Top loans for bad credit in February 2020

Ok you have a bad credit rating and a low credit score.

People who have had problems with credit and debt in the past can still get approved for personal loans. Increasing numbers of lenders listed on InfoChoice are tailoring rates to the credit rating or score of the borrower. People with bad credit may have to pay a higher rate in some cases, but you can still get approved for a loan with a low credit score.

Firstly, if you have a bad credit rating, there is a reason. You may have defaulted on debt before or missed utility or phone bill payments.

Before you take on debt, do you need a loan? Getting a personal loan can help you deal with your debt problems, if you are using it to increase your income or pay off existing obligations.

But if your personal loan is going to add to your debt problems for no financial gain, think carefully about applying for more credit. The InfoChoice Guide to getting a personal loan for bad credit may help you work through the decisions you need to make.

Here are five lenders you might like to consider. They’ll look at bad credit applications but will often apply higher interest rates to reflect the extra risk they feel they’re taking.

Harmoney unsecured personal loans offer interest rates starting at 6.99 per cent p.a. (comparison rate 7.69 per cent p.a.) but these rates can go up to 28.21 per cent p.a. (29.55 per cent p.a.) depending on your rating.

The minimum loan amount is $2,000 and the maximum is $70,000, with repayment terms of up to five years. There’s an application fee of $500 ($200 for loans under $5,000) and no early repayment penalty fee. If you’re successful, you could be fully–funded within 24 hours.

Check out all of Harmoney’s current personal loan interest and fees at InfoChoice.

Moneyplace unsecured personal loans offer interest rates starting at 7.65 per cent p.a. (comparison rate 7.65 per cent p.a.) for applicants with excellent credit ratings to 20.99 per cent p.a. for average ratings.

There’s a $300 application fee for average rating borrowers but no monthly or exit fees.

These loans can offer borrowers amounts between $5,000 and $20,000, with repayment terms ranging from three to seven years.

Check out all of MoneyPlace’s current personal loan interest and fees at InfoChoice.

The RateSetter Unsecured Personal Loan has variable rates starting at 6.79% pa (comparison rates from 8.46% pa) up to 16.40% pa (comparison rate 17.99% pa). There’s a $249 application fee for terms of six to 12 months and a $299 fee for longer repayment terms.

RateSetter does not charge monthly, exit or early repayment fees.

RateSetter specialises in low-rate personal loans from $2,001 to $45,000 for terms from 6 months to 5 years with personalised rates available in 1 minute, without affecting your credit score.

RateSetter boasts fast online application and loan completion process with funds available in as little as 24 hours.

Check out RateSetter’s current interest rates and fees at InfoChoice.

NAB Personal Loans offer a fixed rate between 10.69% pa (11.58% pa to 19.53% pa comparison rate) based on your own credit risk profile.

NAB offers unsecured loans up to $55,000 for a range of purposes and terms up to 7 years.

Note: NAB says the majority of customers will get the headline rate of 12.69% pa (13.56% pa comparison rate) or less.  

Check out NAB’s personal loan interest rates and fees at InfoChoice.

Wisr personal loans have rates set according to credit score, currently starting from 8.50% pa (comparison rate 12.48% pa). Wisr loans are for any worthwhile purpose including a car, a home reno or consolidating other debts. Wisr says do it in a smarter, fairer, Wisr way.  100% online application with same day funds available.

Check out all of Wisr’s personal loan interest rates and fees at InfoChoice.

Read InfoChoice’s quick guide on how to get a fast online loan.

Compare these loans with other personal loans at InfoChoice

The products compared in this article are chosen from a range of offers available to us and are not representative of all the products available in the market and influenced by a range of factors including interest rates, product costs and commercial and sponsorship arrangements

InfoChoice compares financial products from 145 banks, credit unions and other financial institutions in Australia. InfoChoice does not compare every product in the market. Some institutions may have a commercial partnership with InfoChoice. Rates are provided by partners and taken from financial institutions websites. We believe all information to be accurate on the date published. InfoChoice strives to update and keep information as accurate as possible. The information contained on this web site is general in nature and does not take into account your personal situation. Do not interpret the listing order as an endorsement or recommendation from us.  You should consider whether the information is appropriate to your needs, and where appropriate, seek professional advice from a financial adviser. If you or someone you know is in financial stress, contact the National Debt Helpline on 1800 007 007

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