Loans for Bad Credit and How to Get Them

If you have bad credit and find yourself in a pinch, you might think that you can’t get a loan. While it is more challenging to get a loan with bad credit and even harder to get a good rate, you have options.

Here is everything you need to know about what loans you can get with bad credit and how to get them.

What is a Credit Score?

Credit scores are a number between 300 and 850 that reflect your likelihood to repay a loan based on your credit history. Your credit history is a mix of how much you have borrowed in the past, how many loans you’ve taken you, and if you’ve paid your loans back regularly.

Excellent – 800 to 850 – Very good – 740 to 799 – Good – 670-799 – Fair – 580 to 669 – Poor – 300 to 579

How Bad Scores Affect Borrowing

Banks and other lenders do not want to loan out money that is not likely to be repaid. To protect themselves from lending to people who might not pay their loans back, they make loans more difficult to access for people with low credit scores.

What Loans Can I get With Bad Credit?

If you have bad credit, be sure you do your research before taking out a loan. You will want to be sure that you can pay your loan back and that the interest rate isn’t too high.