If you have a credit score of 550, you may be able to qualify for a personal loan. While the amount you can borrow will depend on the lender, some lenders are willing to work with borrowers who have a credit score of 550 or less. For example, Avant and OneMain Financial do not have a minimum credit score requirement. However, it is important to keep in mind that not all lenders will offer an offer to someone with a low credit score.
Additionally, those with bad credit may be presented with a term limit on their loan. CashUSA specializes in helping low-credit borrowers find loans, but the network's lending partners will continue to set their own individual income and credit rating requirements. It is also important to note that you have dozens of credit scores, not just one. If your credit score is in the 500 to 550 range, qualifying for a credit card is more difficult than if your score was higher.
Personal loans for bad credit generally have higher interest rates compared to good credit loans. To improve your credit score, you can take advantage of government-insured housing programs or use cards that report your activity to the three credit bureaus. Additionally, if you are a military member or veteran, you may be eligible for a VA loan. To get a VA loan, you must apply for a Certificate of Eligibility (COE), available to military members and veterans who meet the minimum active duty requirement, which is usually 90 days. Finally, if you are looking to improve your credit score and payment histories, it is important to focus on paying bills on time and without exceeding your limit.
This will help you build up your credit score over time.