Getting a personal loan with bad credit in 2025 isn’t as difficult as it used to be. With more online lenders, flexible requirements, and fast approval processes, borrowers with low credit scores now have more options than ever before.
Whether you need funds for emergency expenses, debt consolidation, or major purchases, here are the top personal loan lenders in the USA that specialize in helping people with bad or fair credit.
💡 What to Look for in a Bad Credit Loan
Before diving into the list, here are some important factors to consider:
- Minimum credit score requirement
- Loan amount range
- APR (interest rate)
- Funding time
- Fees and penalties
- Co-signer or collateral options
🔝 Best Personal Loan Lenders for Bad Credit in 2025
1. Upstart – Best for Fast Approval with Fair Credit
- Minimum Credit Score: 300+
- Loan Amounts: $1,000 – $50,000
- APR Range: 6.4% – 35.99%
- Funding Time: As fast as 1 business day
Why Choose Upstart:
Upstart uses AI to evaluate applications, which means they consider factors beyond just your credit score—like education and job history.
2. LendingPoint – Best for Near-Prime Credit Scores
- Minimum Credit Score: 600
- Loan Amounts: $2,000 – $36,500
- APR Range: 7.99% – 35.99%
- Funding Time: 1–2 days
Why It’s a Good Choice:
LendingPoint is flexible with bad credit and has no prepayment penalties, which is great if you plan to pay off early.
3. OneMain Financial – Best for In-Person Support
- Minimum Credit Score: No set requirement
- Loan Amounts: $1,500 – $20,000
- APR Range: 18.00% – 35.99%
- Funding Time: Same day (in some cases)
What Makes It Stand Out:
With branches nationwide, OneMain is ideal if you prefer a face-to-face loan process and don’t mind higher rates.
4. Avant – Best for Low Credit Scores (550+)
- Minimum Credit Score: 550
- Loan Amounts: $2,000 – $35,000
- APR Range: 9.95% – 35.99%
- Funding Time: Next business day
Why Avant Works for Bad Credit:
Simple application, soft credit check for prequalification, and flexible repayment terms make Avant a great starter option.
5. Upgrade – Best for Debt Consolidation
- Minimum Credit Score: 560
- Loan Amounts: $1,000 – $50,000
- APR Range: 8.49% – 35.99%
- Funding Time: 1–4 days
Why Choose Upgrade:
Upgrade offers direct payment to creditors if you’re consolidating debt, helping you manage multiple balances more efficiently.
⚠️ Watch Out for These Red Flags
When applying for loans with poor credit, avoid predatory lenders by looking out for:
- Upfront fees before approval
- Extremely high APRs (over 36%)
- Vague loan terms or unclear repayment schedules
- No credit checks (often a scam sign)
Always read the fine print before signing anything.
✅ Tips to Improve Approval Odds
- Check your credit report for errors before applying
- Prequalify using a soft credit check (won’t hurt your score)
- Add a co-signer if possible
- Apply only to lenders you’re likely to qualify for
- Build your score with a secured credit card or credit-builder loan
Final Thoughts
Bad credit doesn’t mean no options. In 2025, personal loan lenders are becoming more inclusive, offering accessible solutions for people with scores below 600. The key is to compare rates, understand terms, and choose a lender that aligns with your needs.
Pro tip: Use prequalification tools to shop around without hurting your credit score — and never settle for the first offer you receive.