While you may have access to many of the same loans are available to someone with good or excellent credit, your loan terms will vary. Here’s what you can expect with a 600 credit score loan:
Higher interest rates
Lenders mitigate the increased risk of a subprime credit score by charging higher interest rates.
Limited loan options
Depending on where you live, your loan options may be limited to secured loans, Payday Loans, or similar types of personal loans.
Smaller loan amounts
Lenders may be willing to offer smaller loan amounts of only a couple hundred dollars to minimize their risk.
Stricter terms and conditions
While you won’t have as many restrictions as borrowers in the 400-500 credit score range, 600 is still low enough that lenders may be less lenient in their repayment terms and conditions.
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