Can I get a payday loan with bad credit?

Quick Answer Yes, you can get a payday loan with bad credit. Payday loans are among many loans that are specifically designed for people with bad credit. Like other bad credit loans, payday lenders typically focus on your income and ability to repay the loan rather than your credit score.

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Tobi Opeyemi Amure ā€¢ Answer updated on Aug 9, 2023

Fact checked by Dwayne Dumesle

Can you get a payday loan even with a bad credit score? Yes!

Most people assume that if their credit score is in the gutter, their chances of getting a loan are as well. While that may be true for traditional loans, it's not the case for payday loans. These loans, often labeled as "bad credit loans," are designed specifically for individuals who don't have the best credit score. šŸ¤·ā€ā™€ļøšŸš«

Learn: How much can I get with a payday loan?

The reason payday lenders accommodate borrowers with poor credit scores is due to their approach to assessing creditworthiness.

Rather than focusing primarily on your credit history, payday loan lenders concentrate on your income and ability to repay the loan by your next payday.

Learn: Can you get a payday loan without a job?

Proof of income is, therefore, crucial when applying for a payday loan. Proof of income can be in the form of:

  • Pay stubs showing your regular earnings
  • Bank statements indicating consistent deposits
  • Other official documentation of benefits
  • Social Security Administration benefit verification letter
  • Proof of a steady source of recurring income, such as disability, retirement, self-employment, or another income source[1]

Once a lender is convinced you can repay the loan, cash is as good as in your hand! But, bad credit loans usually come with a pretty major caveat. āš ļø They are NOT cheap!

Learn: How much is a payday loan?

A payday loan may be your only lifeline if you have poor credit, but know that there's almost always a price to pay for easy access to credit without stringent credit requirements.

Because these loans are so easy to come by, they come with a very high annual percentage rate (APR) and can end up doing more harm than good to your financial situation. So, stay vigilant.

Learn: How much interest do payday loans charge?

Always remember: even with bad credit, you still have options. Just be sure to take the time to understand the terms and conditions of any loan before diving in, don't be afraid to ask questions, and stay in control of your financial future. šŸ™‚


  1. Appendix Q to Part 1026 ā€” Standards for Determining Monthly Debt and Income ā†©ļøŽ

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