Emergency Loans 2024: Get $1,000 - $50,000 in 24 Hrs | LendingTree (2024)

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Best Egg: Best for secured loans

Upstart: Best for bad credit loans

LightStream: Best for home improvement loans

Discover: Best for loans with repayment assistance

Upgrade: Best for joint loans

SoFi: Best for fast loans

Avant: Best for fair credit loans

An emergency loan is a personal loan with a fast funding timeline. Personal loans provide a lump sum of money that you can use for almost anything.

Depending on the lender, you could get an emergency loan the same day that you apply. With others, you may need to wait a day or two.

Most emergency loans are unsecured, which means they don’t require collateral. However, you can find secured loans with some lenders (such as Best Egg).

Best uses for an emergency loan

An emergency loan could be ideal for large, unexpected expenses such as:

• Medical bills
• Unexpected veterinary care
• Funeral expenses
• Dental bills
• Urgent home repairs
• Car repair
• Last-minute, essential travel

Pros and cons of an emergency loan

Where can I find an emergency loan?

Online lenders: For many, an online lender may be their best bet for an emergency loan. They tend to have fast funding timelines, and they are easier to qualify for if your credit isn’t perfect.

Banks: Emergency loans can be harder to find with brick-and-mortar banks. Some of the biggest banks in the U.S. don’t offer personal loans. Among these are Bank of America, Capital One and Chase.

Credit unions: Credit unions offer some of the lowest APRs on emergency loans, but you need to be a member to borrow. As long as you opt for direct deposit, you could get your loan in one to two business days.

You can’t compare loans if you don’t understand the lender’s language. The terms below can help you decode your offers and, most importantly, find the best deal.

APR: Annual percentage rate, or APR, measures the total cost of your loan considering interest and fees. The higher a loan’s APR, the more expensive it is.

Origination fee: An origination fee is an up-front fee that the lender deducts from your loan proceeds. It’s best to avoid origination fees but depending on your credit, you might not have a choice.

Lenders tend to levy origination fees on bad-credit borrowers because they are at higher risk to default. Origination fees are also more common among online lenders, regardless of credit. On the flip side, an origination fee may be worth it if the lender offers the fastest loan.

Approval timeline: A lender’s approval timeline is the length of time it takes to underwrite your loan application. Many lenders offer instant (or near-instant) approval decisions.

Funding timeline: Even more important that a lender’s approval timeline may be its funding timeline. This is how long it will take for the lender to disburse (or send you) your loan. Target lenders that specialize in quick loans to increase your chances of same- or next-day funding.

Loan term: Your loan term is the length of time you have to repay your loan. For instance, 12 to 60 (or 84) months is standard, although some lenders (like LightStream) have terms longer than that.

Choosing the perfect term is a balancing act. The longer your term, the lower your monthly payment. But because your repayment is spread out over more time, you’ll pay more interest.

Emergencies are stressful. Applying for an emergency loan can be, too. Knowing what steps to take to get the money you need might smooth out the process.

Review your budget

Make sure that you need to borrow money in the first place. If you have an emergency fund, tap that first. Is your situation truly an emergency, or do you have some time to save what you need?

You also need to be certain you can afford to pay back what you borrow. Just one missed payment can drop your credit score. Use our personal loan calculator to see what an emergency loan may cost you with interest.

Check your credit score

Getting an affordable emergency loan hinges on your credit score. Check your credit score for free with LendingTree Spring.

Consider a joint loan

If you have bad credit, it might be hard (or impossible) to get an emergency loan on your own. In this case, you might want to consider a joint loan.

A joint loan is one that you take out with another person. If the person you add has good credit, the lender might approve you when you’d otherwise be denied or give you a lower APR.

You and your co-borrower have equal rights and responsibilities to the loan. If you miss a payment, their credit score will also take a hit. A joint loan might make sense for repairing jointly owned property, like a house or car.

Prequalify

Prequalifying on a personal loan will help you see if it’s likely the lender will approve you. The benefit here is that it doesn’t require a hard credit pull. Prequalify with several lenders to find the most competitive loan.

Compare lenders

Use our cheat sheet above to compare your loan offers. Prioritize the one with the lowest APR and since this an emergency, the one with the fastest funding timeline.

Apply

When you’ve found the best loan for your situation, you can apply. Filling out a loan application is much like prequalification, but in more depth. You’ll provide detailed information about your finances with documents like pay stubs and bank statements.

Pay for your emergency and enter repayment

When the lender approves you, it will disburse your loan (usually via direct deposit). Emergency loans come in a lump sum. Use your loan for its intended purpose and resist the urge to spend it on something else.

Your first loan payment will be due around 30 days after you’ve received your loan. Consider signing up for autopay to ensure you remain on track. Some lenders (such as LightStream and SoFi) will give you an APR discount for doing so, too.

Emergencies don’t care about your credit score, but lenders do. Personal loan requirements vary, but you’ll generally need a score of at least 640 to get a loan with an affordable APR.

Emergency loans for bad credit come with higher interest rates or fees, but they still may be worth exploring in a pinch.

Paycheck advance apps

Paycheck advance apps are a popular way to get a same-day cash advance. They are typically interest free, but subscription fees and same-day advance fees are common.

Advances usually start small (about $50), so these might not be best for an expensive and urgent emergency. But if you demonstrate responsible borrowing over time, you might earn the ability to borrow up to $500.

No-credit-check loans

Instead of ordering a full credit report, no-credit-check loans rely on the information gathered with a soft credit pull. They might also consider your debt-to-income ratio, employment status and other basics regarding your financials.

No-credit-check loans can be predatory. They come with much higher APRs, often reaching the triple-digits. If a no-credit-check loan is your only option, choose your lender carefully.

Buy now, pay later apps

Buy now, pay later apps (BNPL) allow you to pay for purchases over time (usually in four monthly installments). This option could make sense if you need to purchase an emergency item like a car part. Generally, BNPL apps only work for purchases with participating retailers.

Many BNPL apps rely on a soft-credit hit, while others don’t consider your credit at all. However, pay close attention to interest and fees.

Desperately needing a loan makes you vulnerable to bad actors waiting to take advantage of your situation. The types of loans below may be easy to get, but they typically fall under predatory lending due to short repayment terms, high interest rates and excessive fees.

Payday loans

Most financial experts agree that anything above 36% APR may be predatory. Payday loans usually come with APRs in the triple digits. What’s worse, if you can’t afford to pay back your loan, you might be forced to roll it over into another one. This is a quick way to land into a cycle of debt.

Pawn shop loans

Pawn shop loans don’t require a credit check. However, they require that you put up a valuable piece of collateral (jewelry, for instance). The pawn shop will then give you a loan that’s worth much less than your collateral. If you don’t pay back what you borrow (plus a large amount of interest, in some cases), you’ll lose your collateral.

Car title loans

Like a pawn shop loan, a car title loan requires collateral. In this case, it’s your car.

A car title loan is equal to a certain percentage of your car’s value. Car title loans usually have terms between 15 and 30 days. If you don’t pay back what you borrowed (plus interest and fees), the lender will repossess your car.

Depending on the emergency — and your credit profile — an emergency loan might not be your best option. Take a look at these emergency loan alternatives to decide what path makes sense for you.

Care Credit®

Best if you have a medical, dental or vet emergency and can pay off your charge within the introductory period.

Care Credit® could be a great way to tackle unexpected medical, dental and veterinary expenses. Qualifying charges of $200 or more are interest-fee, but only if you pay your balance in full during the promotional financing period (typically six or 12 months).

If you don’t pay your balance in full during the promotional period, you’ll be on the hook for deferred interest. Not only that, but this interest will backdate to the day you made the charge.

You can only use Care Credit® with participating providers. You may also need a credit score of at least 640 to qualify.

Charity care

Best if you are low-income, uninsured or underinsured and cannot pay your hospital bill.

The Affordable Care Act requires nonprofit hospitals to offer discounted or free medical care to those who qualify. This is sometimes called charity care. In some states, all hospitals must offer charity care, regardless of their nonprofit status.

If you are low-income, uninsured or underinsured, ask the hospital about their Financial Assistance Policy (FAP). This will help you determine if you’re eligible for charity care. If you are, a patient advocate could walk you through the process.

Store credit card

Best if you need financing on high-dollar items like appliances or home repair materials.

Many home improvement stores offer a store credit card, usually with an introductory 0% APR promotional period. Home Depot, for instance, offers six months of deferred interest on purchases $299 or higher.

Credit card cash advance

Best if you already have a credit card and don’t qualify for a personal loan.

If you already have one, you can probably get cash from your credit card. Because you are already approved for the credit card, you don’t need to apply again for the cash advance.

Cash advances can be expensive. They typically come with a higher APR than a normal charge. Interest begins to accrue as soon as you take the advance. Your credit card issuer may also charge a separate cash advance fee.

Facing an emergency can drive home the importance of building an emergency fund. If you’re living paycheck-to-paycheck, saving money can seem impossible. Regardless of where you are in your financial journey, the strategies below are good to keep in mind.

Be realistic: Start small when deciding how much to save for your emergency fund. You may lose motivation if you set too lofty a goal. If you can only save $25 a week, do it — every little bit helps.

Create a budget: There are budgeting methods that you can choose from, each with their own benefits and drawbacks. Consider your goals, income and current debt burden to find the budget that will work best for you.

Chip away at debt: Use the debt snowball or debt avalanche methods to be rid of debt and save money on interest.

Set up autopay: Automatically transfer a small portion of your paycheck to your savings account each payday. As they say — out of sight, out of mind.

Save unexpected cash: Put surprise cash injections (such as gifts or an inheritance) into a savings account. Once you’ve bulked up your emergency fund, consider allocating anything extra to a CD account. This way, you can earn interest while your money sits.

We reviewed more than 17 lenders to determine the overall best seven emergency loans. To make our list, lenders must offer emergency loans with fast funding times and competitive annual percentage rates (APRs). From there, we prioritize lenders based on the following factors:

• Accessibility: Lenders are ranked higher if their personal loans are available to more people and require fewer conditions. This may include lower credit requirements, wider geographic availability, faster funding and easier and more transparent prequalification and application processes.
• Rates and terms: We prioritize lenders with more competitive fixed rates, fewer fees and greater options for repayment terms, loan amounts and APR discounts.
• Repayment experience: For starters, we consider each lender’s reputation and business practices. We also favor lenders that report to all major credit bureaus, offer reliable customer service and provide any unique perks to customers, like free wealth coaching.