Best Debt Consolidation Loans for Bad Credit of October 2024
Debt consolidation loans allow borrowers to roll multiple debts into a single new one with fixed monthly payments and, ideally, a lower interest rate. With a debt consolidation loan, a lender issues a single personal loan that you use to pay off other debts, such as balances on high-interest credit cards. You’ll pay fixed, monthly installments to the lender for a set time period, typically two to five years. The rates may be a bit higher and still make sense if your multiple loan cost is very high and your credit score is poor.
Best personal loans for debt consolidation loans for good credit come with APRs of between 5.99% and 10%. For bad credit, you can expect an APR of up to 35.99%.
Suppose you have bad credit. That does not mean that you have to get payday loans. They are predatory. In this article, we discuss getting personal loans for debt consolidation. However, we still recommend that you watch our video, which discusses how people with bad credit can get approved on a personal loan.
FICO Score Range
| Credit Score: | Lower: | Upper: |
|---|---|---|
| Very bad | 300 | 560 |
| Bad | 560 | 650 |
| Average | 650 | 700 |
| Good | 700 | 750 |
| Excellent | 750 | 850 |
Best Debt Consolidation Loans for Bad Credit of October 2024
| Loan Company: | Min. Credit Score: | APR: | Amount: |
|---|---|---|---|
| PersonalLoans | 580 | 5.99% – 35.99% | $35,000 |
| LendingTree | 500 | 3.99% – 35.99% | $50,000 |
| Upgrade | 560 | 8.49% – 35.99% | $50,000 |
| LendingClub | 600 | 6.16% – 35.89% | $40,000 |
PersonalLoans
 | |
| Loan Amount: | $1,000 – $35,000 |
| APR: | 5.99% – 35.99% |
| Min. Credit Score: | 580 |
| Approval: | 1 Day |
| Terms: | 90 days – 72 months |
| Origination Fee: | 1 – 5% |
| DTI Ratio: | N/A |
| Check rates | |
PersonalLoans is a huge marketplace with lenders that serve many customers in different target groups.
Best for:
- Good and excellent credit score.
Pros:
- Competitive APRs.
- Low credit requirements.
- Low-income requirements.
- No prepayment penalties.
- No hidden fees.
- Great customer support.
Cons:
- You can’t delay your payments too much.
LendingTree
 | |
| Loan Amount: | $1,000 – $100,000 |
| APR: | 3.99% – 35.99% |
| Min. Credit Score: | 500 |
| Approval: | 1 Day |
| Terms: | 1 – 5 Years |
| Origination Fee: | 0 – 3% |
| DTI Ratio: | N/A |
| Check rates | |
LendingTree is the best place to start shopping for personal loans for debt consolidation. This platform does not extend loans but connects borrowers with the best deals in the market.
Once you apply on their platform, you are matched with up to five different lenders that will compete to give you the best rates.
Pros:
- Easy online application.
- Multiple offers.
- Low APRs.
- Quick funding.
Cons:
- Requires a great deal of personal information to get meaningful results.
Best for: Borrowers with a steady source of income.
Upgrade
 | |
| Loan Amount: | $1,000 – $50,000 |
| APR: | 8.49% – 35.99% |
| Min. Credit Score: | 560 |
| Approval: | 1 Day |
| Terms: | 2 – 7 Years |
| Fees: |
|
| Qualification Criteria: |
|
| Average Borrower Profile: |
|
| Best For: | High DTI ratios |
| Check rates | |
Personal loans made through Upgrade feature Annual Percentage Rates (APRs) of 8.49% – 35.99%. All personal loans have a 1.85% to 9.99% origination fee, which is deducted from the loan proceeds. The lowest rates require Autopay and paying off a portion of existing debt directly. Loans feature repayment terms of 24 to 84 months. For example, if you receive a $10,000 loan with a 36 – month term and a 17.59% APR (which includes a 13.94% yearly interest rate and a 5% one-time origination fee), you would receive $9,500 in your account and would have a required monthly payment of $341.48. Over the life of the loan, your payments would total $12,293.46. The APR on your loan may be higher or lower, and your loan offers may not have multiple term lengths available. The actual rate depends on credit score, credi