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Compare bad credit loans, personalised for you

Get a loan even if you have a poor credit history or bad credit rating. Compare our best loans for bad credit from a wide range of UK loan providers.

  • Borrow £1,000 - £25,000

  • Compare loans from dozens of lenders

  • Repay over 1 - 5 years

Bad credit, missed payments or past debt will not necessarily stop you from being able to get a loan.

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Checking won't affect your credit score

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How it works

1

Check your eligibility

Answer a few quick questions. This will not impact your credit score.

2

Compare personalised loans

See the exact amount you’ll need to pay each month – no estimates.

3

Apply online

Complete your application on the lender website. You could get your money in hours.

See the interest rate you’re eligible for before you apply

With real interest rates you'll see exactly how much you’ll need to pay each month. And which lenders will pre-approve your application before you apply.

4 results found, sorted by lowest representative apr. How we order our comparisons.
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Everydayloans Personal Loan
Loan type
Personal
Loan amount
£1,000 to £15,000
Representative APR
99.9% APR (£1,000 to £15,000)
Loan term
2 years to 5 years
No effect on your credit rating on initial application. No fees or charges. T&Cs apply.
Representative Example: The Representative APR is 99.9% APR (variable) so if you borrow £3,000 over 2 years at a rate of 71.3% p.a (variable) you will repay £238 per month & £5,706 in total.
Eligibility
Credit rating acceptedpoor
Guarantor requiredfalse
Minimum Age21 years
Minimum income£15,000
UK Resident

We are classed as a credit broker for consumer credit, not a lender.

Our services are provided at no cost to you. We may receive a commission from the companies we refer you to, but this does not affect what you will pay for the product you choose.

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Your personalised loan results are powered by Accepty. They make sure you see real interest rates. Not just estimates.

What are bad credit loans?

Loans for bad credit are offered to those who have trouble getting credit due to a poor credit history. Instead of basing the eligibility for a loan primarily on a credit check, lenders look at each borrower’s individual financial circumstances and assess whether they can afford the loan they are applying for.

So even if you have bad credit, have missed payments on your debt in the past, you may still be able to get a loan.

Types of bad credit loans

Personal loan

These are loans which don’t require you to put up an asset as security for the loan. If you have bad credit, you may be limited to a small number of providers to borrow from. It's important to keep in mind that interest rates on bad credit loans tend to be higher than standard personal loans.

Secured loan

These are loans, often known as homeowner loans, for which you are required to put up an asset such as a car or house, as security for the loan. If you are unable to repay the loan, the lender can repossess your asset. While these loans give you a better chance of approval, they put your possessions at risk.

Guarantor loan

These are loans which require you to appoint a guarantor. A guarantor is a financially stable parent, relative or friend who will agree to repay the loan if you are unable to. Some providers require guarantors to be homeowners, so they should be aware that their homes could be put at risk.

Peer to peer loan

These are loans where you borrow from an individual instead of borrowing from a bank, building society or credit union. Peer to peer loans are usually available through online peer to peer lending platforms, where individual lenders lend out money to earn returns in the form of interest.

What to consider before you apply for a bad credit loan

Do you need to borrow urgently

Unless you need the money right away, it might be a good idea to wait until you can improve you credit score before you apply for a loan for bad credit. It'll help you save money with a better interest rate and reduce the risk of defaulting.

How much you need to borrow

The amount you need to borrow plays a role in being accepted for credit. It can also determine the APR you get. Typically, the larger the amount, the lower the interest rate. But it's important to only borrow the amount you need.

How long you need to repay the loan

Although a longer loan term will result in lower monthly payments, it'll also cost you more as you'll pay more in interest overall. Pick a term that allows you to repay the loans as quickly as possible, while keeping monthly repayments affordable.

What you can afford to pay each month

Keeping monthly repayments affordable is especially important if you have bad credit. Not only can a missed payment lead to extra charges, but it can also hurt your credit score further and make it more difficult to get credit in the future.

How to get a bad credit loan

1

Compare loans using the comparison table

When comparing loans consider the APR offered, the monthly repayments and the total amount you will pay back.

2

Choose a provider and a deal that suits your needs

Pick a provider that offers you the best combination of APR, term and monthly payments that suit your financial needs.

3

Fill out a loan application form

Typically, you'll need to provide name and address information and bank details, as well as a summary of your monthly incomings and outgoings.

4

Start using the funds

Once you've been approved, the funds are usually deposited within a day or two, but it can sometimes take up to a week.

Make sure to keep up with your monthly payments. Missing payments hurts your credit score and makes it harder to get credit in the future.

Eligibility requirements for bad credit loans

  • Be at least 18 years old

  • Have a current account

  • Be a legal resident of the UK

  • Be able to show how you’ll repay the loan

What are the drawbacks of bad credit loans?

  • High interest rates: Loans for bad credit have much higher interest rates than standard loans, as borrowers represent a higher risk to lenders. This tends to happen with unsecured loans where there is no security or guarantor.

  • Risk of repossession: If you put up an asset, such as your car or home, as security for your loan, you may lose it if you fail to repay the loan.

  • Fees: Poor credit loans come with several fees attached, such as arrangement fees, bounced payment fees or early repayment fees.

"Bad credit loans are an expensive way to borrow money. But you can still get a good deal and save money if you compare loans.

"Make sure you only borrow the amount you need and apply for the type of loan that suits your circumstances."

What are the alternatives to taking out a bad credit loan?

It’s possible that, depending on what you’re borrowing for and how much you intend to borrow, you could consider other forms of credit.

Credit cards

While a loan may allow you to borrow a larger amount, with a credit building card you can apply for a smaller amount to improve your chances of being accepted. If you then make sure you keep up with repayments, eventually you can have your credit limit increased.

Overdrafts

If you’re looking to borrow a small amount of money, then an overdraft may be a more suitable option. If you feel the need for an extra cushion to cover your regular expenses on occasion, you can apply for an overdraft with your current account provider.

You can find out more information on this subject by reading our detailed guide on how to borrow with bad credit.

If you're struggling with debt...

More than half of UK adults started 2021 in debt, and one in four claim that debt was a direct result of the COVID-19 pandemic¹.

During that same period, figures show that more people repaid consumer debt, with total repayments of £16.6 billion – the most repaid since 1993².

If you are worried about your debts, it’s really important to get free impartial advice – there is no need to pay for it. StepChange is the UK’s leading debt charity and their experts can give free advice and support to help you get back on track with your finances.

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Why compare bad credit loans with money.co.uk?

Comparing bad credit loans could save you money. Our multiple award-winning comparison service makes sure you get the lowest rates possible based on your individual circumstances. Our aim is to provide you with the most up-to-date information, as well as useful tools and calculators to help you make life's most important decisions and take control of your money.

Proud to be award winning

We have always aimed to provide the best possible services to bridge the gap between our users and our clients. Over the years, we have been thrilled to be recognised by various prestigious bodies and organisations for those efforts.

¹Data based on research from money.co.uk's COVID-19 Debt Index
²Based on data from the Bank of England Money and Credit report

Last updated: 11 August 2021