According to FICO.com, 11.5% of American have a credit score that is below 550. 60% of these people will take out another loan and default on that loan. It’s easy to see why fewer lenders are willing to loan to individuals with a credit score of 550 and below. It’s risky.
That being said, people with bad credit still have a variety of loan options that can help get through life’s hurdles. This article will detail the 3 most common loan options for a lower credit score, and the golden rules of utilizing them.Option 1: Online Installment Loans
Installment loans vary in length, terms, and amounts.… Read the rest