Best Loans for Bad Credit in Pennsylvania for 2024

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Reviewed byAlvin Yam, CFP
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Reviewed byAlvin Yam, CFP
Edited byBenjamar Gabawa
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Updated: May 1, 2024

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Happy Money stands out as the best personal loan lender for bad credit in Pennsylvania, with a MoneyGeek score of 94 out of 100. It provides quality service and competitive interest rates and is credible and transparent about its loan terms and process. As the runner-up, Avant showcases a MoneyGeek score of 92 out of 100 and excels in offering strong customer service, having a quick application and approval process, and delivering broad payment options.

MoneyGeek reviewed four personal loan lenders in Pennsylvania that set and disclosed their minimum credit score requirements between 580 and 640 to find the state's best personal loans for bad credit. While these lenders are highlighted for their features, other options, such as 1st Ed Credit Union, Members 1st Federal Credit Union and PA Central Federal Credit Union, also provide localized services worth considering for personal loan needs.


    Overall Best Bad Credit Loan Lender in Pennsylvania

  • 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 Pennsylvania, with a MoneyGeek score of 94 out of 100. It is a fintech company partnering with lending institutions federally insured by the NCUA to originate personal loans. Offering loans between $5,000 and $40,000 and considering applicants with a minimum credit score of 640, it stands out for its quick funding, providing money as soon as the next day. Happy Money does not impose unnecessary fees, adding value for applicants and features flexible repayment terms. However, applicants should note that it charges an origination fee and does not allow co-signers or co-borrowers.


    • Doesn't charge late, early repayment, bounced checks, failed ACH or other fees
    • Flexible repayment terms from 24 to 60 months
    • Offers to pay creditors directly


    • Only offers loans for debt consolidation
    • Charges an origination fee
    • No co-signers or co-borrowers
    Happy Money

    Runner-Up for Best Bad Credit Loan Lender in Pennsylvania

  • 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 the best bad credit loan lender in Pennsylvania, with a MoneyGeek score of 92 out of 100. It works with WebBank — a state-chartered FDIC member bank — to originate personal loans. Offering a minimum credit score requirement of 580 and loan amounts ranging from $2,000 to $35,000, borrowers can receive funds as soon as the next day. Avant's flexible repayment terms and the option for next-day funding can be particularly useful for those with bad credit. However, applicants should know that the administration fee is up to 9.99%, and late and dishonored payment fees are also included.


    • Doesn't charge a prepayment penalty
    • Offers next-day funding
    • Has a mobile app


    • Charges an administration fee up to 9.99%
    • Has late fees and dishonored payment fees
    • Low borrowing limits at $35,000

Calculate Your Monthly Loan Payment in Pennsylvania

In Pennsylvania, according to the TransUnion's Credit Industry Snapshot report, the average new account balance for personal loans is $9,636. Personal loans are usually paid off over a fixed period, generally through monthly payments.

These installments include both the principal and interest. Properly calculating your monthly loan payments is especially useful if you have bad credit. To aid in estimating these payments, you can use MoneyGeek's personal loan calculator.


Best Bad Credit Loans by Credit Score in Pennsylvania

Pennsylvania's average credit score of 723 is higher than the national average of 715 according to the latest Experian data.

Some Pennsylvania lenders may still consider borrowers with lower credit scores, though they often present higher interest rates and less favorable loan conditions. Refer to the following table to identify personal loan lenders in Pennsylvania matching your credit profile.

What to Do if Your Loan Application Is Denied in Pennsylvania

It's not uncommon to face a personal loan application denial in Pennsylvania, but this doesn't halt your borrowing journey. Here are some measures to enhance your chances for approval on future applications.

Find out the reason for the denial

If your loan application has been denied, it might be due to reasons such as a low credit score, a high debt-to-income ratio, insufficient income or errors in the application. Review the lender's feedback to pinpoint weaknesses and reduce the chances of future denials.

Modify your loan terms

You may discuss with your lender the possibility of changing the loan amount or repayment terms to fit its approval benchmarks. This can potentially lead to an adjusted loan that is acceptable to both you and the lender.

Find another lender

Lenders vary in their criteria for approving loans. It's worth shopping around to locate a lender that aligns with your specific financial situation and credit profile. Consider these factors:

  • Eligibility requirements: Understand each lender's criteria, including credit score, income level, debt-to-income ratio and employment history.
  • Interest rates: Look for lenders offering competitive interest rates that align with your credit standing.
  • Additional fees: Investigate if lenders charge fees such as origination, late or prepayment penalties and how these could affect your costs.
  • Loan terms: Assess whether short or long repayment terms suit your financial plan better.
  • Customer service and reputation: Evaluate lender reputation and customer service to ensure a smooth borrowing experience.
Look for alternatives

Alternatives to personal loans, such as credit-builder loans, secured loans or co-signed loans, may be more suitable for those with bad credit. Exploring these options could provide a more accommodating financial path.

Improve your credit score

By working on improving your credit score, you can enhance your chances of loan approval. Timely payments, reducing debt and keeping credit card balances low are some ways to boost your score.

FAQ About Bad Credit Loans in Pennsylvania

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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

When shopping for personal loans in Pennsylvania, it's common for borrowers, especially those with bad credit, to have questions or concerns. To assist in this process, we compiled answers to some frequently asked questions, offering clarity and guidance to help you make well-informed decisions.

Who is the best personal loan lender for bad credit in Pennsylvania?
Which lender in Pennsylvania has the lowest APR rates for personal loans?
Which lender in Pennsylvania has the lowest minimum credit score requirement for personal loans?
How long does it take to get a bad credit loan in Pennsylvania?
Can I pay off my personal loan early in Pennsylvania?

Experian. "What Is the Average Credit Score in the U.S.?." Accessed April 10, 2024.

TransUnion. "Credit Industry Snapshot." Accessed April 10, 2024.

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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.

Editorial Disclosure: Opinions, reviews, analyses and recommendations are the author’s alone and have not been reviewed, endorsed or approved by any bank, lender or other entity. Learn more about our editorial policies and expert editorial team.