Online Loans

£100 to £5,000, same day payout*

Warning: Late repayment can cause you serious money problems. For help, go to is a broker, not a lender, and does not make credit decisions.

Representative Example: Rates from 49.9% APR to max 1333% APR. Minimum Loan Length is 1 month. Maximum Loan Length is 36 months. Representative Example: £250 borrowed for 30 days. Total amount repayable is £310.00. Interest charged is £60.00, annual interest rate of 292% (fixed). Representative 669.35% APR (variable).

*Boutell does not perform a credit check on any of our applicants however lenders will determine if you're eligible for a loan via a soft search. If you accept the loan offer a hard search is performed.


A Complete Overview of Online loans

Having a low credit score puts you at a financially crippling disadvantage because it makes you feel like you could never be approved for any kind of loan or funding. As a result, many poor credit borrowers have negative experiences in which they’re denied for conventional loans initially.

When that happens, it’s possible for the denial to have a negative effect on your credit score by causing a hard check. That not only deters poor credit borrowers from trying to apply for other kinds of alternative loans, even if just for £200, but it also creates a glaring blemish on their credit profile that other conventional lenders may use as grounds for denial in future loan applications.

How much would you like to borrow?

Representative Example: Rates from 49.9% APR to max 1333% APR. Minimum Loan Length is 1 month. Maximum Loan Length is 36 months. Representative Example: £250 borrowed for 30 days. Total amount repayable is £310.00. Interest charged is £60.00, annual interest rate of 292% (fixed). Representative 669.35% APR (variable).

If you’ve been searching for a resource that will introduce you to all your options in one convenient list, you’re in luck because you’ve found just that. In this guide, we’ll thoroughly cover the poor credit borrowing landscape and discuss the main kinds of online loans and funding options available to people with less-than-perfect credit.

What Kind of Credit Score Do You Need to Be Considered a “poor credit Borrower?”

Anyone who has a credit score below 670 is considered a poor credit borrower and will, therefore, face much lower approval odds than someone who has a credit score of 700 or higher. Even if you manage to get above 670 or even into the low 700s, you’ll still face much lower approval odds for many kinds of conventional loans.

Fortunately, there are still some borrowing options available to poor credit borrowers, and even for people with absolutely horrible credit. In fact, there are even a few methods that don’t involve a credit check at all. With that said, here are the top seven kinds of online loans available to poor credit borrowers with poor credit:

1. Payday Loans

Payday lenders are the most lenient when it comes to approving small personal loans because they never consider your credit score as a primary factor in the decision.

Instead, as the name implies, your approval odds and the loan amount will be based on how much you’re expected to be paid on your upcoming payday. That means you’ll only need to show proof of income to obtain approval. You can fulfil this simple requirement by showing your account statements or payslips from your employer.

Most payday loans range from £100 to £2,500 but can even be as much as £5,000 if you have a high-paying job and verifiable proof of long-standing employment. The loan repayment periods range from three months up to about two years.
This is easily the most competitive alternate lending sector, so lenders are basically competing to find more borrowers. The interest rates are exorbitant in comparison to conventional loans, but in exchange, you’ll be getting almost-guaranteed approval if you have a good job and solid proof of income.

Would you rather pay more in interest to secure approval or not get the loan at all? Most people who have a real and urgent need for money would answer that question by saying “charge me extra interest if you want, just approve me ASAP.” So, a high APR in exchange for fast funding is a fair trade-off for most poor credit borrowers who can’t access any other kind of short-term financial assistance.

2. Peer to Peer (P2P) Lending

Peer to peer (P2P) lending networks let investors sign up and start lending money to other individuals and entrepreneurs. However, keep in mind that P2P lenders will often consider your credit score. However, some will still approve applicants with scores as low as 640, which is 40 points below the poor credit threshold.

The main factor you’ll need to consider when trying to obtain approval for a P2P loan is the justification for needing the loan. Typically, P2P lending networks consist of investors who are looking for good business ideas to fund in exchange for a high-interest return or a percentage of equity in the company. However, there are also personal P2P loans that you may qualify for if your credit score is on the upper end of the poor credit spectrum. Or if you’re a student with low income.

3. Poor Credit Personal Loans

Some alternative lenders also offer quick loans to applicants with poor credit, but there’s a limit to how low your score can be for these. Generally, the point at which your credit is considered “poor” is anywhere below 580. If your score is higher than that, there’s a possibility that you could be approved for a small personal loan with sufficient proof of income and financial stability.

Poor credit personal loans are often called instalment loans and many lenders will consider applicants with a credit score of 600-680 for moderate loan amounts up to 5,000. If your credit score is below 600, it’s unlikely that you’ll be able to borrow more than a few hundred pounds through a personal loan.

4. Poor Credit Car Loans

While the average credit score of people who are approved for car loans is in the low 700s, some car financing companies will approve you if you can show that you earn enough to make the monthly payments. In fact, some car dealerships offer their own in-house financing that will take your income and downpayment into consideration much more than your credit score.

If your score is below 500, you have a slim chance of being approved for most car loans unless you don’t have irrefutable proof of income that shows your last six month’s worth of earnings. With that said, it’s actually possible to get a car loan with only about 500 down and a credit score of 500 or higher.

5. Poor Credit Mortgages

Believe it or not, many mortgage lenders aren’t heavily concerned with your exact credit score because they’re more interested in your credit history.

If you’ve been working on your credit for a while but it’s still not perfect, you could be approved for a poor credit mortgage with a score in the range of 580 to 680. While the score isn’t the primary consideration, it’s obviously one of the factors that determine how easily you’ll be approved.

As with other poor credit borrowing options, mortgage services that are geared towards people with bad credit will generally carry much higher interest rates than those offered by conventional mortgage lenders.

6. Using Assets or Property as Collateral Through a Secured Loan or Pawnbroker

If you’ve applied for every kind of loan you can find and you’ve run out of options, you could probably still use some of your belongings or assets as collateral to obtain a short-term secured loan. The kind of lender you’d need to contact would depend on the type of property you’re trying to use as collateral.

For example, you could bring household items like furniture, appliances, and electronic devices to a pawnbroker for a smaller loan, or borrow against the value of your home in a home equity loan. Most larger secured loans will still factor your credit into the equation, so pawnbrokers are sometimes a literal last resort for people with poor credit and no source of income.

7. Using a Co-Applicant to Increase Approval Odds and Loan Amounts

If you’ve tried applying for some of the loan types on your list but you haven’t been able to obtain approval, or they’re only offering you petty amounts, you may be able to get one of your family members or friends to serve as a co-applicant.

Of course, this is one of the most undesirable options, which is why it’s listed last. Still, it’s worthwhile to mention this route as a last-ditch attempt that poor credit borrowers can try when nothing else seems to be working.

It’s also important to note that this method would put the person’s credit at risk in the event that you default on the loan.

Payday Loans Provide the Highest Odds of Approval for Employed Individuals and Carry Less Risk in Some Ways

While all seven of the options above are worth considering, you could even try pursuing several of them at the same time. If you’re looking for the fastest and most reliable way to get the money you need and you can prove that you have a source of income, a payday loan would be your best bet.

It’s easy to believe that your credit score will always be a factor, but payday lenders are known to approve applicants with scores as low as the 400s, as long as they have verifiable proof of income. Essentially, with a payday loan, your job is everything during the approval process, which is good because you shouldn’t be trying to borrow money unless you know you’ll be able to pay it back.

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    Why Use Us?
  • How much can I borrow?
    £100 - £5000
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  • Over how long?
    1 - 36 months
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  • Can I apply with bad credit?
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  • When can I apply?
    Even on bank holidays
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Since the payday lender will be basing your loan amount on how much you make, you’ll be minimising your chances of falling into debt due to missed and late monthly repayments. In that sense, a responsible short-term payday loan can sometimes carry lower risk than committing to a large, long-term loan that affects your credit profile.

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