The higher your credit score, the better your chances are to get approved for financial products — like personal loans — with a lower interest rate. Still, there are personal loans you can get if you have a fair or bad credit score.
Some lenders cater to applicants with lower credit scores in the poor range (below 580) to help them borrow money for emergency expenses, medical bills,debt consolidationand other financing needs.
Below,CNBC Selectrounded up the best personal loan lenders that accept applicants who havecredit scores of 580 or lower. We looked at fees, interest rates and flexible repayment options for different credit scores. (You can read more aboutourmethodologybelow.)
Best personal loan lenders for a credit score of 580 or lower
- Best for people without a credit history:Upstart Personal Loans
- Best for flexible terms:OneMain Financial Personal Loans
- Best for quick funding:Avant Personal Loans
- Best for your small business: Universal Credit
- Best for low borrowing amounts: Oportun
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25% of enrolled debt
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Cost
15% to 25% of enrolled debt
Highlights
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Best for people without a credit history
Upstart Personal Loans
Annual Percentage Rate (APR)
7.8% - 35.99%
Loan purpose
Debt consolidation, credit card refinancing, wedding, moving or medical
Loan amounts
$1,000 to $50,000
Terms
36 and 60 months
Credit needed
Credit score of 300 on at least one credit report (but will accept applicants whose credit history is so insufficient they don't have a credit score)
Origination fee
0% to 12% of the target amount
Early payoff penalty
None
Late fee
The greater of 5% of last amountdue or $15, whichever is greater
Terms apply.
Pros
- Open to borrowers with fair credit (minimum 300 score)
- Will accept applicants who have insufficient credit history and don't have a credit score
- No early payoff fees
- 99% of personal loan funds are sent the next business day after completing required paperwork before 5 p.m. Monday through Friday
Cons
- High late fees
- Origination fee of 0% to 10% of the target amount (automatically withheld from the loan before it's delivered to you)
- $10 fee to request paper copies of loan agreement (no fee for eSigned virtual copies)
- Must have a Social Security number
Who's this for?According to Upstart's website, you can apply with a minimum credit score of 300 (though, Upstart also accepts applicants with no credit history). Sometimes, a potential borrower may have alow credit scorebecause they have extremely limited credit activity. Other times, a lack of credit history may result in them having no credit score at all. Just keep in mind that if you're approved for the loan with a lower (or no) credit score, you may be subject to a higher interest rate.
Standout benefits: You can apply for loan amounts as low as $1,000 and as much as $50,000.
[ Jump to more details ]
Best for debt consolidation
Happy Money
Annual Percentage Rate (APR)
11.72% - 17.99%
Loan purpose
Debt consolidation/refinancing
Loan amounts
$5,000 to $40,000
Terms
24 to 60 months
Credit needed
Fair/average, good
Origination fee
1.5% to 5.5% (based on credit score and application)
Early payoff penalty
None
Late fee
None
Terms apply.
Pros
- Peer-to-peer lending platform makes it easy to check multiple offers
- Loan approval comes with Happy Money membership and customer support
- No early payoff fees
- No late fees
- Fast and easy application
- U.S.-based customer service
Cons
- Higher loan minimums ($5,000)
- Must submit soft inquiry to see origination fees and other details
How Payoff is designed to help you stay motivated:
- Offers borrowers a dedicated "Empowerment Science" team that is available to take questions and provide encouragement
- Free personality tests, stress assessments and cash flow trackers to help borrowers understand their money management style and nail down better habits
- Free FICO tools help members track their progress*
*Based on a study of Happy Money Members between February 2020 to August 2020, members who use a Happy Money Loan to eliminate at least $5,000 of credit card balances reportedly see an average FICOScore boost of 40 points. (Results may vary and are not guaranteed.)
Who's this for? The minimum credit score required to apply for a Happy Money personal loan is 550, making the lender a good place to start if you have a poor credit score and are most concerned with debt consolidation.
Standout benefits: Another perk of a Happy Money loan is access to financial literacy tools. Accepting a Happy Money loan comes with a membership that grants you access to free FICO score updates, a team that performs quarterly check-ins with you during your first year of working with Happy Money and tools to help members improve their relationship with money through personality, stress and cash flow assessments.
[ Jump to more details ]
See if you're pre-approved for a personal loan offer.
Best for flexible terms
OneMain Financial Personal Loans
Annual Percentage Rate (APR)
18.00% to 35.99%
Loan purpose
Debt consolidation, major expenses, emergency costs
Loan amounts
$1,500 to $20,000
Terms
24 - 60 Months
Credit needed
Poor/Fair
Origination fee
Origination fee starting at $25 to $500 or percentage ranging from 1% to 10% (depends on your state)
Early payoff penalty
None
Late fee
Up to $30 per late payment or up to 15% (depends on your state)
Terms apply.* Click hereto see if you prequalify for a personal loan offer.
Pros
- Approves applicants with bad or fair credit
- No early payoff fees
- Reasonable loan minimums ($1,500) for smaller needs
- Can pre-qualify with a soft credit check (no hard inquiry right away)
- ACH funding within 1-2 business days (sometimes same day with proper paperwork)
- Option to apply for secured loan (with collateral) for potentially lower rates
- Borrowers can choose the date the bill is due each month
- Applicants may apply with a co-applicant or, if married, may apply for a loan separately from spouse
Cons
- High origination fee
- High interest rates
- No autopay APR discount
- No co-signers
*You must complete a loan application and continue to meet any criteria used to select you for a loan offer. Not all applicants are approved.Loan approval and actual loan terms depend on applicant's state of residence and ability to meet OneMain Financial credit standards such as a responsible credit history, sufficient income after monthly expenses, and if applicable, availability of eligible collateral.
Not all approved applicants qualify for larger loan amounts, lower APRs, or the most favorable loan terms.For example, larger loan amounts typically require a first lien on a motor vehicle that is no more than ten years old, meets our value requirements, and is titled in applicant's name with valid insurance. APRs are generally higher on loans not secured by a vehicle.
Example Loan:A $6,000 loan with a 24.99% APR that is repayable in 60 monthly installments would have monthly payments of $176.07.
OneMain charges origination fees allowed by law.Depending on the state where the loan is opened, the origination fee may be either a flat amount or a percentage of the loan amount. Flat fees vary by state, ranging from $25 to $500. Percentage-based fees vary by state, ranging from 1% to 10% of the loan amount subject to certain state limits on the fee amount.
For information about these fees and minimum and maximum loan sizes available in certain states, visitomf.com/loanfees.
Current OneMain Customers:Loan offers presented to a consumer assume the individual has no active loan with OneMain or one of its affiliates. If a customer applies for a new loan offer, a OneMain representative will discuss available options.
Active-duty military, their spouse or dependents covered by the Military Lending Act (MLA) may not pledge any vehicle as collateral.If you are covered by the MLA, you are not eligible for secured loans.Loan proceeds cannot be used for postsecondary educational expenses as defined by the CFPB's Regulation Z such as college, university or vocational expense; for any business or commercial purpose; to purchase cryptocurrency assets, securities, derivatives or other speculative investments; or for gambling or illegal purposes. Time to Fund Loans:Funding within one hour after loan closing through SpeedFunds® must be disbursed to a bank-issued debit card. Disbursem*nt by check or ACH may take up to 1-2 business days after closing.
Who's this for?OneMain Financialgenerally accepts applicants with at least apoor or fair credit score (the exact credit score minimum is not disclosed but for reference, a poor credit score is between 300 and 579 and a fair credit score is between 580 and 669).
Standout benefits: This lender offers terms that are more flexible than those of other lenders. For one, many lenders don't allow you to apply with a co-applicant, which can be a bit of a concern if you're worried your credit score will hurt your chances of securing a better interest rate. But with OneMain Financial, you should be able tosubmit your application with a co-applicant.
[ Jump to more details ]
Best for quick funding
Avant Personal Loans
Annual Percentage Rate (APR)
9.95% to 35.99%
Loan purpose
Debt consolidation, major expenses, emergency costs, home improvements
Loan amounts
$2,000 to $35,000
Terms
24 to 60 months
Credit needed
Poor/Fair
Origination fee
Administration fee up to 9.99%
Early payoff penalty
None
Late fee
Up to $25 per late payment after 10-day grace period
Click here to see if you prequalify for a personal loan offer. Terms apply.
Pros
- Lends to applicants with scores lower credit scores
- No early payoff fees
- Can pre-qualify with a soft credit check (no hard inquiry)
- Quick funding (often by the next day)
- Late payment grace period of 10 days
Cons
- Origination fee
- Potentially high interest (caps at 35.99% APR)
- No autopay APR discount
- No direct payments to creditors (for debt consolidation)
- No co-signers
Who's this for?Avant has a minimum credit score requirement for applicants is 580. Plus, this lender can typically provide funding as early as the next business day after you've been approved. This makes it appealing for those who may need money in a pinch — just make sure you submit all the necessary documents and information you provide is complete and accurate so you can get funded without a hitch.
Standout benefits: According to Avant's website, you may be able to get your funds deposited into your account as early as the next business day.
[ Jump to more details ]
Best for your small business
Universal Credit Personal Loans
Annual Percentage Rate (APR)
11.69% – 35.99%
Loan purpose
Debt consolidation, large purchases, business, home improvement and more
Loan amounts
$1,000 to $50,000
Terms
36 to 60 months
Credit needed
Minimum credit score of 560
Origination fee
5.25% to 9.99%
Early payoff penalty
None
Late fee
Not disclosed
Terms apply.
Pros
- No early payoff fees
- Offers funding as early as the next business day
- Low credit score requirement of 560
Cons
- Origination fee can be a bit high
Who's this for? Universal Credit could be a great fit for a cash-strapped entrepreneur unable to qualify for a standard business loan. That's because the lender lets you apply for a personal loan that can be used for business purposes, something most personal loan lenders prohibit.
Standout benefits: Universal Credit offers credit monitoring tools to help you monitor any changes to your credit score. This can be a beneficial perk that encourages positive credit habits.
[ Jump to more details ]
Best for low borrowing amounts
Oportun
Annual Percentage Rate (APR)
Up to 35.99%
Loan purpose
Quick cash, home improvement, deposits and more
Loan amounts
$300 to $10,000
Terms
12 to 54 months
Credit needed
No credit history required
Origination fee
May charge an administrative fee of up to 10% of principal amount
Early payoff penalty
None
Late fee
Depends on the loan terms
Terms apply.
Pros
- Open to borrowers with no credit history
- No early payoff fees
- Same-day funding available
- Loan amounts as small as $300
Cons
- May charge an administrative fee of up to 10% of the principal amount
- Not available in all states
Who's this for? Oportun offers loan amounts that start at $300, making it optimal for borrowers who just need a few hundred dollars. Oportun allows borrowers to apply for a maximum of $10,000.
Standout benefits: Oportun doesn't require you to have a credit history to be considered for a personal loan, which makes it one of the most accessible lenders on this list. Of course, applying with a higher credit score will vastly increase your chances of qualifying for lower rates and better terms, so it's always a good idea to raise your score if you can.
[ Jump to more details ]
Compare debt relief options
Compare personal loan offers
When searching for a personal loan, it can be helpful to compare several different offers to find the best interest rate and payment terms for your needs. With this comparison tool, you'll just need to answer a handful of questions for Even Financial to determine the top offers for you. The service is free, secure and does notaffect yourcredit score.
This tool is provided and powered by Even Financial, a search and comparison engine that matches you with third-party lenders. Any information you provide is given directly to Even Financial and it may use this information in accordance with its ownprivacy policiesandterms of service. By submitting your information, you agree to receive emails from Even. Select does not control and is not responsible for third party policies or practices, nor does Select have access to any data you provide. Select may receive an affiliate commission from partner offers in the Even Financial tool. The commission does not influence the selection in order of offers.
More on our picks for best personal loan lenders that accept 580 credit scores or lower
Personal Loans for Credit Scores 580 and Lower
| Loan Features | Upstart | OneMain Financial | Avant Personal Loans | Universal Credit | Oportun |
| Credit score needed | 300 (also accepts applicants with insufficient credit history) | No minimum | 580 | 560 | No credit history required |
| Loan amounts | $1,000 to $50,000 | $1,500 to $20,000 | $2,000 to $35,000 | $1,000 to $50,000 | $300 to $10,000 |
| Loan terms | 36 and 60 months | 24 - 60 Months | 24 to 60 months | 36 to 60 months | 12 to 54 months |
| Early payoff penalty | None | None | None | None | None |
Upstart Personal Loans
Upstart is an AI-driven online lending platform that connects borrowers with lenders. It doesn't charge penalties for paying off your balance early, but it does charge an origination fee (up to 12% of the amount you borrow) and late fees ($15 or 5% of the past due balance, whichever is greater).
Loan amounts
$1,000 to $50,000
Terms
36 to 60 months
[ Return to lender summary ]
Happy Money
Happy Money personal loans can only be used for debt consolidation and qualified borrowers can apply for a minimum of $5,000 and a maximum of $40,000. According to the lender's website, you can apply for a Happy Money loan in as little as two minutes online.
Loan amounts
$5,000 to $40,000
Terms
24 to 60 months
[ Return to lender summary ]
OneMain Financial
OneMain Financial offers borrowers with less-than-perfect credit access to financial products like loans and credit cards. It stands out for allowing you to secure your loan with collateral. Personal loans are generally unsecured debt, meaning you can borrow the money outright without having to offer up something of value. But withsecured loans, you agree to sign over an asset (such as your car) to the lender if you fail to repay the loan. OneMain Financial gives certain borrowers the option to take out a secured personal loan, which can sometimes result in a lower interest rate than an unsecured loan. Plus, borrowers can choose the date their monthly payments are due.
The origination fee with OneMain Financial is on the higher end: either a fixed fee between $25 and $500 or up to 10% of the loan amount, depending on which state you live in. And while there aren't any penalties for paying off the loan early, there is a late fee that will run you either $30 or up to 15% (depending on your state).
Loan amounts
$1,500 to $20,000
Terms
24, 36, 48, 60 Months
[ Return to lender summary ]
Avant
Avant is an online fintech platform with the mission to improve the borrowing experience for middle-income consumers. It doesn't charge any penalties for paying off your loan balance early, but there is an origination fee of up to 4.75% and a late fee of up to $25 after the 10-day grace period.
Loan amounts
$2,000 to $35,000
Terms
24 to 60 months
[ Return to lender summary ]
Universal Credit
Universal Credit is a part of Upgrade, which is another lending company in the personal space. It has a low minimum credit score requirement and doesn't charge any prepayment penalties for paying your loan off early. It does, however, charge an origination fee that can range from 5.25% to 9.99%, which can be a bit high especially compared to that of some other lenders on this list.
Loan amounts
$1,000 to $50,000
Terms
36 to 60 months
[ Return to lender summary ]
Oportun
Oportun boasts an expedient application process that should only take around 10 minutes to complete, according to the lender's website. To apply, you'll need to have your ID, proof of address, proof of income and a list of any recurring monthly debt payments handy.
Loan amounts
$300 to $10,000
Terms
12 to 54 months
[ Return to lender summary ]
Can I pre-qualify without hurting my credit score?
It is possible to pre-qualify for a personal loan without hurting your credit score. Do some research before you apply. Read reviews and learn what to consider before agreeing to take on a loan. When you're ready to apply, follow these steps to ensure you don't ding your score too much.
- Shop around for the best rate. Avoid hard inquiries by knowing your credit score before you submit a formal application so you know what you might qualify for. Many lenders will allow you to submit a prequalification form. Or consider using a lending platform (such as Upstart or LendingTree) to view multiple offers at once.
- Decide on the best offer. Choose the loan with the best monthly payment and interest rate for your budget. Be sure to look at how much the loan will cost you over the full length of the term and decide if the cost is worth it.
- Submit a formal application. Have your social security number on hand, as well as supporting documents such as bank statements and paystubs.
- Wait for final approval. This could take just a few minutes, an hour or up to 10 days. To facilitate speedier approval, apply during normal business hours and submit the required documents right away.
- Get your funds. Once your loan is approved, you'll be asked to input your bank account information so the funds are deposited into your account. You may also be able to request a paper check from your lender, or in the case of a consolidation loan, you may be able to have funds sent right to your creditors.
What kind of loan can I get with a 580 credit score?
While FICO credit scores below 580 are considered poor, you still have access to traditional personal loans. All the lenders on this list accept applicants with bad credit scores but keep in mind you'll be subjected to higher interest rates and may only qualify for shorter loan repayment terms.
If you have a low credit score, you can also qualify for payday loans, but this is generally only recommended as an absolute last resort. While payday loans approve applicants with subpar credit scores, they can also have triple-digit interest rates that can easily demolish your finances. It's better to exhaust all alternatives before even going near a payday loan.
What is a good credit score for a personal loan?
Most personal loan lenders consider good to excellent credit scores, which means a FICO score of at least 670. The higher your credit score, the more likely you'll be to get approved for the best personal loan rates.
FAQs
Can I get a personal loan with a 500 credit score?
It is possible to get a personal loan with a 500 credit score, however, you're unlikely to receive favorable terms like a low interest rate.
What is the easiest loan to get with bad credit?
If you have bad credit, you may have an easier time qualifying for a secured personal loan that requires a co-signer. Or, you may seek out lenders that have a lower minimum credit score requirement.
Can you pay off a personal loan early?
It is advantageous to pay off a personal loan early since you'll save on interest charges. Just make sure the lender doesn't charge any prepayment penalties for paying off your loan early.
Why trust CNBC Select?
At CNBC Select, our mission is to provide our readers with high-quality service journalism and comprehensive consumer advice so they can make informed decisions with their money. Every personal loan review is based on rigorous reporting by our team of expert writers and editors with extensive knowledge of loan products. While CNBC Select earns a commission from affiliate partners on many offers and links, we create all our content without input from our commercial team or any outside third parties, and we pride ourselves on our journalistic standards and ethics. Seeour methodologyfor more information on how we choose the best personal loans.
Read more
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6 personal loan lenders that’ll get you funded in as little as 1 business day
4 personal loan lenders to consider if you need to borrow as little as $3,000
PNC Bank personal loans review: Loan amounts as low as $1,000 and APR discount with autopsy
Our methodology
To determine which personal loans are the best for consumers with a credit score of 580 or lower,CNBC Selectanalyzed dozens of U.S. personal loans offered by both online and brick-and-mortar banks, including large credit unions. When possible, we chose loans with no origination or sign-up fees, but we also included options for borrowers with lower credit scores on this list. Some of those options have origination fees.
When narrowing down and ranking the best personal loans, we focused on the following features:
- Fixed-rate APR:Variable rates can go up and down over the lifetime of your loan. With a fixed rate APR, you lock in an interest rate for the duration of the loan's term, which means your monthly payment won't vary, making your budget easier to plan.
- Flexible minimum and maximum loan amounts/terms:Each lender provides more than one financing option that you can customize based on your monthly budget and how long you need to pay back your loan.
- No early payoff penalties:The lenders on our list do not charge borrowers for paying off loans early.
- Streamlined application process:We considered whether lenders offered same-day approval decisions and a fast online application process.
- Customer support:Every loan on our list provides customer service available via telephone, email or secure online messaging. We also opted for lenders with an online resource hub or advice center to help you educate yourself about the personal loan process and your finances.
- Fund disbursem*nt:The loans on our list deliver funds promptly through either electronic wire transfer to your checking account or in the form of a paper check. Some lenders (which we noted) offer the ability to pay your creditors directly.
- Autopay discounts:We noted the lenders that reward you for enrolling in autopay by lowering your APR by 0.25% to 0.5%.
- Creditor payment limits and loan sizes:The above lenders provide loans in an array of sizes, from $1,000 to $100,000. Each lender advertises its respective payment limits and loan sizes, and completing a preapproval process can give you an idea of what your interest rate and monthly payment would be for such an amount.
The rates and fee structures advertised for personal loans are subject to fluctuate in accordance with the Fed rate. However, once you accept your loan agreement, a fixed-rate APR will guarantee your interest rate and monthly payment will remain consistent throughout the entire term of the loan. Your APR, monthly payment and loan amount depend on your credit history and creditworthiness. To take out a loan, many lenders will conduct a hard credit inquiry and request a full application, which could require proof of income, identity verification, proof of address and more.
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Editorial Note: Opinions, analyses, reviews or recommendations expressed in this article are those of the Select editorial staff’s alone, and have not been reviewed, approved or otherwise endorsed by any third party.
