Best Low-Income Loans in Arkansas: Top Lenders and Rates for 2024

Updated: December 28, 2023

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WHAT WE’RE GEEKING OUT ON

Best Low-Income Loan Lenders in Arkansas

MoneyGeek analyzed the advantages and shortcomings, loan terms, APR ranges, minimum credit score requirements and various other details about different lenders in Arkansas to find the options that offer the best loans for low-income individuals.

We determined that Upgrade is Arkansas' best personal loan lender for low-income loans. If you don't qualify with this lender, you can opt for LendingClub, the second-best option in the state. Upstart is the best option for borrowers with bad credit, while Prosper will suit individuals with a strong credit history.

Best Overall Low-Income Loan in Arkansas: Upgrade


  • Upgrade
    • 5.94% to 35.47%APR Range
    • 560Minimum Credit Score
    • $1,000 to $50,000Loan Amount Range
    • 36 to 60 monthsRepayment Terms
    • Same DayTime to Receive Funds

    MoneyGeek analyzed different lenders in Arkansas based on essential factors and found Upgrade to be the best option for low-income loans. The lender’s financial products include personal loans, credit cards, rewards checking accounts and more.

    Upgrade permits joint applications, which can help low-income borrowers qualify for a loan. The lender’s APR ranges from 5.94% to 35.47%. It would be best if you had a minimum FICO score of 560 to qualify for its loans since the lender doesn’t accept borrowers with no credit. Upgrade’s maximum loan amount is $50,000, while repayment terms range from 36 to 60 months.

    However, you should opt for any other lender if you don’t want to pay loan origination fees.

    Pros

    • Conducts soft credit inquiry first
    • No prepayment penalty
    • Provides joint loans
    • Autopay discount

    Cons

    • No loans for borrowers with bad credit
    • No co-signers allowed
    • Origination fees
    • APR range: 5.94% to 35.47%
    • Minimum/maximum loan amount: $1,000 to $50,000
    • Minimum credit requirements: 560
    • Repayment terms: 36 to 60 months
    • Time to receive funds: Same day
    Upgrade

Runner-Up for Best Low-Income Loan in Arkansas: LendingClub


  • LendingClub
    • 7.04% to 35.89%APR Range
    • 600Minimum Credit Score
    • $1,000 to $40,000Loan Amount Range
    • 36 to 60 monthsRepayment Terms
    • Next DayTime to Receive Funds

    The second-best option for low-income loans in Arkansas is LendingClub. It offers loans for various purposes and allows joint applications, increasing the chances of approval for low-income borrowers.

    You can use a LendingClub personal loan to consolidate high-interest debt, finance home improvement, transfer your balance and many other purposes. It also allows the borrowers to check their rates online and conducts soft credit inquiries, which doesn’t affect their credit history. With LendingClub, your loan APR will range from 7.04% to 35.89%.

    However, this lender restricts how you can use loan funds. If you want to opt for a loan with this lender, contact them to ask about specific restrictions before applying.

    Pros

    • A+ BBB rating
    • Performs soft credit check first
    • No prepayment fees on early payment
    • Low minimum loan amount

    Cons

    • Loan origination fees
    • Restricts how you can use loan funds
    • No co-signers
    • APR range: 7.04% to 35.89%
    • Minimum/maximum loan amount: $1,000 to $40,000
    • Minimum credit requirements: 600
    • Repayment terms: 36 to 60 months
    • Time to receive funds: Next day
    LendingClub

Best Low-Income Loan for Bad Credit in Arkansas: Upstart


  • Upstart
    • 3.22% to 35.99%APR Range
    • 300Minimum Credit Score
    • $1,000 to $50,000Loan Amount Range
    • 36 to 60 monthsRepayment Terms
    • Next DayTime to Receive Funds

    Upstart is an artificial intelligence-based lending platform that analyzes loan applications based on factors like education details and employment history rather than solely relying on your credit score, DTI ratio and income level. Based on MoneyGeek’s research, the lender is the best option for a low-income loan for borrowers with bad credit scores.

    The lender charges a minimum APR of 3.22% on its loans, which is pretty low compared to other lenders in Arkansas. When it approves your loan, you may receive the funds as soon as the next business day. The lender doesn’t charge a prepayment penalty, making it straightforward to pay off your loan early.

    Pros

    • Evaluates various factors besides credit history
    • Performs soft credit check first
    • No prepayment penalty
    • A+ BBB rating

    Cons

    • Charges origination fees
    • Doesn’t provide an autopay discount
    • Late payment fees
    • APR range: 3.22% to 35.99%
    • Minimum/maximum loan amount: $1,000 to $50,000
    • Minimum credit requirements: 300
    • Repayment terms: 36 to 60 months
    • Time to receive funds: Next business day
    Upstart

Best Low-Income Loan for Good Credit in Arkansas: Prosper


  • Prosper
    • 7.95% to 35.99%APR Range
    • 640Minimum Credit Score
    • $2,000 to $40,000Loan Amount Range
    • 36 to 60 monthsRepayment Terms
    • Same DayTime to Receive Funds

    MoneyGeek’s analysis of Prosper’s loans shows that it’s the most suitable option for borrowers with strong credit histories in Arkansas. It’s a peer-to-peer lending marketplace that offers personal loans and other financial products through traditional investors.

    You’ll need a minimum FICO score of 640 to qualify for a Prosper personal loan. It allows the usage of loan funds for debt consolidation, vehicle purchases and other purposes. You can get a maximum loan of $40,000 with this lender, which can help you cover any significant purchases or expenses.

    However, Prosper isn’t the right option if you don’t want to pay late payments or origination fees.

    Pros

    • No prepayment fees
    • A+ BBB rating
    • Performs a soft credit inquiry first
    • Allows joint loans

    Cons

    • Charges late payment fees
    • Origination fees
    • No co-signers
    • APR range: 7.95% to 35.99%
    • Minimum/maximum loan amount: $2,000 to $40,000
    • Minimum credit requirements: 640
    • Repayment terms: 36 to 60 months
    • Time to receive funds: Same day
    Prosper

How to Choose the Best Low-Income Loan in Arkansas for You

Based on MoneyGeek’s analysis, the average personal loan debt in Arkansas is $20,001. Although getting a loan is the best option in many situations, it’s essential to consider your financial situation and analyze your existing debts before applying for a loan. It will help you figure out if you can afford more debt.

MoneyGeek compiled the following steps essential when finding the lender offering the best low-income loans in Arkansas.

1
Ask Yourself the Important Questions

When choosing the best lender, the essential questions you must ask should relate to your current financial situation, including your income, credit score and previous debts. You should analyze the purpose of getting a loan and determine how much funding you need. Understanding these factors will help you understand your needs and find the ideal lender. We recommend asking the following questions:

  • How much funding do I need?
  • What’s my credit score?
  • Can I afford the monthly payments?
  • Do I have existing debts?
  • Is my debt manageable through other means?
2
Do Your Research

The next step is researching different lenders, which involves shopping around, getting quotes and comparing them to see which offers the best deal. It’s important to do sufficient research, as a loan is a long-term commitment, and you may not want to make monthly payments for a few years based on unfavorable terms. You can benefit from MoneyGeek’s guide on personal loans. However, you should still do your research as only you know your specific situation.

3
Wait

After researching, you may have finalized the ideal lender. However, the process doesn’t end here. MoneyGeek recommends waiting a few days or weeks before applying to ensure you have made the best choice based on your situation. You can use this period to learn more about the lender’s terms and explore other ways to meet your needs.

4
Read the Fine Print

One of the last steps you need to take before applying for a loan is to go through the fine print of the lender’s loan agreement. It’s an important document that provides information on the lender’s fees and other costs. You should know about its fees to save money in the long run. Some significant fees to note are late payment, origination and prepayment fees.

5
Apply

You can apply for a loan after reviewing the fine print and essential details. At this stage, it’s crucial to provide the lender documents that verify your income, personal details and address. Although many lenders only accept online applications, some allow borrowers to apply in person. This can be a good idea to ensure you complete the application correctly and get any questions you have answered throughout the process.

What to Do if You Can’t Get a Low-Income Loan in Arkansas

There are no guarantees that a lender will approve your application based on the information you provide. They may reject it for various reasons, including insufficient income, bad credit history, high debt-to-income ratio and unstable employment.

If this happens, you should contact the lender by phone or email and ask them to let you know the factors that may have played a role in the loan denial. When the lender informs you of those factors, it’s best to start improving them and apply again with the same lender. For example, if the lender denies your loan because of insufficient income, you can adjust loan terms or modify the application in a way acceptable to the lender. You may want to opt for a different lender, but the chances of approval are low if you don’t improve the factors that caused the loan rejection.

Some borrowers may opt for payday loans to meet their emergency needs. However, these loans have high APRs and short repayment terms, making it impossible for the borrower to pay them off easily. We do not recommend these types of loans.

Calculate Your Monthly Payment

You can use MoneyGeek’s personal loan calculator to estimate if you can afford a new loan based on your situation. This is an important step since you will have to repay the loan with monthly installments and interest. Using this tool, you can calculate your monthly payment by putting in information about your financial situation and desired loan.

years
months
%
Principal
+ $114.98
Interest
+ $8.33
Origination Fee Percentage
+
%
Origination Fee Fixed amount
+
Total monthly Payment
$123.31

FAQs About Low-Income Loans in Arkansas

Finding the best low-income lender in Arkansas involves evaluating your financial needs and opting for the option that best meets them. The following frequently asked questions about low-income loans in the state will help you explore different options and understand important details.

What is the best low-income loan lender in Arkansas?
Which lender in Arkansas has the lowest interest rates for low-income?
What kind of debts can I not use my low-income loan for in Arkansas?
How much debt can I consolidate in Arkansas?
How long does it take to get a low-income loan in Arkansas?
Can I pay off my loan early in Arkansas?

Methodology

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METHODOLOGY

MoneyGeek researched and analyzed various personal loan lenders using important data points across categories that include loan affordability and accessibility, customer friendliness and support, lender transparency, flexibility and customer service.

We also analyzed which data points within each category significantly affect the decision when finalizing a personal loan lender. These essential factors are APR ranges, available loan amounts, minimum credit score, income amount, application fees and disbursement time.

MoneyGeek’s guides prioritize you, the consumer, so we also researched each loan provider’s customer support, business ratings and helpful features that ease your experience and make it straightforward, including prequalification, payment flexibility and mobile apps.

We finalized our picks keeping in mind your best interests. Our loan recommendations and expert tips help you make better financial decisions when finding a lender that meets your needs.

sources
Shield Insurance

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.

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