Suppose you are on the hook to pay unexpected expenses like a broken water heater or a higher dollar expense like a much-needed bathroom renovation. In that case, favorable high risk personal loans with guaranteed approval from direct lenders may be in the cards. Offered by lending networks like MoneyMutual specializing in subprime borrowers with credit scores in the 300 to 580 range, expect favorable rates and terms that blow traditional payday, auto title, and pawnshop loans out of the water.
Best High Risk Personal Loans Guaranteed Approval Direct Lenders
ZippyLoan – Best Overall
MoneyMutual – Best for Fast Cash Advances
NextDayPersonalLoan – Best Personal Loans for Bad Credit
VivaLoan – Best Payday Alternative Guaranteed Approval
Upstart – Best for Fair Credit Personal Loans
Keep reading to learn more about the best high risk personal loans with guaranteed approval by direct lenders, including our favorite four lending networks, how high risk personal loan companies work, and ways you can avoid scams.
ZippyLoan
For an excellent source of high risk personal loans with borrower-friendly rates and terms, look no further than ZippyLoan.
ZippyLoan is an online marketplace connecting borrowers with hundreds of legit direct lenders offering loans from $100 to $15,000. Unlike traditional payday loans, expect a borrower-friendly term and fee structure starting with sub 35.99% APRs, repayment terms as long as 60 months, and no need to issue post-dated checks the old-fashioned way.
Remember that ZippyLoan is not a direct lender, but an intermediary connecting borrowers with lenders.
Another benefit to using ZippyLoan is its strong focus on transparency. All websites have clearly-worded disclaimers stating their role as a non-direct lender with representative loan examples and information on how your data is used. Overall, look to ZippyLoan as an excellent source of quick emergency cash.
How to Apply: ZippyLoan’s loan request form comes near the top of all the online marketplaces we’ve reviewed. To start, visit the homepage and type your desired loan amount, zip code, and email address into each text field before clicking the purple “Get Started” button. From there, you will be asked questions regarding your employment, contact, and deposit details. Once submitted, expect to be matched with several direct lenders. Remember that not all lenders will grant your desired loan amount, which is subject to change based on your profile.
Eligibility:
- 18 years of age or older
- U.S. citizen or permanent resident
- Minimum monthly income of $800
- Valid bank account
- Submitted online application through the ZippyLoan website
Highlights:
- Loans up to $15,000
- APRs up to 35.99%
- Flexible repayment terms of up to 60 months
- No origination or prepayment penalties
- Hundreds of legit, high-risk personal direct lenders
Fees:
- No origination or prepayment penalties
- Late and insufficient funds fees apply
Pros:
- Loans up to $15,000
- APRs up to 35.99%
- Repayment terms up to 60 months
- No origination or prepayment penalties
- Member of the Online Lenders Alliance (OLA)
- 256-bit SSL encryption for safe data
- All credit types welcome
Cons:
- Higher than average APRs
- No forbearance or hardship options
- Not all lenders will grant your desired loan amount
- Lacking customer support (no live chat or dedicated service number)
- Not available to New York, West Virginia, Oregon, or District of Columbia residents
MoneyMutual
Founded in 2015, MoneyMutual has become one of the country’s largest high-risk personal loan marketplaces, with more than 2M customers served to date.
Consider MoneyMutual one of the more diversified lending networks out there, featuring an inexpensive network of direct lenders willing to offer anywhere from $200 to $5,000, all with competitive APRs up to 35.99% with repayment terms of up to 60 months. If you have limited to no credit history or are simply looking to rebuild credit, MoneyMutual’s high risk personal loans are an excellent place to start.
To add, MoneyMutual is a member of the Online Lenders Alliance (OLA), a trade organization that focuses on responsible lending practices and consumer fraud prevention. We appreciate its transparency in providing options for bad credit borrowers who have difficulty qualifying for traditional loans from Banks and credit unions.
All in all, MoneyMutual ‘s combination of generous borrowing limits, sub-35.99% APRs, flexible repayment terms, and a quick and easy five-minute online application gives it props on our list.
How to Apply: MoneyMutual offers a highly intuitive application process. On the homepage, click the bright orange “Get Started” button, following all the on-screen prompts. Expect to answer questions regarding your contact, employment, and depositing information. Once your loan application is submitted, expect several offers from high-risk personal loan companies with competitive rates and terms.
Eligibility:
- 18 years of age or older
- U.S. citizen or permanent resident
- Minimum monthly income of $800
- Valid bank account
- Completed application through the MoneyMutual website
Highlights:
- Loans from $200 to $15,000
- APRs up to 35.99%
- Flexible repayment terms of up to 60 months
- Same day approval with no credit check
- Hundreds of participating direct lenders specializing in high risk personal loans
- Available in almost all 50 states
Fees:
- Origination, prepayment, and late/insufficient funds fees vary by lender
Pros:
- No credit loans and bad credit loans up to $15,000
- APRs up to 35.99%
- Same day, instant approval and next business day funding
- No minimum required credit score
- Excellent source of high risk loans
Cons:
- Not a direct lender of no credit personal loans and bad credit loans
- Information may be shared with third parties
- Residents of Connecticut and New York cannot use the service
- Need a minimum monthly income of $800
NextDayPersonalLoan
If you’re looking for a reputable source of high-risk personal loans, then NextDayPersonalLoan is more than ready to help.
All participating direct lenders on the NextDayPersonalLoan platform offer much better rates for traditional payday, auto title, and pawnshop loans. Expect loans from $100 to $40,000 at favorable sub 35.99% APRs, obtainable with same-day approval and funding to a valid checking or savings account by the next business day.
Another thing we appreciate about NextDayPersonalLoan is its transparency and safety. Its online loan request form uses 256-bit encryption, and the site offers plenty of representative loan examples so you have an idea of the total cost of borrowing. Plus, its disclaimers are clear, specifying its status as neither a lender nor a broker but an intermediary connecting prospective borrowers with a network of legit lenders.
How to Apply: To get started with a NextDayPersonalLoan loan, visit the homepage and go to the upper right corner, where you will see a bright orange “Start Now” button. Complete all of the questions to the best of your ability. Assuming you meet all eligibility criteria, expect same day approval and a presentation of various loan offers you can compare. Take all the time you need to review third-party websites for reviews before signing on the dotted line.
Eligibility:
- Need to be a legal age
- US citizen or permanent resident
- Government-issued photo ID
- Valid checking account for funds to be disbursed to
- Must have earnings of at least $800 a month
- Not a resident of Connecticut, New Hampshire, Washington, and Vermont
Highlights:
- Excellent loan range from $100 to $40,000
- APRs up to $35.99%
- Funds by the next business day
- Soft inquiry upon loan request form submission
- Member of the Online Lenders Alliance (OLA)
Fees:
- No origination or prepayment penalties
- Late and insufficient funds fees depend on the lender
Pros:
- Generous borrowing limits of up to $40,000
- APRs up to 35.99% (some exceptions apply)
- Fast and easy loan application process
- 256-bit encryption for data security
- Available in most states
Cons:
- Higher than average interest rates
- Not all lenders will grant your desired loan amount
- Not an excellent source of secured, co-borrower, or cosigner loans
- Not available to people living in Connecticut, New Hampshire, Washington, and Vermont
VivaLoan
Are you two months late on your utility bill? Did a surprise $4,280 bathtub leak fix throw your entire monthly budget out of whack? If so, VivaLoan and its low interest rates relative to payday loans are ready to save the day.
Participating lenders on the VivaLoan platform are ready to offer instant approval loans from $100 to $15,000. Unlike predatory payday, auto title, and pawn shop loan companies, all VivaLoan lenders abide by honest lending practices, offering sub 35.99% APRs, flexible repayment terms, same day approval, and next business day funding.
We also appreciate the fact that VivaLoan has very loose eligibility criteria. No minimum credit score is required, and all credit types are accepted. Plus, all of your information is secure using 256-bit SSL encryption technology. Kudos for its Online Lenders Alliance (OLA) membership, a trade organization that helps financial institutions adhere to fair lending practices and prevent payday loan consumer fraud.
How to Apply: VivaLoan offers an easy and intuitive application process. To start, visit the homepage and navigate to the upper right before clicking the “Start Here” button. From there, enter your desired loan amount, zip code, and email address on the homepage before proceeding. Upon submitting your loan request, expect instant approval, matching with at least three direct lenders, and funding to your checking account as early as the next business day.
Eligibility:
- 18 years of age or older
- U.S. citizen or permanent resident
- Minimum monthly income of $800
- Valid bank account and home address
- Completed application through the VivaLoan website
Highlights:
- Loans from $100 to $15,000
- Competitive APRs up to 35.99%
- Flexible repayment terms for bad credit loans and no credit check loans
- Member of the Online Lenders Alliance (OLA)
- Excellent source of high-risk personal loans with near-guaranteed approval from direct lenders
Fees:
- No origination or prepayment penalties on instant approval loans
- Late and insufficient funds fees depend on the lender
Pros:
- Loans up to $15,000
- APRs up to 35.99%
- Easy and intuitive online application
- Adheres to fair practices with OLA membership
- Available in almost all 50 states
- Direct lenders offering bad credit loans and no credit check loans
- Excellent source of high risk interest rate personal loans by direct lenders
Cons:
- Not a direct guaranteed approval lender
- Not all lenders are equally transparent with rates and terms
- Information may be shared with third parties
- Not available to residents of New York, West Virginia, or the District of Columbia
Upstart
Without question, Upstart is the most innovative lending network that we’ve covered to date.
For starters, it uses a proprietary algorithm to determine creditworthiness, using data like job history, incoming cash flow, education, and similar variables instead of a minimum required credit score and other traditional qualification methods. As a result, according to the Consumer Financial Protection Bureau, Upstart approves roughly 27% more applicants than traditional underwriting models. This allows them to extend loans from $1,000 to $50,000, with the average 5-year term loan carrying a 23.98% APR.
Unlike our other recommended lending networks, Upstart has far stricter eligibility criteria. For example, you must have a DTI ratio no greater than 45% with no history of bankruptcy or delinquencies within the past 12 months. If you don’t mind this, plus its strict repayment term structure (three or five-year plans), then Upstart is an excellent choice for any high risk personal loan.
How to Apply: To apply for an Upstart loan, visit the homepage and click on four options available – consolidate debt, pay off credit card, refinance my car, or “something else.”On the next page, complete all on-screen prompts, accurately entering your contact, employment, and depositing information. Once your loan application is submitted, expect to be matched with several direct lenders matching your profile.
Eligibility:
- 18 years of age or older
- U.S. citizen or permanent resident
- Minimum credit score of 580
- Valid bank account
- Recurring source of income/job offer within the next six months
- Debt to income ratio no greater than 45%
- No recent history of bankruptcies or collections
- Not a resident of West Virginia
Highlights:
- Loans up to $50,000
- APRs from 3.09% – 35.99%
- Flexible repayment terms and no prepayment penalties
- Available in all states except West Virginia
- Excellent source of high risk interest rate loans
- 43.2% lower rates compared to the traditional credit scoring model
Fees:
- Originations fees from 0% to 8%
- Insufficient funds fee
- Late payment fee of $15 or 5% of the amount due
- $10 paper document fee
Pros:
- Loans up to $50,000
- Respectable APRs from 3.09% – 35.99%
- 15-day grace period on late payments
- Innovative AI-based underwriting algorithm
- No prepayment penalties
Cons:
- Origination fees of up to 8%
- DTI ratio not to exceed 45%
- High minimum borrowing amount of $1,000
- Not available to West Virginia residents
- Repayment terms only three or five years
What Are High Risk Personal Loans?
Also referred to as subprime loans, high risk personal loans are offered to borrowers with limited to no credit history with difficulty being eligible for personal loans from banks and credit unions. Specifically, it targets folks with credit scores in the 300 to 580 range.
As a result, they have higher interest rates (up to 35.99% APR) and shorter repayment terms.
For perspective, here are the average interest rates by credit score you can expect (source: Bankrate)
Credit score — Average loan interest rate
720–850 — 10.73%-12.50%
690–719 — 13.50%-15.50%
630–689 — 17.80%-19.90%
300–629 — 28.50%-32.00%
However, high risk interest rate loans from reputable and legit lending networks like MoneyMutual and FundsJoy have several advantages.
For starters, high risk personal loan borrowers can qualify for higher borrowing limits, lower APRs, and longer repayment terms than traditional payday, auto title, and pawnshop loans known for their 300% and 400% APRs.
For example, high risk loans, personal loans for bad credit, and no credit check loans offered at MoneyMutual start at $200 and upwards of $5,000 on repayment terms as long as 60 months. It’s a welcome change compared to traditional payday loans, which only offer up to $500 (some exceptions apply) with a two to four-week turnaround.
On top of that, high risk personal loans from legit marketplaces offer same day approval without the need to issue a post-dated check. Instead, these legit lending networks rely on regular fixed installments over time.
High-risk personal loans are an excellent funding opportunity if coming from the right place, not those questionable local cash advance places with excessive marketing jargon and dishonest claims of guaranteed rates and ” secure loan approval today!” banners.
How Do High Risk Personal Loans Work?
It is very easy to explain how high risk interest rate personal loans work:
Application Process. Lending networks like MoneyMutual and VivaLoan require a submitted loan request form, providing its network of direct lenders with your personal and financial information. This information includes, but is not limited to, your desired loan amount, income, employment status, state of residence, and depositing information. Expect to take at most five minutes to fill out an application.
Approval. Once an application is submitted, your information is passed on to a network of high risk personal lenders, who will immediately qualify or disqualify you for bad credit loans and no credit check loans based on your provided information.
Loan Offers. Upon approval, expects a minimum of three high-risk personal loan companies to submit loan offers, complete with borrowing amount, interest rate,repayment period, and any associated fees or charges, e.g., origination or prepayment penalties. Fortunately, most high risk interest rate personal lending companies do not assess either penalty.
At this stage, direct lenders may or may not grant your desired loan amount based on your overall credit profile.
Disbursement. Once you have reviewed all rates and terms from one or more high-risk personal direct lenders, expect loan proceeds to be disbursed via direct deposit to your bank account the following business day.
Note: direct lenders may require that your application be submitted and approved by a daily 5 pm cutoff to receive personal loans for bad credit funds the next day. Do not expect to issue post-dated checks. Instead, expect authorized electronic withdrawals for instant online cash advances and fixed installment payments for high-risk and bad credit personal loans from a valid bank account.
Repayment. Once high-risk personal loan funds are disbursed, follow all repayment terms and conditions. Remember, the longer the repayment term, the more interest charges are paid. With higher-dollar personal loans for bad credit, we recommend aiming for a two-year repayment term at the earliest.
By using high risk personal loan lending networks like MoneyMutual and FundsJoy, expect an easy way to research and shop around with transparent loan terms and fees.
How to Find the Best High Risk APR Personal Loans Guaranteed Approval Direct Lenders
Fortunately, it does not take much legwork to identify legit high risk personal lending opportunities.
Here is a helpful step-by-step guide if you are unsure how to start. Best cash advance loans for low credit should cover these steps:
Determine Your Loan Needs. The first step is to identify your purpose and desired loan amount. For example, are you looking for a quick $200 to pay a past-due utility bill? What about a higher dollar $9,500 loan for a graduation party? Consider the amount you need to borrow, loan purpose, and repayment terms to narrow down lending network options.
Shop Around. Once you have determined your loan needs, identify lending networks offering said borrowing limits and terms. For example, MoneyMutual’s $5,000 limit disqualifies large-value purchases compared to VivaLoans, which has a $15,000 max borrowing limit.
Submit Two Loan Requests. We highly recommend submitting loan requests to a minimum of two lending networks. Each lending network has hundreds of participating legit direct lenders with often little overlap between networks. Submitting loan request forms will also only trigger a soft inquiry without affecting your credit score. However, do expect hard inquiries once you pass the qualification stage, which should not impact your credit score as long as too many hard inquiries are not conducted within a short period.
If possible, space them out anywhere from 90 days to six months and you should be golden.
Check Disclaimers. With any high risk personal loans guaranteed approval direct lender network, apply a fine-tooth comb to its website disclaimers. For example, MoneyMutual explicitly clarifies that it is not a lender, but an intermediary connecting prospective borrowers with a network of direct lenders. Transparency means citing states of operation, providing representative loan examples, and even a physical address.
Do High Risk Personal Loans Offer High Dollar Amounts?
Yes, high risk APR personal loans with guaranteed approval from a direct lender do have the capability to offer high dollar amounts. For example, Upstart offers up to $50,000 personal loans.
Despite the high dollar figures, remember that loan eligibility is based on your overall profile. Not all high risk personal lenders are willing to extend your desired loan amount. For example, 100Lenders advertises max borrowing limits of $40,000. However, it’s a safe bet that most participating direct lenders are only willing to extend up to $10,000 thanks to your subprime borrowing history.
Remember, high risk personal lenders see limited to no credit history borrowers as having a higher probability of loan default. To compensate for this increased risk, expect higher-than-average interest rates of up to 35.99% with lower borrowing limits.
If you are a high-risk borrower, there are many opportunities to be approved for the loan you are looking for by shopping around and comparing offers from a minimum of three direct lenders. Difficulty qualifying for a traditional loan from a bank or credit union? No problem! This is why high risk personal lending networks like MoneyMutual and VivaLoan exist.
Is It Possible to Get a Guaranteed Approval Personal Loan?
Yes, it is possible to get guaranteed approval loan.
However, although it does say “guaranteed,” no approval is ever truly guaranteed. More specific requirements depend on the lender. General guidelines for guaranteed approval loans include being 18 or older with U.S. citizenship or permanent residency and proof of income (usually a minimum of $800 monthly).
Other high risk APR personal loans with guaranteed approval by direct lenders may also examine your employment history, requiring at least two or three consecutive months of incoming cash flow. Do not forget your debt-to-income ratio. Aim for a debt-to-income ratio at or under 40% for the best chances of loan approval.
Lastly, guaranteed approval loan companies require that you have a valid bank account to receive loan funds. In addition, some may require funding sources, e.g., checking or savings accounts.
Keep in mind that there are some caveats with guaranteed approval for personal loans. For starters, expect higher than average interest rates up to 35.99%, representing the maximum threshold for bad credit borrowers.
Are Most Personal Lenders for Bad Credit Direct or Non-Direct Lenders?
Most bad credit personal lenders offering high risk APR personal loans are direct, not non-direct, lenders.
Let’s explain the difference between direct and non-direct lenders to answer this question. Direct lenders lend a mix of loan products/services to consumers, including but not limited to bad credit installment loans, high risk personal loans, instant online cash advances, and alternative online payday loans. In addition, all direct lenders manage the entire end-to-end process, from underwriting to application submission.
In turn, non-direct lenders are intermediaries that connect prospective borrowers with a network of legit direct lenders. For example, MoneyMutual has more than 50 direct lenders online at any one time, ready to extend loans to applicants. Online marketplaces like MoneyMutual and VivaLoan earn a fee or commission for every borrower match, which may or may not be added to the total loan cost.
There are advantages and disadvantages to working with direct and non-direct high risk personal loan companies. Direct lenders offer a one-way street with loan term negotiation, direct inquiries, and faster loan processing times. In turn, no direct lenders specialize in matching loans to bad credit borrowers with limited credit history, matching them with a large pool of lenders offering competitive rates and terms.
To conclude, direct and indirect lenders operate differently. One manages the entire end-to-end loan process; the other acts as an intermediary.
Tips to Avoid High Risk Bad Credit Loan Online Scams
Unfortunately, the high risk personal loan industry is rife with scams.
From predatory collections tactics to misleading advertising rates by bad high risk personal loans with guaranteed approval direct lenders, here are our top recommendations for identifying red flags:
Upfront Fees. Scam lending companies are notorious for requesting upfront fees before loan application processing. Chalk it up to “loan processing,” insurance, or even for the privilege of securing a “locked” rate. Legitimate direct lenders will never request upfront fees. At best, expect origination fees to be deducted from the loan amount or spread out over the repayment term.
Guaranteed Approval. Scam high risk loans companies often provide guaranteed approval, which is a misnomer. No loans are ever fully guaranteed, Regardless of your credit history. Even no credit check loans require minimum eligibility, e.g 18 years of age or older with U.S. citizenship or permanent residency with a minimum monthly income of $800 a month.
High-Pressure Sales Tactics. High-pressure sales taxes like threatening legal action or citing expiration dates on loan offers are two telltale signs of high risk loans with guaranteed approval from a direct lender scam. With legit direct lenders, expect professional communication at all times.
No Contact Information. Be wary of scam high risk personal loans companies with no physical address or phone numbers listed on their website. To find them, check any website disclaimer.
If you notice any of these red flags, it’s a near-guaranteed scam, so it is best to look elsewhere.
How to Improve My Bad Credit Score
To secure the lowest APRs possible, boosting your credit score is necessary.
Besides being better qualified for additional lines of credit like mortgages and credit cards, boosting your credit score also works wonders with high risk loans.
Here are our three favorite recommendations on how to boost your credit score in no time:
Watch Your Credit Report. Errors on your credit report are all-too-common. This could mean anything from incorrect balances to wrong addresses to accounts marked open when they should be closed. Stay on top of your credit report by visiting annualcreditreport.com and pulling from each of the three credit bureaus, Equifax TransUnion, and Experian.
Once you have all three credit reports, go through them with a magnifying glass. If you see any errors, file a dispute with the creditor or credit bureau in question. All three credit bureaus have dedicated dispute pages you can request assistance with, with most disputes taking up to 45 business days to finalize.
Watch Your Credit Utilization. Credit utilization is your total credit limit ratio relative to outstanding balances. For example, a $20,000 credit limit and $10,000 outstanding balance equal a 50% utilization ratio, well above the recommended range. Keep this percentage in the single digits (up to 9%) for the best loan terms.
Consider Debt Consolidation. There are many benefits to combining multiple high-interest debts into a single lower-interest-rate loan. This includes lower interest charges over time, simplified finances, staving off bankruptcy, and ultimately getting out of debt faster. Remember, making a single monthly payment every month is much more manageable than multiple high-interest-rate debt payments.
Following the three above golden rules will significantly increase the chances of a higher credit score.
How to Manage My Budget Successfully with a Loan
Managing a budget is a crucial pillar of personal finance. By controlling spending, monitoring incoming cash flow, prioritizing expenses, and saving towards a nest egg, expect to achieve most of your financial goals.
Here are our favorite budget management tips:
Track Spending. Arguably the number one way to manage budgets, track spending across all your monthly expenses (e.g., rent/mortgage and entertainment) using budgeting apps like Mint.com and Credit Karma. These budgeting apps allow you to identify areas where you can reduce spending.
Establish A Rainy Day Fund. Also referred to as an emergency fund, we recommend setting aside at least six months of expenses. This allows you to cover better unexpected expenses like past due utility bills or unexpected auto repairs. Additionally, it provides a hedge against unemployment or an extended leave of absence.
One of our favorite rainy-day apps is Oportun (formerly known as ‘Digit’). Boasting more than 75,000 5-star reviews on Google and Trustpilot, you can set savings goals after thoroughly analyzing your incoming cash flow and spending habits. It even offers loans from $300 to $8,000 with easy pre-qualification.
How Did We Choose These Lenders?
Researching high risk personal lending companies is a challenging endeavor. With more than 30 lending networks, we divided evaluation criteria into four key categories: APRs, repayment terms, fee structure, and ease of use/transparency.
APRs. Most participating direct lenders at high-risk personal loan marketplaces like MarketLoan and MoneyMutual charge APRs no higher than 35.99%, the maximum threshold before entering predatory rate territory. Fortunately, state usury laws prevent lenders from charging higher (with some exceptions).
Repayment Terms. The broader the repayment term (e.g.60 days to 60 months), the greater your flexibility. Short repayment terms allow borrowers to pay off loans faster, saving on interest charges. In turn, longer repayment terms result in lower monthly payments but higher interest charges over the life of the loan.
Fee Structure. We highly advise against paying any origination or prepayment penalties, two popular types of fees associated with many bad credit installment loans, instant cash advances, and high-risk personal loans.
Origination fees cover administration and processing a loan application, ranging from 0% to 8.99% (Upstart). Typically origination fees are deducted from loan proceeds or baked into the APR. In turn, prepayment penalties are charged when paying off loans early, comprising the percentage of the remaining balance. It operates as a hedge against lost profits.
Under no circumstances should you pay any origination or prepayment penalties. What for? In our opinion, direct lenders’ profit should come from interest charges, not administrative fees.
Ease of Use/Transparency. All of our recommended lending networks adhere to best practices around online applications. Expect encryption and security protocols to safeguard personal information with trusted third-party partners for any signed loan documentation.Always look for bank level 256-bit encryption.
Additionally, all loan applications provide clear instructions, written in simple language with step-by-step instructions on uploading supporting documentation. Expect to take at most five minutes to complete an online loan request form through one of our preferred lending networks.
Frequently Asked Questions
Which loans don’t require proof of income?
Many loan options do not require proof of income. Three that come to mind include payday, auto title, and pawnshop loans. However, other eligibility criteria apply, such as a minimum age requirement and U.S. citizenship or permanent residency. Unfortunately, 300% and 400% APRs should put them out of reach for all borrowers.
Can you get a personal loan with a credit score of 500?
Getting a high-risk personal loan with a 500 credit score is possible. One of the best ways to do it is via lending networks like VivaLoan and Upstart, which specialize in providing flexible loan terms for bad credit borrowers, including sub 35.99% APRs, repayment terms of up to 60 months, and no origination or prepayment penalties.
Does Upstart verify income?
Yes, Upstart does verify your income. Supporting documentation equals a recent pay stub or electronic timesheet from full-time or part-time employment within the last 30 days. No pay stub? No problem. If you anticipate a new job, submitting a job offer with your upcoming salary and start date is OK.
Note that Upstart does allow independent contractors (e.g., Uber/Lyft drivers) and the self-employed, as long as you can provide a contract/job offer letter, 1040 tax return, or similar documentation.
Conclusion
By now, you should be well versed on all aspects of higher-risk personal loans with guaranteed approval from legit direct lenders. Under no circumstances should you ever have to pay 300% and 400% APRs offered by traditional payday auto title, and pawn shop loans. So instead, rely on high-risk personal lending companies like MoneyMutual and VivaLoan, who provide you with the rates and terms you deserve.
Interesting Related Article: “Comprehensive Guide on Applying for Personal Loans“