What credit score do you need for a LendingPoint personal loan?

You can get small loans for bad credit from lenders such as Avant, LendingPoint and Upstart. But depending on how bad your credit is, you may have to get a secured personal loan instead of an unsecured one. Major lenders offering secured personal loans that people with poor credit can get include ... read full answerWells Fargo and TD Bank.

With a secured loan, you must put up some kind of collateral that the lender can take possession of if you default. Because of the lowered risk of non-payment for the lender, secured personal loans are open to people with pretty much any credit score. However, there are still some unsecured personal loans available to people with scores between 580 and 639 (the end of the bad credit range).

Where to Get Small Loans for Bad Credit

*According to multiple third-party sources

Some lenders that offer small, secured personal loans for bad credit have them only for the purpose of building credit. They require money in a bank account as collateral, so they’re not useful for financing purchases. Other lenders will let you use other forms collateral to borrow money, though, such as real estate, vehicles, stocks or other valuable possessions.

Types of Small Loans for Bad Credit to Avoid

There are multiple places to get a small loan besides a bank, credit union, or reputable online lender. However, many of them are incredibly expensive options that are not even worth considering.

Payday loans: It’s easy for people with bad credit to get a loan against their next paycheck from a payday lender. But they’ll usually have to pay a fee that equates to a 400%+ APR in return. That still leaves you in a bad situation when the next payday comes around, and it can be difficult to break out of the cycle of borrowing.

Auto title loans: You can get a small loan for 2 - 4 weeks by putting your car up as collateral. If you’re unable to pay back the loan, you can usually roll it over for another few months, but eventually the lender will repossess your vehicle. And if you’re able to pay the loan back, you’ll still have to shell out up to 25% of what you borrowed.

Pawnshops: Pawnshops purchase valuable items for a fraction of their actual value and then give you a few months to pay that money back with interest to reclaim the items. That interest is usually somewhere between 2% and 25% per month. The lender can sell your item to another customer if you don’t reclaim it in the allotted time.

As a result, the safest place to get small loans for bad credit is definitely from personal loan providers.

You can get a personal loan with a credit score under 600 from LendingPoint, if your score is at least 585. In addition, if your score is just on the border of 600, it might be possible to qualify for a loan from Avant or LendingClub, though it's probably best not to try your luck. You may have an easier time with local credit unions, which may be more receptive to lower credit scores.... read full answer

Another good way to get a personal loan with a credit score under 600 is to take out a secured personal loan. You'll have to put down some sort of collateral that the lender can keep if you default on the loan. But you'll also have a much easier time getting approved because the collateral guarantees repayment. Alternatively, you could apply for a regular unsecured personal loan with a co-signer who has a better score, using their credit standing to boost your own approval odds. Lastly, you could borrow from friends or family, who are less likely to care what your score is than a bank or other lender.

There are no personal loans with guaranteed instant approval. Many lenders offer the opportunity for near-instant approval, with a decision minutes to hours after they receive the application. But personal loan approval is never guaranteed under any circumstance. All lenders have some sort of requirements for approval, even those that accept people with bad credit. Plus, getting approved for a loan doesn’t mean that the applicant has the funds yet. It’s rare for a lender to fund a loan the same day the prospective borrower applies.... read full answer

Personal Loans with Nearly-Guaranteed/Instant Approval

• LendingPoint: Approval and funding in 1 business day. Instant approval and same-day funding are possible. Requires a credit score of at least 620. APRs range from 9.99% to 35.99%.
• Avant: Approval and funding in 2 to 3 business days. Instant approval is possible, but same-day funding is not. Reportedly requires a credit score of at least 600. APRs range from 9.95% to 35.99%.
• Achieve Personal Loans: Approval and funding in 2 to 3 business days. Instant approval is possible, but same-day funding is not. Requires a credit score of at least 620. APRs range from 5.99% to 29.99%.

Some lenders will not do a credit check when you apply. But they’ll still require you to have some form of income, along with other basic requirements like providing identification or proof of a bank account. In addition, lenders that don’t do a credit check are primarily predatory auto title lenders and payday lenders that charge overwhelmingly high APRs and fees.

Personal loans are a much safer choice. And even though personal loans with guaranteed instant approval don’t exist, there are still some loans that are relatively easy to get, with fast approval and funding timelines.

The closest thing to a personal loan with guaranteed instant approval is a secured personal loan. This type of loan requires collateral, so you’ll have to put a valuable possession on the line. That could be money in a savings account or CD, a vehicle, real estate, or collectible items like art. Because the lender can keep and sell the collateral if you don’t pay the loan back, it’s relatively easy to get approved with any credit score. Just be sure to ask the lender how long their approval and funding process takes, along with the conditions under which they can take ownership of your collateral.

You might also be able to instantly get a loan from a friend or family member who’s willing to lend you the cash. But you shouldn’t take the money without first writing and signing an agreement to pay it back.