Debt consolidation loans for bad credit
Finding a debt consolidation loan with bad credit can be harder, and offers that are available may cost more than your current debts. No one can promise approval. Here's what to watch out for and other options to consider.
What to expect consolidating with bad credit
- FICO describes scores below 580 as poor. Score ranges vary by scoring model, and each lender defines its own criteria.
- With poor credit, a consolidation loan's APR and fees may be higher than what you pay now. Check that the total cost actually goes down before you accept anything.
- Be wary of anyone who promises approval, asks for a fee before you receive the loan, or pressures you to decide quickly. Legitimate lenders disclose the APR and terms before you sign.
- Other options can include a nonprofit credit counseling agency's debt management plan, a credit union loan, or asking your card issuers about a lower payment.
Estimate what consolidating could save
Enter your current balances and their APRs, then the APR and term you want to compare. Both are paid off over the same term.
Estimates only, based on the numbers you enter. Not an offer of credit. Lendara is not a lender.
How checking your options works
When you check your options for a debt consolidation loan with bad credit through Lendara, you answer a few questions about the loan you want, your income and your finances.
If participating lenders have options for you, you can compare them side by side: APR, fees, monthly payment, term and total cost. Nothing is accepted until you choose an offer.
If you decide to apply, the lender reviews your application, may check your credit, and decides whether to approve you and on what terms. Lendara doesn't make that decision.
Frequently asked questions
Can I get a debt consolidation loan with bad credit?
It depends on the lender. Some lenders consider applicants with poor credit, but many don't, and approval isn't something Lendara or any comparison site can promise.
Does a consolidation loan pay off my cards directly?
Some lenders send the money straight to your creditors; others deposit it with you. If it's deposited with you, plan to pay each balance off right away.
Is Lendara a lender?
No. Lendara is a free marketplace that connects you with participating lenders. We don't make credit decisions or lend money.
Related guides
- How to Compare Debt Consolidation Loan Offers
How to compare debt consolidation loan offers on APR, origination fees, term length, total cost and prepayment penalties before you consolidate.
- How Your Credit Score Can Affect the Offers You See
Why the offers you see through a marketplace may vary with your credit score, and how prequalification tools try to show relevant options.
- How to Compare the Total Cost of a Loan (Not Just the Monthly Payment)
Why the lowest monthly payment isn't always the least expensive loan, and a step-by-step way to compare offers by APR, fees, term and the total you'll repay.
Lendara is not a lender and does not make credit decisions. Lendara is a free online marketplace that connects you with participating lenders, who set their own eligibility rules, rates, fees and terms. Lendara may receive compensation from partners, which may affect which offers appear and their order.