Does OneMain Financial allow cosigners on personal loans?

OneMain Financial has no minimum credit score requirement for applicants. For the best odds of being approved for a personal loan from OneMain Financial, however, you should have a credit score of 600 - 650 or higher.

Keep in mind that just having a 600 - 650 credit score is not enough to qualify you for a OneMain Financial personal loan. OneMain Financial will consider your entire financial profile, including things like your income, existing debts and recent credit inquiries, when deciding whether to approve you. It's also worth noting that some applicants might be able to get a personal loan from OneMain Financial with a slightly lower score if it's offset by other factors like an especially high income. But it's best to wait to apply until your score meets the threshold.... read full answer

If you're unsure of what your current credit score is, you can check it for free on WalletHub. You can also pre-qualify for a OneMain Financial personal loan online to gauge your chances of getting approved with your current credit score.

The minimum credit score for personal loan approval is 580, depending on the lender. That means it is possible to get an unsecured personal loan with a bad credit score, though such a loan will likely have an origination fee.

For your reference, WalletHub researched some of the most popular lenders to find out more about their specific loan requirements.... read full answer

Credit Score for Personal Loan Approval by Lender

*According to multiple third-party sources.

Your credit score is a measure of how risky it is for lenders to let you borrow money. The higher your score is, the better your chances of approval are and the better terms you’re likely to receive. Your credit score comes from a combination of factors that include your payment history, credit utilization, length of credit history, recent inquiries, and diversity of accounts.

But your credit score is far from the only thing that matters when it comes to personal loan approval. Lenders consider many other factors, including your income, existing debts, monthly expenses and more.

The minimum credit score needed for a personal loan with no origination fee and no collateral requirement is 660, which is fair credit. And borrowers will need good credit or excellent credit – a credit score of 700 or higher – to get the best personal loan rates. Personal loans for credit scores under 700 tend to be for relatively low amounts and have high APRs.

If your credit score is below 585, lower in the bad credit range, you still have options. For example, you could opt for a secured loan, where you put up something valuable as collateral. If you fail to pay back the loan, the lender can take the collateral as compensation. Because this greatly reduces the risk for the lender, people with any credit score may be considered for secured loans.

You can check your credit score for free on WalletHub. You’ll also get personalized advice for how to improve your score. The best way to estimate your odds of approval for a personal loan is to check to see if you’re pre-qualified for any offers before submitting an official application.

If you want to get a personal loan with no credit and no cosigner, your options are limited to credit-builder loans, secured personal loans, home equity loans and borrowing from alternative sources like friends and family. Having no credit disqualifies you from getting most unsecured loans, as lenders usually require an established credit score of 600 or higher.... read full answer

You could get around that issue if you had a cosigner, as the lender would use that person’s credit in the decision instead of yours. But without a cosigner, you have to rely on what you do have – income and collateral.

How to get a personal loan with no credit and no cosigner:

Get a secured personal loan. Your credit, or lack thereof, doesn’t matter as much when you put up collateral to secure a loan. The lender can take possession of the collateral if you default, which means they have far less risk in lending to you.

You can find secured personal loans at banks like Wells Fargo, Fifth Third Bank, KeyBank and PNC. You can also ask about them at your local credit unions. There are online lenders that offer secured personal loans, too. But make sure they’re not predatory payday loans or auto title loans that charge excessive fees.

Take out a credit-builder loan. This is a type of loan where the lender sets aside a certain sum of money in a savings account for you. Then, you pay that amount back in monthly installments and receive access to the account with all your money at the end. Plus, the lender reports to the credit bureaus each month, helping you build your credit score.

The only problem is that this process is kind of backward if you need money upfront. So it’s really only intended for building credit rather than getting money. If you’re interested in a credit-builder loan, check your local banks and credit unions.

Use your home equity. Home equity loans are another type of secured loan. But they can be for much larger sums because the amount you can borrow is based on the value of your house minus the amount you have left to pay on the mortgage. So if your house is mostly paid off and is worth a lot of money, you could get a big loan. It’s not common that someone would own a home yet have no credit history, but it is possible.

Borrow from someone you know. A family member or friend isn’t as likely to care if you don’t have credit history. You may be able to convince them to give you a loan. But in order to avoid any relationship problems with that person in the future, you should make sure you have a written agreement and a plan to pay them back.

All in all, it’s not impossible to get a personal loan with no credit and no cosigner, but your options aren’t the greatest either. If you only need a few hundred dollars, you can always apply for a credit card for people with no credit. Then, you’ll have a credit line to draw on whenever you need it, and the ability to carry a balance between months if necessary.