Best Loans for Bad Credit in Alaska for 2024
Updated: April 24, 2024
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Happy Money is the best personal loan lender for bad credit in Alaska, with a MoneyGeek score of 94 out of 100. It stands out due to its credible and transparent loan terms, quick application and approval process, and quality customer service. The runner-up is Avant, with a MoneyGeek score of 92 out of 100, known for its broad payment options, quick application and approval process and strong customer service.
To find the best personal loans for bad credit, MoneyGeek reviewed four personal loan lenders in Alaska that set and disclosed their minimum credit score requirements between 580 and 640. Other lenders not highlighted here could also offer valuable services. Consider Credit Union 1, Spirit of Alaska Federal Credit Union and True North Federal Credit Union for localized options.
- Happy Money
- 94MoneyGeek Score
- 11.72% to 17.99%APR Range
- 640Minimum Credit Score
- $5,000 to $40,000Loan Amount Range
- 24 to 60 monthsRepayment Terms
Happy Money is MoneyGeek's pick for the best personal loan lender for bad credit in Alaska, with a MoneyGeek score of 94 out of 100. It is not a lender but a fintech company that collaborates with lending partners federally insured by the National Credit Union Administration to offer personal loans. For borrowers with bad credit, the minimum credit score required is 640. It provides loans ranging from $5,000 to $40,000, with funds available as soon as the next day. Happy Money doesn't impose fees such as late or early repayment fees, offering a level of flexibility in managing finances. However, applicants should note that it only offers loans for debt consolidation and charges an origination fee.
Pros
- Doesn't charge late, early repayment, bounced check, failed ACH or other fees
- Offers to pay creditors directly
- Lower maximum APR than competitors
Cons
- Only offers loans for debt consolidation
- Charges an origination fee
- $40,000 borrowing limit
Overall Best Bad Credit Loan Lender in Alaska
- Avant
- 92MoneyGeek Score
- 9.95% to 35.99%APR Range
- 580Minimum Credit Score
- $2,000 to $35,000Loan Amount Range
- 12 to 60 monthsRepayment Terms
Avant is the runner-up for best bad credit loan lender in Alaska, with a MoneyGeek score of 92 out of 100. It partners with WebBank, a state-chartered member FDIC bank, to originate personal loans. It requires applicants to have a minimum credit score of 580. and it offers a loan amount ranging from $2,000 to $35,000. Funds are available the next day, showing that it can meet the needs of those seeking timely financial assistance. It has flexible repayment terms and allows for checking of loan options without impacting credit scores. However, borrowers should be mindful of the administration fee and the potential for late and dishonored payment fees.
Pros
- Doesn't charge a prepayment penalty
- Flexible repayment terms from 12 to 60 months
- Offers next-day funding
Cons
- Charges an administration fee of up to 9.99%
- Has late fees and dishonored payment fees
- Low borrowing limits at $35,000
Runner-Up for Best Bad Credit Loan Lender in Alaska
Calculate Your Monthly Loan Payment in Alaska
In Alaska, the average new account balance for personal loans is $13,105, according to TransUnion's Credit Industry Snapshot report. Once a personal loan is acquired, borrowers must adhere to a repayment schedule to return the borrowed amount and any accrued interest. Repaying your loan typically involves making regular monthly payments for a fixed period.
For those with less-than-perfect credit, accurately determining your monthly loan payments is helpful to manage finances effectively and avoid additional debt. To assist in calculating these payments, consider using MoneyGeek's personal loan calculator; it offers an easy-to-use tool to estimate your payments before taking out a loan.
Best Bad Credit Loans by Credit Score in Alaska
In Alaska, the average credit score is 722, slightly higher than the national average of 715, based on Experian data.
Some Alaska lenders specialize in loans for those with less-than-ideal credit. However, be aware that the interest rates may be higher and the loan terms less favorable. Refer to the table below to identify personal loan lenders in Alaska that match your credit score range.
What to Do if Your Loan Application Is Denied in Alaska
It's not uncommon to face a personal loan application denial in Alaska, but this doesn't halt your borrowing journey. Understanding the next steps can help you navigate this setback. Here are some measures to enhance your chances of approval for future applications.
Find out the reason for the denial
If your loan application was denied, it's likely because of a poor credit score, high debt-to-income ratio, low income level or because there were errors in your application. Review the lender's reasons to identify areas for improvement, which could help you avoid another denial in the future.
Modify your loan terms
You could contact your lender to see if there's flexibility to adjust the loan amount or repayment terms, which could lead to an approval. Adjusting these variables might make the loan a better fit for your financial situation.
Find another lender
Lenders have unique criteria for approval. It's beneficial to compare options to find the best lender for your needs and credit history. Consider the following factors:
- Eligibility requirements: Lenders differ in their thresholds for credit scores, income levels, debt-to-income ratios and employment history.
- Interest rates: To save money, seek lenders with competitive interest rates, which is particularly helpful if you have bad credit.
- Additional fees: Understand the various fees lenders may charge, such as origination, late or prepayment fees. These can impact the overall cost of your loan.
- Loan terms: Lenders offer various repayment terms for personal loans. Shorter terms often result in higher monthly payments, whereas longer terms spread out payments but may cost more in interest over time.
- Customer service and reputation: Research the quality of customer service and reputation of potential lenders. A positive experience can be invaluable, especially in the context of financial hardship.
Look for alternatives
Alternatives to personal loans that may be more suitable for those with bad credit include secured loans, credit union loans or co-signed loans. Explore these options to find a financial product that accommodates your credit profile.
Improve your credit score
Enhancing your credit score opens up more opportunities for loan approval. Some methods for improving your credit score include paying bills on time, reducing outstanding debt and checking your credit report for errors to dispute them.
Work on improving your credit score before applying for a personal loan to increase your chances of approval and getting better terms. Here are some long-term steps to consider:
- Monitor your credit utilization ratio: Keep your credit utilization ratio low, as high credit utilization can negatively impact your credit score. Aim to use less than 30% of your available credit limit.
- Don’t close old credit cards: The length of your credit history contributes to your credit score. Even if you no longer use a credit card, keep it open unless it has an annual fee.
— Alvin Yam, CFP
FAQ About Bad Credit Loans in Alaska
When shopping for personal loans in Alaska, it's common for borrowers, especially those with bad credit, to have questions or concerns. We compiled answers to frequently asked questions to assist in this process, offering clarity and guidance to help you make well-informed decisions.
Happy Money is the best personal loan lender for bad credit in Alaska, with a MoneyGeek score of 94 out of 100.
Avant has the lowest minimum credit score requirement in Alaska, which is 580.
The time it takes to receive funds from a bad credit loan in Alaska depends on the lender. Some lenders may offer same-day funding, while others might take from a few business days up to a week.
Yes, you can pay off your personal loan early in Alaska. However, it's recommended that you check with your lender for any prepayment penalties that may apply.
sources
- Experian. "What Is the Average Credit Score in the US?." Accessed April 11, 2024.
- TransUnion. "Credit Industry Snapshot." Accessed April 11, 2024.
The content on this page is accurate as of the posting/last updated date; however, some of the rates mentioned may have changed. We recommend visiting the lender's website for the most up-to-date information available.
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