In today’s digital age, instant loan apps have become a crucial financial tool, offering quick access to funds with minimal documentation and effort. However, for individuals with low credit scores, securing loans through traditional banks can be quite difficult. A low credit score, typically considered below 650, may result in loan rejections or higher interest rates.
Fortunately, many fintech companies have developed loan apps catering to individuals with low credit scores. These apps offer loans with minimal hassle, quick disbursement, and flexible repayment options. Here, we have compiled a list of the top 10 instant loan apps for people with low credit scores in India in 2024 to help you make an informed choice when in need of financial support.
1. Omozing.com
Omozing is a fintech platform known for offering instant loans to individuals who may face challenges due to a low credit score. With its unique Credit Booster Program, Omozing helps borrowers not only get access to credit but also improve their credit score over time. The platform is especially ideal for individuals who have faced loan rejections from traditional banks due to poor credit history.
Key Features:
- Loan Amount: ₹10,000 to ₹15 Lakhs
- Interest Rates: Starting from 1.2% per month
- Repayment Tenure: 3 months to 5 years
- Eligibility: Individuals with low credit scores, write-offs, or settlements
- Approval Time: Instant approval and disbursement within 24 hours
Why Choose Omozing?
Omozing’s Credit Booster Program is a standout feature, offering borrowers personalized financial advice and strategies to improve their credit scores. The app considers factors beyond credit scores, such as income and financial behavior, making it a reliable option for those who have struggled with credit issues. Moreover, Omozing provides top-up loans, debt consolidation, and specialized loans for educational purposes, medical emergencies, and more.
Real-life Example: A user was able to secure a loan of ₹3.74 lakhs from Omozing for their daughter’s engineering fees despite having a low credit score of 647. The timely payments through Omozing helped them improve their score and secure better financial options later.
2. CASHe
CASHe is another popular app that caters to salaried individuals, offering instant loans even for people with low credit scores. CASHe uses a proprietary algorithm that assesses creditworthiness beyond traditional credit scores, incorporating factors such as social media behavior and income stability.
Key Features:
- Loan Amount: ₹5,000 to ₹3 Lakhs
- Interest Rates: Starting from 2.5% per month
- Repayment Tenure: 62 days to 1 year
- Eligibility: Salaried individuals with a monthly income of ₹15,000 or more
- Approval Time: Typically within 48 hours
Why Choose CASHe?
CASHe allows individuals with low or no credit scores to access instant loans by analyzing alternative data points. This is particularly beneficial for young professionals or first-time borrowers who may not have a long credit history.
3. KreditBee
KreditBee provides personal loans to salaried and self-employed individuals, with a focus on those with lower credit scores. The app offers flexible loan amounts and tenures, allowing you to choose the most suitable loan for your needs.
Key Features:
- Loan Amount: ₹1,000 to ₹3 Lakhs
- Interest Rates: Starting from 1.5% per month
- Repayment Tenure: 2 to 15 months
- Eligibility: Both salaried and self-employed individuals
- Approval Time: Instant approval with disbursement within 24 hours
Why Choose KreditBee?
KreditBee’s quick processing and flexible repayment terms make it a great option for borrowers with low credit scores. The app also offers loans with minimal documentation, ensuring that you get the money you need in no time.
4. EarlySalary
EarlySalary caters to salaried professionals needing quick loans without the hassle of traditional banking processes. The app is known for its swift approval process and is a good option for those with lower credit scores due to its income-based eligibility criteria.
Key Features:
- Loan Amount: ₹5,000 to ₹5 Lakhs
- Interest Rates: As low as 1.5% per month
- Repayment Tenure: 3 months to 2 years
- Eligibility: Salaried professionals with a monthly income of ₹18,000 or more
- Approval Time: Approval within minutes; disbursement usually takes 1-2 days
Why Choose EarlySalary?
EarlySalary is perfect for individuals who need quick loans without extensive paperwork. It is also integrated with employee benefits, making the borrowing process smooth for salaried employees.
5. MoneyTap
MoneyTap offers a personal line of credit, meaning you get pre-approved for a certain loan amount and only pay interest on the portion you use. This flexible solution is ideal for people with low credit scores who might need funds at varying times.
Key Features:
- Loan Amount: ₹3,000 to ₹5 Lakhs
- Interest Rates: Only pay interest on the amount used, starting at 1.08% per month
- Repayment Tenure: 2 to 36 months
- Eligibility: Salaried and self-employed individuals
- Approval Time: Instant approval with credit access within 24 hours
Why Choose MoneyTap?
MoneyTap provides flexibility, as you only pay for the amount you use. This line of credit feature helps those with fluctuating financial needs while avoiding high-interest rates on unused amounts.
6. PaySense
PaySense offers personal loans to both salaried and self-employed individuals, even for those with low credit scores. It has an easy-to-navigate interface and provides instant loan approvals for emergencies.
Key Features:
- Loan Amount: ₹5,000 to ₹5 Lakhs
- Interest Rates: Starting from 1.4% per month
- Repayment Tenure: 3 months to 5 years
- Eligibility: Salaried and self-employed individuals
- Approval Time: Instant approval with disbursement within 24 hours
Why Choose PaySense?
PaySense’s simple loan process and flexible repayment options make it an excellent choice for individuals with low credit scores. You can also co-apply with a partner to increase your loan amount or improve your chances of approval.
7. Faircent
Faircent is India’s leading peer-to-peer lending platform, connecting borrowers directly with lenders. This platform offers flexibility in loan terms and is a great option for borrowers with low credit scores who may not meet the criteria for traditional loans.
Key Features:
- Loan Amount: ₹50,000 to ₹10 Lakhs
- Interest Rates: Depends on the lender, generally competitive
- Repayment Tenure: 6 months to 36 months
- Eligibility: Salaried and self-employed individuals
- Approval Time: Approval usually within a few days
Why Choose Faircent?
Faircent gives borrowers the ability to negotiate directly with lenders, which can lead to more favorable loan terms, especially for those with low credit scores.
8. mPokket
mPokket is a micro-loan app that caters primarily to students and salaried employees. It is perfect for people looking for small, short-term loans, particularly those with little to no credit history.
Key Features:
- Loan Amount: ₹500 to ₹30,000 for students; up to ₹1 Lakh for salaried employees
- Interest Rates: Starting from 1.5% per month
- Repayment Tenure: 61 to 120 days
- Eligibility: College students and salaried employees
- Approval Time: Instant approval with disbursement within 24 hours
Why Choose mPokket?
mPokket’s simplicity, coupled with its small loan offerings, makes it an excellent option for students or young professionals who need to cover immediate expenses.
9. NIRA
NIRA is a popular loan app that offers personal loans even to individuals with lower credit scores. The platform uses alternative data points such as income and employment status to approve loans.
Key Features:
- Loan Amount: ₹5,000 to ₹1 Lakh
- Interest Rates: 1.5% to 2.5% per month
- Repayment Tenure: 3 months to 1 year
- Eligibility: Salaried individuals with a monthly income of ₹12,000 or more
- Approval Time: Quick approval with disbursement within 24 hours
Why Choose NIRA?
NIRA is an ideal solution for those who have struggled to get loans from traditional financial institutions. It’s quick, easy, and offers reasonable interest rates, making it a reliable option for emergency financial needs.
10. SmartCoin
SmartCoin is designed for individuals with low credit scores or no formal credit history, offering quick loans with minimal documentation and a fast approval process.
Key Features:
- Loan Amount: ₹1,000 to ₹1 Lakh
- Interest Rates: Starting from 2.0% per month
- Repayment Tenure: 91 to 120 days
- Eligibility: Salaried and self-employed individuals
- Approval Time: Approval and disbursement within 48 hours
Why Choose SmartCoin?
SmartCoin’s focus on financial inclusion means it is a great choice for first-time borrowers or those with low credit scores. The app is user-friendly and provides loans for small amounts, making it suitable for meeting immediate financial needs.
Conclusion
If you have a low credit score and need instant financial help, the apps listed above can provide the support you need. Omozing stands out as a top choice for its Credit Booster Program, which not only offers loans but also helps in improving your credit score over time. Each of these apps has unique features catering to different needs, so choose the one that best suits your requirements and financial situation.