Best Emergency Loans in December 2024

When you’re facing a financial crisis, your best bet is to tap your emergency savings. An emergency loan might be your second-best option if you don’t have savings to lean on. Just be sure to use a personal loan calculator to see if you have room in your monthly budget for another bill. If you do, an emergency loan can help you pay for unexpected expenses like:

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: 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 funds.

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 than 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 how long you’ll 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 may be. But because your repayment is spread out over more time, you could pay more interest.

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.

Still, even if emergency loans for bad credit come with higher interest rates or fees, they may be worth exploring in a pinch.

Paycheck advance apps

Paycheck advance apps are a popular way to get a quick 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 typically rely on a soft credit pull. They might also consider your debt-to-income ratio, employment status and other basic financial information.

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 (BNPL) apps allow you to pay for purchases over time (usually in four monthly installments). This option only makes sense if you need to buy 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 check, while others don’t consider your credit at all. However, pay close attention to interest and fees.

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

Care Credit®

Care Credit® can be a great way to tackle unexpected medical, dental and veterinary expenses. Qualifying charges of $200 or more are interest-free, 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. That means interest will backdate to the day you made the charge.

You can only use Care Credit® with participating providers.

Charity care

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.

Store credit card

Many home improvement stores offer a store credit card, usually with an introductory 0% APR promotional period. Home Depot, for instance, offers 12 months of deferred interest on purchases of $299 or higher.

Credit card cash advance

You can probably get cash from your credit card. And because your credit card issuer has already approved you for the card, you don’t need to go through another approval process for a cash advance.

Credit card cash advances can be expensive. They typically come with a higher APR than a normal charge, and you may need to pay a fee. Interest also begins accruing as soon as you take the advance.

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 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.

According to our standardized rating system, the best emergency loans come from: Best Egg, Upstart, LightStream, Discover, SoFi, Avant and Upgrade.