Securing a personal loan with a credit score of 580 or lower may seem nearly impossible, but several lenders in the United States specialize in offering financial solutions to individuals with bad credit. These loans can be used for emergency expenses, debt consolidation, home repairs, or personal needs. While interest rates tend to be higher for borrowers with poor credit, some lenders offer competitive terms, quick approvals, and even credit-building opportunities.
List of 4 Companies that Offer Personal Loans To Apply To If Your Credit Score Is 580 or Lower
Below is a detailed look at four personal loan providers that are known for accommodating applicants with a credit score of 580 or below.
1. OneMain Financial
Overview
OneMain Financial is one of the most trusted lenders for individuals with bad credit. They provide personal loans with flexible terms ranging from 24 to 60 months. While a credit check is required, OneMain evaluates borrowers on a broader scale, including income, employment, and financial history.
Loan Features
Loan amounts range from $1,500 to $20,000. OneMain Financial offers both secured and unsecured loan options. Interest rates vary depending on the borrower’s profile but typically start at 18.00% APR and can go up to 35.99%. Funds can be disbursed as quickly as the same day if you complete the process early in the day.
Ideal For
Borrowers who want to visit a physical branch and those who need flexible repayment terms.
2. Upstart
Overview
Upstart is a tech-driven lending platform that uses artificial intelligence to evaluate applications. Unlike traditional lenders, Upstart considers more than just your credit score—it looks at education, job history, and income.
Loan Features
Loan amounts range from $1,000 to $50,000 with APRs from 6.5% to 35.99%. Upstart’s minimum credit score requirement is 300, which makes it one of the most accessible platforms for people with poor credit. Loan terms include 3 or 5 years, and funds are typically available within 1 to 2 business days.
Ideal For
Young professionals or individuals with limited credit history but good income and educational background.
3. Avant
Overview
Avant specializes in personal loans for borrowers with credit scores between 580 and 700. The platform offers a user-friendly online application and fast funding.
Loan Features
Avant provides loan amounts from $2,000 to $35,000, with repayment terms of 24 to 60 months. APRs range from 9.95% to 35.99%. While the interest rates can be on the higher side, the platform offers transparent terms and no prepayment penalty.
Ideal For
Borrowers looking for a reliable lender with fast funding and manageable loan terms.
4. LendingPoint
Overview
LendingPoint is another fintech lender that considers more than just your credit score. They evaluate your financial potential and offer loans even if you’ve had a few financial setbacks in the past.
Loan Features
Loans range from $2,000 to $36,500 with APRs between 7.99% and 35.99%. Terms range from 24 to 60 months. LendingPoint requires a minimum credit score of 580 and offers funding as soon as the next business day.
Ideal For
Individuals looking for quick approvals and flexible repayment options with a soft credit check pre-qualification.
Final Thoughts
A low credit score doesn’t have to be the end of your financial journey. Lenders like OneMain Financial, Upstart, Avant, and LendingPoint offer accessible personal loans for individuals with scores of 580 or lower. However, always compare APRs, fees, and repayment terms before committing. Borrow responsibly and make timely payments to improve your credit over time.
FAQs
What is the minimum credit score required to get a personal loan in the USA?
Many lenders require a minimum credit score of 600 or higher, but there are specialized lenders like Upstart and LendingPoint that accept scores as low as 300 to 580, depending on other financial factors.
Can I get approved for a loan with a credit score under 580?
Yes, several lenders consider additional factors such as employment history, income, and education level when reviewing applications from individuals with scores under 580.
Will applying for a personal loan hurt my credit score further?
A soft inquiry used during pre-qualification won’t affect your credit score. However, a hard credit pull during the formal application may cause a slight temporary dip.
How can I improve my chances of getting approved for a bad credit loan?
To increase your chances, provide accurate income details, consider a co-signer, apply for a secured loan, or improve your credit utilization ratio by paying down existing debt.
Are there personal loans with no credit check available in the USA?
Yes, some lenders offer no-credit-check loans, but they often come with higher interest rates and stricter repayment terms. Always read the fine print to avoid predatory lending practices.
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