Finances are hard. It’s the part of adulting people don’t tell you enough about. So when you end up in a bad credit situation, it can feel suffocating.

Fortunately, you do have options. Whether you’re looking for an auto loan or a personal loan to help with medical bills (or anything in between), payday loans for bad credit could be a solution to your troubles. Here’s a guide to understanding what they’re all about.

Bad Credit Doesn’t Mean You’ll Get Turned Down

A FICO score of under 620 could categorize you as having bad credit, although the “poor” rating is for scores from 579 and lower. While you may have just under that, it’s enough to make loans almost impossible to get. What’s more, every time you apply and lenders check your credit, your score takes another hit.

This type of pattern discourages people from even applying. But there are some options available, like a payday loan for bad credit. These are designed for people who need a temporary leg up.

• BONSAI FINANCE

  Our take:Online marketplace to find you a personal loan offer that matches your needsAPPLY NOWCredit ScoreLoan Size/AmountLoan TermAPROrigination FeeAll can apply$100 – $15,0001 – 605.99% – 35.99%Varies by lender

Lenders look at your debt-to-income ratio, your payment history, the total amount you owe, and other less important criteria like the types of credit accounts you carry. This type of loan often has a higher interest rate and is more expensive.

Of course, you want to make sure you’re making the smart choice. You shouldn’t get a loan you can’t afford to pay back, even if you are approved for it.

Payday Loans for Bad Credit Can Help Raise Your Score

Making payments on time can help raise your credit score. You may have had a bout with unemployment, or an increased obligation in monthly bills. Whatever the reason your credit score isn’t the greatest, you didn’t mean to get there.

If you want to get it back up, you have to commit to making on-time payments every month. It takes time, but if you stick with it, you should be able to see your score climb. Getting a loan for bad credit gives you the opportunity you need to get back on track.

Keep in mind it will only work if you make the payments. Your score will go down if you get a loan and fail to pay it back on time. Make a wise decision for your financial situation.

Saving Money for Next Time

If you’re able to make the extra payments on your payday loan and get it paid off, consider taking those payments and putting them in a savings account after you’re done with your obligation.

• BONSAI FINANCE

  Our take:Online marketplace to find you a personal loan offer that matches your needsAPPLY NOWCredit ScoreLoan Size/AmountLoan TermAPROrigination FeeAll can apply$100 – $15,0001 – 605.99% – 35.99%Varies by lender

Pretend you still owe the money, but set it aside instead for the next time you have a rainy day. Set a goal for your savings amount, and when you reach it, give yourself a much-deserved reward.

Paying Down Your Debt

Don’t let bad credit keep you from applying for a loan. Payday loans for bad credit can help you get back on track if you make the right decision. All it takes is hard work and dedication.

Check back soon for more on loans for bad credit.