Please Note: Credit Union of Southern California does not offer Membership or loans to non-California residents (other than former CA residents who were already Members or Preferred Partner Members working in out of state locations).
Personal Loans for Bad Credit
If you find yourself in need of extra money to pay expected and unexpected bills, credit unions and banks can provide quick, easy access to the money you need.
Credit Union of Southern California (CU SoCal) is the fastest growing credit union in Southern California, and we’re proud to offer personal loans to those who live, work, or worship in Los Angeles County, Orange County, Riverside County, and San Bernardino County. Please note we do not offer Membership or loans to non-California residents (other than former CA residents who were already Members or Preferred Partner Members working in out of state locations).
CU SoCal Personal Loans offer financing from $500 to $30,000, no application fee, no prepayment penalty, and no funding fee, among other benefits.
Call CU SoCal at 866-287-6225 to schedule a no-obligation loan consultation, or apply online today!
Get Started on Your Personal Loan!
What Is a Personal Loan?
A personal loan is referred to as an “unsecured” loan because the loan is granted to an individual based on their creditworthiness (not collateral). Home mortgage loans and car loans are examples of “secured loans,” which are backed by the collateral (the home or car). If a secured loan is not paid, the lender can take back their “security” by foreclosing on the home or repossessing the car.
If you have bad credit or poor credit, don’t worry! It is possible to get a personal loan with bad credit!
What Can I Use a Personal Loan For?
Personal loans can be used for a variety of purposes, but they are typically used for personal expenses, like starting a business, paying medical bills, consolidating high-interest debt or covering a large expense, such a medical bill, wedding, tax lien or college tuition.
Here’s how a personal loan can help:
Debt Consolidation: If you have several high interest rate loans, you can use a lower interest rate personal loan to pay off or pay down the high interest loans. Consolidating debt into one loan is easier to manage and you could save money by paying less interest.
Medical Bills: Some medical expenses may not be covered by health insurance, or may not have health or dental insurance. In these cases a personal loan can be a good choice because your health should always be a priority.
Student Debt: A personal loan can be ideal for paying off high-interest student loans. However, when it comes to paying down a student loan, you may want to compare the interest rate for refinancing your loan, and choose the lower interest option. A personal loan can also be used to pay for courses and certifications, if you don’t have the cash up-front and only have high-interest rate credit cards.
Collection Agency Debt: If you’ve failed to make payments on your debts, including cards, auto loans, medical bills, student loans, or mortgage, then you may be receiving calls for collection agencies who are attempting to collect the money you owe. A personal loan can provide the funds you need to payoff outstanding debt.
Tax Debt: If you owe money on your taxes, then you’re paying interest to the IRS. Use a Personal loan to pay-off what you owe.
Home and Car Repairs: Whether you have a roof leaks or your car needs a new transmission, an emergency loan provides the money you need to make essential repairs to your home or car.
Vacations: Most people pay for vacations using credit cards, which could be a great option if you earn cash back or other rewards in the process. Unfortunately, credit cards often have high interest rates, so if you don’t pay off the vacation charge quickly, you’ll pay more in interest. A personal loan may have a lower interest rate than your credit cards, so you’ll spend less in the long run.
Where to Get a Personal Loan?
Financial institutions offer personal loans and personal loans for people with bad credit. Each type of lender offers unique interest rates and payment terms. If you find yourself in sudden financial need your first call should be to the bank or credit union where you already have an account. As a current client you could have access to a wider range of loan options.
Let’s take a closer look at each type of lender:
Banks: Traditional banks tend to have higher credit score or income requirements than credit unions, so personal loans for people with bad credit may be more difficult to get. Banks may not release funds, so be sure to ask how long the approval and funding process will take before you apply.
Credit Unions: As not-for-profit organizations, credit unions reinvest profits back into the organization, so members benefit from lower interest rates loans. If you need a personal loan for poor credit, CU SoCal can help!
Online Lenders: While numerous online lenders offer emergency loans, they can’t offer the personalized customer service of a credit union or local bank. They may also have higher interest rates. Be sure to compare rates and fully understand the terms of the loan.
Personal Loan Alternatives
While your credit score is the major factor lenders will look at in considering loan eligibility, credit unions tend to have more lending flexibility when it comes to helping their members get a personal loan with bad credit or a personal loan with no credit. At CU SoCal, we know you’re more than a credit score and will do everything we can to help our Members get a quick, easy loan approval.
If getting a personal loan with bad credit just isn’t possible, here are some alternative options for getting the money you need:
Nonprofits, Charities and Religious Organizations: Community and religion-based organizations offer resources including food banks, clothing, and emergency housing options. Many can help with work opportunities and financial assistance.
Explore Options to Pay-off Bills: It could be a good time to consider debt consolidation to pay off or pay-down your bills, especially if you have large outstanding balances. Your credit union or bank can provide you with options, so you can pay-off bills at a lower interest rate, freeing up money to use on other expenses.
Paycheck/Payroll Advances: Check with your employer to see if the company has a policy that would let them pay you in advance of your usual payday. If this option is available, be sure to ask if there are fees associated with it.
Family and Friends: Borrowing money from a family member or friend can be a quick way to get the money you need if you have poor credit and don’t qualify for a bank loan. While borrowing from family or friends can be tempting, it’s important to create a document stating the conditions and duration of the loan and whether or not you are expected to pay interest, and if so, at what rate. Both the lender and borrower should agree to the terms and sign the document. Loans from family and friends have emotional attachments that could negatively impact your relationships.
Saving Money
After your financial need has passed and you feel confident you can start to financially recover, here are some helpful tips for saving money:
- Set a Goal: Look at your monthly expenses and determine a dollar amount you can afford to put aside each month. Most financial experts recommend having between three months and six months of basic living expenses in savings.
- Set Up Automatic Transfers: Your credit union or bank can help you set up automatic transfers between your accounts, so your money accumulates and grows. It’s the easiest way to ensure that you’re saving money each month.
- Monitor Progress: Are you able to live comfortably without the money you’re depositing each month into your savings account, or are you coming up short? It’s ok to adjust the amount you set aside each month, as long as you always put some money away for the unexpected.
- Stick to the Plan: The most important part of a plan is to stick to it. As difficult as that may seem at times, your perseverance will pay off when you see how much your money has grown.
Apply For A CU SoCal Personal Loan Today!
Not having the money you need to pay your bills can be a cause of great stress. At CU SoCal, we know you’re more than a credit score. We’ll look at your complete financial picture so you can get a personal loan with bad credit.
We’re here to help restore the peace of mind you deserve by providing personal loans for people with bad credit.
For over 60 years, Credit Union of Southern California has been proudly serving Southern California families, and we are the fastest growing credit union in Southern California.
Please note CU SoCal does not offer personal loans to individuals with FICO scores below 600, nor to non-California residents (other than former CA residents who were already Members or Preferred Partner Members working in out of state locations).
Please give us a call today at 866.287.6225 for an expert, no-obligation consultation or apply for a CU SoCal personal loan loan today!
Get Started on Your Personal Loan!