Finding The Right Loan With A Fair Credit Score

Finding a personal loan for fair credit can be tough. Most lenders approve applicants with good to excellent credit. But what if your credit is less than 690?
Shopping around is important to make sure you do not pay more than you have to to get a fair credit loan.

Best place to get a loan

Having an excellent credit score and a good regular income is the easiest way to get a personal loan. But what about all those people with fair credit who need a loan. Is there such a thing as fair credit loans? The good news is yes! Many lenders offer personal loans for fair credit customers.

What Is A Fair Credit?

A fair credit score is usually considered to be FICO® Score of 580-669.

Although not all lenders provide instant approval, finding a lender for a fair credit loan is still possible. Some lenders will look at alternative methods of confirming your creditworthiness, such as your income and assets.

You can compare multiple lenders at once to find the cheapest loans for fair credit through our online loan comparison tool.

Company Overall Rating Times Chosen
5KFunds 4.1 48,248 View Company
Badcredit.com N/A 174 View Company
BadCreditLoans.com 3.8 70,316 View Company
Blue Trust Loans 4.5 12,878 View Company
CashUSA 3.9 19,105 View Company
Check Into Cash 4.4 11,520 View Company
CreditFresh 3.1 1,249 View Company
Fast5KLoans 4.0 3,322 View Company

Loans For Fair Credit Can Cost More

Loans for fair credit will generally cost you more in fees and interest than personal loans for good credit. Borrowers with bad credit or fair credit will pay more than those with excellent credit.

This is because borrowers with excellent credit are considered more creditworthy and are more likely to not default on their loan repayments.

A personal loan that you pay off over the years can improve your credit score over time. It demonstrates that you manage money well through juggling your income and debt ratio.


Improve Your Chance of Acceptance For A Fair Credit Loan

  1. Prequalify
  2. Find A Co-signer
  3. Improve your credit score

Use our online comparison tool to find the cheapest fair credit loan to suit your needs.

1. Pre-qualify

Prequalifying for a personal loan when you have fair credit is a great starting point when you don’t want to waste time on multiple potentially rejected applications.

Most online lenders will allow you to get preapproved for a loan through their online application process. They generally only conduct a soft credit check for preapproval, which will not damage your credit score any further.

2. Find A Co-Signer

If you have a close relationship with someone who is willing to co-sign on a loan with you, it will increase your chance of getting approved for a fair credit loan. Still, it will generally give you a lower fee rate.

The reason for this is that now there are two incomes and personal guarantees held against the one loan. The chance of someone defaulting that loan has reduced dramatically from the lender’s perspective.

A co-signed loan can be the best way toa personal loan for fair credit. Caution needs to be taken when co-signing. If you are unable to repay the loan, the responsibility of repayment will fall on the co-signer, and they run the risk of damaging their credit score through your unpaid loan.

3. Improve Your Credit Score

There are multiple ways for you to improve your fair credit to good credit over time. Lenders will always favor approval for good credit applicants over fair credit ones. Focusing on building your credit over 6 months may increase your chance of getting approved. Still, it will lower the fee rate you pay over the loan period.

Find out how to improve your chance of acceptance for a personal loan here.

Company Overall Rating Times Chosen
5KFunds 4.1 48,248 View Company
Badcredit.com N/A 174 View Company
BadCreditLoans.com 3.8 70,316 View Company
Blue Trust Loans 4.5 12,878 View Company
CashUSA 3.9 19,105 View Company
Check Into Cash 4.4 11,520 View Company
CreditFresh 3.1 1,249 View Company
Fast5KLoans 4.0 3,322 View Company
Figure 4.0 31 View Company
Jora Credit 4.2 5,747 View Company
MaxLend 3.1 5,577 View Company
MoneyKey 3.8 25,958 View Company
OppLoans 2.7 4,187 View Company
PersonalLoans.com 4.5 20,627 View Company
Author Kimberley Smyth

Kimberley is the US Country Manager for Financer.com. She has gained years of experience in small business management and has two successful start-ups under her belt. She now focuses her energy on helping others achieve financial freedom through smart money management and investment opportunities.

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