Best Emergency Loans for Bad Credit

If you have an unexpected expense that requires fast financing, make sure you still take the time to carefully consider rates, terms and fees to keep borrowing as affordable as possible.

Borrowing with bad credit never comes cheap, but each of the following lenders offers something that borrowers may find beneficial.

MoneyLion offers a service to help you find personal loan offers. Based on the information you provide, you can get matched with offers for up to $100,000 from our top providers. You can compare rates, terms, and fees from different lenders and choose the best offer for you.

1. Upstart

• Best for low credit score borrowers

• APR between 6.5% to 35.99%

Overview

Upstart's minimum credit score requirement is only 300. Borrowers may need to meet other qualifications. Upstart also considers those with insufficient credit.

Pros

Upstart takes educational history and earning potential into consideration. This may help younger borrowers who have little credit but higher earning potential.

Cons

Upstart does consider an applicant's debt-to-income ratio, which may make some potential borrowers ineligible. Borrowers cannot have had a bankruptcy in the previous 12 months. Borrowers must be employed or have a full-time job starting within six months or another source of income to qualify.

2. Upgrade

• Best for long repayment terms

• APR between 7.74%-35.99%

Overview

Upgrade is ideal for those who need to borrow a more significant amount and will need longer repayment terms. Some borrowers may qualify for up to $50,000 and loan terms up to 84 months.

Pros

Borrowers who cannot qualify for an Upgrade emergency loan may be eligible for a secured emergency loan via a cashout auto refinance. A cashout auto refinance may help some borrowers get a better rate than an unsecured emergency loan.

Cons

To get the lowest rates, borrowers must sign up for autopay. Some may be required to pay off a portion of existing debt directly with the emergency loan, limiting the funds available for emergency use.

Upgrade has a high origination fee that varies between 1.85% to 8.99%.

3. OneMain Financial

• Best for borrowers with co-applicants

• APR between 18% to 35.99%

Overview

Very few emergency loan lenders allow for co-applicants. This may help some borrowers qualify who couldn't otherwise.

Pros

OneMain Financial offers terms for 24, 36, 48 and 60 months. It also has a secured loan option.

Cons

Origination fees can be high — for some borrowers, it can be up to 10% of the loan amount. The maximum loan amount is $20,000.

4. Rocket Loans

• Best for same-day funds

• APR between 8.01% to 29.99%

Overview

For borrowers who need money right away, Rocket Loans can get funds to some on the same day, depending on the bank receiving the funds. In most cases, funds are available within a few days.

Pros

Rocket's minimum credit score requirement is 580. Other factors will also determine eligibility. Borrowers who elect autopay receive a rate discount.

Cons

Rocket has an origination fee of up to 9.99% charged to each loan. Loan term options are limited to 36 months or 60 months.

Final Take

Emergency loans for bad credit have made it possible for borrowers who used to be limited to car title and payday loans to get needed cash. Most borrowers with bad credit should be able to find a loan option for which they qualify. They just might not be eligible for enough, and rates and fees could be high.

Borrowers should compare options carefully to find the best loan terms and rates possible. Secured loan options and signing up for autopay can help some borrowers get a better rate. It's also worth considering peer-to-peer lenders and credit unions.

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