Finding a long-term installment loan for bad credit is a challenge, but possible, especially if you have verifiable income. There are a number of finance companies, banks and credit unions that will lend to people of all credit ratings. The key to finding a long-term installment loan for bad credit is patience. The older your bad credit is, the better; it is very difficult to convince a business to loan you money when you cannot keep up with your current credit cards and other debt obligations.
Step 1
Visit your bank or a local credit union. Explain to the loan officer your situation and ask to apply for a loan that meets your needs. Credit unions are the most likely choice for someone with credit problems, and they usually offer a number of secured and unsecured loan products.
Step 2
Apply for loans on the Internet through popular bad credit installment loan finance companies if your bank or credit union is unable to meet your lending needs. For example, American General is one of the most popular bad credit lenders in the United States. It often approves people with credit problems at reasonable interest rates.
Step 3
Apply for other bad credit installment loans if rejected by American General. For instance, sites such as DrCredit match applicants with lenders who are willing to work with their unique credit and/or income needs.
Step 4
Visit Rebuild if rejected by DrCredit. Rebuild matches people with personal loans and many times does not require a credit check. Its loan terms can be as long as 48 months.
Step 5
Talk to your employer about a loan, as some companies will offer loans to their employees. You may wish to find out if this is an option for you if you have worked at the business for a long time.
Tip
If you have collateral, such as a paid-for car, electronics or equity in a house, you will have a much easier time qualifying for a long-term installment loan with bad credit.
Warning
Be wary of payday lenders or anyone offering more than a 30 percent interest rate.