No-Collateral Loans for Bad Credit in June 2026
Discover how online lending networks offer unsecured loans even with bad credit by leveraging competitive lender environments.
Writer: Adam West
Editor: Lillian Guevara-Castro
Reviewer: Danielle Spurlin
Disclosure: When you apply through links on our site, we often earn referral fees from partners. For more info, see our ad disclosure and review policy.
You can get the money you need without risking your valuable possessions by opting for a loan that doesn’t require collateral. These are known as unsecured loans, which means you don’t have to pledge any assets for approval.
If you have bad credit, you might think accessing this type of loan is impossible. However, thanks to the growth of online lending networks, that’s no longer true.
Below, we will list our top-rated networks that specialize in no-collateral loans for bad credit.
Unsecured Personal Loans for Bad Credit
Online lending networks collaborate with numerous lenders nationwide to provide a variety of loan packages for applicants with diverse credit histories.
When you submit your loan request to each network, the form will reach the desk of all of the lenders that partner with that network. In a matter of minutes, each lender will make a loan decision. If you qualify, you could receive multiple loan offers to choose from.
After completing the loan paperwork on your chosen lender’s website, you could receive your money via electronic transfer to a linked checking account within 24 hours.
1. MoneyMutual
 | Our Rating |
- 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 | Up to $5,000 |
| Interest Rate | Varies |
| Loan Term | Varies |
| Loan Example | Representative example |
| Our Expert Review | 4.8/5.0 (see review) |
MoneyMutual maintains one of the largest online networks of lenders, many of whom focus on bad credit loans. With so much competition on the network, you could find yourself with an unsecured personal signature loan offer that has a loan term, interest rate, and monthly payment that is better than you expect.
If you’re 18 or older, have a checking account, and can prove you’re employed with an income of at least $800 a month, you’re qualified. However, individual lenders might have additional requirements for approval.
 | Our Rating |
- 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 | $500 to $35,000 |
| Interest Rate | 5.99% - 35.99% |
| Loan Term | 60 Days to 72 Months |
| Loan Example | Representative example |
| Our Expert Review | 4.8/5.0 (see review) |
The 24/7 Lending Group network of lenders specializes in unsecured loan options for bad credit — or any kind of credit for that matter. If you qualify, the network could send you multiple loan offers to choose from within a few minutes after you submit your loan request.
When you apply, you will need to supply a valid state driver’s license number, your Social Security number, a home or cellphone number, checking or savings account information in your name, a home address, and employment or benefits income information. Applicants must be at least 18 years old and a U.S. citizen or permanent resident.
3. CashUSA.com
 | Our Rating |
- Loans from $500 to $10,000
- All credit types accepted
- Loan requests can be approved in minutes
- Get funds directly to your bank account
- Use the loan for any purpose
- See official site, terms, and details »
| Loan Amount | $500 to $10,000 |
| Interest Rate | 5.99% - 35.99% |
| Loan Term | 3 to 72 Months |
| Loan Example | Representative example |
| Our Expert Review | 4.7/5.0 (see review) |
Since 2004, CashUSA.com has helped connect consumers with lenders willing to give them a second chance at building a solid credit history. Every lender on the network reports your payment history to at least one credit bureau, which means you can improve your credit score with responsible behavior.
To qualify, you must be at least 18 years old and a U.S. citizen or permanent resident with proof of at least $1,000 in monthly after-tax income. You must also have a checking account in your name and provide work and home phone numbers, as well as a valid email address.
 | Our Rating |
- Loans from $500 to $10,000
- Helping those with bad credit since 1998
- Get connected with a lender
- Simple form & quick funding
- Get your money as soon as next day
- See official site, terms, and details »
| Loan Amount | $500 to $10,000 |
| Interest Rate | 5.99% - 35.99% |
| Loan Term | 3 to 60 Months |
| Loan Example | Representative example |
| Our Expert Review | 4.5/5.0 (see review) |
BadCreditLoans lives up to its name and states that its lenders often extend loan offers to consumers who cannot find loans elsewhere. The network accepts loan requests from applicants with all types of credit and considers installment loan requests for up to $10,000.
Not everyone will qualify for a large loan. Each offer has its unique terms, interest rates, loan amounts, and finance charges. It’s crucial to carefully examine each offer before making a decision.
 | Our Rating |
- Get up to $5,000 as soon as tomorrow
- Easy to use & only takes a few minutes
- Instant answers from lenders who want to work with you
- Funds deposited directly into your account
- All credit types welcome — good or bad
- See official site, terms, and details »
| Loan Amount | $100 to $5,000 |
| Interest Rate | Varies |
| Loan Term | Up to 180 Months |
| Loan Example | Representative example |
LendingStore.com provides access to a wide network of lenders that work with borrowers of any credit background. You can apply in minutes and don’t need to put down any collateral to secure funding.
The company has helped people match with lenders for more than 20 years, and it understands the needs of borrowers — that’s why its lenders can deposit funds as soon as the next day. Applicants do need to be employed, have a bank account, and have an income of at least $800 per month to qualify.
6. Avant
 | Our Rating |
- Personal loans of $2,000 to $35,000
- Compare rates in 2 minutes without affecting your credit
- Best for low origination fees for bad credit
- 550 minimum credit score required
- Powered by Credible
- See official site, terms, and details »
| Loan Amount | $2,000 to $35,000 |
| Interest Rate | 9.95% - 35.99% |
| Loan Term | 12 to 60 Months |
| Loan Example | Representative example |
| Our Expert Review | 4.8/5.0 (see review) |
Avant offers unsecured installment loans as small as $2,000 or as high as $35,000 to qualified applicants. Avant offers loans for home improvement, repairs, and renovations, as well as debt consolidation, emergencies, and vacations.
Unlike the other companies on this list, Avant is not a lender network; it is a direct servicer of loans through a partnership with WebBank. Avant will report your loan to all three credit bureaus, which can help improve your credit with timely payments.
7. Upstart
 | Our Rating |
- Personal loans of $1,000 to $50,000
- Find loans you prequalify for, complete your application, and close your loan
- Loans for 580+ FICO
- Checking rates doesn't impact your credit score
- Powered by Credible
- See official site, terms, and details »
| Loan Amount | $1,000 to $50,000 |
| Interest Rate | 6.2% - 35.99% |
| Loan Term | 1 to 5 Years |
| Loan Example | Representative example |
| Our Expert Review | 4.7/5.0 (see review) |
Upstart offers unsecured loans of up to $50,000, but only applicants with good to excellent credit will qualify for that much. People with poor credit scores below 600 are more likely to be approved for loans closer to the lowest amount available, which is $1,000.
But, there’s no collateral, cosigner, or co-applicant required, and the process of applying is quick and easy. Loan funds can be deposited as soon as today and cleared through your bank by tomorrow.
 | Our Rating |
- Personal loans of up to $50,000
- All credit types welcome
- Receive funds in as little as 24 hours
- Fast approval decision
- Safe and secure application
- See official site, terms, and details »
| Loan Amount | Up to $50,000 |
| Interest Rate | As low as 6.40% |
| Loan Term | Varies |
| Loan Example | Representative example |
| Our Expert Review | 4.8/5.0 (see review) |
Loan for Personal has lenders in its network that specialize in loans for bad credit borrowers. That means you don’t have to have a sterling credit score or any collateral to apply.
With one application, you can receive multiple loan offers quickly, and you can decide if the interest rate and terms are right for you. And just because you receive an offer doesn’t mean you have to accept it.
 | Our Rating |
- Personal loans up to $5,000
- Access to a network of lenders
- Funds could be yours in as little as one business day
- Quick, easy online application
- See official site, terms, and details »
| Loan Amount | Up to $5,000 |
| Interest Rate | Varies |
| Loan Term | Varies |
| Loan Example | Representative example |
| Our Expert Review | 4.6/5.0 (see review) |
One Loan Stop is a straightforward network that connects borrowers with lenders that can offer up to $5,000 in funding. Fill out one fast application and lenders in the network will respond with offers.
Loan funds can be deposited as soon as tomorrow, and lenders in the network have plenty of experience working with consumers who have credit issues, so you can leave the collateral at home.
What is a No-Collateral Loan for Bad Credit?
A no-collateral loan is also known as an unsecured loan. This means that you do not have to provide any items of value as a security deposit for loan approval.
A secured loan requires collateral. One example of this is a pawnshop loan, where you bring in something of value, such as jewelry, and the shop owner offers you a loan.
If you repay your loan on time, you’ll get your collateral back. If you don’t, the shop owner keeps the money you’ve paid and your collateral.
While a pawnshop loan is a type of secured personal loan, it is not the only one. Many types of assets with value are potential candidates for secured personal loans.
A title loan requires you to hand over your vehicle title to the lender in exchange for cash. If you fail to repay your loan on time, the lender keeps your vehicle.
The same happens with a traditional auto loan. If you do not pay it back, the lender can repossess the car.
A mortgage is another secured loan. Failure to repay will result in foreclosure and the loss of your home.
With an unsecured personal signature loan, you do not have to provide collateral. If you fail to repay the loan, the lender will likely sell the debt to a collections agency that will attempt to collect the debt for up to two years. You will also be subjected to the severe damage done to your credit score after a default.
Having a collections account on your credit record can make it tough to find another personal loan offer. You’ll need to demonstrate responsibility with handling a loan before you can qualify again.
An unsecured loan might not risk your valuable items if you can’t repay the debt, but it can still harm your financial reputation—which is just as precious as a piece of jewelry or a vehicle.
How Do I Get a No-Collateral Loan for Bad Credit?
Most lenders try to take on as little risk as possible. A secured personal loan with added collateral gives them the peace of mind that they can at least sell the collateral to recover any money lost if the borrower does not repay the debt.
But that doesn’t mean a no-collateral loan is out of reach. With the lending networks mentioned above, you can find no-collateral personal loan options even with bad credit or no credit at all.
The fierce competition among online lenders makes it almost impossible to demand collateral for every loan. To stay in business, lenders must offer loans, which translates into more affordable terms and relaxed standards for you.
So instead of requiring collateral, a lender will add an origination fee, a higher interest rate, or other charges to make the loan worth the risk.
As with most things in life, money talks. If a lender can make more money off your loan by looking past your credit score, chances are it will.
With the lending networks listed above, you can submit one loan request through each network. That request reaches each lender on the network. Each will use an automated underwriting system to make a near-instant decision on your request.
Within minutes of submitting your request, the lending network could respond with an email that contains one or more loan offers. If you find an offer that you like, you can accept the terms and the network will forward you to the lender’s website.
You’ll wrap up the loan paperwork on that site, and then the lender will send your borrowed funds to a linked checking or savings account by the following business day.
A lending network is typically free to use. The network receives a referral fee from lenders for every loan they approve through the network.
Once you accept a loan offer, you will have no more dealings with the network. You will repay the lender each month (or bi-monthly) until you satisfy the debt.
What Credit Score is Needed for an Unsecured Loan?
Lenders don’t publish minimum score requirements for loan approval for several reasons. The biggest reason is that your credit score isn’t the only factor that determines your eligibility. As a result, lenders don’t want applicants to think that meeting a certain credit score requirement will guarantee approval.
Someone who has a good credit score could still face rejection when applying for a loan. Some online lender networks only allow applicants to have one active loan through the network at a time. If you try to apply for a second loan, you will not qualify.
You might encounter someone with good credit but lacking enough verifiable income to qualify for a loan. That same person might also have a recent late payment or unusual account activity that deters a lender.
That said, your credit score still plays a major role in determining your eligibility. PersonalLoans.com states that you must have a score of at least 580 to qualify. Other networks, including BadCreditLoans, state that they often accept loan applications from consumers who cannot find loan offers elsewhere.
Your FICO score can range from between 300 and 850. A poor credit score is anything at or below 580, but there is a wide gap between 300 and 580. While you may find loan offers if you’re in the 550 range, you will struggle to find anything if your score is in the 400s.
But instead of outright refusal, you will likely find that, as your credit score gets lower, the cost of your loan becomes greater. That is because lenders have to offset the risk associated with such loans by charging higher fees and interest rates.
The good news is, many lenders work with online lending networks that are eager to review your loan application, even if your credit isn’t perfect. So, don’t just assume you can’t qualify for a personal loan.
What is the Average Interest Rate of a Bad Credit Loan?
Interest rates can change quickly due to the current economic climate, shifts in the volume of loan applications received by banks, credit unions, or other lenders, or changes in the Federal Reserve’s base interest rates.
If your credit is poor, expect your interest rate to be much higher than average. The estimated APR can increase significantly for those with the lowest FICO Scores.
For the online lending networks listed above, the average interest rate on an unsecured personal loan will range between 5.99% and 39.99%.
Thanks to federal usury laws, lenders can only charge a certain amount of interest that varies by state. This is why the current cap for most lending network personal loan offers is 39.99%.
However, these laws don’t always apply to cash advance loans. Payday advance centers, found in nearly every city and town across America, offer very short-term loan options that typically last between two weeks and a month.
These lenders rarely conduct a credit check or concern themselves with your credit score. Instead, if you can show that you have the income to pay the loan back in full (and with interest) between 15 and 30 days, you are likely to be approved.
But that isn’t necessarily a good thing. The average interest rate on a cash advance loan is above 300% APR — and if you cannot pay the loan in full within the agreed-upon time frame, the rate can climb into the four digits. This has led to many payday loan horror stories over the last decade.
What’s the Easiest Loan to Get with Bad Credit?
Remember, easier isn’t always better. Don’t pick a loan just for its interest rate, term, or monthly payment. Research thoroughly and choose a loan you can comfortably manage. If not, you could end up with more issues than solutions in the long run.
That said, a cash advance loan will provide very few hoops to jump through to qualify. You can often skip a credit check or credit score critique to receive a small personal loan from one of these local lending offices.
But in return for the convenience, you will often pay tremendous fees and finance charges. You should expect to pay at least $15 in fees for every $100 you borrow. Those fees only apply if you can repay the loan in full within 15 to 30 days.
If you can’t repay, the lender might roll over the loan into a new 30-day loan, adding fees and a penalty interest rate that could be up to three times the original loan amount.
But an online lending network, like those listed above, make it equally easy to get a loan without the oppressive fees.
Each network allows you to submit a loan request form that, on average, takes between three and five minutes to complete. In less than an hour after you submit your form (usually this only takes a few minutes), you will receive an email with a loan decision and potentially see multiple loan offers to choose from.
Many lenders in these networks focus on personal loans for bad credit, ensuring that a low credit score won’t automatically disqualify you.
Once you select a loan offer that you like, the network will forward you to the lender’s website to complete the loan paperwork. You will have your money within one business day after you complete the paperwork.
These loans have several advantages over a payday loan or merchant cash advance. Not only do they charge fewer fees, but multiple lenders have a chance to potentially compete for your business — which can mean even lower fees and higher loan amounts.
With a cash advance loan, you only apply to one lender and receive one take-it-or-leave-it offer.
How Can a Personal Loan Help Build My Credit Score?
Most consumers do not realize that they actually have multiple credit scores under their name. You have multiple FICO scores as well as scores from each of the three major credit reporting bureaus — TransUnion, Equifax, and Experian.
These scores are determined by the information submitted by your lenders to the bureaus. If you have any type of loan — including an auto loan, mortgage, personal loan, or student loan — the lender will report your monthly payment history to one or all of the bureaus.
That data is recorded in your credit profile and used to calculate your credit score.
This means that your payments for a personal loan will either help or hurt your credit score. If you make on-time payments, that positive reporting will push older, negative data further down your credit history. As you continue to record positive information, your credit score will improve.
Depending on how bad your credit score is — and how many recent negative items you have on your credit file — you may see quick improvement. On the flip side, you can also further damage your credit score if you miss payments or default on your personal loan.
Consider this: a single loan payment that’s 30 days late can drop your credit score by as much as 100 points. Moreover, this late payment can stay on your credit record for up to seven years.
Other behaviors with your personal loan, including charge-off accounts, hard inquiries, and late payments, could have a negative effect on your credit score.
But do not let these potential negatives deter you from looking for the personal loan you need. As long as you make the minimum loan payment and always make on-time payments, you will only work to improve your credit score.
With a better credit rating, you could qualify for more affordable loans down the road —including auto loans, student loans, or mortgage loans.
Can You Get a Personal Loan with a Credit Score of 550?
A credit score of 550 falls firmly in bad credit territory — but that does not mean that you are disqualified from a loan.
While your FICO score can range between 300 and 850, any score at or below 580 is considered bad credit. While some lenders won’t consider an application from someone who is below 580, many lenders will.
From our list of online lender networks above, only PersonalLoans.com states that it requires a credit score of 580 or greater for eligibility. Other networks state that they will consider a loan request from consumers with all kinds of credit — with BadCreditLoans and CashUSA even going so far as to say that they will consider your request even if you have a bankruptcy on your credit file.
Even if your bad credit score leaves you unable to find a loan through traditional lenders, you can consider a short-term loan through a cash advance that will not disqualify you based on your credit history.
These loans should be a last resort because they come with extremely high interest rates and finance charges. However, most merchant cash advance lenders overlook the credit check entirely and will approve your loan if you can prove you have the income to repay the debt within 15 to 30 days.
This is technically not a personal loan, though. A personal loan — also referred to as a signature loan — is typically an installment loan that allows you to pay off your debt through a series of payments (or installments).
You will not make payments with a cash advance. Instead, you will repay your lender in one lump sum — with interest included — in one month or less. This is typically seen as an emergency loan or a bridge between paydays.
If you need a larger sum of money and more time to repay the debt, you should consider a bad credit personal loan from one of the lending networks listed above. Even with a score of 550, the competition between lenders on these networks could lead to you receiving one or more loan offers in a matter of minutes.
If that fails, you can consider getting a cosigner who is willing to vouch for your ability to repay the loan. Just remember that a cosigner will also take the credit score hit if you miss a payment or default on your loan. That is a level of responsibility that you should not take lightly.
What are the Eligibility Requirements for a Bad Credit Personal Loan?
When most people think about applying for a loan, they tend to wonder if their credit score is good enough. But the truth is that several other factors aside from your credit score could derail your hopes of getting a loan.
Each of the lending networks listed above has different requirements for loan application consideration. While there may be slight differences in these requirements, some are standard. They include:
- You must be 18 or older (19 in some states)
- You must be a U.S. citizen or legal resident
- You must have an active checking or savings account in your name
- You must provide some sort of identification (driver’s license number, Social Security number, or other ID)
- You must have a valid current address
- You must provide some sort of contact information (home phone number, cell phone number, work phone number, and/or an email address)
- You must have verifiable income that meets the lending network’s requirements.
The income requirement varies greatly among the networks. For example, MoneyMutual requires that you have at least $800 in verifiable monthly income. CashUSA requires at least $1,000 per month after taxes. CashAdvance only requires that you have enough income to cover the cost of your loan.
Remember that the source of income is not limited to a job. Most lending networks will consider the money you receive from a structured settlement, government benefits, Social Security, a retirement account, student aid, child support, or other predictable, ongoing monthly payments.
When you’re all set to apply for a loan, make sure to include all sources of monthly income in your application. The more you can prove you earn, the more appealing your application looks to lenders.
Have all your necessary information ready when you apply. This includes the data required from the list above. Doing so will streamline the application process, allowing you to complete the paperwork faster and receive your funds sooner.
Can I Get an Unsecured Business Loan with Bad Credit?
Several different online business loan options exist. You can consider a small business loan, a bad credit business loan, a startup business loan, or a secured business loan that requires collateral for approval.
While you may have access to all of these options despite having a bad credit score, they will likely include higher fees and will not report to the credit bureau under your business name — thus keeping you from building a robust business credit score.
If you need a loan to help build and grow your business, you can also consider a bad credit personal loan. In many ways, this is the same as a bad credit business loan — but with fewer fees.
An unsecured business loan will require a lender that specializes in business loans. Aside from your credit score, the lender will want to see substantial paperwork related to your business to prove that it is viable enough to pay back any loan it receives. Nonetheless, a specialty lender may still have more finance charges than a traditional lender that deals with individual consumers.
In the end, you will still need to use your personal credit score to apply for a small business loan.
Your personal credit score will also be in consideration if you apply for a personal loan, but you will not need all of the paperwork related to your business. That’s because you can use the proceeds from a personal loan in any way that you want — including for business expenses.
Both loan types will report to each credit bureau under your name — not the business. So any positive or negative effects from your payment history will affect your personal score and not the business.
It’s always a smart move to focus on improving your personal credit before you try to build business credit. This way, you’ll be able to find a personal loan whenever you need a quick cash boost for your business.
Can I Use the Money for Debt Consolidation to Pay Off Debt?
You absolutely can. In fact, that is the only thing you can use this type of loan for.
Certain loans restrict how you can use the funds, while others offer more flexibility in spending.
For example, you can only use the proceeds from an auto loan to buy a vehicle. The same goes for a mortgage loan and a home. A personal loan, on the other hand, allows you to spend the money any way you like.
A debt consolidation loan is a type of specialty loan that allows you to take multiple debts and roll them into one debt that requires a single monthly payment.
You can use these loans to pay off your auto loan, credit card debts, personal loans, or student loan debt, consolidating them into one monthly payment. If you secure a loan with a lower interest rate than your current debts, you could save a significant amount of money with a debt consolidation loan.
You might want to exclude certain debts from consolidation. This is especially important if your current debt has a lower interest rate than the new loan, as consolidating could end up costing you more.
You cannot use the funds from a debt consolidation loan to pay for something other than debt consolidation. In many cases, the lender will send the proceeds of the loan directly to your debtholders. Doing so will pay off those lenders and create just one single debt from the new loan.
This also means you will not actually receive the money from the loan — thus reducing the chances that you succumb to temptation and use the money for other purposes and create a second debt load for yourself.
Connecting with a credit counselor, either face-to-face or online, can be an excellent first step toward creating a debt consolidation plan. Doing this ahead of applying for a loan can help you ensure you select the best option for your situation.
What Are My Options if I’m Denied a Loan?
You could be denied a loan for several reasons. To decide your next step, you need to know why you were declined.
Your loan application may be rejected because of something small, such as a misspelling. If you decide to resubmit your application, that is easy to fix.
There could also be a larger issue keeping you from getting the loan you need, such as a low credit score, too much existing debt, or other problems with your qualification.
Any lender or lending network that declines your application must send you an adverse action letter in the mail explaining its decision. This will detail the reasons why your application was rejected.
Once you know this information, you can plan your next course of action. That could mean applying to a different lending network with more relaxed lending standards, or it could require you to regroup and come up with a plan to improve your credit score before reapplying.
Whatever route you choose, it’s important not to react to a declined application by immediately applying to other lenders. Doing so could lead to numerous inquiries on your credit report, which might lower your credit score even more.
If possible, wait until you receive your adverse action letter before making any follow-up decisions. Doing so will ensure that you make an informed plan that gets you to your goal faster — and with fewer headaches and expenses.
Compare No-Collateral Loans for Bad Credit Online
Many people assume their credit score disqualifies them from no-collateral loans for bad credit, but that simply isn’t true.
With the explosion of online loan options, including online lending networks, it has never been easier to find a personal loan despite having a bad credit score. In fact, the networks above can help you receive multiple loan offers to choose from.
After you receive your loan, make sure you repay the debt in full and on time. Doing so will help you build, or rebuild, your credit so you can find more affordable loans in the future.
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