Are There Bad Credit Loans With A Credit Score Under 500?
You've made some mistakes, maybe had an unusual situation, and your credit score was affected. While it's not the end of the world, you might be asking yourself, ‘Where can I get a loan with really bad credit?’. Auto Cash USA is an option for finding quick funds for bad credit borrowers.
Financing with poor credit is different than applying for cash loans with good credit. Those with a low score must expand how they look at their credit options. It isn't just about getting a credit card. It becomes more of how to manage your money and pay for unexpected expenses. It’s important to understand more about credit and credit scores to know which loans for bad credit are best for you.
Understanding Your Credit Score And Taking Out Bad Credit Loans
Credit scores range from 300 to 850. Most credit card companies and other lenders require at least a 600 score before lending you money. A score below that is considered bad.
Credit scores can be tricky because anything can affect them. Those who apply for several different credit options will see a drop in their score even if they aren't approved or don't take out the loan. That's because anyone who does a "hard pull" will cause your score to drop. A hard pull is done when ordering a full credit report.
The reason your score drops is that the credit bureaus see you are trying to obtain credit.
In recent years, many people have filed for bankruptcy to protect investments like homes and cars. Doing this will also cause a drop in credit. However, your credit score will increase quickly as you pay off your bankruptcy. That means you will be able to get credit more easily as you make payments.
Small bills, like that $10 unpaid dentist bill, can lower your credit score as much as large car notes. Paying it off can bring your score up. However, paying off an old debt can lower your score temporarily because it has been "inactive" and paying it brings the credit loan to an "active" status on your credit report.
Loans For Bad Credit Scores
While your loan options are limited, a bad credit score below 500 doesn't mean you can't get approved for credit. However, it does mean the terms and loan rates won't be great. There will be high interest and probably a low loan amount.
You probably won't be able to get a car loan or a personal loan but bad credit loans options include a secured credit card. A secured credit card is one way to rebuild your credit and establish a new credit history, making secured cards good loans for low credit scores under 500.
Secured credit cards also have lower fees than most other cards aimed at those who need financing with poor credit. It's like a pre-paid card but is different because it functions like a credit card reporting to all three credit bureaus whereas a prepaid card doesn't report.
There are also medical credit cards specific to paying for things, like doctor's office visits, dental bills, and even vet costs. These loans for bad credit scores under 500 are also a good option.
Other Loan Options
Those wondering ‘Where can I get a loan with really bad credit?’ may want to consider other options if they need money quickly to fund an unexpected expense like a plumbing repair in your home. In those cases, title loans are an option. They offer quick funds for bad credit borrowers with a credit score under 500.
Title loan lenders will allow you to borrow money based on the value of your vehicle and often don't consider credit scores as part of the process. Your collateral is your paid-off, lien-free vehicle title, which secures the loan. You can keep your car during the repayment process so it won’t interrupt your daily routine.
This type of loan can make it possible to pay off an emergency without damaging your credit further. It can also help to improve your financial health while you work to pay down debt and start an emergency fund.
Using Auto Cash USA
Auto Cash USA is a place to find loan lenders that offer the fast title loan cash you need. Most vendors in their system can approve title loans up to $15,000. These lenders only require a few items to qualify; including a driver's license or state-issued ID, a clear title to your vehicle, and your vehicle available for a quick inspection to determine its value and by extension, how much you can borrow.
Most are quick about getting you through the process, which can take as little as 30 minutes. And if approved, you can get your money either that day or the next business day.
Auto Cash USA has licensed title loan lenders across the country so you know the loan representative you deal with is legitimate. Title loan lenders on the Auto Cash USA site welcome all types of credit so you can get personal loans for low credit scores under 500.
Fill Out Our Online Form To Speak With A Title Loan Representative Today
All it takes to find out how to get emergency cash is to fill out a form with Auto Cash USA. Once you fill out the inquiry form, a title loan vendor in your area will call you to explain how to get loans for bad credit scores under 500.
The form only takes a few minutes to complete and the phone call should only take a few minutes too. There is no obligation to take out a title loan by filling out the form. It could be a way to get the money you need for your unexpected expenses, so take a moment to get the details you need to make the right decision for your financial needs and personal loan options.
Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.