Ways to Get Bad Credit Instant Approval Loans

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Financial emergencies may come knocking at your door when you least expect it; the best you can do in such scenarios is to take advantage of instant loans and lines of credit. But, if you have a less-than-perfect score waiting for the scrutinizing eyes of the lender, qualifying for a personal loan may become next to impossible.

In such strenuous moments, bad credit instant approval loans can come to your rescue. Although lenders consider individuals with a low credit score as risky applicants, you can still secure a bad credit personal loan. Before we dive into the how, let’s explore the why.  

Why is Credit Score Important?

One of the most important factors associated with personal loans is the credit score of the applicant. Usually ranging from 300 to 900, this score is issued by credit bureaus to ascertain the creditworthiness of an individual. 

A lot of the aspects of a personal loan depend on your credit score – the interest rate of the loan, repayment tenure, loan amount, and, most importantly, loan approval. 

Yes, you heard that right. Your personal loan application can simply get rejected by the lender due to a low credit score. Maybe you have multiple EMI payment defaults or credit card dues in your credit history, or the credit utilization ratio is extremely high. Irrespective of the reason, a low credit score can act as a blow to your financial plans.

However, all is not lost. There are certain measures that you can take to avail bad credit personal loans with instant approval. 

How to Get Bad Credit Instant Approval Loans? 

In 2022, India’s personal loan value was estimated at INR 8 trillion. There is a prevalent misconception that it is impossible to get personal loans for bad credit instant approval. Here are a few steps you can take to make it happen:

1. Opt for a lower loan amount

Applying for a high loan amount when you have a low credit score usually means more risk for the lender. On the other hand, smaller loan amounts help increase the lender’s confidence in you. Hence, it’s best to ask for a smaller loan to ensure quick repayment.

2. Apply for bad credit instant approval loans with a co-applicant

Availing bad credit personal loans with instant approval becomes easier if you involve a co-applicant to your application. It can be your spouse, parent, or sibling – most banks tend to sanction the loan if you apply for it with an immediate family member who has a good credit score.

3. Provide proof of income to show repayment capacity 

To help the lender look past your less-than-perfect credit score, you can highlight a recent hike in salary or an additional income source to show your repayment ability. If you showcase a high earning potential and support it with stable employment, the lender might approve your personal loan.

4. Rectify errors in your credit report, if any

Consider improving your credit score before going ahead with the loan application. The first step would be to check your credit report for any errors or discrepancies. Are you being penalized for a loan that you didn’t even avail? Has the bureau not updated your timely repayments, which has affected your credit score negatively? 

This, and multiple other errors, can bring your credit score down without any fault of yours. To avoid this, make sure to check your credit report and resolve any errors to improve your chances of availing a loan. 

5. Pledge a collateral

Most of the time, personal loans are unsecured loans that do not require any guarantee. This is what makes it an ideal option to cater to instant financial needs. However, if you have a low credit score and want to increase your chances of approval, consider pledging collateral. 

The presence of collateral in the agreement increases the trust factor between the lender and the applicant. The lender gets assurance of repayment even if you default on your EMI payments. 


A credit score lower than 600 is usually considered to be a low credit score for personal loans. However, this does not mean that you cannot get a loan with a low score. There are loan providers who offer bad credit instant approval loans; you just need to keep on searching for alternatives that best align with your requirements. Demonstrate yourself as a reliable borrower and increase your chances of approval.


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