Loans for Federal Employees with Bad Credit, No Credit Check Listed

Short Answer: If your credit is less than perfect, and you’re a federal employee, there are many different options for you to get a loan. This includes personal loans, a home equity line of credit, and/or last-ditch lending with a payday loan. For more information on what financing option is best for you, and a list of companies that specialize in each type of loan, see below.

In This Article

Personal Loans for Federal Employees with Bad Credit

As we’ve reported in previous articles, allotment loans are an option for federal employees with bad credit. The same is true for installment loans. Both allotment and installment loans take money directly from your paycheck, guaranteeing the lender gets repaid for the loan. However, if these types of loans aren’t exactly what you’re looking for, another option is a personal loan.

There are many different types of personal loans, but they fall into two main camps: unsecured and secured. A secured personal loan uses some type of collateral like an auto title, while an unsecured loan doesn’t require collateral. However, unsecured loans do require a credit check, and some lenders require employment verification. Keep in mind that your credit history and credit score will directly impact your annual percentage rate (APR) — if your credit is poor, you could end up with a rate as high as around 36%.

FedChoice Federal Credit Union

FedChoice Federal Credit Union offers a number of different secured and unsecured personal loans.

  • Loan amount: $300 to $50,000
  • Terms: Up to 84 months
  • APR: Around 3.10% or higher, depending on the type of personal loan, amount borrowed, and your credit history
  • Requirements: Must be a member of FedChoice. In order to be eligible for a FedChoice membership, you have to live in Baltimore, Philadelphia, or Washington, D.C. and be a federal civilian employee, an immediate family member (spouse, child, etc.), or living with a federal civilian employee. All loans are subject to credit check.
  • Apply for a personal loan from FedChoice Federal Credit Union

First Tech Federal Credit Union

First Tech Federal Credit Union offers a number of different personal loan options, including both secured and unsecured personal loans.

  • Loan amount: $500 to $1,000,000
  • Terms: Depends on the loan; some loans have no set terms
  • APR: Around 3.00% or higher, depending on the type of personal loan, amount borrowed, and your credit history
  • Requirements: Must provide a valid Social Security number, valid email, home address, employer info, driver’s license, and banking information. Must also work for the state of Oregon, or be an employee of First Tech’s Sponsor Companies. All loans are subject to credit approval.
  • Apply for a personal loan from First Tech Federal Credit Union

OneMain Financial

OneMain Financial offers personal installment loan options. Because these are installment loans, there’s no minimum credit score required. Still, each loan is subject to credit approval.

  • Loan amount: $1,500 to $30,000
  • Terms: 24 months to 60 months
  • APR: Around 16.05% or higher
  • Requirements: Must provide a valid Social Security number, valid government ID, proof of residency, and proof of income.
  • Apply for a personal loan from OneMain Financial

Home Equity Lines of Credit for Federal Employees with Bad Credit

If a personal loan isn’t for you, there are other options. If you own a home with a fair amount of equity, and you have a credit score of at least 620 (this is considered fair, but not great), another option for borrowing money is to take out a home equity line of credit (HELOC).

These loans are secured against your home, which often means lower rates, but higher risk — if you can’t pay your loan, you could lose your house. However, with a HELOC, you can withdraw money as you need it, and you only pay interest on the amount you’ve used — not the total amount you have available for use.

Similar to a credit card, when you’re approved for a HELOC, you’ll have a maximum amount of money you can use. However, unlike a credit card, a HELOC has a specified time frame for when you can use this money; this is called the draw period and can range from around five to 20 years. After the draw period ends, you can’t withdraw more funds from your HELOC, and you enter the repayment period.

Keep in mind that you can repay your HELOC balance at any time, and as with a credit card, that amount of credit will then be available for reuse as long as you’re still within the draw period. If you want to extend your draw period, you’ll have to refinance your HELOC.

Security Service Federal Credit Union

Security Service Federal Credit Union offers HELOCs with variable draw and repayment periods.

  • Loan amount: Depends on the amount of equity in your home.
  • Terms: Up to 15 year draw period
  • APR: Around 3.10% and up
  • Requirements: Must be a military member or Department of Defense employee stationed at a military installation within Security Service’s service area, or you must live, work, attend school, worship, or volunteer in Colorado, Texas, or Utah. All loans subject to credit check and approval.
  • Apply for a HELOC from Security Service Federal Credit Union

Navy Federal Credit Union

Navy Federal Credit Union offers HELOCs with variable draw periods and repayment periods of up to 20 years.

  • Loan amount: Up to $500,000
  • Terms: Up to 20 year draw period
  • APR: Around 5.75% and up
  • Requirements: Must be a military member or Department of Defense employee, or a family member of a military member or DoD employee. Must also provide a valid Social Security number, government ID, home address, and banking information.
  • Apply for a HELOC from Navy Federal Credit Union

PenFed Credit Union

PenFed Credit Union offers adjustable-rate 5/5 HELOCs, which means your APR will change once every five years. It also offers HELOCs on owner-occupied homes and non-owner occupied homes.

  • Loan amount: Up to $400,000
  • Terms: Up to 180 months (15 years) draw period
  • APR: Around 3.75% to 18%
  • Requirements: Must be a military member, federal employee, a family member of a military member or federal employee, or affiliated with one of PenFed’s Affinity Partners. Must also provide SSN, government ID, home address, and banking information.
  • Apply for a HELOC from PenFed Credit Union

Last-Ditch Options for Federal Employees with Bad Credit

If neither a personal loan nor a HELOC works for you, or you’re specifically looking for options that don’t require a credit check (or places that will lend to borrowers with very poor credit), there are last-ditch options available. These options should only be considered as a last resort. They carry significant risk and much higher fees than what you’d find with a typical loan.

Note: Many types of consumer loans — including payday loans — offered to active duty military, their spouses, and dependents must comply with the Military Lending Act (MLA), which caps interest at 36%. For this reason, certain payday lenders may not be willing to lend to those in active service.

ACE Cash Express

  • Loan amount: Varies by state; up to $500
  • Terms: Usually 14 days
  • Fees: Varies by state; as low as $10 per $100 borrowed in Florida, while California residents will pay around $17 per $100 borrowed
  • Requirements: Must have a steady source of income, have an open and active checking account, and have a valid Social Security number.
  • Where online loans are available: California, Florida, Idaho, Kansas, Louisiana, Minnesota, and Texas
  • Apply for a payday loan from ACE Cash Express

Amscot

  • Loan amount: Up to $500
  • Terms: 14 days
  • Fees: Around $12 per $100 borrowed
  • Requirements: Must have a steady source of income, have an open and active checking account, and have a valid government-issued photo ID.
  • Where online loans are available: Florida
  • Apply for a payday loan from Amscot

CashNetUSA

  • Loan amount: Up to $500
  • Terms: Varies by state; can range from 8 to 35 days
  • Fees: Varies by state; often between around $17-$20 per $100 borrowed
  • Requirements: Must be 18 or older, have a steady source of income, have a checking account, and be a U.S. citizen or permanent resident
  • Where online loans are available: Alabama, Alaska, California, Delaware, Florida, Hawaii, Idaho, Illinois, Kansas, Louisiana, Maine, Michigan, Minnesota, Mississippi, Missouri, Nevada, New Mexico, North Dakota, Ohio, Oklahoma, Oregon, Rhode Island, South Carolina, Tennessee, Texas, Utah, Virginia, Wisconsin, and Wyoming
  • Apply for a payday loan from CashNetUSA

Check Into Cash

  • Loan amount: Up to $1,000
  • Terms: Varies
  • Fees: Varies by state
  • Requirements: Must be at least 21 years of age (19 in Alabama), have a steady source of income, have an active checking account, and be a U.S. citizen or permanent resident
  • Where online loans are available: Alabama, Alaska, California, Delaware, Florida, Hawaii, Idaho, Illinois, Indiana, Kansas, Louisiana, Mississippi, Missouri, Nevada, Oklahoma, Oregon, Tennessee, Texas, Utah, Washington, Wisconsin, and Wyoming
  • Apply for a payday loan from Check Into Cash

Easy Knock

Easy Knock is not a payday lender, but instead offers a unique Sell and Stay program. Through this program, you’ll sell your house to Easy Knock, and then you’ll rent it back. You have the option of repurchasing it at any point during the lease, or you can move and receive the rest of your equity. There are no W-2 or credit score requirements.

  • Loan amount: Varies based on the home’s value.
  • Terms: Varies
  • Fees: Not listed
  • Requirements: Must have enough equity in your home and low enough mortgage balance
  • Where Easy Knock is available: Alabama, Alaska, Arizona, Arkansas, Colorado, Florida, Georgia, Hawaii, Idaho, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maryland, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, New Mexico, New Hampshire, North Carolina, North Dakota, Ohio, Oklahoma, Pennsylvania, South Carolina, South Dakota, Tennessee, Texas, Utah, Virginia, West Virginia, Wisconsin, and Wyoming
  • Apply for the Sell and Stay program from Easy Knock

Mypaydayloan.com

  • Loan amount: $200 to $1,500
  • Terms: Usually no more than 14 days
  • Fees: Around $30 for every $100 borrowed
  • Requirements: Must be employed and not have declared bankruptcy within the last year
  • Where online loans are available: Alabama, Alaska, California, Delaware, Hawaii, Idaho, Illinois, Indiana, Iowa, Louisiana, Michigan, Mississippi, New Mexico, Nevada, North Dakota, Oklahoma, Rhode Island, South Carolina, Tennessee, Texas, Wisconsin, and Wyoming
  • Apply for a payday loan from Mypaydayloan.com

For more details on where you can obtain last-ditch financing if you have poor credit, our articles offer a number of resources. We cover additional payday lenders, where to go for hardship loans, 24/7 cash online loans, and payday lenders that don’t do credit checks (or accept bad credit).

In Summary

If you are a federal employee with bad credit, that doesn’t mean you’re out of luck when it comes to getting a loan. As we’ve previously detailed, both allotment and installment loans are great options. Or, you can take out a personal loan or a HELOC if you own a home with enough equity. If none of those options work for your situation, there are last-ditch options available, such as payday loans — but keep in mind these usually carry higher risk or come with extremely high fees.

If you are a veteran with poor credit or you are disabled with poor credit, see our articles for additional loan resources.

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