Bad Credit Loans

£1k to £500k

  • All credit scores considered
  • Check 100s of loans with one search 
  • Know your rate before you apply 
Compare bad credit loans
Comparing won’t affect your credit score.

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What is a bad credit loan?

Bad credit loans are designed for a wide range of people with less than perfect credit histories, who may find it harder to get approved elsewhere. 

These loans work like regular loans but are offered by specialist lenders who consider your current circumstances, not just your past.

You can use them for home improvements, debt consolidation, and many other needs. Just make sure the repayments fit comfortably within your budget. 

How to get a loan with bad credit

1

Fill out our simple online form 

2

We’ll check your eligibility and rate

3

Complete application and receive funds

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Comparing won’t affect your credit score.

BAD CREDIT LOANS

Try our loans calculator

to see your monthly payments

£6,000
£1k£500k
3 years
1Y30Y

Personal Loan

£181.84Estimated monthly repayment
5.9%Illustrative rate
Get a quote

Please note this calculator is a guide only. We will search both personal and secured loans. The actual rate offered will be based on your individual circumstances.

Representative Example: If you borrow £3,000 over 24 months at an annual interest rate of 47.4% (fixed), Representative 47.4% APR, you would pay £182.64 per month. The total amount repayable will be £4,383.36. Rates from 5.9% to 99.9% APR, which allows us to help customers with a range of credit profiles.

Our trusted lenders

We work with over 25 FCA-regulated lenders to match you with the best loan for your needs.

What types of loan can I get with bad credit?

Personal loans

Personal loans are unsecured, so they aren't tied to assets like your home. Your rate depends on your credit history and circumstances. We offer personal loans from £1,000 to £15,000 over 1 to 5 years.

Secured loans

Available to homeowners, these loans usually offer better rates, even with bad credit. We compare lenders to find you the best secured loan rates from £10,000 to £500,000 over 3 to 30 years.

Debt consolidation loans

Debt consolidation loans combine multiple debts into one payment, often at a lower rate. This can help to simplify your finances.  We offer both personal and secured debt consolidation loans for bad credit. 

Ocean Finance is a trading style of Intelligent Lending Limited. We are a credit broker working with a panel of lenders to find you a loan. Your property could be at risk if you fail to keep up with repayments.

Here’s a real customer’s story:

The Andrews got a secured loan for £21,400

despite previously missing loan payments, being in arrears on their mortgage, and having a CCJ.

Credit history

CCJ and mortgage arrears

Loan amount

£21,400

Remember, if you repay existing loans with a new loan, you may be extending the term and increasing the amount you repay in total.

Customer names have been changed to protect their confidentiality. Average reduction in outgoings of more than £800 per month for customers taking a loan to repay existing credit commitments in the last 12 months.

Who can apply?

Each lender will have their own criteria, but common requirements include that you are:
  • Aged 18 years or older
  • A resident of the UK
If you’re a homeowner, you may be eligible for a secured loan, which typically comes with lower interest rates.
Compare bad credit loans

Comparing won’t affect your credit score.

It’s all about you.

What is a bad credit score?

Each of the three main credit reference agencies use their own scoring system, so there’s no fixed definition of a 'good' or ‘bad’ credit score.

Remember, we can offer loans for people from each of these categories, so don’t let a previous decline put you off checking your eligibility.

Here's how the different credit reference agencies consider their scores:

Credit scoreEquifaxExperianTransUnion
Very poor––0 – 550
Poor0 – 4380 – 640551 – 565
Fair439 – 530641 – 860566 – 603
Good531 – 670861 – 1000604 – 627
Very good671 – 8101001 – 1120–
Excellent811 – 10001121 – 1250628 – 710

How to improve your credit rating for a loan

Bad credit isn’t forever. Here are some simple ways to rebuild your score and improve your chances of better deals:

Estimate based on CredAbility user data analysed over 6 months as of May 2025. Points earned may vary.

Compare bad credit loans

Comparing won’t affect your credit score.

Keep up with payments

Boost your score by up to 95 points


Paying on time and in full builds your credit history and improves your score.

Limit applications

Boost your score by up to 125 points


Multiple applications can lower your score. Use eligibility checkers instead – they don't affect your credit report.

If you apply for a loan, you might see a temporary dip in your score. This is normal, and it should go back up within 3-6 months.

Register to vote

Boost your score by up to 60 points


Getting on the electoral roll takes five minutes online and helps verify your identity to lenders.

If your credit history is less-than-ideal, a bad credit loan may help you secure the finance you need. Just make sure you can afford the repayments over the whole loan term, as interest rates tend to be on the high side.

Zubin Kavarana,Personal Finance Writer

Let's make it a yes

Join over 1.5 million people accepted for credit

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35 years' experience of helping with credit

Got questions?

Bad credit means having a low credit score, usually from late payments, defaults, or high debt levels. Lenders see this as higher risk, making it harder to access loans or good interest rates. 

Although your options may be limited, there are certain lenders who offer products specifically for people in this situation. Here at Ocean, we can compare loans for you to find the best deal you’re eligible for from our panel of lenders.  

Lenders see poor credit as higher risk because it suggests you may have struggled with repayments before, making them less confident about lending.

If your credit history has a few bumps, don't worry – brokers like ourselves work with people in your situation. You might face higher rates, but there are still options available to help you access the funds you need.

This depends on the type of loan you apply for.

  • Personal loans

Applying online for a personal loan is quick and easy. Sometimes, you can even have the money in your bank account the same day.  

  • Secured loans

Secured loans are typically funded within 2 or 3 days after your loan offer has been issued by the lender. We’ll work with you, the lender, and any third parties to ensure your offer is sent out as soon as possible.  

A bad credit loan can have a positive or negative impact on your credit score – it all depends on how you manage repayments.

If you keep up with your repayments each month, this can have a positive effect on your credit score and improve it over time.

However, if you miss payments or are late, this will have a negative impact and lower your score.  

A lender cannot approve a loan without checking your credit – it's required for all borrowing. However, you can use an eligibility checker to see your options without affecting your credit score. This soft search shows what you're likely to be accepted for before you apply. 

A hard credit check only happens when you submit an actual application. 

Last updated

Reviewed by: Matt Waller

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