Written by: Adam West
Edited by: Lillian Guevara-Castro
While government employees have the benefit of working for the largest single employer in the country, most of them will confirm it isn’t a job you’re going to get rich doing. Debt and credit problems affect government workers at a rate equal to or higher than the rest of society. As a result, the need for bad credit loans for government employees is at least as high as for private-sector workers.
We all remember the government shutdown that lasted for 35 days last year and left more than 800,000 federal employees furloughed. The impact on individual workers varied, of course, but many reported financial hardships as a direct result of not being paid for more than a month.
As a government employee, you have unique resources to help with financial hardship, but it’s nice to know you can also take advantage of options in the private sector. Here are some of our recommendations for bad credit loans anyone, including government workers, can make use of.
Personal Loans | Home Loans | Auto Loans
Additional Resources | FAQs
Personal Loans for Government Employees with Bad Credit
Personal loans for bad credit, generally meaning a FICO score of below 580, are available through a number of subprime lenders and lending networks. Government workers may find getting a loan through one of these bad credit lenders easier to qualify for, thanks to the reliability that comes with having a public sector job.
However, be prepared to pay a higher interest rate than you would if you had a better credit score.
1. MoneyMutual
- Short-term loans up to $5,000
- Online marketplace of lenders
- Funds available in as few as 24 hours
- Simple online form takes less than 5 minutes
- Trusted by more than 2 million customers
- See official site, terms, and details.
| Loan Amount | Interest Rate | Loan Term | Loan Example |
|---|---|---|---|
| Up to $5,000 | Varies | Varies | See representative example |
With personal loans of up to $2,500 available in as little as 24 hours, MoneyMutual is the fast and easy way for government employees or anybody with bad credit to access cash. This trusted lending network has helped more than 2 million customers with their emergency loan needs.
The online loan request is fast and easy and can be seen by multiple lenders instantly. If a lender is interested in offering you a loan, you’ll work with them directly to formalize the application.
2. CashUSA.com
- Loans from $500 to $10,000
- Receive a loan decision in minutes
- Get funds directly to your bank account
- Use the loan for any purpose
- See official site, terms, and details.
| Loan Amount | Interest Rate | Loan Term | Loan Example |
|---|---|---|---|
| $500 to $10,000 | 5.99% - 35.99% | 3 to 72 Months | See representative example |
CashUSA.com is a network of lenders that accepts all credit types, and loan decisions are often made in just minutes. Loans are available in amounts from $500 to $10,000 with payment terms from three to 72 months.
Government workers should have no problems meeting the requirements for loan approval, which include being a U.S. citizen or legal resident who is at least 18, having a provable monthly income, as well as a checking account and valid phone number. If approved, funds can be electronically deposited into your account within one business day.
- Loans from $250 to $5,000
- Cash deposited directly into your account
- Get money as soon as tomorrow
- Bad credit OK
- More than 750,000 customers since 1998
- See official site, terms, and details.
| Loan Amount | Interest Rate | Loan Term | Loan Example |
|---|---|---|---|
| $250 to $5,000 | Varies | Varies | See representative example |
For loans from $250 to $5,000 regardless of credit score, the CreditLoan.com lending network is ready to help. There’s no cost to use the CreditLoan service, and the online loan request form is quick and easy to complete.
Once submitted, lenders will view your request and can make you a loan offer in a matter of minutes. From there, you’ll work directly with a lender you can trust and will receive all terms of your loan offer in writing.
You have no obligation to accept any offer you get, and no there’s upfront cost to you. Funds can be deposited into your account in as little as 24 hours.
- Loans from $500 to $10,000
- Get connected with a lender
- Simple form & quick funding
- Get your money as soon as next the business day, if approved
- See official site, terms, and details.
| Loan Amount | Interest Rate | Loan Term | Loan Example |
|---|---|---|---|
| $500 to $10,000 | 5.99% - 35.99% | 3 to 60 Months | See representative example |
Like the name says, BadCreditLoans.com helps people whose credit scores don’t allow them to qualify for a more traditional loan. The online loan request is fast and convenient, and you can get a personal loan offer from a lender or financial service provider within minutes.
Qualifying for a loan through BadCreditLoans should be no problem for any government employee, regardless of credit score. Loans are available in amounts from $500 to $5,000 with terms from three to 60 months, and with next-day funding in most cases.
- Loans from $250 to $35,000
- Large lender network
- Fast loan decision
- Use the loan for any purpose
- Funding as soon as one business day, if approved
- See official site, terms, and details.
| Loan Amount | Interest Rate | Loan Term | Loan Example |
|---|---|---|---|
| $250 to $35,000 | 5.99% - 35.99% | 3 to 72 Months | See representative example |
Offering fair and reasonable personal loans for people with bad credit, PersonalLoans.com is a network of reputable lenders that specializes in financial assistance. Loans are available in amounts from $500 to $35,000 depending on your credit and qualifications, with repayment terms as long as 72 months.
PersonalLoans.com has a large network of lenders operating in all 50 states, and loan proceeds are often available within one business day.
- Short-term loan of $100 to $1,000
- Large network of lenders
- Loan decision as fast as a few minutes
- Funding as soon as the next business day, if approved
- See official site, terms, and details.
| Loan Amount | Interest Rate | Loan Term | Loan Example |
|---|---|---|---|
| $100 to $1,000 | 200% - 2,290% | Varies | See representative example |
For loans of shorter duration and smaller dollar amounts, CashAdvance.com is a lender network specializing in fast loans for bad credit. These short-term loans in amounts from $100 to $1,000 are meant to be a loan of last resort for those in need of fast cash.
As with all loans of this type, you should carefully review the fees, terms, and APR of any short-term loan offer you receive. Short-term loans are sometimes the only available option, and CashAdvance.com is a reputable resource that stands behind all of the lenders in its network.
Home Loans for Government Employees with Bad Credit
The good news for government employees with bad credit is that a home loan is not out of your reach. Programs are available to government workers and those who have served in the military that are not available to private citizens.
Qualifying for one of these loans can save you money on application fees, insurance costs, even the down payment and interest rates. So, even if your credit is less than perfect, the home of your dreams may still be attainable.
7. LendingTree
This offer is currently not available.
| Interest Rate | In Business Since | Application Length | Reputation Score |
|---|---|---|---|
| N/A | N/A | N/A | N/A |
LendingTree is one of the largest and most trusted online mortgage lenders in the U.S., having helped millions of Americans achieve the dream of homeownership. In addition to its low-cost conventional loans, LendingTree also offers FHA and VA loans that many government workers qualify for.
With LendingTree’s vast network of lenders, government employees can choose from among multiple loan offers to find the one that’s best for them. You can also use the service to refinance or get a home equity loan on an existing home, even if you have a subprime credit score.
- Options for home purchase or refinance
- Get 4 free refinance quotes in 30 seconds
- Network of lenders compete for your loan
- Trusted by 2 million+ home loan borrowers to date
- Interest rates are near all-time lows
- See application, terms, and details.
| Interest Rate | In Business Since | Application Length | Reputation Score |
|---|---|---|---|
| Varies | 2004 | 4 minutes | 8.5/10 |
For government employees looking to refinance an existing mortgage, FHARateGuide.com is a quick and easy way to see how much you can save with an FHA loan. This unique online resource helps connect borrowers with lenders by walking them through a few simple questions about their needs.
Within seconds, qualified borrowers can view a list of FHA lenders whose criteria they meet. The entire online process takes less than five minutes and has been used by more than 2 million home loan borrowers to date.
- For military veterans, service members, their spouses, and other eligible beneficiaries only
- No down payment and no monthly mortgage insurance
- The basic entitlement available to each eligible veteran is $36,000
- Lenders generally loan up to 4 times a veteran's available entitlement without a down payment
- See application, terms, and details.
| Interest Rate | In Business Since | Application Length | Reputation Score |
|---|---|---|---|
| Varies by Applicant | 1944 | 9 Minutes | 7.5/10 |
The U.S. Department of Veteran’s Affairs (The VA) offers home loans backed by the VA for service members, military veterans, their spouses, and other eligible beneficiaries. The VA-Guaranteed Home Loan Program website is a resource for prospective borrowers to learn how to apply for a Certificate of Eligibility; the first step in getting a VA-backed home loan.
The site has resources to help verify qualification status and a link to the Department of Defense (DOD) eBenefits website to begin the process of applying for a Certificate of Eligibility.
Auto Loans for Government Employees with Bad Credit
Most auto loans intended for people with bad credit have a few things in common. Primarily, they have strict income requirements, come with high interest rates, and can require a rather hefty down payment.
Depending on the lender, they may also require you have a certain amount of time at your current job, a lengthy list of references, as well as age and residency qualifications. Most of the requirements for a bad credit auto loan should not be a problem for the average government employee to meet.
- Network of dealer partners has closed $1 billion in bad credit auto loans
- Specializes in bad credit, no credit, bankruptcy and repossession
- In business since 1999
- Easy, 30-second pre-qualification form
- Bad credit applicants must have $1500/month income to qualify
- See application, terms, and details.
| Interest Rate | In Business Since | Application Length | Reputation Score |
|---|---|---|---|
| 3.99% - 29.99% | 1999 | 3 minutes | 9.5/10 |
With its large network of dealer partners, Auto Credit Express helps government employees and anyone with bad credit or no credit to find a car loan. The company works with lenders and car dealerships that specialize in bad credit loans, and can usually find a local dealership for you to make your purchase.
The Auto Credit Express website has a quick and easy pre-qualification form that can let you know the size loan you can get. It also offers tips and informative articles that will help explain the process of qualifying and applying for a bad credit auto loan, as well as what you can expect from a loan like this.
- Free, no-obligation application
- Specializes in auto loans for bankruptcy, bad credit, first-time buyer, and subprime
- Affordable payments and no application fees
- Connects thousands of car buyers with auto financing daily
- See application, terms, and details.
| Interest Rate | In Business Since | Application Length | Reputation Score |
|---|---|---|---|
| Varies | 1994 | 3 minutes | 9.0/10 |
Car.Loan.com offers a fast and easy car-buying process for applicants with bad credit or no credit. It all starts with a three-minute online loan request, after which car buyers can be matched with a special finance lender or local car dealership willing to work with them.
By qualifying you in advance or matching you with a nearby dealership to offer financing, car.Loan.com can eliminate much of the hassle of buying a car. The online loan request process can be used for leases, purchases, even rentals, and it applies to both new and used vehicle financing.
12. myAutoloan.com
- Loans for new, used, and refinancing
- Queries a national network of lenders
- Bad credit OK
- Get up to 4 offers in minutes
- Receive online loan certificate or check within 24 hours
- See application, terms, and details.
| Interest Rate | In Business Since | Application Length | Reputation Score |
|---|---|---|---|
| Varies | 2003 | 2 minutes | 8.5/10 |
MyAutoloan.com offers quick and easy financing for new and used car purchases, refinancing, even private party sales and lease buyouts. By using a national network of lenders, myAutoloan connects buyers with finance companies that specialize in loans for all credit types.
Car buyers with bad credit can receive up to four offers within minutes of submitting a loan request. If you accept an offer, you can expect a loan certificate or check within 24 hours that you can take directly to the dealership or private seller to complete your purchase.
Additional Resources for Government Employees
As government employees know, a lot of resources and programs are available to public servants. These include everything from Employee Assistance Programs (EAP) to child care subsidies, healthcare programs, education assistance, hardship loans, and more.
Special grant programs are also exclusively available to government employees. Here are just some of the resources you have available, and what they offer.
- The Federal Employee Education and Assistance Fund (FEEA) is a nonprofit organization that provides emergency financial assistance to federal employees and their families. FEAA also has programs for scholarships, hardship loans, disaster relief grants, even subsidies for childcare services.
- The Office of Personnel Management (OPM) oversees voluntary Employee Assistance Programs (EAP) for workers in the various federal agencies. These programs are designed to help government employees cope with everything from financial concerns to personal or family issues to alcohol or substance abuse problems.
- Teacher Next Door® is an organization that administers programs for all city, county, state, and federal employees looking to purchase a home. They can help with grants, down payment assistance, special government loans that require no fees, and other incentives.
- Mortgages for Champions offers home loans to employees of federal and state agencies, as well as workers in a variety of public service jobs. This unique program helps make homeownership more affordable for government employees by offering special rates, lowering mortgage fees, and reducing much of the red tape associated with buying a home.
- The Federal Employees Health Benefits (FEHB) program offers government employees a range of affordable choices in healthcare plans. From low-cost catastrophic risk plans to full family coverage in HMO or PPO plans, government workers and other eligible employees can find the healthcare program that meets their needs.
Can Federal Employees Get Loans?
Federal workers, as well as many state and local government employees, have access to loans that private-sector workers simply can’t access. Some of the loans available include Emergency Hardship Loans, Allotment Loans, and zero-interest Furlough Loans in cases of lost income due to federal funding problems.
Other federal loan programs, as well as financial aid packages and assistance, can be found on the USA.gov website. This is a resource well-known to government workers who are looking for information on all types of government benefits.
Click on the Benefits, Grants, and Loans tab to find out which programs you qualify for.
One primary reason these loans are available to federal employees has to do with national security. The logic is that federal workers experiencing overwhelming debt or a cash crunch may be susceptible to coercion or worse if their situation gets dire. Unscrupulous people seeking classified information or undue influence could entice a federal employee with offers of cash.
Of course, government employees can also apply for any loan that’s available to the general public as long as they meet the lender’s requirements. Qualifying for one of these loans is often easier for a government employee because of the security associated with a government job, as well as the ability to show detailed proof of income.
How Can I Get Free Money from the Government?
The idea that the federal government has so much money (from the taxes we all pay) that it hands it out for free is part myth and part fact. The myth is that anyone can apply for and receive a cash grant from the government that they don’t need to pay back. That’s false.
The fact is the federal government does not offer free money or grants to individuals. Offers and statements to the contrary usually mean someone is trying to sell you something, or is an outright scam. The confusion often stems from us hearing or reading about government grant programs designed to help stimulate the economy in certain regions or sectors.
Programs of this type are almost always aimed at entities like state and local governments or agencies that spend the grant money on public projects. Grants are also available for researchers and nonprofits, but even these are limited.
The best way to learn about government grants and eligibility requirements is to check out the official Grants.gov website. There you’ll find information about government grant policies, the agencies offering grants, their eligibility and qualification requirements, and how to recognize grant scams.
As Americans, we trust our government to spend our tax dollars wisely. The federal programs that administer loans, grants, emergency relief, and other socially-minded programs are there to benefit all of us when and if we need it. But free money to individuals would hardly serve the greater good.
What is the Hardship Loan Program?
Financial and economic hardship can hit anyone at any time. These events can be particularly stressful when you have bills and loan payments to make.
Hardship loans like the ones administered by the Federal Employee Education and Assistance Fund can help to bridge the gap when disaster strikes.
Emergency hardship loans are available to federal employees experiencing hardships related to illness and injury, a death in the immediate family, loss or major damage to their place of residence, identity theft resulting in financial loss, or being a victim of certain criminal acts of violence.
Loans of this type are confidential, charge no interest, and are usually capped at $1,500.
Proceeds from a hardship loan can be used to make rent or mortgage payments, cover medical or funeral expenses, or pay for temporary housing, utility payments, and some emergency travel expenses. These unplanned expenses can often lead to financial distress, especially if other bills go unpaid as a result. A hardship loan can often mean the difference between financial survival and disaster.
Other types of economic hardship relief include deferment of payments on student loans and loan forbearance on mortgage payments or loan modification. Suspension of payments for a short period of time can sometimes be all it takes to get back on solid financial footing.
Help is Available
Government employees are often referred to as the unsung heroes of our society. They’re the ones who enforce our federal regulations, oversee important health and safety developments, maintain our national infrastructure, protect our borders, deliver our mail, and much more. And they often do these jobs at salaries far less than what the private sector would pay.
As public servants who sacrifice so much, it’s nice to know there are resources out there for loans and other financial assistance, even if you happen to have bad credit.
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