LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.
An emergency loan is a personal loan that is disbursed quickly so you can use it for urgent or unplanned expenses. You might need fast access to cash to take care of unexpected events, such as a car breaking down or an emergency medical expense. Borrowers with strong credit will score the lowest rate on an emergency personal loan.
Great credit union for emergency loans
Alliant Credit Union offers unsecured personal loans at competitive interest rates, depending on the loan length:
To borrow a personal loan from Alliant, you’ll have to become a member. Fortunately, membership requirements for this credit union are fairly relaxed. If you don’t work or live in an eligible area, you can still join by becoming a member of the nonprofit Foster Care to Success.
*APR accurate as of 10/13/2021
Great overall emergency loan
Best Egg is a good choice for emergency loans because this lender works with borrowers of a variety of credit histories. Plus, Best Egg offers same-day funding, which can be critical if you need money in an emergency situation.
To qualify for the lowest available APR of 5.99%, borrowers must have a FICO Score of at least 700 and a minimum annual income of $100,000.
Great emergency loan for fair credit
While LendingPoint charges the highest minimum APR on this list, it is the only lender that considers borrowers with subprime credit. Still, if you need emergency funding fast, you might try your other options, such as a credit union loan or a secured loan, before borrowing through LendingPoint.
If you don’t have the credit necessary to get a reasonable APR, you could also consider enlisting the help of a cosigner, but you’ll have to look elsewhere, as LendingPoint doesn’t allow cosigners.
Great emergency loan for excellent credit
LightStream offers competitive APRs for borrowers with excellent credit. If you’ve found yourself in an emergency situation and you need money now — but you still have a good credit score — then you might consider borrowing from LightStream.
One drawback is that, unlike many of the other lenders on this page, LightStream doesn’t let you estimate your APR and other loan terms with a soft credit check. You’ll have to submit to a hard credit inquiry, and there’s no guarantee you’ll be eligible for a LightStream loan.
Best emergency loans for borrowers without an established credit history
Upstart factors in your education and job history in addition to your credit history when determining eligibility and APR. This makes Upstart a good choice for people who have a less established credit history, but who have a college degree or a stable job.
Upstart charges an origination fee of 0.00% - 8.00% of the loan amount, which is a definite drawback.
Rather than opting for the first loan you find, shop around with several lenders to find the best one for you. Here are some important factors to consider when choosing an emergency personal loan:
Every lender sets its own rates and terms, so it’s worth comparing several offers so you can find the best one for you.
Before taking on debt, it’s worth weighing all your options. Here are a few alternatives to consider before applying for an emergency loan:
Once you’ve dealt with your emergency expense, it’s worth planning ahead for your next unexpected expense. Set a goal of building an emergency fund so you’ll be prepared for surprise costs in the future.
Here are some strategies that will help:
Over time, you’ll see your emergency fund grow. When you get hit with an unexpected expense in the future, you might have cash on hand to cover it so you don’t have to turn to a loan.
Here are some answers to the most frequently asked questions about emergency loans and how they work, specifically:
Emergency loans are typically unsecured personal loans that you can access fast. You can usually get the funds in your account a day or two after you get approved for the loan. Some lenders can even disburse the money the same day you apply.
Unsecured emergency loans don’t require you to put up any collateral. You don’t have to worry about losing your assets, such as your car or home, if you can’t afford to pay back the loan. However, failing to repay it can tank your credit score.
Lenders will look at your credit and income to determine whether you qualify for a loan. Borrowers with good to excellent credit will qualify for the lowest rates. It’s a good idea to shop around and compare your options so you can find a loan with the most attractive terms.
It’s a stressful place to be if you need emergency cash but don’t have strong enough credit to qualify for a loan. Bad or poor credit, by the way, usually refers to a credit score between 300 and 579, as defined by FICO. Some lenders require an even higher score to approve you for a loan.
Fortunately, there are a few steps you can take to improve your chances of getting an emergency personal loan:
While you might be able to find a payday loan without a credit requirement, we urge you to be careful. Payday loans can have sky-high interest rates that are well above the threshold considered to be affordable for borrowers.
We recommend three types of lenders for emergency loans: banks, online lenders and credit unions.
As mentioned, you might also be able to get an emergency loan from a payday lender or your credit card issuer. However, going this route could leave you with high interest rates and fees that are burdensome and difficult to pay back.
We recommend unsecured personal loans to cover your emergency expenses, but there are other types of emergency loans, too. Here are various types of emergency loans, so you understand your options:
Some lenders disburse fast loans, depositing the money in your account the same day you apply. Others take one to two days to process your application, while slower institutions can take a few weeks to process everything. When comparing lenders, find out how long it will take to get your loan.
Applying for an emergency loan can slightly ding your credit, as does applying for any loan. However, some lenders let you prequalify online with no impact on your score, allowing you to shop around before committing to a loan. Making on-time payments can improve your credit score, while late payments will damage it.
To apply for an emergency personal loan, take the following steps: