Today, Texas seeking quick access to fast cash and emergency cash has a variety of options at their disposal. From trustworthy online lending networks like LendUp to payday advance apps like Brigit, Texans can enjoy favorable loan terms borrowing as little as $100 up to several thousands of dollars for any unexpected expense, repaid as early as your next paycheck.

Keep reading to learn more about bad credit loans in Texas, including our top seven recommended marketplaces/direct lenders, ways to manage monthly budgets, and resources you can tap into to regain financial footing no matter your financial situation.

Why Trust ElitePersonalFinance Guides?

Over the past decade, ElitePersonalFinance has become your go-to financial resource for payday loans, payday advance loans, no credit check loans, and personal loans for bad credit in Texas.

Today, a variety of lending platforms can offer you up to $5,000 with 31.99% to 35.99% APRs, allowing you to secure funds by the next business day with a quick 5-minute application. Whether it’s a lending network like MoneyMutual, payday advance app like Brigit, or credit union loan, there’s no shortage of bad credit loans Texans can borrow with favorable rates and terms.

Thanks for your continued trust in ElitePersonalFinance and its resource guides.

MoneyMutual

For over a decade, MoneyMutual’s participating network of more than 120 direct lenders has provided Texans with quick cash through payday loans, payday advance loans, and personal loans for bad credit.

The platform offers up to $5,000 from many direct lenders, hovering around 31.99% to 35.99% APR territory. Its 24/7 platform allows for a quick 5-minute application, with funds deposited to your checking account in as little as 24 hours. Note that MoneyMutual is not a direct lender but an online aggregator of different lenders offering varying terms and rates.

Service is not available in all states, including New York and Connecticut.

What We Like:

• APRs up to 35.99%
• Loans up to $5,000
• Funds to your account in as little as 24 hours
• Near guaranteed approval and next day funding
• Hundreds of legit bad credit loan providers in Texas

What We Don’t Like:

• Watch out for tribal lenders
• Not available to New York and Connecticut residents

Eligibility & Next Steps:

• Be at least 18 years old
• Minimum monthly income of $800
• Active checking account for loan deposits
• Research and compare loan offers through MoneyMutual
• Completed application through the MoneyMutual website

ZippyLoan

Another one of our favorite online lending marketplaces is ZippyLoan.

It’s legit because credit lenders are ready to offer anywhere from $100 to $15,000 to chip in towards various expenses, including home improvement projects and unpaid traffic tickets. Repayment terms go from six months to 60 months.

At ZippyLoan, all credit types are accepted, including poor credit, fair credit, and bad credit. Note – not all applicants are offered guaranteed approval. Always be skeptical of guaranteed approval offers, often rife with hidden fees and predatory collection practices.

What We Like:

• Approval within minutes
• Repayment terms from six to 60 months
• Cash disbursement from $100 to $15,000
• Poor credit, fair credit, and bad credit accepted

What We Don’t Like:

• No promise of guaranteed approval
• Higher than average interest rates up to 35.99%

Eligibility & Next Steps:

• At least 18 years of age
• US citizen or permanent resident
• Regular source of income of $800+ monthly
• Valid checking account to receive funds from direct lenders
• Research and compare loan offers through ZippyLoan
• Completed online application through the ZippyLoan website

Upstart

Upstart is one of the most innovative online lending platforms around. Its network of hundreds of direct lenders use artificial intelligence to determine a candidate’s eligibility criteria based on factors other than credit score, such as education and employment history, as well as thousands of other non traditional data points.

Upstart loans go anywhere from $1,000 to $50,000 with APRs starting at 6.5%, offering only repayment terms of 36 or 60 months. It’s proud to say that close to 71% of loans are fully automated, ensuring quick sending of funds in as little as one business day (a feature 99% of approved Texas bad credit applicants enjoy).

What We Like:

• No prepayment penalties
• Loan amounts from $1,000 to $50,000
• AI-based lending for easier qualification
• Receive funds within one business day

What We Don’t Like:

• Primarily offers personal loans
• Minimum loan amount of $1,000
• Minimum credit score of 300 required
• Higher than average interest rates and fees
• Only two repayment schedules (36 months or 60 months)

Eligibility & Next Steps:

• At least 18 years old
• US citizen or permanent resident
• Valid checking account
• Minimum credit score of 300
• Recurring source of income e.g. verified employment
• Research and compare loan offers through Upstart
• Completed online application through the Upstart website

LendUp

Promising “the payday loan you deserve, fast,” LendUp is an online personal loan provider that offers Texans instant access to a participating network of direct lenders offering bad credit loans with rates up to 35.99% APR.

According to LendUp, the average Texas credit score required for payday loans is 550, making them much more accessible to those with less-than-perfect credit who have difficulty qualifying from traditional lenders. Plus, many don’t run hard credit checks, using applicants’ income as an eligibility criteria moreso than credit score.

Plus, LendUp’s in-house, U.S.-based customer service team gives consumers confidence loans are being successfully processed and honored.

What We Like:

• No credit checks
• Respectable APRs up to 35.99%
• 5-minute secure online application
• Direct lenders in Texas offering up to $5,000

What We Don’t Like:

• Need a recurring source of income
• Limited number of loan types from direct lenders
• Higher than average APRs from 31.99% to 35.99%
• Research and compare loan offers through LendUp
• Complete the online application through the LendUp website

Eligibility & Next Steps:

• At least 18 years old
• US citizen or permanent resident
• Research and compare loan offers through LendUp
• Resident of Texas with recurring employment source
• Active checking account

TDECU (Texas Dow Employees Credit Union)

Since 1955, Texas Dow Employees Credit Union (TDECU) has been serving Texans with APRs as low as 7.74% on unsecured loans up to $50,000 with zero fees and no collateral required. Several personal loan options include personal loans for bad credit, Home Advantage Personal Loans for homeowners, and its Cash Stash revolving line of credit.

If you want personal loans with slightly lower interest rates from direct lenders, TDECU customers can also take advantage of a Certificate of Deposit (CD) or Share Savings with TDECU, which operates a 2% plus CD or Share Savings rate on 100% of the collateral amount.

What We Like:

• Loans up to $50,000
• APRs as low as 7.74%
• Unsecured and secured bad credit loans in TX
• No prepayment penalties
• Funds available within one business day
• Helpful APR calculator on website

What We Don’t Like:

• Limited to Texas residents
• Stricter eligibility criteria regarding proof of income, employment, and ID

Eligibility & Next Steps:

• Be a Texas resident
• Meet all TDECU membership requirements
• Proof of employment
• Completed application through the TDECU website or at the branch

Brigit

More than 9M users have used Brigit’s Instant Cash program, which allows you to get 0% interest loans of up to $500 for a small same-day Express Delivery fee or free two—to three-business-day turnaround at no fee. This service is offered for a monthly $9.99 membershipwith free repayment extensions.

To qualify, you need only a checking account that has been active for at least 60 days with a balance above $0, along with three (consecutive) recurring deposits from the same employer.

What We Like:

• 0% interest and no late fees
• Monthly subscription of $9.99
• Free repayment extensions
• 2-3 business day, no fee transactions (small fee for same day Express Delivery)
• 4.7 rating across 560K+ reviews in the App Store and Google Play

What We Don’t Like:

• Pricey $14.99 for Express Delivery package
• Max paycheck advance less than Earnin ($750 per pay period)
• Brigit assigns each user score from 40-100, determining max loan amount

Eligibility & Next Steps:

• US citizen or permanent resident
• 18 years of age or older
• Greater than $0 balance required
• Active checking account for at least 60 days
• Monthly subscription fee from $8.99 to $14.99
• Small fee for Express Delivery (same day)
• Three (consecutive) recurring deposits from the same employer

What’s The Word on Bad Credit Loans?

One of the best ways to describe the word on bad credit loans is by giving its pros and cons.

Here are two pros and cons of bad credit loans:

Pros

14 to 30-Day Repayment Terms

One of the best things about the bad credit loans in Texas is their high expediency rate. Loans offer as little as 14—to 30-day repayment terms, allowing users to make minimal interest as long as they plan to pay off the full outstanding balance by that time.

May Report On-Time Payments to Credit Bureaus

If you sign on with one of Texas’s best bad credit lenders, you may have on-time payments reported to the three credit bureaus, which are Equifax, Experian, and TransUnion. Your FICO score consists of making on-time payments. Remember, even a missed payment can drop your credit score by 50 points or more, so we encourage you to stay on top of it.

Cons

No Finance Resources

Online learning networks like MoneyMutual often focus more on unknown processing than actual consumer education. Although many inroads have been made in recent years, you can expect Customer Support options to be limited, and definitely, brands or in-person locations to visit.

Not A Direct Lender

MoneyMutual, Upstart, and ZippyLoan make it very clear they’re not a direct lender, but online aggregators of direct lenders looking to offer bad credit loans to Texans. As a result, customer support options are limited, and all loan terms are negotiated directly with direct lenders, not aggregators.

Are Payday Loans for Bad Credit Legit in Texas?

Generally, many payday loans for bad credit are legitimate in Texas.

Although they are designated as short-term high-interest loans, they come with increased risk for borrowers, including higher than average APRs of up to 35.99%, typical repayment on your next payday (in as little as 2 weeks), the ongoing threat of rollover fees, and the increased risk of a debt cycle.

In order to determine if a payday loan for a credit is legit in Texas. First, always check to see if your lender can work in Texas by checking to see if they are registered with the Texas Office of Consumer Credit Commissioner (OCCC). Simply go to the OCCC website to check.

Second, check for fully transparent terms and conditions that describe your loan’s interest rates, fees, repayment terms, and total cost. Always avoid lenders with vague details or hidden fees buried deep within the fine print, as they’re likely to push for rollovers or extensions without clarification.

Lastly, always be aware of customer reviews and complaints posted on respected sites like the Better Business Bureau (BBB) or the Consumer Financial Protection Bureau (CFPB).

How to Find the Best Bad Credit Loans in Texas

Finding the best bad credit loans in Texas requires extensive research, which allows you to assess lending networks, local credit unions, and mobile banking apps like Earnin, Dave, and Brigit with the same grading criteria and context.

However, before making your final lender selection, keep the following tips and techniques in mind:

Keep Texas Law in Mind

Although no maximum interest rate is set on Texas-based payday loans, any APR exceeding 35.99% enters predatory rate territory.

According to Texas law, minimum loan terms are seven days and maximum loan terms are 180 days, with any number of rollovers allowed. Plus, there is no cooling off period, so borrowers in Texas are more likely to enter a vicious debt cycle if taking out consecutive loans versus other states.

In Texas, the Dallas-Fort Worth and Houston DMAs are two of the heaviest-hit metropolitan areas for bad credit. These areas have the worst payday lending problems, with many unbanked or underbanked populations and volume of payday loan stores in the regions.

Other cities with a high rate of bad credit loan debt for other countries include Jackson, Mississippi, Las Vegas, Nevada, Baton Rouge, Louisiana, and New Orleans, Louisiana.

101 on Qualifying For The Best Bad Credit Loans in Texas

Here are all of our recommended steps to keep in mind when qualifying for bad credit loans in Texas:

Understand Lending Requirements

The first step is to understand lending requirements all bad credit lenders must follow when operating in Texas.

For example, networks like MoneyMutual allow you quick access to cash from lenders offering 31.99% to 35.99% APR on loans up to $5,000 with 24/7 availability, as long as you’re 18 years old, earn a minimum of $800 per month, and have an active checking account.

You can also take out a higher amount, lower cost loan from Texas Dow Employees Credit Union, which offers Share Savings-backed loans for Texas residents. Personal loans go up to $50,000 with APRs as low as 7.74%, complete with no prepayment penalties and funds available within one business day.

However, to join TDECU credit union, you must be a Texas resident, meet all membership requirements, and complete an application online or at a TDECU branch.

Expand Your Horizons

One of the best ways to qualify for bad credit loans in Texas is to expand your horizons and consider alternatives.

For example, Brigit allows you to take out up to $500 per pay period at 0% interest, paid up to two wees early – all for a manageable $9.99 monthly subscription. It also comes with free repayment extensions with funds fee-free in two to three business days ( (or same day for an Express Delivery fee)

To qualify, you must be 18 years or older with an active checking account for at least 60 days, three recurring deposits from the same employer, and one of two subscriptions from $8.99 to $14.99 a month, with the highest tier promising free Express Delivery, credit monitoring, up to $1M in identity theft protection, Earn & Save, and a Finance Helper.

Fee Roundup: Bad Credit Loans in Texas

Securing a bad credit loan in Texas could be one way to start a home improvement project, consolidate debt, meet unexpected expenses, and much more.

However, we advise you to be mindful of the following fees for bad credit loans in Texas:

Annual Percentage (APR)

One of the key things to look out for with Texas bad credit loans is the annual percentage rate (APR), which represents the total cost of borrowing on a loan, including all accrued interest and fees, as a yearly number. According to Texas statutes, payday lenders apply no maximum cap on APR, resulting in commonplace 400%+ APRs. Unsecured loans are repaid in as little as two weeks.

Many users seeking the best bad credit loans in Texas look to auto title loans (where vehicles are offered as collateral) or personal loans with modest, moderate interest rates, ranging from 10% to 36%, depending on their credit mix. However, we highly advise against auto title loans due to their high rate of default.

Constantly carefully assess your annual percentage rate (APR) before signing on the dotted line, as the higher the APR and fees, the higher the total cost of borrowing.

Needless Fees

Two scam-like fees to look out for with bad credit loans in Texas are origination fees and prepayment penalties.

Origination fees are charged by direct lenders to cover the cost of loan processing, comprising a percentage of the total loan amount.

For example, anyone taking $5,000 can expect to pay an origination fee as high as 5% or $500 on top of the principal and amount. Be sure to carefully review the fine print, as origination fees can add up quickly. Likewise, pay attention to late fees, usually a flat amount or applicable to be rolled over to new terms.

Depending on the direct lender, late payment fees should be no more than $30.

Lastly, watch out for early repayment penalties, where you pay off the loan before the agreed-upon due date. Not all direct lenders are open to helping you save on interest payments.

Miscellaneous Fees

In addition to late fees charged by direct lenders, you should also expect anyone or a combination of application fees, return check fees, no extension fees, or any number of administrative fees related to processing bad credit loans in Texas.

Are There Bad Credit Loans With Guaranteed Approval in Texas?

Avoid any bad credit direct lenders promising “guaranteed approval” in Texas for the following reasons:

Deeply Buried in Fine Print

If you have bad credit, watch out for promises of guaranteed approval from direct lenders. Origination and prepayment penalties are typically buried deep within disclaimers. Always ensure that tribal lenders are Llgitimate by checking for clearly written interest disclosures with APRs and repayment schedules stated, including missed payment fees and penalties for extending loan terms from direct lenders.

Unsecure Websites

Always be mindful of any website from direct lenders that do not use HTTPS encryption, have a very short About Us section, and lack a privacy policy that does not explain how your data is used and ingested by and with third parties.

Advance Fees and Payment Methods

Always be mindful of advanced payment methods like requiring gift cards or cryptocurrency to make a payment for a different rate or excluding an origination fee. Any payday advances never factor in any processing fees, and the demands of money should be an immediate caution.

For example, if a fraudulent lender asks you to send $500 using a prepaid gift card for administrative charges, run, as fees should only be deducted from legit bad credit loans from direct lenders once approved and funded.

Licensing

Remember, all legit bad credit lenders operating within the state of Texas must be licensed by the Texas Office of Consumer Credit Commissioner (OCCC).

Marketing Fluff

Watch out for aggressive marketing practices like using limited time deals or promises, guaranteed approval for any change for paying an upfront fee. Any requests for information like cash or social security numbers mean an outright scam.

By following these suggestions, you’ll be better equipped to protect yourself from bad credit loan companies offering guaranteed approval in Texas.

The Good, Bad, and Ugly: Is Getting No Credit Check Loans in Texas Recommended?

Good

Funds To Your Account Quick

Arguably, one of the most significant benefits of online lending platforms like MoneyMutual, ZippyLoan, and Upstart is quick access to funds as much as several thousand dollars the next business day, providing a much-needed reprieve in the case of emergency automotive repairs, the threat of water shutoff, or any of life’s knuckleball.

Varying Loan Amounts

Expect any of these lending platforms to offer anywhere from $100 to $15,000 with repayment terms as little as six months up to 60 months (and even 84 months in some cases). Remember, the longer your repayment term, the cost of borrowing interest increases over time, so keep it to two or three-year repayment terms at best.

Bad

Sky High 400% APRs

Unfortunately, Texas payday loan law is not among the nation’s strictest, resulting in high interest rates from credit loan companies covering anywhere from 31.99% to over 400%, depending on the type. This statistic is very helpful, with more than $1.5 billion in payday loan fees in 2021 paid by Texas consumers.

By the same token, you can expect to quickly pay more than $650 in principal and interest for a $500 loan, no matter the repayment term, for the maximum allowable loan allowed by Texas law.

Risk of Debt Cycle if Not Careful

If you’re careless, your bad credit could quickly reduce your monthly debt-to-income ratio, forcing you to cut fixed expenses instead of only variable expenses. Never take out a no credit check loan or guaranteed approval loan that charges interest rates and fees over 35.99%, or you’ll enter predatory rate territory.

When facing an unexpected expense, always keep your head on your shoulders and assess the risk of taking out any of Texas’s best bad credit loans, whether from an online lending network, mobile banking app, or local credit union like TDECU.

Ugly

Tex. Fin. Ann. Code. §393

Tex. Fin. Ann. Code. §393. T is not mainly known as a strong code, but Texas has much more relaxed payday loan regulations than stricter states like New York and Connecticut. It’s much easier for payday lenders to start working as intermediaries between consumers and other third-party platforms in Texas.

Quick Guide: How to Find Legitimate Loans in Texas

Here are our favorite tips on how to find legit bad credit loans in Texas:

Wrap Your Head Around Texas Usury Law

As with all states, the first step is understanding all Texas lending laws. Texas does not impose APR caps for most personal and payday loans, typically not exceeding 400%. At online lending networks like MoneyMutual, you can expect loans with APRS anywhere from 31.98% to 35.9% APR for bad-credit Borrowers.

However, Texas has set maximum loan amounts of up to $1,800 per loan, with larger installment loans up to $50,000.

Repayment term limits for installment loans will range from two weeks to 6 months or as long as 84 months.

Regarding fee restrictions, the Texas Finance Code stipulates the maximum fees that bad credit lenders can charge.

Look for Licensing

The Office of Consumer Credit Commissioner (OCCC) vets bad credit loan direct lenders in Texas. This organization enforces strict ethical lending practices amongst all licensed lenders operating within the state. Do not work with direct lenders without proof of Texas OCCC Licensing.

Check Resources

One key factor that affects how trustworthy we consider any online lending network or credit union site is its commitment to consumer financial literacy and advocacy.

For example, the TCEHU website has helpful financial information for first-time personal loan borrowers. Financial calculators are included free of service to all members. There are several personal loan calculators to choose from, allowing users to estimate payment amounts and payout schedules for all credit opportunities.

Tip: Keep Payday Loan Alternatives in Mind

To avoid higher-than-average APRs (up to 35.99%) and shorter repayment periods, explore alternatives to payday loans like credit union loans TDECU (Texas Dow Employees Credit Union), personal loans for bad credit from Upstart, and even low-interest loan opportunities from nonprofits like Local Community Development Financial Institutions (CDFIs) and LiftFund.

Keeping Texas usury law, licensing requirements, and payday loan alternatives in mind can help maximize your chances of finding legitimate bad credit loans in Texas.

Looking Into Best Bad Credit Loans Alternatives in Texas

If you’re facing internet expenses of up to several thousand dollars, there are several alternatives to bad credit loans in Texas:

Credit Card Cash Advances for Quick 1-2 Day Loans

One of the best ways to avoid higher-than-average APRs from short term no credit check loans, payday loans, or payday advances in Texas is to seek credit card cash advances. These advances allow you to take out short-term loans directly from your credit card.

However, APR rates on credit card cash advances are typically between 20% and 30% (higher than standard credit card purchases). There is a one-time transaction fee of 3% to 5% of the amount taken, and hidden charges exist. Cash can be withdrawn anytime using an ATM or at a bank location.

Unlike regular credit card purchases, credit card cash advances accrue interest immediately, so we encourage you to repay it as quickly as possible. Never wait for the monthly billing cycle to complete, and refer to your credit card agreement for all APR, transaction-free, and daily limit terms and conditions.

Borrower Friendly Credit Unions

One of the better known Texas-friendly bad credit loan options available is credit union loans from reputable institutions like the Texas Dow Employees Credit Union (TDECU) or Lone Star Credit Union. These nonprofit organizations may offer lower interest rates than traditional banks.

Personal loans from TDECU start as low as 7.74% APR on up to $50,000 for unsecured loans with zero fees and no collateral needed. Terms also range from 12 months to 72 months, and they are virtually used for all types of expenses, from unexpected home repairs to emergency surgery.

Separately, credit unions also offer different lines of credit, such as revolving lines of credit that let you borrow up to the maximum credit limit at APRs up to 17.99% on amounts up to $50,000.

Remember, credit unions in Texas apply a member-focused approach with a strong emphasis on consumer education and financial literacy.

Seek Texas-Based Community Assistance

One of the best things about living in Texas is its variety of community assistance programs, composed of local government agencies and charities that cover essential needs and help users avoid high-interest loans.

Three of the most popular resources available include the Texas Rent Relief program, Catholic Charities of Texas, and 211 Texas. These programs help low-income residents seek emergency financial aid, including food provisions. You typically need income and economic hardship proof to qualify for these programs.

With limited funding for some programs, we encourage you to apply as early as possible to increase your chances of receiving help.

How Can I Boost My Credit Score by 50+ Points Now?

Becoming a better monthly budgeter is one of the best ways to prevent taking out the best bad credit loans in Texas.

One of the best ways to manage your monthly budget is to keep your credit score high.

Pay attention to these five underrated yet powerful tips to quickly boost your credit score by 50 to 100 points.

Request Higher Credit Limits

One of the best ways to boost your Texas credit score and avoid bad credit loans in Texas is to request higher credit limits.

Remember, your credit utilization ratio accounts for 30% of your credit score. The lower your outstanding balances, the better. If your credit utilization is 30% or higher, contact each of your credit card issuers, request a limit increase, and ensure no hard credit checks temporarily drop your credit score.

By increasing your limit $5,000 on any one card, keeping the same average monthly balance could immediately lower your utilization ratio, so it’s a worthwhile strategy.

Don’t Close Old Accounts

Although keeping old credit accounts open takes advantage of 15% of your credit score, we only recommend keeping all of these accounts since they contribute to your overall credit limit. Never reduce your available credit, or it can affect your utilization ratio.

Plus, lenders like to know that you have had a variety of accounts kept open over a more extended period, which lends trust. Do not forget to use infrequent accounts strategically and to check your credit report regularly to ensure that even your oldest accounts are in excellent standing.

Sign Up for Experian Boost

Experian Boost is one of the more innovative credit score services. It allows you to include utility, streaming services, etc., payments in your credit report, which is usually not used in FICO scoring algorithms. By linking your bank account, Experian Boost can add more creditors to the mix, improving your score instantly.

For example, Experian Boost is an excellent way to boost your score from a fair to a good rating, allowing you to qualify for lower APRs and more favorable loan terms.

Diversify Your Credit Mix

Lenders like to see that you can successfully manage different lines of credit, such as mortgages, credit cards, and personal loans for bad credit.

Remember, credit accounts for 10% of your credit score. If you haven’t already, try to identify gaps in your credit profile, take note of new accounts to add, and consider credit builder loans to add new credit while diversifying your payment history.

On the flip side, if you’re a heavy credit card user, taking out a small payday advance or personal loan for bad credit up to $1,000 and repaying it over six or 12 months can improve your credit mix by blending installment credit with revolving accounts.

How Can I Manage My Budget with Low Credit?

For anyone looking for the best bad credit loans in Texas, the name of the game is managing your budget with low credit with these three time-tested strategies:

Track A Monthly Budget

One of our preferred strategies is to list your income and expenses on helpful apps like Monarch Money and YNAB. Documenting your income and expenses in an Excel or Google sheet will also do. From there, try to set spending limits per category, with set amounts per month for extras like dining and entertainment. Be sure to check your budget to ensure you’re on track regularly.

For example, if you’re earning $6,000 a month and your rent is $2,500 a month, groceries are $600 a month, and transportation is $150 a month, be sure not to exceed your budget by camping non-essential spending like your daily Starbucks coffee, which could add up to hundreds of dollars over a month.

Build an Emergency Fund

Never neglect to put away funds for a rainy day. This can help you avoid high-interest, bad credit loans. Even a tiny amount of up to $2,000 will cover emergencies like unexpected automotive repairs or medical bills.

One of the best ways to get started is to set aside as little as 5% of your income with every paycheck, using an automated savings method to transfer it to a checking savings account. Kudos if you can cut non-essential spending, which can only add to your emergency fund over time.

Tame Advantage of Resources

One of the best ways to prevent taking out the best bad credit loans in Texas is by taking advantage of community resources.

Feel free to seek help from the National Foundation for Credit Counseling (NFCC), along withsimilar programs to help you face life’s challenges, including occasional housing assistance.

Other organizations you might want to consider offering credit counseling services include the Financial Counseling Association of America (FCAA), GreenPath Financial Wellness, and American Consumer Credit Counseling (ACCC).

Our Hand Picking Criteria With These Lenders

Picking the best bad credit loans in Texas involves identifying the best lending networks, mobile banking apps, and local credit unions.

Here are our grading criteria for how we chose these best bad credit in Texas providers:

Healthy Mix

All of our lenders comprise a different mix. For example, MoneyMutual and ZippyLoans are online aggregators, not direct lenders, compiling hundreds of participating direct lenders offering personal loans of about $5,000 with APRs between 31.99% and 35.99%. All these websites require a quick 5-minute online application with funds to your ban account within 24 hours.

In turn, options like TDECU (Texas Dow Employees Credit Union) and Brigit provided an entirely different set of options.

TDECU provides personal loan programs for bad credit borrowers with APRs as low as 7.74% up to $50,000. In turn, Brigit is a financial service app that allows users to secure paycheck advances up to $500 at 0% interest and no late fees for a monthly subscription.

Just be sure to tolerate different qualification criteria, as Brigit requires an active checking account with at least 60 days of history with three recurring deposits from the same company (versus higher credit scoring criteria for credit unions).

High Satisfaction Ratings

To be included in our best bad credit loans in Texas guide, our lending networks, local credit unions, and mobile banking apps must have widespread acclaim across third-party review sites like the Better Business Bureau, Trustpilot, and the individual app store and Google Play Stores.

For example, as of this writing, Brigit has more than 560,000 reviews in the app store on Google Play, averaging a user rating of 4.7 stars.

Frequently Asked Questions

What’s the easiest loan to get with bad credit in TX?

One of the most straightforward loans to get with bad credit in Texas is a payday loan, which requires minimal eligibility criteria (only that you’re 18 years of age or older with a valid government photo ID), allows you to take out uop to several thousand dollars with funds sent to your bank account by the next business day.

However, remember that payday loans in Texas have higher than average interest rates and fees. Be sure to use reputable online platforms like Money Mutual or ZippyLoan to verify requirements with every lender.

Is a bank account required to get a bad credit loan in Texas?

Most direct lenders in Texas require users to have a valid checking account to receive direct deposit of all loan funds.

Luckily, all you need to open a bank account is a valid government-issued photo ID and proof of income. Different banks have slightly different requirements. This allows you to take out loans as high as $1,000 and have them disbursed within one business day.

Can I apply for a loan with a 500 credit score in TX?

Yes, it is very common for 500 credit score borrowers to take out loans in Texas.

However, your options will be limited to payday loans, personal loans for bad credit, and advances from online lending networks like MoneyMutual and ZippyLoan. To avoid higher-than-average interest rates and fees, rely on 0% interest paycheck advance apps like Brigit or a more prominent $2,000 personal loan from a reputable Texas-based credit union like TDECU.

Can I Get $5,000 with low credit in TX?

Yes, you can get $5,000 with a low credit score in Texas.

However, online lending platforms like ZippyLoan, Upstart, and MoneyMutual usually have higher-than-average interest rates and repayment terms. For larger loans with lower interest rates, rely on TDECU rather than a quick turnaround loan using a payday advance app like Earnin, Brigit, or Dave.

Regardless, always shop around for the best terms, entering the correct use of an APR calculator to tally the total cost of borrowing and monthly debt-to-income ratio to better manage debt.

Conclusion

In short, some of the best ways to take out the best bad credit loans in Texas is to always shop around for the best terms, entering the correct use of an APR calculator to tally the total cost of borrowing, and monthly debt-to-income ratio to manage debt better. By closely following all of the tips, tricks, and strategies above, you’ll be on your way to nailing your next loan, paying it off on top, and building good credit for the months and years to come.