What Kind of Personal Loan Can I Get with a 690 Credit Score?
A 690 credit score is considered a healthy credit score. If you have this much credit score and want to explore your options for personal loans, you are in good standing. Lenders are more likely to approve your application, but it is no guarantee of approval, as other factors such as your income will also have to be considered.
When applying for personal loans with a 690 credit score, you can attract lower interest rates. But at the same time, you cannot expect the lowest rates, as are often offered to those with credit scores of 720 or higher.
Personal Loan Options
When you need unsecured loans with a credit score of 690, you can explore the following options:
1. Conventional Personal Loan from a Bank
Your credit score of 690 gives you a better chance at a personal loan than someone with poor or fair credit. Still, it is important to realise that all types of loans are eventually subject to credit approval and take many other factors into account, not just credit score.
Traditional bank based personal loans are usually available in the range of $1,000 and $50,000. The amount of loan approved can vary based on many factors, but being an existing customer is beneficial. The APR can vary from as low as 8.74% to 21.24% depending on the bank.
2. Guarantor Personal Loan
You can consider applying for a guarantor personal loan. As you will be applying with the support of a guarantor, it improves your chances of approval. Both you and your guarantor will have to meet the eligibility requirements. You can expect to apply for up to $15,000 in loan amount. The interest rates are generally high for these loans and go up to 43% or even higher. You will usually be making fixed monthly repayments for a period of 36 months.
3. Secured Personal Loan
When you offer an asset as a security for your loan, it helps lower the risk for the lender. The interest rates are relatively lower for these loans because of the lower risk factor, often starting from just 4.45%. As with other loans, you can repay the amount within a period of 36 months.
4. P2P Personal Loan
These can be unsecured and secured loans and are facilitated by P2P lending platforms that match borrowers and private investors. The amount of loan you can avail of can vary from just $2,000 to $80,000. The loan amount varies based on whether the loan is secured or unsecured. Repayment terms can vary from 1 year to 7 years and the interest rates can be in the range of 6.69% to 8.84% for secured and up to 20.95% or even higher for unsecured loans.
5. Risk-Based Personal Loans
Certain lenders are ready to lend a loan no matter how much credit score you may have. You can also apply for such loans, as they are risk-based. The interest rates are higher and the amount of the loan varies from $5,000 to $25,000. Your risk-based interest rate is calculated after evaluating the following factors:
- Loan amount
- Duration of loan repayment
- Credit score
- Existing debts
- Your income
6. Payday Loans
Payday loans are small-amount unsecured loans that allow you to borrow up to $2,000. You have the option to repay them over a period of a few weeks or a year. The cost of availing of these loans is much higher. For example, you can pay up to 20% of the borrowed amount in fees and then a regular monthly fee of up to 4%. The APR charged by some lenders can be as high as 400%.
7. No-Interest Loan Scheme or NILS
You can consider applying for this type of loan if you are a low-income earner. Certain charities provide this loan to people who qualify for it. However, the maximum amount you can borrow is typically limited to just $2,000. The interest rate is almost negligible and the repayment period ranges from 12 months to 18 months. it is important to realise that these are not cash loans, as the funds are transferred to vendors.
So, these are some of the common options available to you when seeking a personal loan with a credit score of 690. For more information and guidance on finding the perfect options for personal loans, feel free to get in touch with Sameday Personal Loans at 1300 241 824 or write to us. We will be glad to answer your queries.