Where Do I Find Bad Credit Loans With Guaranteed Approval for $5,000?

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When you are in need of a loan, there is a chance that your credit score is not ideal. If you have been turned down for financing because of your score, you may be wondering whether there is such a thing as a bad credit loan with guaranteed approval. Technically, the answer to that question is “no”. There are however companies that will consider approving loans for customers with a lower range of score.

What Are the Basic Requirements When Applying for a Loan?

Here’s the most basic requirements.

  • You need to be at least 18 years old.
  • Your monthly income should be a minimum of $800-2,000.
  • You will need to document steady employment.
  • An active bank account is a must, along with current contact information.

Some lenders may require a certain minimum score in order to approve you for a loan, but others do not.

Best “Guaranteed” Loans with Bad Credit for $5,000

Amounts
$1,000 - 35,000
Loan Terms
6 months to 6 years
Credit Check Type
Soft check
Min Credit Score
580
Bad credit
Allowed
Approval rate
High approval rate
Time for decision
Average 2 minutes
Type of service
Connector
Amounts
$500 - 10,000
Loan Terms
3 months to 6 years
Credit Check Type
Soft check
Bad credit
Allowed
Approval rate
High approval rate
Time for decision
Average 2 minutes
Type of service
Connector
Amounts
$300 - 35,000
Loan Terms
2 months to 7 years
Credit Check Type
Soft check
Min Credit Score
550
Bad credit
Allowed
Approval rate
High approval rate
Time for decision
Average 2 minutes
Type of service
Connector

Types of Loans for Bad Credit

  • Installment Loans: With this type of loan, you pay off the balance and interest in regular monthly payments.
  • Personal Loans: This is a broad category of loans which are available for personal use. Unsecured personal loans do not require collateral like a car title.
  • Payday Loans: When you need very small loan amounts, around up to $1,000, to cover an emergency expense, this type of short-term loan may serve your needs. Most of these loans you have to pay back within 2-4 weeks.

Is It Worth It to Apply for a Loan?

Even with a poor credit or credit history, we think that applying for a personal loan online can be a smart, easy and great move for a loan. With financing on your side, you can avoid overdraft fees (also read how to get overdraft fees waived), prevent bills from going to collections, or even avoid filing for bankruptcy. If you pay your loan off on time and in full, you can even be able to rebuild your credit.

Advantages of Personal Loans and Short Installment Loans Over Payday Loans

What type of loan should you apply for? We think that a short-term loan, payday loans, can be a suitable lending option if you are in need of a very small loan amount of money (i.e. $50 to $1,000), and you are able to pay off the loan within 2-4 weeks. But if you need a higher amount, over $1,000, unsecured personal loans and short installment loans offer the following advantages over payday loans:

  • You get a longer time period to pay off the loan if you need it.
  • You can borrow a larger loan amount of money (i.e. up to $5,000, if you need it).
  • Even though you may be borrowing more, it may be easier to pay off the loan on time, given the extended repayment term. Ultimately, this may make the personal or installment loan the more affordable choice.

Is There Such a Thing as Bad Credit Loans With Guaranteed Approval?

While shopping for a loan online, you may see advertisements for “bad credit loans guaranteed approval.” or “guaranteed money with fast deposit to your bank account”. Previously, we stated that there is no such thing as a bad credit loan with guaranteed approval. Being as that is the case, you may be wondering why you keep seeing it.

The answer is simple – not all lenders are honest. While good, professional and honest lenders show responsibility towards their borrowers, some are willing to approve loans even to those who cannot afford to pay back their loans.

So if you do see a company which promises “personal loans guaranteed approval $5,000” or any other loan amounts, it is best to walk away. A responsible company would never state this.

Now, there are some companies which advertise “guaranteed instant approval loans bad credit,” and which may not be deceptive. The wording here is very specific, and technically it is problematic, but it is common for companies to word what they offer poorly in this regard.

The phrase we are focused on here is “instant approval.” This sounds like another way of saying “guaranteed approval,” which is one reason the wording is poor. The other is that no lender will ever be able to “instantly” issue final approval for a loan.

But there are payday and installment loan sites which will give you an “instant pre-approval decision” when you submit your application. In other words, they will tell you right away if you are likely to qualify for a loan. You then need to wait for final approval, a process which may take a few hours or longer. Sites like these may say they offer “instant approval”. While the wording is inappropriate, their service may be legitimate.

Where Can You Find No Credit Check Loans?

“Okay”, you may be thinking. “I now know that ‘personal loans guaranteed approval $5,000’ isn’t something I am going to find. But outside of guaranteed loan approval, no credit check seems like something that might help me qualify”.

Just as there are technically no bad credit personal loans guaranteed approval direct lenders, there are also no legitimate lenders which do not run checks on applicants.

Just as you a borrower need to be following responsible borrowing practices when you apply for a loan, checking your credit history by accessing your credit report. That means learning exactly how much risk you pose, which entails taking a look at your score.

Now, there are two types of checks which can be performed. These are referred to as “hard” and “soft” checks. A hard check will ding your score. So try not to apply through lenders that perform this type of check. A soft credit check may also be referred to as an “alternative” check. When a lender runs a soft check, your score will not be dinged. This is the type of credit check you want to look for.

Remember, even if your score is low, that will not necessarily automatically disqualify you for a personal, installment or payday loans. Many legitimate lenders aim their services at customers with a broad range of credit situations. They are more concerned with your income level than your score.

Still, it is in your interest to get your score as high as possible before you apply for a loan. The higher the score, the bigger possibility of a good interest rate. Also this may allow you to apply for a larger sum of money, making it more likely you can get a loan amount like $5,000. It also may significantly reduce your interest rate, making the loan more affordable.

About Your Credit Score

You may have a number of questions about your score and how you can go about improving it. Let’s answer some of those questions now.

Q: Where can I check my credit score? Can I do my own credit checks?

A: Each of the three credit bureaus (Experian, TransUnion and Equifax) allow you to receive one free credit report a year. Note that this is not the same thing as your score, but it is important.

It is the information on your report which goes into calculating your score and when lenders do credit checks. So it is smart to order one of your reports for free. You can also order your score from the same bureau (or either of the others) for a nominal fee.

There are a few other options for viewing your score as well. You can order it from FICO. You may be able to view it through your bank or credit union (this may come at no cost to you). There are also third-party services which may offer free or low-cost access to your score.

Q: How much can I improve my score in a short amount of time? A want a good credit

A: How much you can improve your score and how quickly you can do it depends on a variety of factors. These include your starting score, the types of negative items on your report, and your exact financial situation.

Q: What steps can I take to improve my credit score right now?

A: There are a number of steps you can take to get back on track with your credit right away.

    • A good starting point is to carefully look over your credit history and current information contained in your credit report. This will help you to identify negative items which are lowering your score. If any of them are in error, you can contact the credit bureaus as well as the reporting creditors to try and contest these items.
    • If there are any overdue loans or bills which you could pay off now, doing so should have a fast and positive effect on your score.
    • If it is possible to reduce your credit utilization on any of your accounts, doing so may boost your score.
    • Sometimes, you can negotiate with creditors to remove negative items from your report under certain circumstances. This is easiest if you usually pay on time, but have had a single late payment recently.
    • You can consider opening new credit accounts, but proceed cautiously if you do. The magic number is three. For the best possible effect, two accounts should have unused balances and the last and third should have a balance below 8.9%.
    • See if there are any adjustments to be made to your current financial situation to make it easier to keep up with your payments. This might mean shopping around for lower utilities costs, or it could entail transferring the balance from a high interest account to one with a low introductory offer. It may also be helpful to set up automatic payments if you simply forget to keep up with your monthly bills.
    • Any type of buy now and pay later services that reports to major credit reporting companies on a regular basis. You can ask before buying.

Q: How does my credit score affect the loan offers I receive?

A: In some cases, having a high score may make the difference between receiving a loan offer (or several) and not receiving one at all. But as you will be applying for cash loans through websites which aim their services toward customers with their low credit scores, it is more likely that your score will simply affect the affordability and flexibility of the loan offers you receive.

    • The higher your score, the more money creditors will be comfortable lending you. This is important if you are trying to get a larger sum like $5,000 rather than just a $500 or $50 payday loan.
    • If you have a lower score the offered interest rates may be affected which in turn increases your monthly payments.
    • With a higher score, your interest rate should be reduced. This in turn can save you money whether you are applying for a short-term payday loan or a longer-term installment loan.
    • When you have a solid score, it is likely that the other terms governing your loan will also be more favorable. Fees may be lower as well.

Apply for a Bad Credit Loan Now in Minutes

When you need cash fast, jumping through the hoops which your bank might put you through to apply for traditional financing may not be a feasible option. Applying for a loan online is usually fast and easy, and you can choose to only deal with lenders that will be willing to consider you even with your low score. Many lenders usually offer that the loan amount will be in your bank account within 1-2 days.

The lenders we recommend not only tend to approve customers with a low score, but they also only run “soft” checks which will not damage your score or credit history. It only takes a few minutes to apply, and you have nothing to lose. Click on any of the links in the table of recommendations to be taken directly to the application forms for our suggested lenders. Good luck getting the financing you need and improving your score!

Quick Stats

Highest AmountLifeLoans - $40,000

Loan Terms up toQuickLoanLink - 7 years

Recommended income$2,000+ per month

Grace Chen
Article written by

Grace Chen

Grace Chen has 10 years of experience in the financial field and have been delivering excellent business content through her articles.

Grace graduated from the Haas School of Business, University of California and is currently the chief editor of Communicate Better where she has written and edited thousands of articles published in various media.