Written by: Adam West
Edited by: Lillian Guevara-Castro
Second chance payday loans are a great way to get the money you need while working to improve your credit score. These small personal loans allow you to borrow money from an online lender and repay the debt through an affordable monthly payment.
The online lending networks listed below all partner with lenders that consider applications for various loan amounts from consumers who have a bad credit score. Each loan product comes with a competitive interest rate and an easy approval process that can offer a loan decision in a matter of seconds.
And unlike a traditional cash advance loan, you won’t have to repay the debt in two weeks or less. As an installment loan, some lenders will provide up to 72 months of payments to satisfy the debt.
Second Chance Payday Loans Online
With an online lending network, you submit a single loan request at any time of the day or night and receive a loan decision within minutes. You may receive multiple loan offers to choose from, each with its own loan term, interest rate, and monthly payment.
If you decide to accept an offer, you can complete the loan application and have cash deposited into your checking account or savings account by the next business day.
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 |
MoneyMutual remains one of the internet’s most popular lending networks because it partners with a large group of lenders that specialize in bad credit finance. Each direct lender on the network receives your loan request and can approve short term loan needs in a matter of minutes.
The size of the network is an important consideration. There’s strength in numbers, and when you can get several lenders to look at your single loan request, you’ll increase your odds of finding one that is willing to work with 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 |
The lenders that partner with CashUSA.com provide larger loans than many other options on this list. Each loan has a unique term, but some allow for up to five years of payments to satisfy the debt.
Although these lenders offer some of the largest loans on this list, not every borrower will qualify for the largest loan amount. Your loan offer will depend on a variety of factors and will vary based on the lender’s requirements.
3. BillsHappen®
- Quick loans up to $5,000
- Submit one form, get multiple options
- All credit ratings welcome
- Requires bank account and SSN
- As seen on CNN, FoxNews, and others
- See official site, terms, and details.
| Loan Amount | Interest Rate | Loan Term | Loan Example |
|---|---|---|---|
| $500 to $5,000 | Varies | Varies | See representative example |
BillsHappen is a great network to find online payday loan options that don’t include the astronomical interest rate that’s often associated with a payday advance. Instead, these short term loan products help you get to your next paycheck without costing you an arm and a leg.
And instead of repaying the debt in full when you receive your next paycheck, BillsHappen can connect you with a lender that offers a personal loan option that allows you to repay your debt over time — which is a more affordable alternative if you’re on a tight budget.
- 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 |
CreditLoan.com claims its network has helped hundreds of thousands of consumers find the loans they need with far lower costs than what you find with most payday lender institutions.
And the lenders that partner with this network will even consider your application if you have a recently discharged bankruptcy. That makes this a great option for rebuilding your credit while getting access to the funds you need.
- 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 |
Whether you’re looking for a personal loan to cover an emergency or to consolidate credit card debt, BadCreditLoans.com may have options for you — no matter what your credit history looks like.
And since the network can process loan requests in a matter of minutes, you may find yourself approved for the loan you need in very little time.
- Loans from $1,000 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 |
|---|---|---|---|
| $500 to $35,000 | 5.99% - 35.99% | 3 to 72 Months | See representative example |
PersonalLoans.com can help you find a second chance personal loan from one of its direct lender partners that specialize in bad credit loans. In fact, PersonalLoans.com maintains a dedicated network of lenders that only work with consumers who have a troubled past credit history.
You can apply for a loan through the PersonalLoans.com network at any time of the day or night. Thanks to automated underwriting systems, the lenders that partner with this network can process your request even if their offices are closed.
- 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 |
CashAdvance.com partners with payday loan lenders that offer ultra short term loans that require repayment in full — including interest — within 15 to 30 days. These loans often have a very high interest rate that makes them very expensive.
But if you’re in need of a quick emergency loan, a cash advance is fairly simple to qualify for and may not require a credit check for approval. Just be ready to pay some hefty fees for this second chance payday loan.
What is a Payday Loan?
A payday loan is a short term loan that’s intended to act as a bridge between paydays by providing money to cover an emergency or other expense.
Some payday loans differ from a bank loan or loan from a traditional lender because they require repayment in full — with interest — in 15 or 30 days. Also known as a cash advance loan, these loan products have very high interest rates that can balloon to outrageous amounts if you cannot repay the debt in time.
A more affordable option is a second chance personal loan that allows you to repay the debt over time through a series of affordable monthly payments. This is similar to a traditional loan from a financial institution that provides a competitive interest rate and varying loan amounts.
You can apply for one of these second chance loan products through an online lending network, like those listed above. The participating lenders that partner with these networks all specialize in bad credit loans and can accept your loan request at any time of the day or night.
If you qualify, you can complete the loan process within hours and have money in your checking account or savings account within one business day.
And unlike a bank loan, you won’t have to dress up to impress a loan officer at your local branch. Instead, you can apply on the network’s website at any time of the day or night from wherever you are in the world.
What’s the Difference Between a Personal Loan and a Payday Loan?
A personal loan — also known as an installment loan — allows you to repay your debt with a monthly payment option that makes it more affordable over the long term. A payday loan is a very short term loan that requires repayment in full in either 15 or 30 days.
Despite its longer repayment window, a personal loan is traditionally far less expensive than a cash advance or payday loan — which can charge upward of 400% in interest for a two-week loan.
Because of its longer repayment window, you can often find personal loans with higher loan amounts as well. That means you’re better served with a personal loan if you have to borrow more money.
You can often find a bad credit loan in either form, with a second chance installment loan coming in either unsecured or secured collateral loan types.
A secured loan will require collateral for approval. Think of this like you would a pawnshop loan that requires you to place an item of value as security to back your loan. If you don’t repay the debt, the lender can keep or repossess the collateral. Another common form of secured loan is an auto loan.
An unsecured loan is also referred to as a signature loan because it does not require collateral. Instead, you will sign a legally binding contract that acts as your promise to repay the loan in full.
Is a Cash Advance Loan a Good Idea?
A traditional cash advance loan that lends you money between paydays is rarely a good idea. That’s because these loans charge very high interest rates and can get very expensive if you don’t repay the debt on time.
For starters, you should expect to pay roughly $15 in fees for every $100 you borrow. That may not seem like much, but the total will increase quickly if you’re late on your repayment.
After your 15- or 30-day window, payday loan lenders roll your debt into a new loan with more fees and a higher interest rate. That continues every 15 to 30 days until you satisfy the debt.
This practice has left consumers who borrowed as little as $2,500 with more than $50,000 in interest charges.
Many consumers choose these loan types because they’re easy to qualify for. Some consumers feel that their bad credit score will disqualify them from a traditional loan, so they default to a cash advance or payday loan. This simply isn’t always the case.
The rapid growth of online lending has seen a rise in lenders that work solely with consumers who have bad credit scores. That means more loans are available to these applicants than ever before. Instead of risking your financial future for a short term payday loan, consider a more traditional loan from one of the online lending networks ranked above.
What Credit Score Do I Need to Get a Loan?
There’s no minimum credit score requirement needed to qualify for a personal loan from an online lending network. In many cases, you may still qualify with a credit score at or below 500.
When lenders pull your credit history from the credit bureaus, they look at more than just your credit score. A lender may still accept a poor credit score if the borrower has a recent history of on-time payments and no current charge-offs, collections accounts, or bankruptcy proceedings.
You may still receive a favorable loan decision with a negative credit check, but your interest rate, loan term, and monthly payment may be a little higher than it would if you had good credit.
Thankfully, personal loan lenders will report your payment and balance history to the three credit bureaus. With responsible behavior, you could improve your credit score and eventually qualify for a more affordable loan with larger loan amounts.
Find the Best Second Chance Payday Loans Online
A traditional payday advance loan may leave you overwhelmed with fees and charges, and your payday lender isn’t likely to show you mercy if you’re in over your head.
Whether you need to consolidate credit card debt, pay for a large purchase, or cover an emergency, a personal loan from an online lender can give you a more affordable monthly payment and a loan term that allows you to repay your debt over a longer period. That means you won’t have to overstretch your budget to get the money you need.
And unlike a loan from a more traditional financial institution, you won’t have to worry about your bad credit score embarrassing you when it comes time to apply. Instead, the participating lenders with the networks listed above specialize in helping people like you find the money you need so you can get back on track and get your life in order.
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