What is the easiest loan to get?

The word “easy” doesn’t always come to mind when thinking about loans. Searching for the right lender, gathering paperwork, and waiting to hear whether your credit score nets you a decent interest rate can take time and energy. It’s understandable that some borrowers seek loans that are easy to get approved for.

Fortunately, you may be able to get funding through various less traditional loan options with approval processes that aren’t time-consuming or complicated.

To simplify your options, let’s explore the easiest loans to qualify for and discuss why they are easier to get approved for.

What does an ‘easy’ loan mean?

Getting a loan “easily” means different things to different borrowers. However, an easy loan typically has a less rigid credit score requirement, fast funding, and a straightforward application process.

Lenient credit score requirements

A good credit score can be a barrier for some borrowers, as many lenders require a credit check before approving a loan. If your credit score isn’t high enough, you could get rejected or face a high interest rate. Some of the easiest loans to get approved for skip the credit check entirely, basing your approval on collateral or other factors.

Fast funding

An issue many borrowers face when seeking a loan is the time frame. Depending on the type of loan you need and how quickly you need it, some lenders may not be able to deliver it fast enough. The easiest loans typically promise fast or immediate disbursal of funds.

A convenient application process

Convenience can also be key if you’re looking for an easy time getting a loan. With options to apply for a loan online, you can now easily complete an application from the comfort of your home. Applying online also allows for quicker processing, often resulting in faster approval times than traditional in-person applications.

 What are the easiest loans to get approved for?

Some loans have strict qualifications, while others are simpler to obtain. Here are some of the easiest loans to get approved for:

Unsecured personal loans

Quick take:

• APR Range: 10% – 32% on average
• Fees: Potential origination fees
• Collateral: Not required
• Application Process: Simple and straightforward
• Credit Check: Required

Approval and dispersal of funds:

• Timeframe: 1 – 7 business days

An unsecured personal loan is relatively easy to get, but it does involve credit checks. Unsecured loans don’t require collateral, so your interest rate largely depends on your credit score. A score of 650 or higher typically qualifies for a good interest rate and repayment term. However, some lenders also offer personal loans for borrowers with low credit scores.

It’s also an installment loan, meaning you repay it monthly over the length of the loan, which is called the loan term. In addition to the interest you’ll pay each month, lenders may take an origination fee onto your payments.

The personal loan application process is straightforward. Some lenders and lending platforms even let you apply entirely online. You should consider prequalification to make sure you can get the loan amount, interest rate, and repayment term you want.

Once you submit a full application, approval and fund disbursal can happen in 1 to 7 business days. Some personal loan providers, including Rocket Loans℠, can offer same-day funding to certain borrowers. Under the right circumstances, a personal loan can be a fast, easy, and safe option for borrowers in need of cash.

Loans with a co-signer or co-borrower

Quick take:

• Better Approval Odds: Can improve loan approval chances and secure a lower interest rate
• Credit Impact: Missed or late payments affect both the borrower’s and co-signer’s credit

Approval and dispersal of funds:

• Timeframe: 1 – 7 business days

If your credit score is too low for a personal loan, consider having a trusted family member or friend co-sign on your application. If the co-signer has good credit, you may get better loan offers and lower interest rates.

Another option is to secure a joint loan with a co-borrower. But keep in mind: Missed or late payments will hurt both parties’ credit scores, regardless of whether it’s a joint loan or a loan with a co-signer. The co-signer or co-borrower will also be on the hook for paying back the loan if you are unable to.

At this time, Rocket Loans does not accept co-signers on loans.

Credit card cash advances

Quick take:

• Fees: 3% to 5% of the total amount borrowed
• Interest Rate: Higher than regular credit card purchases
• Credit Check: Not required

Approval and dispersal of funds:

• Timeframe: Immediate

If you have a credit card, a cash advance can get you immediate funds right from an ATM. Cash advances are borrowed against your credit line, and the loan amount is added to your balance. There’s no credit check required, as being a cardholder is enough to qualify you with your card issuer or bank.

Cash advances come with service fees and charges, typically 3% to 5% of the loan amount. They also tend to have a higher APR than regular credit card purchases. Additionally, there’s no grace period before interest starts accruing.

Credit-builder loans

Quick take:

• Credit Requirements: Flexible
• Funds Access: No access until the loan is fully paid off
• Credit Benefits: Helps establish or improve credit
• Loan Limit: Typically capped at $1,000

Approval and dispersal of funds:

• Timeframe: Once the loan is fully paid

If you have a weak, limited, or nonexistent credit history, consider taking out a credit-builder loan. Lenders tend to offer these loans with more relaxed credit requirements than you’ll find with a traditional loan. However, a credit-builder loan works differently than the financing options previously discussed.

Instead of getting money and paying it back, you receive a set amount of money held in a savings account or certificate of deposit (CD). You’ll make payments toward the loan amount and pay interest to build credit. You gain access to your funds once you pay off the loan in full. Credit-builder loan amounts are relatively limited, usually going up to no more than $1,000.

If you need quicker access to funds or more money than a credit-builder loan allows, this may not be your best option. However, it can make approval for different funding options easier in the future.

What is the easiest loan to get with bad credit?

If your credit score is too low for most loan options, you can get any of the following loans without a credit check. These same-day loans, sometimes called emergency loans, deliver your money the day you apply. The loans below are some of the easiest to get approved for, but they come with risks.

Payday loans

A payday loan is a short-term loan meant to be repaid when the borrower receives their next paycheck. These typically only require you to have an active bank or credit union account, personal identification and proof of income, and be at least 18 years old.

Payday lenders often forego credit checks to attract borrowers with poor credit, so fees can range from $10 to $30 for every $100 borrowed, and interest rates can be as high as 400%. Renewing or rolling the loan over to delay paying back the loan incurs another lending fee charge.

So, while qualifying for a payday loan can be easy, the financial risks make other options more attractive.

Auto title loans

A title loan operates similarly to a payday loan, except it’s secured. You usually need to offer your vehicle’s title as collateral, meaning you’ll have to return the car if you miss your payments.

An auto title loan repayment period is typically 15 to 30 days. This type of loan can include rollover options but with financing fees around 25%, equal to a 300% APR. The high fees and the risk of losing your vehicle make title loans dangerous to take on.

Pawn shop loans

Pawnshop lenders will also forego a credit check in exchange for a loan if you can offer a valuable item as collateral. In this case, you offer something with a high resale potential, such as jewelry, especially gold or diamonds, designer watches, electronics, musical instruments, collectibles, or even designer handbags.

Loan repayment terms and interest rates can vary between pawnbrokers, but a pawn shop loan APR is generally around 200%. As with a title loan, you stand to lose your collateral if you default on the loan or can’t pay it back.

The quickest route to a loan may not always be the best choice. Because they do not require credit requirements, easily approved loans often have higher interest rates and fees, which can be costly in the long run.

It’s best to avoid these loans unless absolutely necessary and only borrow what you can confidently repay to prevent damaging your credit or causing you to fall into a debt spiral. If your credit prevents you from accessing better loan options, it’s typically better to improve your credit score first.

Alternatives to getting a personal loan

If taking out a personal loan isn’t the best option for you, consider these alternatives to access funds or manage expenses more effectively.

Use your emergency fund

Building an emergency fund is an excellent way to always have cash in an emergency. Since the money is already yours, there’s no credit check, application or approval process. And you certainly won’t need to worry about interest rates or APR. You can also use it immediately. However, building a fund takes time. Consider whether what you need money for is really an emergency before dipping into this. And if you do, be sure to start saving as soon as possible so you’ll have adequate resources to tap into for future unexpected events.

Ask for a payment plan

If you’re struggling to pay a bill in full, many companies, especially medical providers, offer payment plans. While some plans may include fees or interest, they can be more affordable than taking out a loan. Payment plans, such as those offered by hospitals for medical expenses, typically don’t require a credit check but may still involve an approval process.

Use a credit card

Credit cards provide a flexible line of credit for purchases or bill payments. Those with good credit qualify for the best interest rates and terms. If your credit score is fair or poor, expect higher interest rates and potential additional fees.

Borrow from your retirement plan

If you have retirement savings in a 401(k), you may be able to borrow from it without a credit check. However, there are significant risks. Failing to repay the loan could result in a taxable distribution, and you may have to repay the loan in full if you leave your job. While you pay interest on the loan, the funds are deposited back into your account, but on a post-tax basis. That’s why borrowing from your 401(k) should be considered a last resort due to the potential impact on your retirement savings.

Ask family, friends or your employer

Borrowing from family or friends can offer flexibility and potentially no interest. However, to maintain relationships, it’s best to document the loan terms and make timely repayments.

You can also request a paycheck advance from your employer, This allows you to borrow from yourself without interest, but it will reduce your next paycheck. According to the Center For Responsible Lending, paycheck advances, like payday loans, could also trap you in a cycle of reborrowing that could worsen your financial situation.

Alternatively, you can call 211 for help paying your bills or check local resources, such as grants or rental assistance programs, that may be available based on your income.

FAQs about easy loan approval

Still wondering whether the easy approval route is the best way for you to secure a loan? To help inform your decision, let’s explore the answers to some common questions people ask about easy loans.

What is the easiest loan to get approved for?

Payday and pawn shop loans can be the easiest to get approved for. But their repayment terms can bring difficulties. Borrowers with a lower credit score can sometimes get approved for a personal loan, but it may come with a high interest rate. A credit-builder loan can come with high approval odds and the opportunity to boost your credit, but you must repay the loan before you can access the funds.

What is the fastest and easiest way to get a loan?

Payday, car title and pawn shop loans, as well as credit card cash advances, can offer same-day funding. Some personal loan lenders also offer instant approval and funding. Applying for a personal loan online will likely be the most secure, fastest and easiest way to get a loan.

Always research and compare your options, and do your best to avoid high-risk loans.

What is the easiest loan to get online?

Personal, payday and most other types of loans are available through online lenders. Choose the best loan for your circumstances, and you’ll likely find an online provider.

What is the easiest personal loan to get?

A secured personal loan technically tends to be easier to get than an unsecured personal loan. Since you put collateral on a secured loan, you’ll likely be able to get approved despite a lower credit score. However, you risk losing whatever asset you secure the loan with if you don’t repay the loan. Unsecured loans require stronger credit, but they don’t put an asset at risk if you fail to pay off the loan.

Final thoughts

Some types of loans usually don’t require credit checks, but their risks, fees and interest rates often outweigh their benefits. If possible, treat these loans as a last-resort option for necessary funding.

If you have good credit, a personal loan is usually a better and safer source of funds. In the end, though, the simplest option for you will depend on your financial situation and what you’re comfortable with.

Find out what interest rate and repayment term you can get with a personal loan by applying online today with Rocket Loans.