Best Small Loans for Bad Credit

Personal loans are used for big-ticket expenses, such as home repairs, a wedding, or a funeral. However, they can also be used to cover less expensive things that you don’t have the money to cover on your own — like a small emergency or a car repair that, fortunately, won’t cost you a fortune.

Many personal loan lenders offer funding amounts starting at around $5,000. However, this option is not suitable for someone who needs to borrow less since it forces them to apply for surpluses they don’t really need. There is a solution for such cases — small loans, which imply smaller monthly payments and interest charges.

When searching for a personal loan, it’s advisable to compare different offers to find the best interest rate and payment terms that meet your needs.

What is a small loan?

A small loan is defined as a loan of $2,500 or less. Repayment terms vary: reputable lenders give you at least a few months and up to a few years to repay a small loan.

Annual interest rates also range from 6% to 36%, with the lowest rates offered to borrowers with good credit records. Consumer advocates insist that the highest annual interest rate an affordable loan should have is 36%.

100-dollar payment loans. Basic terms and conditions

A $100 loan can be obtained as soon as possible. It must be repaid within a month.

Typically, people get 100-dollar loan with bad credit to cover urgent expenses. This procedure is available online and does not require hard credit checks.

If you have a regular source of income that proves your ability to repay on time, a bad credit history won’t affect your chances of getting a $100 loan.

How to get a 100-dollar loan?

The vast majority of Americans have access to this credit, even you can get money in California. To get it, you must be over 18, be a U.S. citizen, have proof of a current source of regular income, have an open bank account, and have a phone and email for communications.

200-dollar payment loans. Basic terms and conditions

A $200 loan, also known as a $200 payday loan, is a small, short-term loan that must be repaid when you get your next paycheck. This offer is relevant for people with bad credit history, as lenders do not care about your bad credit history. Moreover, a 200 dollar loan with no credit check is standard.

How do $200 payday loans work?

To apply for a 200$ loan for bad credit, fill out an online application. Include your information, proof of income, phone number, bank account, and the sum you want to borrow. Once you apply, you’ll receive an instant approval decision. The lender will contact you if the decision is positive.

As a rule, you pay back your loan on your next paycheck, but ask your lender for more information.

Where to get a small loan

  • Credit unions

Most credit unions consider not only your credit score, but also information such as your credit union membership to qualify you for a personal loan and determine the rate.

  • Online Lenders

Loan amounts at online lenders can start from $100. Many online lenders let you pre-qualify, a short process that will show your potential rate and repayment period for a small loan.

  • Banks

Although small dollar loans are not as common at major institutions, some banks have introduced them in recent years.

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