A personal loan can be used to finance a large purchase or help you get through a financial emergency. But personal loans also have eligibility requirements you must meet. If your credit score is poor, you may not qualify.
A no-credit-check loan doesn’t take your credit history into account, meaning you may qualify no matter what’s on your report or how low your score is. These loans can come with considerable risks, however, such as sky-high fees and annual percentage rates (APRs). There may be better alternatives.
A no-credit-check personal loan doesn’t require a credit inquiry as part of the approval process. As a result, these loans can be easier to get, especially if you have bad credit or even fair credit.
Some of the most common no-credit-check lenders are payday loan companies. Payday loans are short-term loans that usually must be repaid within two to four weeks. Loan amounts are relatively low — typically $500 or less — with fees of $10 to $30 charged for every $100 borrowed. That’s where these loans can get very expensive. Because of their short repayment period and low dollar amounts, it’s not unusual for payday loans to have APRs in the triple digits.
Other no-credit-check loans include cash advance apps and personal loan companies that specialize in making loans to borrowers with bad credit. Buy-now-pay-later (BNPL) may also be considered a type of no-credit-check personal loan.
Warning
A two-week payday loan at $15 charged per $100 borrowed has an APR of almost 400%. That’s many times the maximum rate on most legitimate personal loans.
When you apply for a personal loan, in most cases you must consent to a hard credit inquiry. Lenders use this inquiry to view your credit score and the contents of your credit report. They’re trying to get a general idea of how high-risk of a borrower you are. If you have a perfect payment history (which often equates to a high credit score), the lender is more likely to figure that you’ll repay this loan as well. On the other hand, missed or late payments are red flags to lenders (a low credit score is an indicator).
No-credit-check loans don’t use your credit history as a factor when determining your eligibility. They may instead use other factors, such as your employment status, income, assets, bank account balance, and more. Some no-credit-check lenders may report your payments to the credit bureaus, while others may not.
A no-credit-check loan is riskier for the lender. To compensate for that risk, lenders often charge high interest rates and costly fees on no-credit-check loans.
One of the most challenging parts of getting a no-credit-check loan is finding a trustworthy lender that offers them. The vast majority of lenders that offer personal loans require credit checks. Whether you’re borrowing from a traditional bank, a credit union, or an online lender, you’ll have a hard time finding a no-credit-check option, but they do exist.
Here are a few no-credit-check loan lenders to consider:
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| | | | | | As soon as the same or next business day |
| | | Up to $750 per pay period (maximum $100 per day) | | No mandatory fees, but instant transfer requests cost $0.99 to $3.99, and optional tips are accepted | In minutes or up to 3 business days |
| | 19.00% to 35.83% (depending on state) | | | Origination fee (up to 5%) | Can take up to 3 business days, depending on bank |
| | 0% to 35.99% depending on eligibility | Based on Afterpay payment history | 6 to 12 months for purchases over $400, or interest-free over 6 weeks | | |
| | 150.00% to 200.00% on average, varies by state | | | | Within minutes to a debit card, or up to two business days to a bank account |
For example
If you took out a $2,000 no-credit-check loan with a 12-month repayment term and an APR of 160.00%, your monthly payment would be $343, and the total cost of your loan would be $4,116. That’s $2,116 in interest.
Pros and cons of no-credit-check loans
If you’re considering applying for a no-credit-check loan, it’s important to understand the pros and cons upfront.
- Easy access to money: If bad credit prevents you from qualifying for a personal loan elsewhere, you may still be able to get a no-credit-check loan.
- Same-day funding is often available: Many no-credit-check lenders, including payday loan companies, offer immediate funding on loans.
- May have unsecured or secured options: Payday loans are unsecured loans. Car title loans, another no-credit-check loan option, are secured by your vehicle, which the lender can take if you default to help recoup its losses.
- High APRs: Payday loans have fees that can send the APR into the triple digits. Other no-credit-check loans, such as title loans, have a reputation for exorbitant APRs, though they vary by type of loan and lender. Cash advance apps can also have triple digit APRs if you pay to get money the same day.
- Difficult to repay: Because of the quick turn-around times for repayment (often two weeks), it can be difficult to repay loans and fees on time, which can lead to a cycle of debt that's tough to get out of.
- Usually don’t report to credit bureaus: Payday lenders and other no-credit-check lenders generally don’t report your payments to the credit bureaus (though some do, so research lenders carefully), meaning the payments won't help to boost your credit score. But if you can’t pay back the loan, and the account goes to collections, your score could drop significantly.
- Often have low loan amounts: No-credit-check loans often have loan amounts of $500 or less. If you need more money, they may not be the right option.
When you have bad credit, a high-APR option like a no-credit-check loan may feel like your only option. However, there are some alternatives to consider that may be less predatory and less expensive.
- Bad-credit personal loan: You don’t necessarily have to get a no-credit-check loan to get a personal loan with bad credit. Plenty of legitimate lenders offer personal loans to borrowers with bad credit, typically at a fraction of the interest rate offered by payday loan companies. Hard credit checks are generally required for these loans, however, which cause your score to drop by a few points temporarily.
- Payday alternative loan (PAL): A PAL is a type of loan offered by certain federal credit unions to their members. They are small loans with amounts up to $2,000 and repayment terms to 12 months. Rates are capped at 28%, making them a much more affordable alternative to traditional payday loans. Some types of PALs are immediately available after joining a credit union.
- Personal loan with a cosigner: If you don’t qualify for a personal loan by yourself, consider asking a friend or family member to cosign your loan. When you apply for a loan with a cosigner, the lender takes into account both your credit scores and income to determine eligibility. If you default on your payments, your cosigner will be responsible for paying back the loan. Not all personal loan lenders allow cosigners.
- Secured loan: A secured personal loan is one that requires collateral to qualify, such as a bank account, your house, or your vehicle. Having collateral attached to the loan reduces the risk for the lender, which could mean easier qualification or a more reasonable rate for you. But you will be at risk of losing your collateral if you default.
- Friends or family loan: If you have any friends or family who are in a position to lend, consider asking them for a loan. While it’s not ideal, borrowing from a loved one may be preferable to the predatory rates on payday loans. Before you borrow from a loved one, make sure you can pay them back later, and put the terms in writing to avoid any misunderstandings down the line.
- Credit-builder loans: These types of loans were created to help borrowers build their credit. But you typically don’t receive the money upfront like a traditional personal loan. Instead, the money is locked in a savings account and is only released once you pay off the loan.
Improve your credit
If time isn’t of the essence, consider improving your credit score before you apply for a personal loan. Things like reducing your credit utilization or becoming an authorized user can boost your score in months, so you may not have to wait long to apply.
The most common type of no-credit-check loan is a payday loan. However, other types of loans that may not require a credit check are car title loans, cash advance apps, payday alternative loans, and high-interest installment loans.
To get a no-credit-check loan, start by shopping around with various lenders. Because of the high rates and risks commonly associated with these loans, it’s important to do your due diligence to find a good lender. Once you’ve chosen a lender, you’ll be able to complete your application, provide any required financial information, and then receive your loan funds.
There are several places where you can get no-credit-check loans, including both online and in-person lenders. You may use a local storefront lender to get a payday loan or a car title loan. Or, you may use an app or online lender to get a high-interest installment loan, get a cash advance, or use a buy now, pay later service.
Advertiser DisclosureOverview
Lightstream is one of three Credible partner lenders to offer loan amounts up to $100,000, which makes it ideal for financing large expenses like home improvements or weddings. Funds are available as soon as the same day you apply, and you'll have up to 12 years to repay certain types of loans, including home improvement loans, RV loans, and boat loans. There are no origination fees, and rates are low — Lightstream's lowest APR beats SoFi's advertised lowest APR by 1 percentage point. But you'll need good credit to qualify.
Unlike most lenders, Lightstream does not let you prequalify on its site. Nor does it provide a contact phone number next to its customer service hours on its website.
Repayment terms
2 - 12 years, depending on loan purpose
Eligibility
Available in all states except RI and VT
Time to get funds
As soon as the next business day
Loan uses
Credit card refinancing, debt consolidation, home improvement, and other purposes
Overview
Upstart has one of the lowest available APRs of Credible partner lenders and of all non-partners we reviewed, making it a good choice for well-qualified applicants. However, it's also is one of few lenders that doesn't have a minimum credit score requirement (if you apply on the lender's website), which makes it an option if you have bad credit or no credit history. Upstart may charge an origination fee as high as 12%, but good-credit borrowers may not be charged one at all.
Trustpilot gives Upstart 4.9 stars, which is the highest of all lenders we reviewed.
Time to get funds
As soon as 1 to 3 business days
Loan uses
Pay off credit cards, consolidate debt, relocate, make a large purchase, and other purposes
Overview
Discover Personal Loans offers low APRs, repayment terms up to seven years, no origination fees, nationwide availability, and doesn't require your Social Security number to prequalify on its site. You'll need to have an annual income of at least $40,000, and a FICO score 660 or higher, to be eligible. If your credit score is fair or poor, you'll need to go elsewhere, as Discover doesn't allow cosigners.
Funds are available as soon as the next business day after loan approval.
Eligibility
Available in all 50 states
Time to get funds
Funds can be sent as soon as the next business day after acceptance
Loan uses
Auto repair, credit card refinancing, debt consolidation, home remodel or repair, major purchase, medical expenses, taxes, vacation, and wedding
Overview
Upgrade has a suite of features that make it a very attractive lender: competitive interest rates, discounts for direct pay and autopay, as soon as same-day funding, up to seven-year repayment terms, and nationwide availability. Plus, loans are available to fair-credit borrowers, and you don't need to input your Social Security number to prequalify on the website. Upgrade even offers secured personal loans, which is not common among lenders.
However, Upgrade does charge an origination fee of 1.85% to 9.99%. You must have a FICO score of at least 600 and a minimum income of $25,000 annually to qualify.
Loan amount
$1,000 to $50,000 ($3,005 minimum in GA; $6,600 minimum in MA)
Loan uses
Credit card refinancing, debt consolidation, home improvement, major purchase, other
Overview
LendingClub is a solid lender for good credit borrowers and some fair credit borrowers that apply directly on its website. It's easy to prequalify with LendingClub, especially if you're uncomfortable providing your Social Security number, as the company doesn't require it at the prequalification stage. (You will need to provide it if you move forward with a full application.)
While prequalification is not a guarantee that you'll be approved for a loan, LendingClub does a better job than most other Credible partner lenders at approving applicants that have successfully prequalified. In other words, you're less likely to have your application declined once you apply (if you've already prequalified). LendingClub may charge an origination fee between 3% and 8%.
Eligibility
Available in all 50 states
Loan uses
Debt consolidation, paying off credit cards
Overview
SoFi stands out for offering no-fee personal loans with competitive rates, high loan amounts, long loan terms, discounts for autopay and direct pay, and funding as soon as the same day. Plus, SoFi prioritizes convenience for existing and potential customers with features like live chat and an easy prequalification process that doesn't require your Social Security number.
The main catch is that you need to qualify for a loan with SoFi, which can be hard to do if you don't have good credit. You also won't be able to apply with a cosigner, since SoFi doesn't accept cosigners; nor does it offer secured personal loans.
Fees
Option to pay an origination fee (up to 6%) in exchange for a lower rate
Time to get funds
Typically within a few days, given approval and bank account verification, but sometimes within the same day
Loan uses
Solely for personal, family, or household uses
Overview
Best Egg is a solid lender for a wide range of borrowers and, notably, scored second for personal loan satisfaction in J.D. Power's Consumer Lending Study. It offers competitive rates, reasonable loan terms and amounts, and personal loans for fair credit. You'll need a FICO score of at least 600 to qualify, but the lower your score, the higher your APR may be. The APR includes the interest rate and origination fees, which range from 0.99% to 8.99% with Best Egg.
Note that if you successfully prequalify with Best Egg, you may be more likely to be approved for the loan relative to other lenders you prequalify with. Based on Credible data, borrowers who chose to apply for a loan with Best Egg were more than twice as likely to be approved (relative to most other Credible partners).
Fees
Origination fee, late fee, unsuccessful payment fee, check processing fee
Eligibility
Available in all states except DC, IA, VT, and WV
Time to get funds
As soon as 1 to 3 business days after successful verification
Loan uses
Credit card refinancing, debt consolidation, home improvement, and other purposes
Overview
Avant personal loans are a good choice for borrowers with bad credit looking for small- to moderate-sized personal loans. Loans are available up to $35,000 and you could get the money as soon as the next business day after approval. Plus, Avant is more likely than some lenders to approve the applications of borrowers who've prequalified with Avant. However, the lender charges an origination fee up to 9.99%, and its top-range interest rates are among the highest of the lenders we reviewed.
Fees
Origination fee, late fee, dishonored payment fee
Eligibility
Available in all states except HI, IA, MA, ME, NY, VT, and WV
Time to get funds
As soon as the next business day (if approved by 4:30 p.m. CT on a weekday)
Loan uses
Debt consolidation, emergency expense, life event, home improvement, and other purposes
Repayment terms
1 to 5 years (2 to 5 years through Credible)
Overview
It’s worth considering a personal loan through Splash if you have good credit (ideally, a FICO score above 700). The platform offers loans from a wide range of lenders, and next-day funding is available. Plus, Splash has a live chat feature so you can get real-time answers without having to wait on hold or for an email. Loans are available up to $100,000 if you apply via Splash’s website.
Rates are competitive, but borrowers with excellent credit may find lower APRs elsewhere. If you need a repayment term longer than five years, you’ll need to look elsewhere as well.
Loan amount
$5,000 - $100,000 (up to $35,000 on Credible)
Eligibility
Available in all states except VT. OH and NM net disbursed amount must be greater than $5,000. MA must be greater than $6,000
Time to get funds
Same day available, typically 1-3 days
Loan uses
Debt consolidation, home improvement, medical expenses, major purchases
Overview
Universal Credit is one of a handful of lenders that offers personal loans for bad credit. If your FICO credit score is at least 560, you may be eligible for a Universal Credit personal loan. It offers loan amounts up to $50,000, repayment terms up to seven years, and discounts for direct pay and autopay. Funds are available as soon as the next business day after loan approval.
Note that rates and fees can be relatively high — you may pay an origination fee from 5.25% to 9.99%, and APRs start at 11.69%. If you get a loan with a high interest rate, consider refinancing your personal loan at a lower rate once you've improved your credit score.
Eligibility
A U.S. citizen or permanent resident; not available in DC, IA, SC, WV
Time to get funds
As soon as 1 business day after acceptance
Loan uses
Debt consolidation, pay off credit cards, home improvements, unexpected expenses, home and auto repairs, weddings, and other major purchases
Overview
Happy Money has been in operation since 2009 (formerly known as Payoff). It's an option for fair-credit borrowers (plus those with better credit), and notably has a relatively low top-end APR. In other words, you could qualify for a lower rate with Happy Money with fair credit, relative to other lenders that offer fair-credit loans. The company does charge an origination fee on some loans, up to 5%, but that's not as high as some other lenders' origination fees.
You should be prepared to wait a few days to get your money, as funding can take three to five days once approved. And loans aren't available in Massachusetts or Nevada. Happy Money has an A+ rating with the BBB and is ideal for debt consolidation and credit card consolidation loans.
Eligibility
Available in all states except MA, MS, NV, and OH
Time to get funds
As soon as 2 - 5 business days after verification
Loan uses
Debt consolidation and credit card consolidation only
Overview
BHG Money stands out for offering the largest loan amounts — up to $200,000 — of any Credible partner lenders. Simply put, if you need an unsecured personal loan over $100,000, there are very few places to look, but BHG is one. You'll have up to 10 years to repay the loan, but you'll need an annual income of at least $100,000 to qualify and a FICO score that's 660 or higher. However, if you have a cosigner that meets these requirements, BHG will consider your application.
Loan amounts start at $20,000, so look elsewhere for small loans. And BHG charges a modest origination fee between 2% and 4%, depending on your financial profile. Loan funds are available within three to 14 days of loan approval. Note that you can't prequalify with BHG.
Fees
Origination fees, late fees
Eligibility
Available in all states except Maryland and Illinois
Loan uses
Debt consolidation, baby (adoption), engagement ring financing, moving (relocation), business, home improvement, special occasion, cosmetic procedures, major purchase, taxes, credit card refinancing, medical expenses, vacation, wedding, other
Fees
Origination Fee, $15 Late Fee, $25 NSF Fee
Eligibility
Available in all states except CO, CT, ME, NV, NH, TN, VT, WV, WY, and all U.S. Territories
Time to get funds
Funds typically deposited into your account in 1 business day13
Loan uses
Debt consolidation, credit card refinancing
Overview
OneMain Financial has multiple options for bad-credit personal loans. There is no minimum credit score required (if you apply directly with OneMain), which means you could get a loan with bad credit (FICO below 580). Plus, cosigners are allowed — a cosigner is someone (ideally, with good credit) who promises to repay the loan if you can't, which can make it easier to qualify or lower your rate. And, secured personal loans are available. You secure a loan with collateral, which may also help you qualify or lower your rate.
Rates are higher than competitors and OneMain charges origination fees as either a flat fee up to $500, or a percentage from 1% to 10% (depending on your state of residence). Note that even if you prequalify for a personal loan with OneMain, getting approved isn't a given.
Fees
Origination fee, unsuccessful payment fee, late fee
Eligibility
Must have photo I.D. issued by U.S. federal, state or local government
Time to get funds
As soon as 1 to 2 days after acceptance
Loan use
All except business, and education
Fox Business does not make or arrange loans.
Meet the contributor:
Erin Gobler
Erin Gobler is a freelance personal finance writer with more than eight years of experience writing online. She’s passionate about making the financial services industry more accessible by breaking down complicated financial topics in simple terms.