Compare Bad Credit Loans

  • Loan options for borrowers with bad credit ratings can include unsecured personal loans, guarantor loans and credit lines, as well as secured loans
  • Protect your credit file and see which loans you qualify for using Freedom Finance's eligibility checker*
  • Or you can use See Deal buttons to go direct to the provider, remembering to check loan details and more info carefully before you apply
11 products found
    • Norton Finance Personal Loan - For homeowners only logo
      Broker

      Norton Finance Personal Loan - For homeowners only

      • Only available to homeowners
      • Loan Type
        Unsecured
      • Representative APR
        15.4% APR
      • Available Amounts
        £3,000 to £25,000
      • Min / Max Terms
        1 to 25 years
      See Deal on Norton Finance's website + More info
    • KOYO Personal Loan logo

      KOYO Personal Loan

      • Powered by Freedom Finance
      • Loan Type
        Unsecured
      • Representative APR
        22% APR
      • Available Amounts
        £1,500 - £7,500
      • Min / Max Terms
        1 to 5 years
      Check Eligibility on Freedom Finance's website + More info
    • Freedom Finance Personal Loan logo
      Broker

      Freedom Finance Personal Loan

      • Loan Type
        Unsecured
      • Representative APR
        27.5% APR
      • Available Amounts
        £500 to £25,000
      • Min / Max Terms
        1 to 7 years
      Check Eligibility on Freedom Finance's website + More info
    • Oplo Personal Loan logo

      Oplo Personal Loan

      • Only available to homeowners
      • Loan Type
        Unsecured
      • Representative APR
        28.5% APR
      • Available Amounts
        £2,000 to £15,000
      • Min / Max Terms
        2 to 6 years
      Check Eligibility on Freedom Finance's website + More info
    • 118 118 Personal Loan logo

      118 118 Personal Loan

      • Powered by Freedom Finance
      • Loan Type
        Unsecured
      • Representative APR
        44.9% APR
      • Available Amounts
        £1,000 to £5,000
      • Min / Max Terms
        1 to 2 years
      Check Eligibility on Freedom Finance's website + More info
    • Guarantor My Loan logo

      Guarantor My Loan

      • Guarantor
      • Powered by Freedom Finance
      • Loan Type
        Guarantor
      • Representative APR
        48.9% APR
      • Available Amounts
        £1,000 to £10,000
      • Min / Max Terms
        1 to 5 years
      Check Eligibility on Freedom Finance's website + More info
    • Aspire Money Personal Loan logo
      Broker

      Aspire Money Personal Loan

      • Loan Type
        Unsecured
      • Representative APR
        49.7% APR (£100 to £8,000)
      • Available Amounts
        £50 to £25,000
      • Min / Max Terms
        1 to 5 years
      See Deal on Aspire Money's website + More info
    • George Banco Guarantor Loan logo

      George Banco Guarantor Loan

      • Guarantor
      • Powered by Freedom Finance
      • Loan Type
        Guarantor
      • Representative APR
        49.7% APR
      • Available Amounts
        £1,000 to £15,000
      • Min / Max Terms
        1 to 5 years
      Check Eligibility on Freedom Finance's website + More info
    • Bamboo Personal Loan logo

      Bamboo Personal Loan

      • Powered by Freedom Finance
      • Loan Type
        Unsecured
      • Representative APR
        59.7% APR
      • Available Amounts
        £1,000 to £8,000
      • Min / Max Terms
        1 to 5 years
      Check Eligibility on Freedom Finance's website + More info
    • Likely Loans Personal Loan logo

      Likely Loans Personal Loan

      • Powered by Freedom Finance
      • Loan Type
        Unsecured
      • Representative APR
        59.9% APR
      • Available Amounts
        £500 - £5,000
      • Min / Max Terms
        1 to 3 years
      Check Eligibility on Freedom Finance's website + More info
    • Everyday Loans Personal Loan logo

      Everyday Loans Personal Loan

      • Powered by Freedom Finance
      • Loan Type
        Unsecured
      • Representative APR
        99.9% APR
      • Available Amounts
        £1,000 - £15,000
      • Min / Max Terms
        18 months - 5 years
      Check Eligibility on Freedom Finance's website + More info

Also for Bad Credit Loans

If you are thinking of consolidating existing borrowing you should be aware that you may be extending the terms of the debt and increasing the total amount you repay.

Our service is free of charge but we receive commissions from the providers we refer you to. This table is initially ordered by representative APR. You can use the options above the table to order it according to various criteria. You may be offered different rates depending on your personal credit rating.

*Eligibility Service:

This loans comparison also contains products that can be applied for directly with the lender. These products do not form part of the eligibility service and terms should be checked carefully before proceeding.

The loans eligibility service is provided by Freedom Finance. The data you supply and submit is used to retrieve loan quotes from Freedom's panel of lenders. By using their loans eligibility service you are agreeing to Freedom's terms and conditions and privacy policy which can be found at freedomfinance.co.uk

Freedom Finance is a trading style of Freedom Finance Limited who are authorised and regulated by the Financial Conduct Authority. Freedom Finance Limited. Registered Office. Atlantic House, Atlas Business Park, Simonsway, Manchester, M22 5PR. Registered in England & Wales 06297533. FCA No. 662079. VAT Registration Number 257 0001 44.

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Information written by Sarah Bridge Published on 05 July 2017. Last updated on 13 May 2021.

What is a bad credit loan?

Bad credit loans are meant for people who have a poor credit score due either to past money troubles or limited credit history.

You can use bad credit loans for emergency expenses, such as car repair, or to consolidate debts into one simple repayment, which can make it easier to repay them and keep track. Some people take out a bad credit loan to try and improve their credit score by showing they can manage debt.

Taking out a loan when you already have a poor credit rating isn’t an easy decision to make. Anyone who has struggled with debt problems in the past will be aware of how easy it is for debt to pile up and become out of control. However, sometimes the right loan can help people in such circumstances, providing it is affordable for the borrower.

Although finding a lender that offers bad credit loans isn’t as easy as finding lenders who offer other loans, they are still available – you just need to know where to look. Our bad credit loan table will help you find some options that could work for you.

» MORE: How to check your credit score

Types of bad credit loans

Bad credit loans come in various forms. Each type of loan is suitable for different scenarios, so it takes some careful research to ensure you are applying for the type of loan that will suit your needs and circumstances.

Main types of bad credit loan

  • Secured loan: Although secured loan providers tend to offer larger sums of money over a long period of time, they are often less strict about borrowers’ credit ratings as the loan is secured against a property. If the borrower fails to repay, the lender has the option to force the sale of the property to recoup the money owed, so there is less risk to the lender. For borrowers, however, borrowing this way is risky as you could lose your home, so it’s vital that you are confident you can meet the repayment responsibilities before committing to a secured bad credit loan.
  • Guarantor Loans: Guarantor loans are a popular, unsecured method to obtain a loan despite having a poor credit history. If you have a close friend or loved one who is financially stable and has a good credit score, they can opt to act as a guarantor to your loan. Although you are the borrower, your guarantor agrees to cover the cost of the repayments if you are unable.
  • Regular personal loan: There are various lenders who will consider offering a personal loan to people with bad credit histories. These are unsecured loans and usually come with higher interest rates, and you will have to meet other eligibility criteria, such as having a steady reliable income, and be able to afford the repayments.
  • Peer-to-peer borrowing: Peer-to-peer loans are offered by private investors rather than traditional lenders. Some peer-to-peer loan options may be available to borrowers with a poor credit rating, but interest rates will usually be high and other lending criteria will apply.
  • Debt consolidation loans: By merging different loans into a single loan, you can simplify your repayments with a bad credit consolidation loan. These loans come with a single level of interest from one lender, as opposed to maintaining multiple rates from multiple lenders on different debts. Debt consolidation loans can be secured or unsecured.

Applying for a bad credit loan

Before applying for a bad credit loan, you’ll want to think carefully about whether this type of loan is the best option for you. To ensure you choose the right kind of loan, ask yourself:

  1. Are there cheaper alternatives available to me, such as a bank overdraft or the option of borrowing from a family member?
  2. Will I be able to borrow enough?
  3. Can I afford the repayments over the entire term of the loan?
  4. Can I repay early without incurring charges?
  5. What is the loan APR?

If you decide applying for a bad credit loan is right for you, first use our comparison table to see deals or check your eligibility.

Loans for Bad Credit FAQs

What are the best loans for bad credit?

Can I get a personal loan with bad credit?

Where can I get a loan with bad credit?

How do I get a bad credit loan?

Can I use a bad credit loan to pay off debt?

Can I get a bad credit loan for a car?

Can I get a bad credit loan without a guarantor?

Are bad credit loans risky?

About the author:

Sarah Bridge has been writing about business and finance since 2000. She was formerly Deputy Editor, Personal Finance, The Mail on Sunday and was previously the paper's Leisure Correspondent. Read more