Writer: Eric Bank
Editor: Jon McDonald
Reviewer: Ashley Fricker
Key Takeaways
I reviewed these loan services to help you find $1,000 to $2,000 loans with bad credit. Eligibility and terms vary by lender.
-
24/7 Lending Group: Best for comparing installment loan offers through one request.
-
CashUSA.com: Best for finding a lender offering monthly repayment options.
While there’s no such thing as guaranteed loan approval, having bad credit doesn’t mean you’re out of options. The loan services below can help you explore $1,000 to $2,000 loans through a quick online process.
You may receive a decision in minutes, with funds available as soon as the next business day if you’re approved. We’ve reviewed installment loans and options for short-term needs to help you find a loan that fits your budget.
Best Installment Loans
Installment loans give you the flexibility to pay back your loan over several months or even years. This makes budgeting simpler since you know exactly how much you’ll pay each month and when it’s due. Plus, you might qualify for a sizable loan—potentially $10,000 or more—based on the loan’s duration.
- Personal loans from $500 to $35,000
- All credit types are considered and welcome
- Simple, no credit impact form
- Helping consumers since 2001
- 4.7 out of 5 Trustpilot rating with 2,000+ reviews!
- See official site, terms, and details.
| Loan Amount | Interest Rate | Loan Term | Loan Example |
|---|---|---|---|
| $500 to $35,000 | 5.99% – 35.99% | 60 Days to 72 Months | See representative example |
The 24/7 Lending Group is a lending network for large or small loans. Its job is to prequalify you for up to four near-instant personal loan offers. The loan-finding service does not perform a hard credit check, so an initial inquiry will not impact your credit score. Read your loan offers carefully before deciding which one works best for you.
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 can find a personal lender willing to loan up to $10,000 as quickly as the next business day. To prequalify, you must be at least 18, a U.S. citizen or permanent resident, and earn a minimum monthly income. Bad credit loan terms and fees vary by lender, but CashUSA.com is free.
3. Upstart
- Personal loans starting at $1,000
- Find loans you prequalify for, complete your application, and close your loan
- Loans for 300+ FICO Scores
- Checking rates doesn’t impact your credit score
- Powered by Credible
- See official site, terms, and details.
| Loan Amount | Interest Rate | Loan Term | Loan Example |
|---|---|---|---|
| $1,000 to $75,000 | 6.3% – 35.99% | 3 or 5 Years | See representative example |
Upstart considers more than your credit score when evaluating you for a personal loan, making it worth exploring if your credit history doesn’t tell the whole story. You can check your rate without affecting your credit score and review installment loan options for an unexpected expense. Minimum loan amounts vary by state, so check whether your requested $1,000 to $2,000 is available where you live.
4. Avant
- Personal loans of $2,000 to $35,000
- Compare rates in 3 minutes without affecting your credit
- 550 minimum credit score required
- One form taps into 22 lenders at once
- Powered by Credible
- See official site, terms, and details.
| Loan Amount | Interest Rate | Loan Term | Loan Example |
|---|---|---|---|
| $1,000 to $35,000 | 9.99% – 35.99% | 24 to 60 Months | See representative example |
Avant offers personal loans starting at $2,000, making it a fit for readers who need the upper end of this article’s borrowing range. You can check your loan options without affecting your credit score, and fixed monthly payments help you plan repayment around your budget. Minimum amounts vary by state, and an administration fee may reduce the cash you receive, so review the net proceeds before accepting an offer.
Best Loans for Short-Term Needs
These lending networks can help you explore loans for short-term needs, such as an unexpected bill or a gap between paychecks. Depending on the lender, repayment may be due on your next payday or spread over monthly installments. Credit requirements, costs, and terms vary by offer.
5. 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 |
MoneyMutual has been arranging subprime loans without cost or obligation for more than 15 years. You can submit a request for a payday loan that you repay on your next pay date. To prequalify, you must be 18 or older, a U.S. citizen or permanent resident, and collect at least $800 monthly in wages or government benefits.
- Loans from $500 to $10,000
- Get connected with a lender
- Simple form & quick funding
- Get your money as soon as the next 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 |
BadCreditLoans.com finds loans of $500 to $10,000, but lenders may cap the amount at $1,000 if you have poor credit. The website welcomes borrowers with all types of credit who seek multiple offers for an unsecured loan. To prequalify, you must satisfy age, residence, and income requirements and verify your checking account, email address, and phone number.
- 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 |
PersonalLoans.com uses its extensive lender network to find loans of up to $35,000. Your offer amount and interest rate depend on your credit history, income, debts, and state laws. The lender network offers several types of online bad credit loans, including installment and peer-to-peer. Loan providers charge APRs of up to 35.99% and have terms of three to 72 months.
What Is a Guaranteed Approval Loan?
Unfortunately, there’s no such thing as a guaranteed approval loan, regardless of your credit history. You may have heard the term used, but it is misleading because no lender approves all loan applications they receive.
In this article, we use the term to describe the closest real option: a loan process in which the lender gives you an instant decision and asks for minimal paperwork. Some of these loans may be available without a credit check, which can make them a fit for borrowers with troubled credit.
Although many of these are short-term loans, some have more extended repayment periods, including installment loans and PALs. Dealing with a trustworthy lender is essential due to the potential for predatory, deceptive, or fraudulent business loan practices.
An excellent place to get a $1,000 to $2,000 loan is through one of the reviewed lending networks. You can visit any of the networks we mentioned to submit a short loan request form.
The form will ask for some relevant information, which may include the following:
- Age: You must be 18 or older
- Residence: You must be a U.S. citizen or permanent resident
- Income: You must collect at least the minimum acceptable amount through wages and/or government benefits
- Debt: The form may ask you to describe your current debts
- Housing costs: The amount you pay monthly for rent or your mortgage
- Bank account: You may need to provide your bank account and routing number, and the account must be active and in your name
- Contact info: You must have a valid email address and phone number
You can often prequalify almost instantly after submitting the required information because these loan-finding services use automated systems to verify data fast. If you do prequalify, the service sends your online loan request to a network of direct lenders competing for your business.
At this stage, the lender may run a credit check for an installment loan. Payday loans usually don’t require one.
Upon loan approval, the lender presents you with a loan agreement and a funding time frame. The agreement states all the loan terms, and you should review it carefully before adding your electronic signature.
If you agree to the loan terms, the funds can often appear in your bank account as soon as the next business day.
These loan-matching services are free to use, but direct lenders might include origination fees and other charges in their offers. It’s crucial to repay your loan on time to avoid additional costs and potential damage to your credit score.
How Do Installment Loans Compare to Short-Term Loans?
Short-term loans are often referred to as payday loans, because you pay them back on your next payday. Installment loans are personal loans that you typically pay back in monthly payments over a longer period of time.
Those are the basics, but these types of loans have a lot of differences. So, in this section, we’re going to dive into each type of loan and compare its benefits and drawbacks.
Installment Loans
A personal installment loan’s terms can range from two months to seven years or more. It is often an unsecured loan, although some lenders accept collateral. The maximum loan amount is higher than that for short-term loans.
The size of each installment payment is usually fixed for the life of the loan, as is the day of the month each payment is due. These features make installment loans easier to budget for. Some lenders offer variable payments, which may be helpful in certain circumstances.
By getting a longer loan term, you can reduce the size of each installment so you don’t bust your budget. But longer periods will cost you more in interest charges, all other things being equal.
The loan networks we have reviewed feature personal loans with APRs no higher than 36%. Your credit score helps determine the interest you’ll pay and the maximum amount you can borrow.
Installment loan providers check your credit and report your payments to at least one major credit bureau. You can help or harm your credit score depending on your payment behavior.
Consumers often use personal installment loans to consolidate their debts. Debt consolidation can save you money if the installment loan’s APR is lower than that of your outstanding loans and credit card balances. Additionally, consolidation lets you replace multiple monthly payments with a single payment, making it easier to budget and pay on time.
You want to avoid installment loans that charge a prepayment penalty, in case you plan to pay off the loan early. Also, be aware of any origination fees the lender charges upfront.
Short-Term Loans
Short-term loans, also known as payday loans, rarely exceed $1,000, and their APRs typically range from 300% to 700% or more. You can also get this type of short-term loan without a credit check, which helps account for its popularity.
While you can get a same-day payday loan at a physical storefront, online loans are typically safer and more convenient. You can expect the funds to be transferred to your bank account by the next business day.
Because of their astronomical interest rates, it’s best to use payday loans sparingly. This chart highlights some of the significant differences between installment loans and payday loans:
| Installment Loan | Payday Loan | |
|---|---|---|
| Repayment Frequency | Monthly | Lump sum on payday |
| Typical APR | 6% to 36% | 36% to 400% or more |
| Minimum Loan Term | 3 months | 7 days |
| Maximum Loan Term | 72 months or more | 30 days |
| Minimum Loan Amount | As low as $100 | $100 |
| Credit Check | Yes | No |
| Reported to Credit Bureaus | Yes | No |
If you can’t repay a payday loan by the due date, you might have the option to roll it over. Essentially, this means the lender will add your interest to the original loan amount, apply new fees, and set a new due date.
An occasional payday loan might not wreck your finances. But several sequential rollovers can cause your debt to explode and send you into a debt spiral that could last much longer.
How Do I Compare Loan Offers?
A little upfront research could save you hundreds of dollars (or more) over the life of the loan, or protect you from a shady loan company. But if you need a loan of $1,000 to $2,000 quickly, you may not have time to do a deep dive into each option.
It can be tough to figure out if a lower monthly payment is actually a good deal, or if hidden interest fees are going to trap you in debt. That’s why we developed this tool to help you compare loans based on your needs, credit score, and income:
For any personal loan, look beyond the monthly payment and focus on the total cost. A longer-term loan can seem affordable from month to month, but the added interest may drive up what you pay overall.
If you’re researching lenders, running the math yourself is an important step, but there are other factors to consider before you make a decision. Here are some vital steps you should take when comparing lenders and loan offers:
1. Verify the Lender
The first step is to verify that a loan offer originates from a legitimate lender. Check with your state government to see whether the lender has a license to operate in your state.
Check customer reviews and ratings, and look for complaints filed with the Better Business Bureau. You should also confirm that the lender clearly discloses all fees and terms upfront.
2. Check Interest Rates
Understand that the APR (Annual Percentage Rate) includes the interest rate and most fees. A lower APR usually means a better deal.
Some states have caps on interest rates for short-term and small loans. It’s a good idea to research your state’s laws to ensure a loan’s APR complies with these regulations.
3. Evaluate Loan Terms
Installment loans come in all shapes and sizes, and some allow you to pay them back over two years or more. That’s why you need to evaluate competing loan offers by comparing their terms:
- Loan amount: Confirm that the loan amount is large enough for your requirements
- Repayment period: An extended repayment period provides lower monthly payments, but you’ll pay more interest over the life of the loan. Calculate the total amount you will repay, including interest and fees.
- Payment frequency: Understand how often you will be making payments. If it’s an installment loan, the frequency may be weekly, bi-weekly, or monthly. Payday loans require a lump sum repayment or a rollover to the next pay period.
- Affordability: Make sure you can comfortably afford the loan payments, given your current income and expenses
You don’t want to accept a loan that pushes the boundaries of your budget, as other surprises could cause missed payments and late fees to stack up. Understanding the loan terms before you sign can help you avoid costly surprises later.
4. Look for Additional Fees and Conditions
Watch for extra costs, such as origination fees, late payment charges, and prepayment penalties. Some lenders also require automatic withdrawals from your bank account, so make sure you’re comfortable with that arrangement.
You may want certain loan features, such as deferred payments, credit score monitoring, or strong customer support. If comparing offers or understanding the fine print feels confusing, consider talking with a financial advisor.
Also, confirm everything in writing, so you can easily settle any disputes if they arise.
Alternative Options That Offer Easy Approval
These loans are designed for quick and easy approval, even if your credit isn’t great. In some situations, you could have your money in just minutes.
Credit Union Payday Alternative Loans
Many federal credit unions offer Payday Alternative Loans (PALs) to members. These small, short-term loans serve as an alternative to high-cost payday loans. They are the best bad credit loans for consumers who want to borrow a modest amount for no more than a year.
The National Credit Union Administration designed PALs to provide consumers with the best bad credit loans. PALs are a more affordable and consumer-friendly option for people who might otherwise rely on payday loans in financial emergencies. There are two types, PAL I and PAL II, and here are some of their differences:
| PAL I | PAL II | |
|---|---|---|
| Loan Amount | $200 to $1,000 | Up to $2,000 |
| Length of Loan | 1 to 6 months | 1 to 12 Months |
| APR | Up to 28% | Up to 28% |
| Fees | $20 Maximum Application Fee | $20 Maximum Application Fee |
| Waiting Period | Must be a credit union member for at least 1 month before applying | Immediate eligibility |
PALs offer low interest rates and repayment terms that can stretch up to one year. You can borrow as much as $2,000 with minimal fees, but you must be a credit union member to qualify. These loans can’t be rolled over, making them a safer choice compared to payday loans, which often allow rollovers and can trap you in a cycle of debt, potentially leading to bankruptcy.
PAL I loans require a one-month waiting period before a new credit union member can apply. PAL II loans do not have a waiting period. Credit unions also report your PAL payments to the credit bureaus to help you build credit.
Auto Title Loans
You can get an auto title loan if you are willing to put your vehicle up as collateral. To qualify, you must own the vehicle outright without any remaining loans. The car may need to satisfy certain age and mileage requirements.
These short-term loans (typically 30 days) may charge 300% or more. You can secure one quickly without a credit check, but you will forfeit your vehicle if you fail to repay the loan.
The loan is typically 35% to 65% of the vehicle’s value. The lender may tack on extra charges (i.e., origination, document, and late fees).
Some title lenders may allow you to roll your loan over if you can’t repay it on time. A rollover adds fees to your owed amount and extends the due date. Before taking a title loan, be sure to know what you would do if the lender repossessed your car.
Credit Card Cash Advances
While not technically loans, many credit cards provide the option for cash advances, enabling you to withdraw money against your credit limit via an ATM or directly from a bank. This feature usually incurs higher interest rates than regular credit card purchases and might involve extra fees.
Credit card cash advances are considered loans on your credit report and can affect your credit score. It’s wise to see a cash advance as a last-resort option during emergencies due to its high cost and possible negative impact on your credit.
Unlike credit card purchases, cash advances have no grace periods — you begin accruing interest on the transaction date. Your unused credit line determines the amount you can borrow, and some credit card issuers restrict the maximum cash advance.
Each cash advance will also trigger a flat fee, typically 3% to 5% of the transaction amount.
How Can a Loan Help Me Build Credit?
A loan can only help you build credit if the lender reports your payments to at least one major credit bureau. Lenders that don’t check your credit (i.e., payday and title loan providers) generally don’t report your payments.
If you want to build or rebuild credit, stick to loans that report your payments, and ensure you pay your bills on time. Activity reporting is a two-edged sword: timely payments build credit, but delinquent payments hurt it.
Another effective credit-building strategy is keeping your debt levels low compared to your available credit (your credit utilization ratio) and your income (your debt-to-income ratio).
Lenders may worry about persistent financial issues if your debt stays high for a long time. Here’s a breakdown of the five factors that contribute to your FICO score and their respective impact:
| FICO Score Factor | Percentage of Your Score |
|---|---|
| Payment History | 35% |
| Amounts Owed | 30% |
| Credit History | 15% |
| Credit Mix | 10% |
| New Credit | 10% |
Monitoring your credit scores and reports is essential when you are working to build credit. You can receive free reports from each bureau as often as once per week at annualcreditreport.com.
Check the reports for inaccurate information that may harm your score, including accounts you don’t recognize or hard credit inquiries you didn’t authorize.
You can dispute inaccurate, outdated, or unverifiable items directly with the major credit bureaus. If incorrect or negative information is removed, your credit score will often improve.
Overall, developing creditworthy behavior should lead to a significant increase in your credit scores.
How Can I Avoid Predatory Lenders?
First, you need to make sure the lender has the proper licenses to do business in your state. You can find that information through your state’s financial regulatory agency.
Next, you need to check what services the lender offers and its reputation. Look online for user reviews in forums and discussion websites. Third parties, such as the Better Business Bureau and Trustpilot, rate companies on their practices and share customer comments and complaints.
To protect yourself from fraudulent lenders, be on the lookout for red flags such as pushy sales tactics, hidden charges, vague terms, and lack of formal loan agreements. If something feels off about the lender, it’s smart to explore other options.
Federal and state agencies collect reports of potentially fraudulent behavior. You can contact the Consumer Financial Protection Bureau, the Federal Trade Commission, and even the Federal Bureau of Investigation if you feel victimized by a predatory lender.
You can also file a complaint with your state attorney general’s office. If you feel a fraudster has scammed you out of significant sums of money, you can even institute a civil lawsuit or join a class action suit against the lender.
But the best way to avoid predatory lenders is to do your research and pick one that you feel most comfortable with.
Apply for a Loan and Get a Guaranteed Decision
A $1,000 to $2,000 loan can make a crucial difference when you face a financial emergency. When you need fast cash, you want a quick loan decision and rapid funding.
The loan sources we’ve reviewed guarantee an instant decision and funding by the next business day if you are approved. Best of all, the reviewed lenders work with subprime borrowers and may approve a loan despite your troubled credit history.
