What Counts as Bad Credit?
Quick answer: Yes — you can get a loan with bad credit or no credit history. Lenders like Oportun (no minimum score, 25–36% APR) and OppLoans (any credit, 59–160% APR) do not require good credit. Crane Finance also accepts any credit score but charges 449–750%+ APR. Compare your options before applying — a 580 score opens up significantly cheaper rates.
Credit scores in the US are most commonly measured on the FICO scale of 300–850. Lenders' definitions of "bad credit" vary, but these are the standard bands:
A score below 580 is what most lenders consider "bad credit." However, having bad credit doesn't mean you have no options — it means your options are narrower and typically more expensive. The goal of this guide is to help you find the least expensive option available for your score range.
Your Loan Options with Bad Credit
Depending on how low your credit score is, you may qualify for:
- No-credit-check lenders (OppLoans, Oportun) — use alternative data, APR 25–160%
- Tribal lenders (Crane Finance) — no score requirement, APR 449–750%+, last resort
- Fair-credit lenders (Avant, Upgrade) — require 560–580+, APR 9.95–35.99%
- Credit unions — often lend to members with poor credit at 18% or less
- Secured personal loans — require collateral (car, savings), lower APR
- Paycheck advance apps — $50–$500, minimal fees, no credit check
Crane Finance for Bad Credit
Crane Finance is one of the most accessible lenders in the US market for bad-credit borrowers. There is literally no minimum credit score, and they use alternative data sources (Clarity, DataX, Factor Trust) rather than traditional bureau checks — meaning recent bankruptcies, collections, and even no credit history at all do not automatically disqualify you.
The critical limitation is cost. Crane Finance's tribal structure exempts it from state interest rate laws, allowing it to charge APRs that often exceed 500%. For someone with genuinely no other option, this can be a lifeline. For anyone who can qualify elsewhere — even at OppLoans' 59–160% APR — choosing Crane Finance means paying dramatically more.
Lenders Ranked by Credit Accessibility & APR
How to Build Your Credit While Borrowing
If you need to borrow now and want to improve your credit, choose a lender that reports to the credit bureaus and treat the loan as a credit-building tool:
Choose OppLoans, Oportun, or Avant
All three report to all three major bureaus. On-time payments gradually raise your score, potentially qualifying you for lower rates on your next loan.
Never miss a payment
Payment history is 35% of your FICO score — the single largest factor. Set up automatic payments to ensure you never miss a due date.
Keep credit card utilization below 30%
If you have any credit cards, keeping balances below 30% of your limit is the second fastest way to raise your score after on-time payments.
Open a credit-builder account
Credit unions and fintechs like Self offer credit-builder loans specifically designed to improve your score. Monthly payments are reported to bureaus, and you receive the accumulated amount at the end of the term.
Frequently Asked Questions
Will a Bad Credit Loan Help You Improve Your Credit Score? (And Improve Credit Overall?)
Whether your loan helps you build credit depends entirely on which lender you choose:
| Lender | Reports to Bureaus (Helps Improve Credit) | Builds Credit | APR |
|---|---|---|---|
| Oportun | Yes | Yes | 25-36% |
| OppLoans | Yes | Yes | 59-160% |
| NetCredit | Yes | Yes | 35-155% |
| Crane Finance | No | No | 449-750%+ |
If improving your credit score is a goal, choose Oportun, OppLoans, or NetCredit — all three report on-time payments to Equifax, Experian, and TransUnion. Crane Finance does not report to any bureau, so even perfect repayment will not improve your credit score. Use this comparison table when deciding which bad credit loan to take.