Installment loans typically refer to short-term loans, similar to payday loans. However, unlike payday loans, installment loans allow you to borrow more money and pay it back over a longer period. Check out our top picks of installment loans for people with bad credit.
Avant offers installment loans up to $35,000 with rates between 9.95% and 35.99% — much lower than some competitors. It also gives you longer to pay it back, with loan terms up to 60 months. Plus, it accepts income from self-employment, which makes it stand out from the crowd. But it charges an administration fee of up to 9.99%, loan amounts vary by state and it's not available nationwide.
Min. credit score
550
APR
9.95% to 35.99%
Loan amount
$2,000 to $35,000
Not available in: Iowa, Kentucky, Massachusetts, Michigan, Montana, Virginia, West Virginia
Avant offers installment loans up to $35,000 with rates between 9.95% and 35.99% — much lower than some competitors. It also gives you longer to pay it back, with loan terms up to 60 months. Plus, it accepts income from self-employment, which makes it stand out from the crowd. But it charges an administration fee of up to 9.99%, loan amounts vary by state and it's not available nationwide.
Pros
Rates starting at 9.95%
Loan amounts up to $35,000
Accepts self-employed income
Cons
Origination fee up to 9.99%
Loan amounts vary by state
Not available in all states
Loan amount
$2,000 to $35,000
APR
9.95% to 35.99%
Interest Rate Type
Fixed
Min. credit score
550
Turnaround Time
As soon as the next business day
Loan Term
24 to 60 months
Personal loans from $2,000–$35,000. If approved, the actual loan amount, term, and APR that a customer qualifies for may vary based on credit determination and other factors. Avant branded credit products are issued by WebBank, member FDIC.
Typically, when you apply for an installment loan, a hard credit check is required, which can hurt your credit whether you're approved or not. OppLoans only conducts a soft credit check, meaning your credit score won't take a hit. Plus, unlike some lenders, OppLoans reports your payment history, so it can actually help you build credit. But its rates are higher than some lenders, you need to get paid by direct deposit and it's not available in every state.
Min. credit score
Bad credit accepted
APR
160% to 195%
Loan amount
$500 to $4,000
Available in: Alabama, Alaska, Arizona, Arkansas, California, Delaware, Florida, Hawaii, Idaho, Indiana, Kansas, Kentucky, Louisiana, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Rhode Island, South Carolina, Tennessee, Texas, Utah, Virginia, Washington, Wisconsin, Wyoming
Typically, when you apply for an installment loan, a hard credit check is required, which can hurt your credit whether you're approved or not. OppLoans only conducts a soft credit check, meaning your credit score won't take a hit. Plus, unlike some lenders, OppLoans reports your payment history, so it can actually help you build credit. But its rates are higher than some lenders, you need to get paid by direct deposit and it's not available in every state.
Integra Credit provides a fast and easy application process that can give a decision almost instantly and funding by the next business day. It offers installment loans from $500 to $3,000 and loan terms from 10 to 21 months. It also offers a personal line of credit product in select states. But its rates are higher than some competitors, actual loan amounts vary by state and it's not available nationwide.
Integra Credit provides a fast and easy application process that can give a decision almost instantly and funding by the next business day. It offers installment loans from $500 to $3,000 and loan terms from 10 to 21 months. It also offers a personal line of credit product in select states. But its rates are higher than some competitors, actual loan amounts vary by state and it's not available nationwide.
For the most part, installment loans for bad credit top out at $5,000 or less, but NetCredit offers loans up to $10,000. It has generous loan terms from six months to five years. Its rates are also more reasonable than some of the competition, starting at 34% — although they can go as high as 99.9%. NetCredit isn't available in every state, and loan amounts vary by state.
Min. credit score
No minimum
APR
34% to 99.9%
Loan amount
$1,000 to $10,000
Not available in: Colorado, Connecticut, Iowa, Maine, Maryland, Massachusetts, Nevada, New Hampshire, New York, North Carolina, Pennsylvania, Vermont, West Virginia
For the most part, installment loans for bad credit top out at $5,000 or less, but NetCredit offers loans up to $10,000. It has generous loan terms from six months to five years. Its rates are also more reasonable than some of the competition, starting at 34% — although they can go as high as 99.9%. NetCredit isn't available in every state, and loan amounts vary by state.
If you only need to borrow a small amount and like the convenience of applying from your phone through a mobile app, Possible is an option for you. It offers loan amounts up to $500 and doesn't require a credit check or charge late fees. You can also receive funding as soon as the same day. But it charges anywhere from $10 to $25 per $100 borrowed depending on what state you live in, loan terms are short and it's not available everywhere.
Loan amount
$50 - $500
Turnaround time
As fast as 1 business day
Available in: Alabama, California, Delaware, Florida, Idaho, Indiana, Iowa, Kansas, Kentucky, Louisiana, Michigan, Mississippi, Missouri, Ohio, Oklahoma, Rhode Island, South Carolina, Tennessee, Texas, Utah, Washington
If you only need to borrow a small amount and like the convenience of applying from your phone through a mobile app, Possible is an option for you. It offers loan amounts up to $500 and doesn't require a credit check or charge late fees. You can also receive funding as soon as the same day. But it charges anywhere from $10 to $25 per $100 borrowed depending on what state you live in, loan terms are short and it's not available everywhere.
Finder loan experts compare dozens of lenders before narrowing down the best installment loans for bad credit in the current market, and we regularly review our selections. Factors we consider include loan amounts, interest rates, fees, reputation and customer reviews.
Factors weighed in our methodology for the best installment loans for bad credit include:
We currently don't have that product, but here are others to consider:
How we picked these
What is the Finder Score?
The Finder Score crunches 3+ types of short-term loans across 65+ lenders. It takes into account the product's interest rate, fees and features, as well as the type of loan eg investor, variable, fixed rate - this gives you a simple score out of 10.
To provide a Score, we compare like-for-like loans. So if you're comparing the best short-term loans for all credit types, you can see how each short-term loan stacks up against other short-term loans with the same borrower type, rate type and repayment type.
Evaluate your budget. Figure out how much you can afford to repay each month, and don’t borrow more than you need.
Explore your options. Look for lenders that offer the loan amount you need, and watch for interest rates and other fees.
Review lender requirements. Make sure you meet the minimum criteria to qualify for the loan. At this point, it is also good to see what documentation the lenders require.
Compare lenders. Once you’ve narrowed the field, compare a few lenders by researching interest rates, fees, loan terms and the lender’s reputation.
Gather your documents. To facilitate the loan process, it’s a good idea to get your paperwork together. Documents you may need include a government-issued ID, W-2s, pay stubs, tax returns and bank statements.
How to prequalify for an installment loan with bad credit
Once you’ve done your research and prepared to apply, it’s time to get prequalified.
Fill out an online application, call or visit a physical location.
Allow the lender to conduct a soft credit check.
Wait to hear if you prequalify, which should be in minutes.
Review your loan offer.
Submit a formal application with a hard credit check.
How much do bad credit installment loans cost?
While installment loans generally have lower rates than payday loans, you might still have to pay rates up to 300% or more. However, this is not true of every lender, and the rate you get depends on how bad your credit really is. You may also have to pay an origination fee of up to 10%, although not all installment loan lenders charge one.
If your credit is over 600, you might qualify for a personal loan instead, where the highest rates are under 36%. In any case, you can significantly reduce your loan’s cost by paying extra when you can and repaying the loan early.
Pros and cons of bad credit installment loans
Consider the risks and rewards of installment loans before you apply.
Pros
Accepts poor credit
Typically fast funding
Can help build credit
Longer loan terms than payday loans
Cons
Higher rates than some loan options
Might require bi-weekly payments
May charge origination fees
Higher potential for predatory lenders
Alternatives to installment loans with bad credit
Installment loans are typically a more expensive lending solution than other options. Consider these alternatives instead:
Cash advance apps. For smaller, short-term loans, cash advance apps might be a good option, and providers typically don’t check your credit or charge interest or late fees.
Personal loans. Some personal loans also accept borrowers with poor credit, and rates are usually capped at 36%, making them a more affordable choice.
Payday alternative loans (PALS). Certain federal credit unions offer PALs to existing customers with loan amounts up to $1,000 and rates capped at 28%.
Personal lines of credit. Some banks and credit unions offer personal lines of credit at better rates than installment loans, but they may be more difficult to find, and you might need an account with the bank to qualify.
Credit cards. Rates for credit cards are generally high, but they’re less than most installment loans. Plus, they offer greater payment flexibility and other perks like travel points or cashback rewards.
Frequently asked questions
What type of loan is the easiest to get with bad credit?
Payday loans are one of the easiest loans to get with bad credit, but we don’t recommend them because of extremely high rates and predatory lending practices. However, cash advance apps are also easy to qualify for and typically don’t charge interest or late fees.
What is the minimum credit score for installment loans?
Most lenders that offer installment loans don’t have a minimum credit score to qualify, but if your score is 600 or higher, you might qualify at a lower rate.
Can you get a $2,000 loan with bad credit?
You can get a $2,000 loan with bad credit, but you may have to pay rates up to 300% or more, although some lenders charge much less. Be sure to compare multiple lenders to find the best deal.
What’s the best online loan company for bad credit?
There really is no “best” lender when you have bad credit — a lot just depends on your financial circumstances. For example, if you have collateral or a high income, you might qualify for better rates with some lenders. Or if your credit isn’t too bad, you might qualify with a lender that doesn’t charge more than 36%.
Lacey Stark is a freelance personal finance writer for Finder, specializing
in banking, loans, investing, estate planning, and more. She has 20
years of experience writing and editing for magazines, newspapers, and
online publications. A word nerd from childhood, Lacey officially got her
start reporting on live sporting events and moved on to cover topics
such as construction, technology, and travel before finding her niche in
personal finance. Originally from New England, she received her
bachelor’s degree from the University of Denver and completed a
postgraduate journalism program at Metropolitan State University also
in Denver. She currently lives in Chicagoland with her dog Chunk and
likes to read and play golf. See full bio
The only reason I want a loan is to pay off my credit cards and just pay off the loan. Do you think it’s a good idea?
nikkiangcoJune 27, 2019
Hey Danielle,
Thanks for your question!
It’s always a good idea to pay off your credit card debts as this will help you save in terms of the interest charges you are paying which is often what keeps people stuck in a never-ending debt repayment cycle.
If you have multiple credit card debts, you can consolidate them by applying for a personal loan. If you have bad credit, there are debt consolidation loans for people with bad credit that you can consider applying for.
As a friendly reminder, review the eligibility criteria of the loan before applying to increase your chances of approval. Read up on the terms and conditions to see whether it is right for you.
Hope this helps! For any further questions, feel free to reach out to us again, we’re here to help.
Best,
Nikki
TiffanyMay 7, 2018
I have a really low credit score and yes working with some one to help out my credit. I am in need of just $1000 so that I can get out of this runt. I was sick fail behind on some bills that needs to be paid ASAP. Can you help me find someone that will consider?
Finder
JoshuaMay 7, 2018Finder
Hi Tiffany,
Thanks for getting in touch with finder. I hope all is well for you.
I’m sorry to hear about your situation. We do have a list of lenders who offer a $1000-loan. Please click that link and you should be redirected to a page where you will see a table that allows you to conveniently compare your options. Once you find the right one for you, click on the “Go to site” button to learn more or initiate your application.
Just in case, you may want to read our guide on how to get out of debt. This should help you discover the best options to put your debt behind you.
I hope this helps. Should you have further questions, please don’t hesitate to reach out again.
Have a wonderful day!
Cheers,
Joshua
RoseannApril 23, 2017
Looking for a installment loan I have really bad credit installment have applied everywhere and turned down need 10,000 where can I turn to.
Finder
AnndyJune 29, 2017Finder
Hi Roseann,
Thanks for your question.
The lenders above may consider you for a loan, but subject to eligibility criteria.
You may want to try contacting these lenders to discuss your eligibility.
Online installment loans are similar to a payday loan but often for higher amounts. They can give you quick access to the money you need, with predictable structured repayments and bad credit applicants are welcome.
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Finder.com is an independent comparison platform and information service that aims to provide you with the tools you need to make better decisions. While we are independent, the offers that appear on this site are from companies from which Finder receives compensation. We may receive compensation from our partners for placement of their products or services. We may also receive compensation if you click on certain links posted on our site. While compensation arrangements may affect the order, position or placement of product information, it doesn't influence our assessment of those products. Please don't interpret the order in which products appear on our Site as any endorsement or recommendation from us. Finder compares a wide range of products, providers and services but we don't provide information on all available products, providers or services. Please appreciate that there may be other options available to you than the products, providers or services covered by our service.
We update our data regularly, but information can change between updates. Confirm details with the provider you're interested in before making a decision.
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The only reason I want a loan is to pay off my credit cards and just pay off the loan. Do you think it’s a good idea?
Hey Danielle,
Thanks for your question!
It’s always a good idea to pay off your credit card debts as this will help you save in terms of the interest charges you are paying which is often what keeps people stuck in a never-ending debt repayment cycle.
If you have multiple credit card debts, you can consolidate them by applying for a personal loan. If you have bad credit, there are debt consolidation loans for people with bad credit that you can consider applying for.
As a friendly reminder, review the eligibility criteria of the loan before applying to increase your chances of approval. Read up on the terms and conditions to see whether it is right for you.
Hope this helps! For any further questions, feel free to reach out to us again, we’re here to help.
Best,
Nikki
I have a really low credit score and yes working with some one to help out my credit. I am in need of just $1000 so that I can get out of this runt. I was sick fail behind on some bills that needs to be paid ASAP. Can you help me find someone that will consider?
Hi Tiffany,
Thanks for getting in touch with finder. I hope all is well for you.
I’m sorry to hear about your situation. We do have a list of lenders who offer a $1000-loan. Please click that link and you should be redirected to a page where you will see a table that allows you to conveniently compare your options. Once you find the right one for you, click on the “Go to site” button to learn more or initiate your application.
Just in case, you may want to read our guide on how to get out of debt. This should help you discover the best options to put your debt behind you.
I hope this helps. Should you have further questions, please don’t hesitate to reach out again.
Have a wonderful day!
Cheers,
Joshua
Looking for a installment loan I have really bad credit installment have applied everywhere and turned down need 10,000 where can I turn to.
Hi Roseann,
Thanks for your question.
The lenders above may consider you for a loan, but subject to eligibility criteria.
You may want to try contacting these lenders to discuss your eligibility.
Cheers,
Anndy