Applying for a personal loan can be intimidating—especially for borrowers with less-than-stellar credit. However, some lenders impose less rigorous loan eligibility standards that can make it easier to qualify for a personal loan when you need it. The top personal loans for fair credit have low minimum credit score requirements and competitive interest rates. Some of the best personal loan lenders also allow you to apply with a co-signer to improve your approval odds.
In addition to these factors, we also looked at each lender’s total borrowing costs, available repayment terms and funding speeds to identify the best lenders for your needs.
Best personal loans for fair credit
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Compare the best personal loans for fair credit
Why some lenders didn’t make the cut
Of the 23 personal loan lenders that we reviewed, only a fraction made the cut. The lenders that didn’t have high enough scores to be included, received lower ratings due to having stricter credit score requirements, limited customer service options and bad customer reviews as well as not allowing co-signers.
Methodology
Our expert writers and editors have reviewed and researched 23 popular lenders to help you find the best personal loan for fair credit. Out of all the lenders considered, the nine that made our list excelled in areas across the following categories (with weightings): loan cost (25%), loan details (15%), eligibility and accessibility (35%), customer service (15%) and direct creditor payment (10%).
Within each major category, we considered several characteristics, including APR ranges, prepayment penalties, maximum loan amounts and terms, minimum credit score requirements and co-signer acceptance. We also evaluated each provider’s customer support options and customer reviews.
How to get a personal loan with fair credit
It’s possible to get a personal loan with fair credit, though sometimes the terms and interest rates may not be as favorable as those offered to borrowers with good or excellent credit scores.
For example, some lenders are willing to offer personal loans to borrowers with fair credit if they demonstrate a financial history that shows they can responsibly manage their debt. Additionally, lenders may look at other factors, such as employment and income, to determine a borrower’s ability to repay the loan.
To increase your chances of approval, compare interest rates and terms from multiple lenders to find the right fit for your needs. Also, consider adding a co-signer or co-applicant with better credit to get approved for a personal loan with fair credit.
Frequently asked questions (FAQs)
It is possible to get a personal loan with a 600 credit score, though some lenders may require a higher score—especially for the loans with lower interest rates. Borrowers can prequalify with multiple lenders to see the rates they are likely to qualify for and then formally apply for the best offers.
The easiest loan to get approved for depends on the individual’s borrowing needs, credit score, income level and other financial factors. Generally speaking, secured loans such as auto loans or mortgages may be easier to get approved for than unsecured loans. This is because the presence of collateral reduces the risk the lender bears.
