7 Best Personal Loans for Bad Credit in 2025: Rebuild Your Finances

Bad credit can feel like a financial roadblock, but in 2025, personal loans for bad credit offer a lifeline for consolidating debt, covering emergencies, or rebuilding credit. With over 20% of consumers having credit scores below 600, per Experian, lenders are offering more accessible loans with APRs ranging from 10–36%. The best personal loans for bad credit provide flexible terms, reasonable rates, and fast funding, helping borrowers in Ghana, the US, Canada, and the UK regain control. This guide highlights the 7 best personal loans for bad credit, with actionable tips to save money and leverage high-CPC lending ads for site revenue.

Why Personal Loans for Bad Credit Matter

Personal loans for bad credit, often unsecured, don’t require collateral and are based on income or cosigners rather than perfect credit. They help cover expenses like medical bills or home repairs while improving credit with on-time payments. Unlike payday loans (400%+ APR), these loans have lower rates and structured terms. Whether you’re in Ghana managing unexpected costs or in the US, Canada, or UK consolidating debt, the best personal loans for bad credit offer affordable solutions in 2025’s economic climate.

7 Best Personal Loans for Bad Credit in 2025

Here are seven top personal loans for bad credit, with tips to save in Ghana, US, Canada, and UK, based on rates, fees, and accessibility.

1. Upstart: Best for AI-Based Approval

• Why It’s Great: Uses AI to evaluate income and education, approving scores as low as 580, 10–35.99% APR.
• Features: $1,000–$50,000 loans, 3–5-year terms, no prepayment penalties.
• Eligibility: US/Canada, $12,000 income, no minimum credit score.
• How to Save: Apply via Upstart with steady income to lower rates.
• Example: A US borrower saves $1,200 with a 15% APR vs. 25% elsewhere.
• Tip: In Canada, highlight job history for better approval odds.
• Best for: US/Canada with non-traditional credit profiles.
• Resource: Pair with SmartMoneyMint’s budgeting guide.

2. Avant: Best for Fast Funding

• Why It’s Great: Funds in 1–2 days, accepts 550+ credit scores, 9.95–35.99% APR.
• Features: $2,000–$35,000 loans, 2–5-year terms, mobile app.
• Eligibility: US/UK, $20,000 income, no bankruptcy.
• How to Save: Use Avant for emergency funds to avoid payday loans.
• Example: A UK borrower saves £800 vs. a 400% APR payday loan.
• Tip: In Ghana, compare with local lenders for speed.
• Best for: US/UK for quick cash.

3. LendingPoint: Best for Small Loans

• Why It’s Great: Approves 585+ credit scores, $2,000–$36,500 loans, 7.99–35.99% APR.
• Features: Soft credit check, 2–6-year terms, no origination fees in some states.
• Eligibility: US, $25,000 income, no recent defaults.
• How to Save: Apply via LendingPoint for debt consolidation to save on interest.
• Example: A US borrower saves $600 consolidating $5,000 credit card debt.
• Tip: In Canada, use similar platforms for small loans.
• Best for: US for modest borrowing needs.

4. Ecobank Personal Loan: Best for Ghana Borrowers

• Why It’s Great: Accepts low credit with collateral or guarantor, 15–25% APR, GHS 1,000 minimum.
• Features: 1–5-year terms, mobile banking, no early repayment fees.
• Eligibility: Ghana-based, stable income, no credit score minimum.
• How to Save: Use Ecobank with a guarantor to lower rates.
• Example: A Ghanaian saves GHS 1,500 on a GHS 10,000 loan with a 15% APR.
• Tip: In the US, compare with Upstart for no-collateral options.
• Best for: Ghana for local access.

5. Barclays Personal Loan: Best for UK Borrowers

• Why It’s Great: Accepts 600+ credit scores, £1,000–£25,000 loans, 5.9–29.9% APR.
• Features: 2–5-year terms, no fees, fast approval via app.
• Eligibility: UK, £15,000 income, no CCJs.
• How to Save: Apply via Barclays to consolidate high-interest debt.
• Example: A UK borrower saves £1,000 on a £10,000 loan at 10% APR.
• Tip: In Canada, explore TD for similar terms.
• Best for: UK for competitive rates.

6. TD Bank Personal Loan: Best for Canadian Borrowers

• Why It’s Great: Approves 600+ credit scores, C$2,000–C$50,000 loans, 8.99–25.99% APR.
• Features: 1–7-year terms, no prepayment penalties, CDIC-insured.
• Eligibility: Canada, C$20,000 income, no defaults.
• How to Save: Use TD Bank for home repairs to avoid credit card debt.
• Example: A Canadian saves C$900 consolidating C$15,000 debt.
• Tip: In the UK, compare with Barclays for flexibility.
• Best for: Canada for longer terms.

7. OneMain Financial: Best for Secured Loans

• Why It’s Great: Accepts 500+ credit scores with collateral, $1,500–$20,000 loans, 18–35.99% APR.
• Features: 2–5-year terms, same-day funding, branch support.
• Eligibility: US, no income minimum, collateral option.
• How to Save: Use a car title via OneMain to lower rates.
• Example: A US borrower saves $1,000 with a secured 20% APR vs. unsecured 30%.
• Tip: In Ghana, explore Ecobank for similar secured options.
• Best for: US for very low credit.

Tools to Boost Your Finances

• NerdWallet: Compare personal loan rates for bad credit.
• Credit Karma: Monitor your credit score to track improvements.
• YNAB: Budget for loan payments to avoid defaults.
• ChatGPT: Plan loan strategies via x.ai.

Common Mistakes to Avoid

• Borrowing Too Much: Limit loans to essentials to save $1,000s in interest.
• Ignoring Fees: Avoid lenders with high origination fees (5–10%) to save $100–$500.
• Missing Payments: Set autopay to improve credit and avoid $25–$50 late fees.
• Choosing Payday Loans: Opt for personal loans to save $1,000s vs. 400% APR.

Tips for Success in Ghana, US, Canada, and UK

• Ghana: Use Ecobank with a guarantor for lower rates; track payments via Wave.
• US/Canada: Apply for Upstart or TD Bank for fast funding; consolidate debt to save.
• UK: Leverage Barclays for competitive rates; compare via MoneySuperMarket.
• All Regions: Check credit via Credit Karma and pay on time to rebuild.

Why the Best Personal Loans for Bad Credit Shine in 2025

With economic pressures in 2025, the best personal loans for bad credit save $100s–$1,000s through lower rates (10–36% APR) and flexible terms compared to predatory alternatives. High-CPC lending ads boost site revenue, while lenders like Upstart and Ecobank empower borrowers in Ghana, US, Canada, and UK to rebuild finances. Compare offers, avoid fees, and take control of your debt.

Conclusion

The 7 best personal loans for bad credit in 2025—Upstart, Avant, LendingPoint, Ecobank, Barclays, TD Bank, and OneMain—offer affordable funding for Ghana, US, Canada, and UK borrowers. Start with NerdWallet to compare rates, budget with YNAB, and rebuild credit with SmartMoneyMint’s debt guide to secure your financial future!

DISCLAIMER: Loan APRs (10–36%) and terms vary by lender and credit profile. Confirm eligibility, fees, and repayment terms before applying. Rates as of August 2025, subject to change.