Credit scores are the source of a lot of confusion. They don’t teach us in school why they’re important, how to improve them, or even how they’re determined. There are five categories of credit data that factor into your credit score: payment history, amounts owed, length of credit history, new credit, and credit mix. To learn more about these categories read about how FICO credit scores are calculated.

Your credit score is important because it impacts your loan options. It’s considered when you’re applying for a mortgage, personal loan, or lease, among other occasions. Higher scores often equate to better terms and options. 

But that doesn’t mean that all hope is lost if your credit score  is low. You can improve your credit score by paying down debt, making your payments on time, and keeping old accounts open to lengthen your credit history. It’s important to remain patient; improving your credit score can take time. In the meantime, even with a low credit score you still have options for obtaining quick money when you need it.

What is Considered a Poor Credit Score?

FICO scores range from 300 to 850. While most lenders refer to anything under 670 as bad credit, there’s more to it than that. A score between 580 and 669 is considered fair, and a score between 300 and 579 is very poor. But bad credit, or a credit score under 670, isn’t always a deal-breaker for when you’re looking for funds fast.  

Nobody’s perfect. Many people have missed the occasional payment, started building credit later in life, or made other financial missteps. That doesn’t mean that you shouldn’t be able to get the funds you need when you need them. There are ways to get funds when you need them fast.

Cutting Back on Expenses

Another quick and relatively easy way to get money when you need it is to hold on to the funds that you already have. Many of us forget that certain recurring expenses can be negotiated or reconsidered. When you need money fast, see where you can cut your expenses. One way to do this would be to look for a more budget-friendly car insurance option. 

Many home and auto insurers offer discounted rates for new customers. The same applies to cell phone carriers, making it easy to find budget friendly cell phone alternatives. Skip a few takeout meals, cancel unused gym memberships or streaming subscriptions, and shop around for rates on your regular expenses to see how big a difference a mindful budget can make. 

Other Options for Obtaining Fast Money with Bad Credit

When you’re in a bind, the last thing you want to do is wait and stress for a week before you can rectify the situation. It is possible to find more funds fast. Sometimes you just need to be creative. Here are some other options for obtaining money fast when you have bad credit: 

• Sell those old cell phones or electronics you no longer need
• Search for side jobs or ways to make money online to boost your income 
• Obtain small loans from friends, family, and community programs 
• Ask your employer for a cash advance on your next paycheck 
• Borrow against your life insurance policy 
• Use a credit card cash advance 
• Rent out a room in your home 
• Pet sit or walk dogs part-time through apps like Rover 
• Drive or deliver through Uber or Lyft 
• Organize your storage spaces and turn the items you no longer need into a tag sale
• Put your student loans in forbearance through September 2021 

Obtain a Higher Interest Loan

If you have what many lenders consider to be bad credit (a FICO score below 630), try obtaining a short-term installment loan with a higher interest rate. Short term loans such as a Spotloan can help you get back on track after an emergency or unexpected expense pops up and derails your financial plan. 

Spotloans are available to those even if you don’t have an exceptional or a very good credit score. Spotloans are convenient, short-term installment loans. Spotloan makes it quick and easy to get the funds you need as quickly as possible. After all, when you’re in a bind, the last thing you want to do is wait and stress for a week before your next payday and you can rectify the situation. 

In fact, that’s when most of our customers find us. Unlike payday loans, you can pay your loan back as quickly as you want, and have up to ten months if you need it.

Spotloan’s easy online application process will let you know if you’re approved within minutes.