A bad credit score isn’t anything close to something you would wish to have. There are plenty of rough times to think about with a bad credit. For example, most of the lenders decide based on the financial situation when setting the loan amount and the repayment schedule – and those are disadvantageous comparing to a good credit score.
How do you put yourself there, though? A bad credit is anything under 550 and appears when a person does not pay for a number of times the minimum balance of their loan or on the credit card.
But that doesn’t mean you’re out of any business, and there are still good lenders and good loans available even if you are in this situation. That still implies more restrictions and higher interest rates than the good credit score. These bad credit loans are applicable to people with a low credit score.
Let’s take a look at the top 5 bad credit lenders online.
If you consider having a mortgage loan, Citibank offers the flexibility to choose from different mortgage options for bad credit borrowers. Down payments start from 3%, and it offers either a fixed rate or an adjustable rate.
The company offers discounts on closing charges and mortgage rates if you have a Citi account, and a very wide range of loan amounts, from $50,000 to $765,000. The loan duration is somewhere between 10 and 30 years. Other important feature of Citibank is that it has nationwide availability.
Homebridge also offers a down payment of 3% and loans starting from $50,000, up to $650,000. The credit score ranges from 550 to 800, while the repayment periods are between 15 and 30 years.
The pros are the loan variety, the online loan application, and also applications from self-employed individuals. Besides the loan credit score and the low down payment, one of the best advantages of Homebridge is that is available in 49 states.
The company generally has a review of 4.5 stars out of 5, and a satisfaction rate of 95%. When it comes to what it has to offer, bestloansforbadcredit covers it here. Avant offers personal loans for clients with bad to fair credit, and also credit cards. The minimum credit score is 580.
The amount which can be borrowed ranges from $2,000 to $35,000, while repayment periods are between two and five years. The APRs start from as low as under 10%, and it usually takes one to two business days to get the funds.
Founded in 2012 in California, the company offers personal loans, with loan amounts ranging from $1,000 to $50,000. However, it requires a score of 620 minimum and a clean record with no bankruptcies or defaulted loans, so is an option for the upper level of the bad credit owners.
The loan term length varies between three and five years, while the minimum estimated APR is under 6%. The time to get the funding ranges from one to three days.
The company changed the name to OneMain Financial in 2011, but it was founded almost a century before, in 1912. Its clients choose it for the easiness of obtaining a loan for bad credit.
The loan amounts are between $1,500 and $20,000, while the loan term lengths are between two and five years. The minimum loan rate (APR) is 18%, while there is no minimum credit score required, thus the high APR, but making it an excellent choice for the clients with bad credit scores.
OneMain Financial is available in 44 states and has over 1,500 branches.
Keep in mind that a bad credit score is an excellent indicator of your overall financial health and it takes a lot longer to turn a bad credit score into a good one than to ruin a good score. On the long run, one of the goals you should keep in mind is to do your best to improve your credit score by making wisely financial deci