Can I Get a Loan with a Credit Score of 550?

You may be able to get a personal loan with a credit score of 550, but it's important to shop around as not all lenders will offer an offer to someone with a low credit score. When talking to potential lenders, inquire if they originate loans insured by the Federal Housing Administration (FHA). Loans backed by the FHA are available to any borrower with a credit score of 500 or higher, and require only a 10 percent down payment of the home purchase price. Online lenders are more likely to accept loan applications from those with a credit score of 620 or lower.

All you need to do is provide a few details about the type of loan you need, after which you will send your application to your lender network and connect you with up to five competing mortgage lenders. If you have an updated copy of your personal credit report, simply enter the report number where it is listed and follow the instructions provided. Credible makes it easy to compare the rates of personal loan lenders willing to work with borrowers who have poor or fair credit. There are several factors that can influence the cost of a personal loan, such as interest rate, APR, fees, loan term, and credit rating.

Some lenders give fast approval times for loans, but this is more common if you have a good credit score. It's hard to find a conventional lender that approves car loans when your credit score is in the 500 to 550 range. Auto Credit Express helps fill the gap left by banks, credit unions and other lenders for consumers of bad credit auto loans. Secured cards are available to people with any credit rating, and interest rates are usually relatively lower than comparable unsecured cards.

The product links to your bank account and allows you to get credit for paying your utility and telephone bills. The good news for consumers with a credit score of 500 is that there is a lot of room for improvement. Lenders reserve the right to refuse your loan application if they consider you to be a particularly risky borrower. Here's what Credit Sesame member Sam said about how an FHA-insured home loan helped him buy a home with bad credit.

Tonia Baldy
Tonia Baldy

Passionate entrepreneur. Freelance pop culture enthusiast. Award-winning pop culture advocate. Music expert. Friendly beer fan.