Having bad credit (below 580) doesn't mean you can't get a personal loan — it means you need to find the right lender. Several reputable online lenders specialize in bad credit borrowers and offer rates far below payday loan alternatives.
6–36%
APR Range
$1K–$50K
Loan Amounts
24–60 mo
Typical Terms
UpstartAccepts 300+ credit score, rates from 7.80% APRTop Picks at a Glance
Avant580+ credit score, next-day funding, soft pull pre-qual✓ Pros
- Fixed monthly payments
- Lower APR than credit cards
- No collateral required
- Fast funding (1–3 business days)
✗ Cons
- Origination fees (1–8%)
- Hard credit inquiry required
- Prepayment penalties possible
- Higher rates for bad credit
How We Chose These Picks
WiseIQ's editorial team evaluated each option based on annual fees, rewards rates, approval requirements, customer service ratings, and overall value for the target user. All rates and terms are verified as of April 2026.
💡 Expert Tip: Pre-qualify with multiple lenders before applying. Pre-qualification uses a soft credit pull and won't affect your credit score.
LendingPoint580+ credit score, same-day funding available
Apply Now →
Frequently Asked Questions
What credit score do I need for a personal loan?
Most major lenders require a minimum score of 580–640. Upstart accepts scores as low as 300; OppLoans and OneMain Financial have no stated minimum credit score.
What's the best personal loan for bad credit?
Upstart is the best overall option for bad credit borrowers — it accepts scores as low as 300 and uses AI to evaluate factors beyond credit score, resulting in lower rates than most bad-credit lenders.
Can I get a personal loan with a 500 credit score?
Yes. Upstart (300+ minimum), OppLoans (no minimum), and OneMain Financial (no stated minimum) all offer personal loans to borrowers with scores around 500.
What's the difference between a bad credit personal loan and a payday loan?
Personal loans have fixed monthly payments, longer terms (12–60 months), and APRs typically under 36%. Payday loans require full repayment on your next payday and often carry APRs of 300%–400%. Personal loans are almost always the better option.