Emergency Loans: Where to Get a Fast Loan

» MORE: Best online lenders for fast cash

Where to get an emergency loan

Upstart

Upstart is an online lending platform that considers alternative data on an application, including where you live and went to school, in addition to credit and income information. The company says it funds 99% of loans within one business day after approval.

Avant

Avant has a low minimum credit score requirement and says it can fund a loan one business day after approval. Its annual percentage rate includes an administrative fee up to 4.75%. The company reports payments to the three major credit bureaus — Experian, Equifax and TransUnion — which can help you build credit.

» MORE: Compare personal loans for bad credit

OneMain

OneMain offers personal loans to borrowers with low credit scores, but they come with high APRs and an origination fee. The lender can fund loans quickly by check, but you have to visit a branch to complete the process.

LendingPoint

LendingPoint lends to borrowers with low credit scores and little existing debt. The company says it can fund a loan the business day after approval, but in some cases it could take longer.

Rocket Loans

Rocket Loans says 85% of borrowers get funds by the business day after an application is approved; the longest it takes is about three business days. Rocket Loans also lets borrowers pre-qualify online to see loan offers without affecting their credit score.

» MORE: Best online lenders for fast cash

Best Egg

Best Egg says its application takes minutes to complete, and loans are funded one business day after approval, in some cases. Though the lender approves applicants with fair credit, the average credit score is 700, which falls in the good range on the FICO scale.

Oportun

Oportun offers small installment loans to borrowers with little or no credit history at rates that are high compared to other bad-credit lenders. It operates in only a few states and sometimes funds loans within hours, whether you apply online or in person.

How to choose an emergency loan

Funding speed: If you urgently need funds, consider a lender that offers fast funding, like Rocket Loans or Upstart. While some lenders offer same-day funding, typical funding times are two to seven days. Online lenders often disclose how long it takes, so you’ll know what to expect before applying.

Gather the required documents — such as W-2s, pay stubs and bank account statements — before you apply for a loan, and promptly answer the lender's questions to speed up the loan process.

Loan costs: Speed may seem more important than loan cost, but it’s still important to compare fees and annual percentage rates from multiple lenders. Most online lenders offer pre-qualification, which involves a soft credit check and allows you to preview your rate and term without impacting your credit score.

The loan with the lowest APR is the cheapest and usually the best choice, as long as the monthly payments are affordable. Use a personal loan calculator to estimate your total interest and monthly payments on a new loan.

Lender features: In addition to the rates and fees, consider payment options and other features. Some lenders let you choose your payment due date, forgive late fees or allow you to skip a payment if necessary. Lenders may also provide financial education on their websites.

» MORE: Pre-qualify with multiple online lenders on NerdWallet

Credit union loans for emergencies

You can also get emergency loans from a local credit union. These not-for-profit lenders are often good options for borrowers with bad credit because they consider your entire financial picture — not just your credit — and may provide lower rates and terms. Some offer short-term payday alternative loans in amounts up to $2,000.

Becoming a credit union member typically requires you to live, work or study in a particular area, or be associated with a particular group. You'll need to purchase a share in the credit union to open an account ($5 to $25).

Institutions that offer credit union loan options include PenFed Credit Union and First Tech Credit Union.

» MORE: NerdWallet's picks for best credit unions

No-credit-check emergency loans

Be wary of lenders that don’t check your credit when they offer you an emergency loan. Some no-credit-check installment loans share characteristics with conventional payday and auto-title loans, including sky-high interest rates and additional fees that make the loan less affordable than you initially thought it would be.

Some online lenders, such as Rise and OppLoans, offer emergency loans and are positioned as low-cost alternatives to payday loans. However, their rates are still high, and you should consider these lenders only after you've ruled out other lower-cost options. Capital Good Fund is another no-credit-check lender that offers lower rates, but is available in only a handful of states.

» MORE: Compare installment loans for bad credit

Emergency loan alternatives

Cheaper alternatives to borrowing are not always fast or convenient, and sometimes they require asking for help. But NerdWallet strongly recommends exhausting alternatives first, even in an emergency. Here are some possible alternatives to an emergency loan.

• Get help from local nonprofits, charities and religious organizations.

• Explore options to pay off medical bills, like a payment plan or income-driven hardship plan.

• Ask your employer for an emergency loan or a paycheck advance, or consider using an app like Earnin.

• If you are comfortable with it, ask family and friends for a loan through lending circles or a loan agreement.

» MORE: Learn about alternatives to payday loans

Build an emergency fund

Once your emergency passes, do what you can to build an emergency fund that can help you avoid taking high-cost loans in the future.

Most financial experts recommend saving between three and six months’ worth of living expenses. If that seems like a lot, start small with savings of $10 to $20 per week. Set a goal to save at least $500, which can usually cover small emergency expenses like minor car repairs.