Long Term Personal Loans for Bad Credit

Bad credit can make it extremely difficult for you to get a loan for the things that you need. Typically, FICO scores of 579 or lower are classified as poor credit. Nonetheless, with a little bit of effort, you can still get a loan for bad credit.

A personal loan can help you pay back other debts or cover significant expenses. You can apply for one of these loans entirely online or at an in-person lender. Just be aware that with poor credit, the loan amount you can borrow may be limited or have high interest rate and fees.

What are Long Term Personal Loans

A long-term personal loan for bad credit may be an option for you if you need to borrow a lot of money immediately and pay it back slowly. You can usually borrow over $50,000. This loan amount is higher than many other fast loans for bad credit.

While the timeline for the repayment of these loans can vary, the typical long-term loan is repaid in five to seven years. Many banks and credit unions offer personal loans.

You might be interested in a loan if you need to:

  • Pay for high medical bills or car expenses
  • Pay for other large expenses that your credit card won’t cover
  • Combine multiple debts into one (also known as debt consolidation)
  • Lower the rate you pay on your current debt

The difference with Credit Cards

While there are credit cards with a high limit, they normally have a much shorter loan term which ranges about up to 15 months. Personal loans have a much longer term, some up to 7 years. A credit card always come with a much higher interest rate and fees, and some expenses aren’t covered.

Why should you go long-term?

The longer you take to repay the loan, the lower your monthly payments can be. You can make a long-term loan work within your budget. However, you’ll want to keep an eye on the interest rate.

When you look for loans, you will see that some lenders refer to them as unsecured loans. A secured loan requires you to put up an asset (such as a car) as collateral. An unsecured loan does not require collateral.

Where to get Long Term Personal Loans

You can still apply for a personal loan, even if you have bad credit. There are many online or in-person lenders with fast applications. For example, you can go to

  • QuickLoanLink – has a quick, online loan application with a possible loan terms of up to 7 years and also does a soft credit check.
  • Lifeloans – with no minimum requirements for your credit score, anyone can apply. May offer a loan terms up to 5 years. Loan amount up to $40,000.
  • PersonalLoans – gives out funds as quickly as the next business day after you’re approved. May offer a loan term up to 6 years.
  • Your local bank – you may have a good chance of getting approved at a place where you already have a bank account. If you get denied online because of your low credit score, you may still get approved in person.

Save yourself some time by getting pre-qualified for a loan. A pre-qualification doesn’t affect your credit score, and it enables you to see your options from multiple lenders.

What do you do if you can’t get pre-qualified?

  • Try to find out why.
    Usually, lenders will tell you the reasons you were denied. If they don’t, you can ask them.
  • Work on fixing the problem.
    Once you know the reason, try to make changes to improve your future chances.
  • Seek a co-signer.
    You may get approved if a family member or close friend (with a higher credit score) is willing to co-sign.

The most crucial step to getting a loan is to find as many options as you can. Compare the interest rate, terms, and APRs of multiple lenders to ensure you are getting the best loan.

Pros of Long Term Personal Loans

There are several benefits to getting a long term loan:

  • Improve your credit score – If you make the monthly payments for your loan on time, you can positively affect your credit score.
  • Plenty of options – While getting loans for bad credit can be challenging, there are plenty of lenders for long-term personal loans. This means you have a higher chance that you will find a loan that you can afford.
  • Flexible payment options – You don’t have to feel locked into a tight repayment plan. Most lenders give you choices on how long you can take to pay back your loan. You can usually get your monthly payments to be as high or as low as your budget allows.
  • Potentially lower interest rates – Are you thinking of using a loan as a debt consolidation? You can save money in the long term with a loan that has a lower interest rate than your current debt.

Cons of Long Term Personal Loans

While a long-term loan may seem like the answer to your problems, it is a huge responsibility. Some of the disadvantages include:

  • More interest over time – As time passes, the total amount you pay for your loan increases because of interest rates. This means you may pay more with a long-term loan than a shorter-term loan.
  • Longer-lasting debt ­– You may have to push off any big purchases until you pay off your loans. If not carefully budgeted for, long-term loans can also eat through your savings.
  • May encounter unexpected fees – Some lenders may charge you fees just for taking out a loan. There can also be penalty fees for paying your loan off earlier than agreed upon. Make sure you know the terms of your loan before you commit.

How to choose the length of your Long Term Loan

The length of your long-term loan is an important decision. Before applying, you should first check your credit scores through the major credit bureaus to make sure your credit report and credit history is accurate. You also want to consider the following:

  • The monthly amount you could afford to pay based on your income
  • The amount of time you are willing to spend in debt
  • The reason for the loan (is it worth the expense?)
  • Any other options for getting the money you need, such as saving up

The lender you choose will also determine the length of your loan. Some lenders offer fixed timelines—such as three or five years—while others give you more flexibility.

When you pick a lender, they will confirm your eligibility with a hard credit check. If you are approved, read the terms of your loan. After you agree, the funds will be released to you. With some lenders this might be as soon as the next business day, but others may take a little longer.


A long-term personal loan might be an excellent way to pay for a significant expense with bad credit. However, taking out a loan is a serious commitment. You’ll want to carefully review the terms of the loan to avoid fees or complications. Always try to check your credit history and credit report before applying.

A long-term loan could take years to repay. While this means low monthly payments, it can also mean high interest rates. If you have bad credit, lenders may charge you more for a loan. On the other hand, paying back your loan on time could improve your credit score.

You can use a loan calculator or call an expert for advice to find an appropriate payment plan for you.

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