Get a $5,000 Dollar Loan With Bad Credit Today

Do you need a $5,000 bad credit loan to help cover bills or pay down debt? Our guide below lays out how to get a $5,000 loan with bad credit, as well as some of the best options for where to get a loan right now. In these past 15 months of worldwide pandemic, we have seen things that have never happened before. Countries and businesses shutdown for weeks and months, people working from home, closed daycares, and sadly, many shuttered businesses, resulting in near record-breaking unemployment.

You may have found yourself un-or-underemployed. Maybe you have built up some debt and it has affected your credit score and now you need a 5,000 dollar loan to help get you back on your feet.  Or, maybe you have an unexpected expense, such as having to get your car fixed or a hospital bill.

At Turbo Finance, we can connect you with a free debt relief consultation to help you through what can be a very confusing, pressure-filled time in your life to help you make the right decisions.

How Can I Get a $5,000 Loan with Bad Credit?

Believe it or not, you are not alone in seeking out how to get a 5000 dollar loan with subprime credit. Many people with credit scores between 550 and 669 are able to secure loans. While there is no sure way to get bad credit loans with guaranteed approval of $5,000, you certainly have options. There are three main types of loans you may be able to get which are:

  1. Installment Loans: These are unsecured personal loans. You pay it back monthly from more than six months up to six years. $5,000 bad credit personal loans with guaranteed approval can be found easily online.
  2. Short Term Loans: This loan is expected to be paid in full, as a lump sum, with interest after a short, agreed upon term.
  3. Credit Card Loans: You have probably heard of the dangers of credit card debt. Due to high interest rates and low monthly payment options, you can find yourself paying this type of loan off for a very, very long time.

What would Payments be on a $5,000 Loan?

You will find that loan repayment amounts vary depending on lots of factors. Here are some to take into consideration when considering where to get a 5000 dollar loan with bad credit:

  • Repayment Time: The shorter the time period you have to payback the loan, the higher the payments will be, even if the interest rate is lower on a 5k loan with bad credit.
  • Interest Rate: Depending upon factors such as your credit score, the type of loan you qualify for and the length of time you need to pay it back can all affect your interest rate. Interest rates on the personal loans mentioned above usually range from 5.99% to 35.99%. The good thing with this option is that $5,000 bad credit personal loans with guaranteed approval are readily available online nowadays.
  • Credit Score: Generally speaking, the higher your credit score, the better interest rate you can get.
  • Income: What you make weekly or monthly helps creditors determine how long it will take you to pay back your loan.
  • Rough Examples: Say you were able to get a 6% interest rate on a $5,000 loan and were able to pay it off in two years. That would cost you $222/month. You would pay $318 in interest.

However, if you need to take 7 years to pay of a $5,000 loan to ensure you don’t default, you would more likely get a 10% interest rate. However, your monthly payments would only be $83. Your total interest paid would be $1,972. So, more interest, but more affordable monthly.

How Can I Get a $5,000 Loan Fast?

If you need $5,000 dollars now, you are in luck in today’s market. There are many loan companies that have same day to 24-hour response time after you turn in your paperwork. Also, many companies will allow you to fill in the paperwork or at least prequalify online. While there is no absolute guaranteed approval on a $5,000 bad credit loan, find out what some of your best options below are if you need money now.

Having said that, you still need to do your research to find out which type of loan and which company will be right for you. Below are some companies that can help you borrow money with bad credit.

7 Different Bad credit Loans to Consider:

  1. Lendyou: accepts all credit histories and provides a quick and easy way to get the money you need. Loans of any size are available to you quickly and without difficulty.
  2. Brighter.Loans: Brighter Loans always offers a free service throughout the experience, connecting visitors with lenders who are ready to offer personal loans up to $35,000. The funds are available as early as the next business day, often including $5,000 bad credit personal loans with guaranteed approval.
  3. Opploans: Online Installment Loans for People with Bad Credit. Receive $500 to $4,000 by the end of the following business day1.
  4. Avant: Has loans available for those with a credit score of 550 and above. You can find out in one day if you have been accepted for a loan. The APR can range from 9.95 – 35.99%. Loans range from $2,000 to $20,000. There are administrative and late fees to be aware of.
  5. Upstart: This company approves loans for those who don’t have much credit history. They accept credit scores of 580 and above. You must have a minimum gross income of $12,000 annually. They will let you know in one day. Their APR is 8.94 – 35.99% and they produce loans from $1,000 to $50,000.
  6. Rocket Loans: Minimum credit score needed to qualify is 640. The APR is 7.16 – 29.99%. There is a discount for automatic payment. Required income is $20,000 annually. There are some fees involved, but they will let you know in one day. Loan amounts vary from $2,000 to $45,000.
  7. Lending Point: If you qualify, funds may be available as soon as the next day. This company accepts credit rates of 600 and above. However, their APR is high. It starts at 15.99% and tops out at 34.99%. So, if you can get a lower rate someplace else, it may be worth it to shop around. Loans offered range from $2,000 to $25,000.

Will Getting a Loan with Bad Credit Affect My Credit Score?

The short answer is yes. Anything you do financially affects your credit. When you apply for a 5K loan with bad credit, the company you apply with will do what is called a hard credit check. This is a thorough credit check that will go on your credit report for two years, but only be counted for one. And remember, depending on your financial situation being debt free can be worth damaging your credit score in the short term.

It is important for you to ask questions while you are shopping for a loan. You should know if the company you are inquiring about for rates and terms and prequalifying is doing a soft check, which does not affect your credit, or a hard credit check, which will affect your credit. Most companies do a soft check, but some, like banks, may do a hard check, and you do not want a lot of those on your credit.

Once you obtain a loan, you have the opportunity to fix your credit yourself. If you have chosen options that fit your budget and timeline, make sure you make your payments on time. Some companies will allow you to have payments deducted from your checking account and even give you a discount for that. That is a great way to help build your credit score by taking out a loan with bad credit.

However, you can do equally as much damage if you make late payments, and it can cost you as well if your loan agreement includes late payment fees.

Get a $5,000 Loan Now With Bad Credit

You can find a $5,000 loan in today’s market with bad or fair credit. You can even shop around to get the best rate and payment options for your situation. Turbo Finance is always here to help connect you with free counseling and advice. Do your research, be realistic and make your payments on time. This will enhance and protect your financial future.