6 Bad Credit Personal Loans for $5,000 & Up


Bad credit is not something that can be solved overnight. You can work to repair your credit, but progress usually takes time. If you need a loan right away, you don’t have time to wait for your credit to improve.

Life has a habit of throwing unexpected expenses in your path, such as a medical bill or car repair. Regardless of why you’re looking for a personal loan, you probably need the money soon.

Luckily, many online lenders are willing to provide bad credit personal loans for $5,000 or more. Below are some of the best lenders who offer personal loans to people with bad or fair credit.

6 Bad Credit Personal Loans for $5,000 & Up

You can absolutely secure a $5,000 personal loan with a bad credit score. However, you should keep in mind that you will likely not receive the best terms. With a bad credit rating, lenders are likely to charge you a higher interest rate for unsecured loans. So, make sure you truly need a personal loan before moving forward.

1. MoneyMutual

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  • Loan Amount
    $250 – $5,000
  • Loan Term
  • Minimum Credit Score

MoneyMutual is an online matching service for small short-term loans. Although it is not a direct lender, it can help you find the best lender for you.

To get a $5,000 personal loan from MoneyMutual, you need to fill out a form with your information for lenders to review. You may get several offers in a few minutes from various lenders.

You are under no obligation to accept any of the offers. Make sure to read through the loan terms of each offer and ensure it fits into your budget before accepting the loan agreement.

A few of the borrow requirements include some form of consistent income that totals at least $800, a minimum age of 18, a legal resident of the U.S., and an active checking account.

If you can provide information that confirms each of these requirements, you will likely receive numerous loan offers.

If you need money quickly, this could be a suitable option because you may receive the funds within 24 hours.

Full review of MoneyMutual

2. CashUSA

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  • Loan Amount
    $500 – $10,000
  • Loan Term
    3 – 72 months
  • Minimum Credit Score

CashUSA serves as your one-stop shop to connect with online lenders that offer personal loans for people with bad credit history. With a quick request process, CashUSA will connect you to a lender willing to work with you.

CashUSA lenders provide personal loans with a loan amount of $500 to $10,000. APR can vary widely based on the individual lender and your credit score, but it can range between 5.99% to 35.99%.

The interest rate is variable with terms between 90 days and 72 months. Funds are deposited directly into your personal bank account.

Full review of CashUSA

3. BadCreditLoans.com

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  • Loan Amount
    $500 – $10,000
  • Loan Term
    3 – 60 months
  • Minimum Credit Score

As the name suggests, BadCreditLoans.com is a place to find unsecured personal loans if you have bad credit. BadCreditLoans.com is not a direct lender, but the site will connect you to lenders that can offer you a personal loan with bad credit.

Lenders in the BadCreditLoans.com network offer loan amounts up to $10,000. Although most of the personal loans through these lenders are smaller than $10,000, it is possible to obtain the full $10,000.

The APR on personal loans can range between 5.99% and 35.99%. Interest rates are variable but generally shorter, starting at just three months.

There is no minimum credit score requirement. You can get the money deposited in your bank account as soon as the next business day.

Full review of BadCreditLoans.com

4. PersonalLoans.com

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  • Loan Amount
    $500 – $35,000
  • Loan Term
    3 – 72 months
  • Minimum Credit Score

PersonalLoans.com connects borrowers with personal loan offers between $500 and $35,000. You may receive an offer from multiple lenders.

You should not expect to be approved for the maximum $35,000 loan amount if you have bad credit. Although not everyone can qualify for the maximum amount, every applicant can request the amount they are seeking.

The APR on personal loans ranges from 5.99% to 35.99%. The APR you qualify for will be primarily based on your credit score.

One significant benefit offered by PersonalLoans.com is the flexibility of repayment terms which range from 6 to 72 months. You’ll have the ability to choose the timeframe you’d like to repay the loan.

A final benefit is that there is no prepayment penalty if you pay off the personal loan early. You’ll be able to repay your debt as quickly as you’d like without any repercussions.

Full review of PersonalLoans.com

5. NetCredit

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  • Loan Amount
    $500 – $10,500
  • Loan Term
    6 – 60 months
  • Minimum Credit Score

This Chicago-based lender works with borrowers across the country to provide bad credit personal loans. The company offers unsecured personal loans with a loan amount of $1000 to $10,000.

NetCredit evaluates each loan application on a case-by-case basis. As a result, your loan offer will likely vary greatly based on your credit score and the state you live in.

Since the company works in many states, the APR range is extensive, from 36% to 155%. You’ll need to check out NetCredit in your state to better understand what this company can offer you. There may also be an origination fee depending on where you live.

Full review of NetCredit

6. OneMain Financial

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  • Loan Amount
    $1,500 – $20,000
  • Loan Term
    24 – 60 months
  • Minimum Credit Score

You can obtain a personal loan from OneMain Financial with a loan amount of between $1,500 and $25,000. However, the lender has slightly different limits for each state, so you must contact your local office to confirm your state’s limit.

As an applicant, you’ll have the option to pursue a secured or unsecured personal loan. A secured loan may be the better option if you have poor credit scores.

The interest rates will vary significantly based on your credit history, but you can expect an APR range from 25.10% to 36%. The maximum loan term we’ve seen in 60 months. Make sure you ask about the origination fee as it varies per state.

You must meet with a loan officer before you can get a personal loan. That means a loan officer will need to meet with you in person or by phone.

Full review of OneMain Financial

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Pros & Cons of a Bad Credit Personal Loan

Here’s a detailed overview of both the pros and cons of taking out a bad credit personal loan.

Pros of Bad Credit Personal Loans

One Lump Sum

Taking out a personal loan provides the benefit of receiving your funds in one quick lump sum. Receiving your loan payment all at once makes it easier to address your financial needs in a timely manner.

Fast Funding Times

Approval times for personal loans are generally quick, which is useful when you’re in need of a loan because of a financial emergency. Most loans will arrive into your bank account within five business days of approval. Some lenders can also deposit the loan proceeds to your bank within one or two days.

No Collateral Requirement

While there are secured personal loans, most small personal loans for bad credit will be unsecured. The difference is collateral, so with an unsecured loan, you won’t have to list your car, home, or other possession to secure the loan.

Lower Interest Rates

A regular personal loan should come with a lower interest rate than a credit card, for example, which is the most common alternative to loan funding. This should be true even with a bad credit score.

Flexibility and Versatility

One great thing about personal loans is that they can be used for many purposes, from consolidating debt to paying medical bills or making home repairs.

A personal loan can be a viable option if you want to finance a major purchase but don’t want to be locked into how you use the money.

Cons of Bad Credit Personal Loans

More Eligibility Requirements

Compared to other funding options, personal loans can have more strict requirements for qualification. With a bad credit score, there will be fewer lenders available to you, meaning it could take a lot longer to find a good loan deal with a reliable lender.

Fees and Penalties Can Be High

Another downside of a bad credit personal loan is fees and penalties, which can drive up the cost of borrowing. With a bad credit score, you’re more likely to be subject to bigger fees and penalties.

It’s important to ensure you’re clear on potential late fees, as well as mandatory fees, before signing a loan agreement. Always review fees and penalties of any personal loan you are considering.

Additional Monthly Payment

A personal loan adds another monthly expense on top of your budget. Judging whether you can absorb that cost, and to what extent, can be difficult. With any personal installment loan, you run the risk of taking on too much debt and increasing your financial stress long-term.

Higher Payments than Credit Cards

In comparison to credit cards, a personal loan will come with a higher monthly payment, especially if your credit score is bad. Personal loans come with a higher fixed monthly payment and must be paid off by the end of the loan term.

How to Decide if a Bad Credit Personal Loan is For You

If you need a quick injection of cash, a personal loan can be attractive. This might be the right choice for you if:

  • You need the money fast: Most lenders, especially those online, can deliver loan funds in a matter of days once you’re approved.
  • You have high-interest debt: A personal loan can be a great way to consolidate debts and get a better grip of costly credit card debt.
  • You want to pay off necessary expenses: It’s a good sign if you’ve got a specific, necessary expense in mind when considering a personal loan.

Keep in mind, however, that a personal loan is still a form of debt that you’re adding on. Here are a few reasons why a personal loan might not be right for you:

  • No specific purpose: It can be extremely tempting to take out a loan to have a boost of financial security. However, borrowing when you don’t have an explicit purpose for the loan is never a good idea, and can lead to unnecessary debt.
  • Overspending habits: If your spending habits are out of control, then taking out a loan to cover credit card debt, for example, isn’t a good idea. It’s vital to get your spending habits in order before adding on more debt.
  • Unsure about monthly payments: Unless you’re confident that you can afford the monthly payments on any loan offer, it’s a good idea to steer clear.

How to Improve Your Chances of Loan Approval

Whether you get approval for the loan you want depends mainly on your unique financial circumstances.

Having said that, there are some basic steps that you can take to improve your chances.

Check Eligibility

Many lenders will outline specific requirements that are needed to qualify for certain rates. Check those out before you apply.

Check Your Credit Report

Your credit report is the only true record of your financial history and what lenders will use to judge your creditworthiness. You can order a free copy from each of the three major credit bureaus once a year.

Compare Lenders

Many online lenders can give you a quote without conducting a hard credit check. However, when you make a formal loan application that will usually trigger a credit check. These can lower your credit scores, so make sure to compare lenders before applying to find the best fit for your needs.

Alternatives to Bad Credit Personal Loans for $5000

There could be many reasons why taking out a loan isn’t the best move for you right now. Remember that there are alternatives which might suit you better. Whether it’s a credit card, a personal line of credit, HELOC, or even an informal loan from a friend or family member, it’s good to explore all your options.

Conditions, Rates, and Fees for a $5,000 loan

Term Length

Borrowers can generally decide how long the repayment period on a personal loan will be. Typically, the longer the personal loan term length, the higher the overall cost of the loan.

Most personal loans have flexible repayment terms and can be paid back between 12 and 60 months.

Interest Rate

The interest rate on a personal loan is usually expressed as a percentage. Lenders charge a percentage of the principle to make up for the risk of a borrower defaulting on an unsecured loan.

Personal loan rates will vary depending on your credit score, employment, loan size, and other factors.

Loan Fees

Origination fees are a one-time cost that the borrower typically pays when they receive a personal loan. Some lenders add the fee to the loan balance. Origination fees typically range from around 1% to 10% of the loan amount.

How to Apply for a Personal Loan

The steps involved in applying for a personal loan will be the same, regardless of which lender you choose. It’s good to get clear on the process so that you know what to expect:


When deciding to take out a loan, your first step should be to calculate how much you need to borrow, as accurately as possible. You’ll also want to factor in monthly repayments to your overall budget to see what is affordable for you.

Getting clear on your numbers will make finding the best loan for you much easier.


You can benefit from prequalification tools with many online lenders, just make sure they won’t take a hard inquiry on your credit first. Prequalification is the best way to get a clear picture of the market and rates available to you.

Compare Offers

Prequalification also allows you to negotiate various offers against each other. Take the time to carefully compare all the best offers you’ve found, and be certain about the exact details of your loan terms and conditions.

Finalize & Sign

Once you’ve decided on a loan and gone through the approval process, it’s time to sign the loan agreement. Loan funds are usually sent by direct deposit and can be available in your account within five business days.

Frequently Asked Questions

How does a personal loan work?

Personal loans can be secured or unsecured. With a secured loan, you have to offer collateral to the lender who will get to keep it if you aren’t able to pay them back.

Unsecured loans do not require collateral. If you default on an unsecured loan, it will hurt your credit score and make it even harder for you to get a personal loan in the future.

Lenders typically issue loan funds in a lump sum which are deposited into your bank account. Then, you simply pay the lender back in installment payments (plus interest) until the full loan amount is paid off.

Can I get a $5,000 personal loan with bad credit?

Bad credit borrowers have limited options when it comes to getting a $5,000 personal loan. One way is to get a cash advance on your credit card. The best way is typically from an online lender. Some online lenders may even be able to approve and fund your loan the next business day.

Is it possible to get a $5,000 loan with no credit check?

There are a few lenders that won’t check your credit for a $5,000 personal loan. However, most of them do run a credit check. However, having a low credit score is not a dealbreaker with online lenders that specialize in bad credit personal loans.

Is it possible to get a $5,000 loan with guaranteed approval?

It’s possible to get a $5,000 loan with guaranteed approval. However, it’s usually a good idea to stay away from lenders who guarantee approval. Legitimate lenders typically base the loan amount on numerous factors such as your credit history, income, employment history, etc.

How much would a monthly payment be on a $5000 loan?

The monthly payment on a $5,000 loan depends on the APR and how long the loan lasts. Loan payments can vary greatly depending on the loan terms.

Is it hard to get a $5,000 loan?

Most lenders that offer $5,000 personal loans or more have income and employment requirements. Other common loan requirements include:

  • Being at least 18 years old.
  • Being a U.S. citizen, permanent resident, or visa holder.
  • Having a valid bank account.

What’s the easiest loan to get with bad credit?

The easiest loans to get approved for are payday loans, car title loans, secured loans, pawnshop loans, and online installment loans. These options are designed to help bad credit borrowers who need fast cash in times of need. However, most of those loans also come with higher interest rates and the possibility of losing your possessions.

What credit score do I need for a $5,000 personal loan?

To qualify for a $5,000 personal loan, it’s best to have a credit score of 600 or above. However, there are some lenders, such as the ones listed above, that offer $5,000 loans or more with a lower credit score.

Just remember that bad credit personal loans almost always come with higher interest rates.

Can I get a $5,000 loan if I’m unemployed?

It’s possible to qualify for a $5,000 loan without having a job, but your interest rate will be high. You’ll also still need to provide some proof of income apart from a salary.

Can I repay my $5,000 loan early?

Generally, you can repay a $5,000 personal loan early. However, some lenders charge a prepayment penalty fee for paying off the loan early. Make sure you read the terms carefully before agreeing to that if you think you may pay it off early.

Bottom Line

A $5,000 personal loan can be difficult to obtain at banks or credit unions if you have bad credit. However, the lenders above can help you get approved for a loan to fund whatever life throws your way.

It is possible to obtain an online personal loan with a poor credit score. However, it may not be the best financial move, especially if you want to use it to consolidate credit card debt. Most likely, you will be offered unfavorable loan terms and high interest rates, which can cost you thousands.

You could be using those funds to pay down other debts to improve your credit score. With a higher credit score, you’ll be able to obtain more favorable personal loan terms in the future.

With that said, a bad credit installment loan is still usually a better option than payday loans. Just make sure you can afford the monthly payments before moving forward with a personal loan.

Before applying for short-term bad credit loans, think of other ways that you could fund the immediate emergency. For example, you could sell belongings, pick up a side hustle, or find a way to resolve the problem yourself.

In addition, if you are interested in rebuilding your credit score, take advantage of our free DIY credit repair guide.

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