Best Hardship Loans For Bad Credit For February 2023

Before the devastating coronavirus pandemic, there was no such dedicated personal loan that you could address as a “typical hardship loan.” However, the covid 19 turbulence has changed the entire financial landscape. Millions of Americans have been laid off in the course of COVID 19. Though the economy is recovering, people are still facing financial distress, and several statistics evidence this fact.

According to the Bureau of Labor Statistics, the US unemployment rate was 4.8% last year, with 7.7 million people unemployed. Indeed, these numbers are down from 2020 but are much higher than the pre-pandemic unemployment rates. Many American households still face moderate to extreme financial turbulence and desperately seek ways to escape this situation.

To address this issue, several financial institutions came up with a solution, which you call hardship loans today. Hardship loans are a form of personal loan that typically have more favorable terms. They include agile funding, deferred payments, and lower interest rates. When the concept was in its seed stage, it usually served people affected by the impacts of the pandemic.

Top 4 Hardship Loans In 2023

  • MoneyMutual – Overall Best Hardship Loans, Editor’s Pick 
  • BadCreditLoans – Top Rated Lenders For Hardship Loans For Bad Credit 
  • CashUSA – Most Recommended To Get Hardship Loan
  • – Most Popular For Financial Hardship Loan

#1. MoneyMutual –  Overall Best Hardship Loans, Editor’s Pick 


This short-term loan network connects lenders and borrowers, facilitating quick and easy loans. The website features 60+ lenders, and you can access a local loan provider in minutes by following a few simple steps. MoneyMutual’s official website is easy to navigate. Your application reaches multiple lenders when you apply for a loan using this platform. In a little time, you can start receiving suitable offers.

By segregating the process, MoneyMutual makes things more convenient for you. By filling out only one form, you get access to multiple lenders. MoneyMutual is one of the best choices for availing quick loans with justified interests.

MoneyMutual facilitates unemployed people looking for personal loans like hardship credit or emergency loans. You can even apply if your credit score is not that good. However, the platform is not responsible for determining the loan amount, term, interest rates, and other crucial factors. Therefore, you should review the lender’s terms and conditions while using this platform before signing the agreement.

You can access MoneyMutual’s payday loans, installment loans, or even cash advances to handle emergencies or mandate expenses. If your credit score is notably poor, you can even walk with bad credit loans. The platform doesn’t have any specific requirements in terms of eligibility. You just need to meet the standard eligibility criteria. The loan approval process of MoneyMutual is pretty simple.

The entire thing is done online, so you don’t need to knock on the doors of the lender every day. You can simply visit their website and fill in a few details like your zip code, email address, name, contact number, living situation, bank routing number, account number, etc.

When you complete the application process, the lenders come up with their offers, and you can walk with the one that suits you the best. Typically, it takes a few minutes to a couple of days to get the fund transferred to your account if lenders find you eligible.


Zero platform fee: MoneyMutual’s platform fees are not hefty. Moreover, they levy these fees on the lending companies because the platform helps them to connect with many borrowers. Therefore, you can use the platform without being worried about bearing hefty platform usage charges.

Access to higher loan amounts: MoneyMutual lets you connect with multiple lenders who offer satisfactory loan amounts. Depending on your eligibility, you may get up to $1000 sanctioned for payday or short-term loans. You can even avail yourself up to $5000 in specific conditions. Indeed, it’s quite a satisfactory upper limit that you can expect.

Easy application: The application process for hardship loans with MoneyMutual is utterly convenient. The platform understands that you are seeking hardship loans because you are facing some emergencies. Thus, they don’t push you to waste your time by making you scroll through a lot of pages. With a few clicks, you can get in touch with suitable lenders – this is how the entire thing looks. However, if you are unemployed or your credit score is poor, the approval may take a bit longer as the lenders may conduct detailed verification.

Quick disbursal: MoneyMutual connects you with lenders who may process your funds through direct payment within 24 hours after they approve your application. This may help you handle urgent expenses like paying off your medical bills or fixing automobiles.


  • Zero hidden charges
  • Easy website navigation
  • Loans for bad credits
  • Offers loans according to the requirement of the applicant
  • Transparent and accessible


  • No clarification is available on the screening process
  • Details of interest rates are foggy

=> Click here to visit the official website of MoneyMutual

#2. BadCreditLoans – Top Rated Lenders For Hardship Loans For Bad Credit 


BadCreditLoans has been serving the markets since 1998. The platform joins peer-to-peer lending platforms, native loans, and lending institutions. Presently, the platform has started offering hardship loans to the citizens of the USA who are experiencing financial adversities. The platform itself, however, is not a lender. Instead, it’s a service provider that lets you connect with a giant network of financial service providers and lenders.

They deal with different types of loans, including secured personal loans, mortgage loans, auto loans, etc. The platform’s office is situated in Nevada, and Chief LLC owns and operates the organization. The platform helps you avail quick, short-term, and unsecured loans with a maturity period of 3-36 months. The website claims they offer a wide range of loan amount alternatives, from $500 to $10,000. However, for payday loans, the limit is capped at $1000.

The lenders’ deals will include justified and genuine APRs, varying from 5.99% to 35.99%. The application process is hassle-free with no credit check. You just need to fill out an online form. Suitable lenders will then review your application and approve the amount. Now it’s your job to review and accept the offer. Once you put your e-signature on the contract, the lender will hand over the funds to you.

Signing the contract is mandatory to get the amount transferred; however, if the terms and conditions don’t look comfortable, signing up for the agreement is not obligatory.


Satisfied customer base: When you check the website of BadCreditLoans, you can find plenty of customer reviews that have praised the organization for its services. From quick funding and prompt procedures to a transparent approach – the platform has everything that can help you retain a pleasing customer experience.

Convenient mobile app: The platform respects the technical advancements. Hence, it has launched a user-friendly mobile application. This helps you access the platform’s exclusive services across different gadgets. The application has hardly any flaws. Intuitive design and captivating user interface make navigation easy and content display clear.

Self precautionary steps: The website clearly declares that it doesn’t work as a provider. Instead, it’s a definite connecting platform. BadCreditLoans is pretty clear about its working methodology. It simply collaborates with multiple online lenders. It doesn’t play any role in determining the terms of your payments or the interest you will pay. Any extra closing cost is completely up to the lender, and the platform doesn’t take its liability.

Data encrypted website: BadCreditLoans values the privacy of its customers. Due to this reason, they have secured their website with data encryption. Information that you share with the platform is not abused, and the platform doesn’t use them for any other purpose than finding you a suitable lender. It ensures that the chances of a data breach are minimum. The company lets you access its website securely, keeping your privacy intact.


  • Helps find lenders that levy genuine APR
  • Zero cost application
  • Don’t require any collateral for poor credit
  • Agile fund transfers


  • Low BBB score
  • Getting access to higher loan amounts is tricky

=> Click here to visit the official website of BadCreditLoans

#3. CashUSA – Most Recommended To Get Hardship Loan


CashUsa is a much-loved loan marketplace that has helped thousands of consumers with financial challenges to submit personal loan requests. The disbursed amount offered by the platform’s lenders ranges from $500 and $10,000. The platform has earned noteworthy popularity for helping people to avail of secured hardship loans. CasahUSA deals with respectable partner creditors, including Tribal and State lenders, helping applicants find the best suitable loan options.

The application process is quick and easy. Just in five minutes, you can fill in your details and submit your application. The platform then performs a soft credit pull, which doesn’t impact your credit score. The platform requests you to put in crucial information like name, email id, contact details, and purpose of application correctly to ensure a rapid and hassle-free service. Though the platform asks you for the intention of lending, it doesn’t affect your qualifying abilities.

The best part is that the platform’s legitimate lenders typically prioritize income sources rather than regular employment. Naturally, it makes things more convenient for unemployed applicants. When you apply with CashUSA, the APR charged by the lenders depends on your credit and FICo score. For example, if your credit score is excellent (760-850), you can expect an APR of as low as 10-12%. On the other hand, for applicants with bad credit scores, the APR is a little higher, but it’s still justified (28-32%).


Excellent Customer Support: CashUSA houses a dedicated customer support team. You can contact them for any service-related queries and grievances throughout their business hours. The team is passionate and empathetic, and you can reach them via call, email, or by filling out the form available on CashUSA’s official website. You can also write to them at their postal address. The platform also has Facebook and Twitter accounts; you can connect through them as well, according to your convenience.

Secured Access: CashUSA is pretty serious with their customers’ security. Due to this reason, they use different lock-down procedures, software security measures, and facilities so that you never experience the unfortunate scenarios of data and privacy breaching. They have featured a detailed privacy statement on their website, which clearly mentions the method and purpose of collecting necessary data from the applicants.

Zero Service Cost: CashUSA doesn’t impose any service charge for applying for a loan using their platform. You just need to pay the interest amount and the charges that lenders apply. These charges, however, may vary from one lender to another. They also depend on your eligibility terms.

Rapid Disbursal: The trusted lenders of the platform disburse the loan amount quickly once they approve your application. The platform is highly admired for being one of the fastest lending platforms, which truly helps its customers to handle unforeseen emergencies.


  • Convenient application
  • Rapid fund transfer
  • Satisfactory API
  • Works in all 50 states
  • Secure & trustworthy
  • Offers loans for bad credits


  • Hardship loan approval is comparatively time-taking
  • Mixed reviews on the website often confuse applicants

=> Click here to visit the official website of CashUSA

#4. – Most Popular For Financial Hardship Loan


Founded in 2001, is a reliable and popular online marketplace that facilitates its users by helping them find legit lenders. The platform works with diverse loan amounts and repayment periods. For example, for a $500 loan, you can attain a repayment deadline of up to 90 days.

Checking eligibility using this platform is easy and convenient. The platform caters to the requirements of borrowers with poor or no credit history. The quality of services keeps the marketplace ahead of the competition. From functionality and navigation to the application process – everything is pretty straightforward.

The site easily accommodates newcomers and assists them with the necessary guidance. Once you sign up with, the platform keeps on sending you periodic updates. So even if you don’t find a suitable offer on the first go, there’s nothing to be upset about.

The APR set by the platform’s lenders starts from as low as 5.99%, and the highest borrowing limit is as high as $35,000. However, to access higher loan amounts, you may need to produce definitive proof of income. The platform has a number of reputed loan partners who are known for their secured and transparent services. In addition, is a member of the Online Lenders Alliance (OMA). This works as proof of genuineness for the platform.


Flexibility: Flexible financing options set apart from other online loan marketplaces. Hardship loans start from $1000 and go up to $35,000. Depending on your credit score and the loan amount, you can also get a repayment tenure of up to 72 months.

Convenience: With the application process is notably convenient. Everything is online, and you can get your job done with a few clicks and hits. You will have many alternatives, including installment loans, hardship loans, peer-to-peer loans, and much more. However, the lending conditions may vary depending on the type of loan you are proceeding with. The credit score requirements may also change. Therefore, you need to select the loan type carefully while applying.

Transparent processing: The loan application procedure on is pretty much transparent. The platform makes the data available to different financiers. They also send your application to third-party affiliated sites. Once the lender approves your application, you may receive the money in your account within the next working day. The entire application process is clarified on’s official website.

Data Security: employs avant-garde data encryption software to secure user information. This way, the platform guarantees that no third-party site will be able to access the information which you fill up while applying for a loan. The platform’s security policies are explained on its official website.


  • Partnered with OLA
  • Ensures secure transactions
  • Features flexible credit alternatives
  • Simplistic application process
  • A higher amount of loans are available for low credit


  • Rejected loan applications may pull down the credit score
  • Requires a lot of information

=> Click here to visit the official website of Personal Loans

How We Made The List Of Hardship Loans For Bad Credit

However, currently, you can apply for hardship loans when you can’t keep up with basic and critical line items like credit card balances, rent repayment, utility bills, repayment of federal student loans, etc. You can even consider getting hardship loans to handle sudden medical bills, make mortgage payments after losing a job, or even manage funeral costs.

The approval and repayment procedure of hardship loans may sound like a cakewalk. However, that is not the case in practice. If you are unemployed and trying to grab a hardship loan, the job may be trickier than you imagined. Not all lenders are comfortable offering loans without the security of recovery; for unsecured loans like personal loans, a job is considered the primary guarantee for recovering the loan amount.

However, you shouldn’t be disheartened knowing this; some lenders offer hardship loans to unemployed people to help them manage their costs or handle unexpected emergencies. During these situations you can try taking emergency loans. Some of them offer loans with justified interest rates and agreeable repayment terms. This post aims to help you find the top four lenders who can help you relieve the burden of stress from your shoulders and let you tackle your ongoing financial hardship smartly.

Getting hardship loans is not easy when you are unemployed; we have kept that fact in mind while preparing this list. We have conducted extensive research to find trustworthy hardship loan providers offering dedicated emergency or hardship loans for the unemployed. Then, we picked up the most known hardship loan providers and carefully reviewed their eligibility criteria.

Besides, we also reviewed a number of financing options to determine the lending conditions and reliability of the providers. After considering several crucial factors, including return period, APR, and turnaround time, we removed all those alternatives that couldn’t serve your purpose. Finally, we updated our finalized list and chose to walk with the four mentioned in this guide.

What We Looked For Hardship Loans

While drafting the selection standards and compiling the final list, we assessed the following parameters minutely.

  • Application Process: When it comes to hardship loans, a drawn-out application process is typically required. Many creditors may want you to fill out long application forms with several pages. These forms may include details like your annual income, payment history, credit card history, existing loans, job, etc., making the entire thing more complicated and hassle-some. However, we removed those creditors from our list and accommodated providers whose application process is much more convenient. All you need to do is fill out a quick form with the necessary details. Every lender that we have mentioned in our list takes only a few minutes to complete the application process, ensuring your convenience.
  • Eligibility Criteria: Your employment status and your credit score typically talk about the status of your financial stability. Lenders tend to avoid passing loans to those who are not working and hold poor credit scores. Since we know that you are searching for a loan to manage your emergencies and currently you don’t have a job, we have looked for lenders who give less priority to the employment factor. These lenders have kept their lending conditions lenient, and some of them are even good to go with a minimum credit score limit. All they seek is – a US citizen who has crossed their 18s, has a bank account, and can provide correct contact details.
  • Annual Percentage Rate (APR): While sanctioning a loan, lenders add a few fees to the amount they disburse. This is how they generate revenue from personal loans. One of such fees is interest. You should essentially pay this for the rest of your monthly premium. Interests typically depend on the amount you borrow. One of the most common ways to calculate interests on hardship and personal loans is the Annual Percentage Rate (APR). This is the amount that you will have to repay over a year. While many lenders levy higher APR on hardship and emergency loans, with extensive research, we have found the providers who charge pretty reasonable APRs (5-35%).
  • Loan Amount: Typically, it’s pretty challenging to find a hardship loan of a big amount when you are unemployed. However, if your situation is really demanding, peanuts won’t work. Keeping that in mind, we have found lenders and personal loan platforms that offer at least $1000 as hardship/emergency loans. Once you repay the amount, you can even access higher credit limits.
  • Turnaround Time: If you are borrowing money to manage your hard time, it’s pretty hard that you will need the fund as early as possible. Understanding this point, we have removed the providers who may keep you waiting for a long time to transfer the money to our account. We picked up only the organizations that quickly process the transfer. Every lender on our list typically transfers the loan amount within a few days after receiving your initial application. These lenders transfer cash directly to your bank account, making things more agile.
  • Repayment Period: If you don’t have a job, but your credit score is satisfactory, you may typically receive extended time to repay your loans. However, not all providers are that cooperative. Our recommendations include the lenders and platforms that grant you adequate time to repay your amount without impacting your convenience. You can even access a repayment period of up to 7 years. We have also listed creditors who only need a fixed payback term of ninety days. Thus, you can repay your home equity loan, payday, emergency, or personal loans on time. Consistent on-time payments may even lower your interests.

Buying Guide: What To Consider When Getting Hardship Loans For Bad Credit?

While applying for a hardship loan, it’s worth keeping in mind that the entire thing may turn into a loop if you don’t choose your lender carefully. You may end up being overburdened with impossible repayment amounts or too tight repayment deadlines. Therefore, don’t miss on checking the following factors to ensure a smooth and worry-free borrowing experience.

  • Check for Prequalifying Options

Be it a secured personal loan or hardship loan; you should always check if the lender provides you with a prequalifying option. Prequalifying is possible when your income from salary or other sources, the purpose of the loan application, and a few other conditions match the loan provider’s requirements.

When you prequalify, understanding potential loan limits, tenure for loan payments, interest rates, etc., becomes easier. Moreover, when you prequalify for any loan, only a soft credit check does the job. It eliminates the risk of lowering your credit score. Besides, you can obtain the best possible prices.

  • Conduct Interest Rate Comparison

Your lender may apply a higher interest rate when you are unemployed or have a poor credit score. However, it’s a sure thing that you will still intend to save as much as possible. Remember, the interest rate of your loan highly affects its costs. Your lender typically calculates the interest rate applicable as a percentage of the amount you borrow.

Besides, it’s applied to the total unpaid portion of your loan amount. Understanding how interest rates work is essential so that you don’t pay more than expected. There are typically two types of interest rates: fixed and variable. While fixed interest rates remain the same throughout the loan duration, variable rates change according to the prime rate.

Typically, your initial payments include a certain portion of the due interest for loans with fixed interest rates. Over time, you may need to pay a higher percentage of the debt principle. On the other hand, with variable rates, you need to pay more attention to the prime rate. Whether a fixed rate or a variable one, you should pay it as an extra payment anytime to pay the debt off sooner and save some money in the long run.

Comparing interest rates is critical because the higher the interest rate is, the more expensive your loan will be. Therefore to save the cost of your borrowed money, carefully compare the interest rates offered by different lenders while choosing a loan product.

  • Look for Additional Charges 

When applying for any loan, including a hardship loan, you should always check for the additional charges that your potential lender is applying. The pattern of imposing fees varies greatly from one lender to another. While some creditors don’t charge anything as upfront fees, they may include penalties for delayed payment or fines for prepayments.

Some lenders apply all or a portion of the mentioned charges. Legit lenders, however, don’t apply any hidden cost. Therefore, while proceeding with the application, it’s highly recommended to check the fee structures that your potential creditor is offering. Compare with other lenders that have shown interest in granting you a loan. This way, you will be able to make an informed decision.

  • Look for Customer Assistance 

From applying for a loan, amount disbursal, to repayment – the entire borrowing process is tricky. Even seasoned borrowers can find things hassle-some at some point in time. Therefore, it would help if you could check whether your potential lender is offering customer support options while locating your lender.

This will help you to omit the chances of facing difficulties with repayments, disbursals, etc. You can check for the customer support tools that your potential lender is using and review the provider’s existing customers to determine how good the lender is in terms of customer support.

  • The Legitimacy of the Lender

You should always borrow from legit lenders to avoid being trapped with unjust repayments and other fraudulent activities. If this makes you compromise with the interest rate or repayment alternatives, don’t hesitate. Remember, there’s probably some glitch when something is too good to believe. Therefore, always choose to walk with lenders who hold a good reputation.

You can check reviews of the providers to determine their legitimacy. Besides, verifying information is now easier than ever, thanks to the advancement of the internet. Typically, most genuine lenders are partnered with the National Credit Union Administration. This government organization protects the safety and soundness of credit unions or lenders.

Frequently Asked Questions About Hardship Loans 

Can you get hardship loans if you are entitled to unemployment benefits? 

If you are unemployed, you can still apply for hardship loans. However, you may need to produce proof of other income like unemployment benefits, child support, retirement benefits, social security benefits, or alimony. Some lenders may even ask for a minimum income of $12,000 annually. There are a number of lenders who offer money to borrowers with no credit check, low income, or even bad credit.

The best way to apply for a hardship loan is to check online lending platforms as they let you connect with a suitable lender, bank, or credit union. In addition, online lending platforms help quick fund receivables as the entire process is paperless and involves the least verification. 

How many types of hardships loans are there? 

There are typically three types of hardship loans available. Each of them is unique. Understanding the type of hardship loans may help you pick up the best alternative that aligns well with your requirements. The classifications are – bad credit loans, coronavirus hardship loans, and secured personal loans.

Bad credit loans are dedicated to borrowers with a FICO score of less than 580. Since lenders are not confident about the recovery, bad credit loans typically feature higher interest rates.

What qualifies as a financial hardship? 

You are in financial hardship when you find it difficult to pay your bills, repay your loans, and manage your basic requirements. You can always apply for a loan when you are experiencing financial hardships; the availability, however, will depend on your credit score, income, employment status, etc.

What proof do you need for a hardship withdrawal? 

Different lenders have different documentation criteria. Typically, your lender may ask you for proof of expenses for medical care, how much you have spent for your principal residence, proof of your educational fees, the details of funeral expenses, etc. So, it depends on the purpose you have mentioned while applying for the loan. In addition, income proof (salary or other) is also required for withdrawing hardship loans.

Conclusion: Which Lending Company Is The Best To Get A Hardship Loan For Unemployment? 

In a nutshell, To make the most out of your hardship loans, make sure you choose the right lender that doesn’t push you to pay unimaginable fees and interest. Borrow safely and wisely, use the borrowed money sensibly, and be particular with repayments – financial wellness will soon be yours!

About the author

Jhalak Choudhary

Jhalak Choudhary is an experienced editor and proofreader who has held their impression on the industry for 3 years now. Their ability to work above and beyond brings only the best foot forward. Jhalak Choudhary has had extensive experience in...
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