If you’re looking for a loan, you may have poor credit. If this is the case, you might think that getting a loan will be impossible. This isn’t true. You can actually get hardship loans for bad credit by applying for one online or at your local bank or credit union. If you don’t want to go through all that trouble, your employer might also offer hardship loans!
Consider applying for your hardship loan online
If your financial situation is so bad that you need a hardship loan, it’s likely you don’t have much time to spare. Fortunately, when you’re applying for a hard-money loan online, your application is usually much easier and faster than one completed on paper. “Hardship loans tend to have low-interest rates,” as Lantern by SoFi professionals say.
You can complete the entire application process in just a few minutes—all while sitting at home in the comfort of your own couch! This is because most lenders accept digital applications from mobile devices as well as laptops or desktop computers. You can even submit documents online through email attachments if necessary (though some lenders prefer faxed documents).
Suppose you are not willing to fill out an application online yourself. In that case, many lending companies also offer customer service representatives who will guide you through completing your paperwork over the phone or via email.
You can apply for a hardship loan with a credit union
Credit unions are not-for-profit financial institutions that their members own. You can apply for a hardship loan with a credit union.
A credit union member is called a “member,” and each member has one or more shares in the organization. Credit unions are regulated by the National Credit Union Administration (NCUA).
Credit unions offer lower interest rates on loans than banks, which means that you can get approved for a hardship loan if you apply at one of these institutions.
Apply for a hardship loan from a bank
If you have a good credit score and enough income to meet the minimum requirements for a loan, you can apply for one from your bank. Banks offer hardship loans that are similar to payday loans but usually at much lower interest rates. These types of loans are most commonly used by people who need quick cash until their next paycheck arrives or who want help paying off bills, so they don’t get into any more financial trouble.
Apply for a hardship loan from your employer
If you have a good relationship with your employer, they might give you a hardship loan. Employer-provided loans are small and often only extend to $500 or less. They can be a great option if you don’t have much savings and need to cover an emergency expense immediately. While these loans are often available, they’re only sometimes easy to obtain. You’ll likely need to ask for one directly from your manager or HR representative—and prepare yourself for some questions about what the money is going toward!
These tips might seem simple, but they can make a big difference in your ability to get approved for a hardship loan.