Best fair credit loans of October 2022

Many lenders offer personal loans for fair credit, and shopping around can help you find the best deal. Learn where you can find them and how to apply. (Shutterstock)

A fair credit score falls between 580 and 669, according to the FICO scoring model. If you have fair credit, you may find it more difficult to qualify for a personal loan, especially one that has favorable rates and terms.

But luckily, many lenders offer personal loans for fair credit. It’s important to shop around to find the best personal loans for your situation.

Here's what you should know about fair credit personal loans, including where to find them and how to apply.

Credible makes it easy to see your prequalified personal loan rates from various lenders, all in one place.

• What is a fair credit score?
• Best fair credit personal loans of October 2022
• How to get a personal loan for fair credit 

What is a fair credit score?

The FICO credit-scoring model ranges from poor to excellent. If you have fair credit, your score sits between the good and bad credit score ranges. Although you can still qualify for a personal loan with fair credit, you won’t get a lender’s lowest rates — those rates are usually reserved for borrowers with excellent credit. 

Here’s how FICO breaks down credit score ranges:

Best fair credit personal loans of October 2022

If you’re looking for a personal loan, the following 14 Credible partners lend to borrowers with fair credit scores:

Avant

Avant could be a great choice if you have bad credit or a low credit score, and it can fund loans as soon as the next business day (if approved by 4:30 p.m. Central time on a weekday).

• Loan amounts: $2,000 to $35,000
• Minimum credit score: 550
• Loan terms: 2 to 5 years

Best Egg

Best Egg offers larger loan amounts, and you can receive your loan funds within one to three days after successful verification.

• Loan amounts: $2,000 to $50,000
• Minimum credit score: 600
• Loan terms: 2 to 5 years

Discover

If you want to consolidate high-interest debt, Discover could be a solid option — and the lender can send funds directly to your creditors.

• Loan amounts: $2,500 to $35,000
• Minimum credit score: 660
• Loan terms: 3 to 7 years

Happy Money

Happy Money, formerly Payoff, offers loans specifically for debt consolidation and credit card consolidation. You can receive loan funds in as soon as two to five business days after verification.

• Loan amounts: $5,000 to $40,000
• Minimum credit score: 600
• Loan terms: 2 to 5 years

LendingClub

LendingClub offers loans to borrowers with a 600 credit score or higher, and loan funding time takes about two days.

• Loan amounts: $1,000 to $40,000
• Minimum credit score: 600
• Loan terms: 3 or 5 years

LendingPoint 

You can use a LendingPoint loan for a variety of purposes, including debt consolidation. And the lender can fund loans as soon as the next business day.

• Loan amounts: $2,000 to $36,500
• Minimum credit score: 580
• Loan terms: 2 to 6 years

LightStream

LightStream offers some of the largest personal loan amounts available, and the lender can deposit funds into your account as soon as the same business day.

• Loan amounts: $5,000 to $100,000
• Minimum credit score: 660
• Loan terms: 2 to 7 years for most loans

Marcus 

Marcus offers some unique features. For example, you can defer one monthly payment without being charged interest after making on-time payments for 12 months.

• Loan amounts: $3,500 to $40,000
• Minimum credit score: 660
• Loan terms: 3 to 6 years

OneMain Financial

If you feel more comfortable applying for a loan in person versus online, OneMain Financial may be worth considering.

• Loan amounts: $1,500 to $20,000
• Minimum credit score: None
• Loan terms: 2 to 5 years

PenFed

PenFed is a credit union that offers flexible loan amounts, and it’s a good option if you only need a small loan. But if you’re approved for a loan, you’ll have to become a member of the credit union.

• Loan amounts: $600 to $50,000
• Minimum credit score: 660
• Loan terms: 1 to 5 years

Prosper

Prosper is a peer-to-peer marketplace that can fund personal loans in as little as one business day.

• Loan amounts: $2,000 to $50,000
• Minimum credit score: 640
• Loan terms: 2 to 5 years

Universal Credit 

If you need to take out a small loan, Universal Credit could be a good choice. You can receive loan funds within one day, once approved.

• Loan amounts: $1,000 to $50,000
• Minimum credit score: 560
• Loan terms: 3 to 5 years

Upgrade 

If you’re looking for flexible repayment terms, Upgrade could be a solid option. The lender can fund loans within a day of clearing necessary verifications.

• Loan amounts: $1,000 to $50,000
• Minimum credit score: 560
• Loan terms: 2 to 6 years

Upstart

Upstart is a lending platform that considers factors beyond your credit score, such as your education and experience. As a result, you can qualify even if you have minimal or no credit history.

• Loan amounts: $1,000 to $50,000
• Minimum credit score: 580
• Loan terms: 3 to 5 years

Visit Credible to compare personal loan rates from various lenders, without affecting your credit.

Other lenders to consider 

The following two lenders aren’t Credible partners, so you won’t be able to easily compare your rates with them on the Credible platform. But they may also be worth considering if you’re looking for a personal loan for fair credit.

Earnest

Earnest matches you with different lenders through its online personal loan tool, Fiona.

• Loan amounts: $1,000 to $250,000
• Minimum credit score: Does not disclose
• Loan terms: 6 months to 12 years

U.S. Bank

U.S. Bank personal loans have no origination fees or prepayment penalties, and you could receive your loan funds as soon as the same day.

• Loan amounts: $1,000 to $50,000 ($25,000 for non-U.S. Bank customers)
• Minimum credit score: 660
• Loan terms: 1 to 7 years (maximum of 5 years for non-U.S. Bank customers)

Methodology 

Credible evaluated the best personal loan lenders for fair credit based on factors such as customer experience, minimum fixed rate, maximum loan amount, funding time, loan terms, and fees. Credible’s team of experts gathered information from each lender’s website, customer service department, and via email support. Each data point was verified to make sure it was up to date.

How to get a personal loan for fair credit

When you apply for a personal loan, lenders look at your credit score, debt-to-income ratio, and other factors to determine how likely you are to repay it. If your score isn’t quite where you’d like it to be, consider adding a cosigner with good credit to your application to boost your approval odds and possibly help you score a lower rate.

If you’re ready to get a personal loan for fair credit, follow these steps:

1. Review your credit. Before you apply, check your credit score to ensure you meet a lender’s minimum credit requirements.
2. Shop around. To find the best deal, compare loan amounts, rates, loan terms, and fees from multiple lenders.
3. Submit a loan application. Once you’ve found a lender that’s right for you, complete a loan application online or in person. You’ll need to provide information, such as your Social Security number, birthdate, income, and tax returns.
4. Sign for the loan and receive funds. If you’re approved, you’ll sign a loan agreement and the lender will disburse your funds, typically through direct deposit to your bank account. You’ll then begin repaying the loan as agreed.

If you’re ready to apply for a personal loan, Credible lets you quickly and easily compare personal loan rates to find one that suits your needs.