for anything, including emergencies, or as a stopgap to get through the month. Even people with bad credit can apply for a personal loan, though you should be careful about potentially high interest rates.

Summary

No lender can guarantee loan approval. What they can guarantee is that you’ll get a decision regarding your application within a couple of minutes. Payday loans may offer some benefits to people who are looking for a small loan while having bad credit, but several other options offer a better deal.

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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