Best Payday Loan Alternatives in California of September 2024

Payday loans are a very expensive option, with APR averaging 400%. Most payday loan lenders in CA promote them as the only option for people with bad credit. We don’t recommend payday loans because they are expensive and often lead to a debt cycle. Many other payday loan alternatives available have much lower interest rates.

Additionally, laws are in place to protect consumers from excessively high-interest rates on payday loans in California. Payday loans are illegal in CA. The laws allow short-term loans that cap their APR at 25%. This relatively low number significantly lowers your fees and the risk of the debt cycle.

Payday loans should be avoided if possible because of their high costs and the risk of getting stuck in a debt cycle.

You can get a loan if you are with bad credit. We will guide you on all options. Let’s first give you an overview of the options brief, and below, we will discuss them.

Best Payday Loan Alternatives of September 2024: Key Findings

You may have heard that some lenders will give you a personal loan if your credit is terrible in California. And, indeed they do offer these types of loans but with high-interest rates and annual percentage tabs (APR) ranging from 15% to 35.99%. However, here at ElitePersonalFinance, we recommend different options for people like yourself; we start off by offering legitimate personal loans of amounts up to $250K based on an individual’s needs as well as blended into millions just like yours!

Payday Loan Alternatives. These new types of lenders have more expensive APR than traditional personal loans but are less expensive than payday loans. They approve with terrible credit. We will give you the best work in California.

Loan Apps. Many apps offer payday alternatives, and some of them are with 0 interest. Most of them are no credit checks. The catch? There are fees, but in all, times cheaper than payday loans. We will show you the best of them in California.

Buy Now Pay Later. Many offer loans for purchases. Some are with 0 APR. Most of them are no credit checks. The catch? There are fees, but in all, times cheaper than payday loans. We will show you the best of them in California.

Credit Unions in California. Some of them can help you because they see your credit score and other factors like income, DTI, etc. Some offer PAL, a payday loan alternative in California.

Best Payday Alternatives in California of September 2024

Why Trust ElitePersonalFinance Guides?

We scrutinize over 100 lenders and research their characteristics, policies, and terms. Most importantly, we consult several sources to ensure that our curated list of the best payday loan alternatives and laws in California is comprehensive and up-to-date.

We also provide clear guidance on how each lender works so you can make an informed decision about which one is right. In addition, we only work with legit lenders and will never recommend any loan or service that is abusive.

Using our list, you can easily find the best payday alternative for your situation and take advantage of this industry’s latest developments! We highly suggest looking at the options if you need cash and have bad credit.

Our Marketplace

We are the largest independent finance marketplace in the United States. We have access to hundreds of lenders to help you get the best deal on payday loan alternatives and laws in California. We work with licensed, reputable lenders that offer competitive interest rates, low fees, and excellent customer service.

We also have a 100% online application process that allows you to apply for a personal loan from the comfort of your home. We’ll match you with a lender that is best suited to your financial profile and will provide you with the loan amount you need.

Our mission is to make sure that no one has to take out an expensive payday loan ever again. We want everyone to have access to suitable financial products to help them build better financial habits, even with bad credit.

Personal Loans for Bad Credit

There are many legit personal loan lenders for bad credit in California. These lenders look at more than just your credit score. They also consider other factors, such as income and debt-to-income ratio, to determine if you’re a good fit for their loan products.

Most of these lenders offer low-interest rates, flexible repayment terms, and no hidden fees. We’ve compiled a list of the best personal loans for bad credit, and you can apply for one right now!

So if you need cash fast, check the lenders below or check out our comprehensive guide of the best personal loan lenders for bad credit in California.

ZippyLoan

Loan Amount:	$100 – $15,000
APR:	5.99% – 35.99%
Min. Credit Score:	0
Approval:	5 Minutes
Terms:	6 Months – 5 Years
Fees:	Loan origination fees vary by lender. Late payment fees vary by lender. Most lenders don’t charge prepayment fees.
Qualification Criteria:	Be at least 18 years of age. Have recurring employment income or government benefits. Fill out your information through ZippyLoan’s online portal.
Average Borrower Profile:	ZippyLoan connects borrowers with personalized financial product offers from banks and other lenders. Financing options are available if you have bad, fair, good, or excellent credit.
Best For:	Bad or No credit
CHECK RATES

ZippyLoan is an excellent payday loan alternative in California because it offers competitive rates of between 5.99% and 35.99%, flexible repayment terms of 6 months and five years, and no hidden fees. The process is straightforward, and you’ll get your money fast. Plus, ZippyLoan works with a variety of lenders so you can find the best loan for your individual needs.

ZippyLoan offers bad credit loans of amounts from $100 to $15,000. However, unlike many of the individual loan lenders on our list, such as Upgrade, ZippyLoan has no income requirements. To be eligible, borrowers must provide proof of income and be at least 18 years old.

ZippyLoan sends you a list of direct lenders that offer the best rates and terms tailored to your unique situation. Plus, they will never put you through a hard credit check.

Additionally, while most personal loan bad credit lenders on ZippyLoan don’t charge prepayment fees, loan origination and late payment fees vary by each lender on the platform.

Pros:

• ZippyLoan has a fast and easy application process.
• Flexible repayment terms of between 6 and 60 months.
• Most lenders on ZippyLoan do not charge prepayment fees.
• Access to a variety of lenders.
• Offers personal loan amounts of $100 to $15,000.

Cons:

• High-interest rates for borrowers with bad credit.
• Origination and late payment fees vary by each lender.
• Bad credit borrowers might pay more than 35.99% APRs.

The Impact of Covid-19:

Since ZippyLoan is a P2P platform, the company doesn’t have any specific hardship programs for borrowers affected by the pandemic. However, if you need assistance in your loan repayment, you can apply for a custom hardship waiver at ZippyLoan via 1-844-379-8621 or at support@zippyloan.com.

PersonalLoans

Loan Amount:	$1,000 – $35,000
APR:	5.99% – 35.99%
Min. Credit Score:	580
Approval:	1 Day
Terms:	90 Days – 6 Years
Fees:	A loan origination fee of 1% – 5% You may incur late payment fees after a 15-day grace period Most lenders don’t charge prepayment fees
Qualification Criteria:	Be at least 18 years of age Have a credit score of at least 580 The maximum DTI ratio is often 43% Have recurring employment income or government benefits. Do not have a pattern of late payments, bankruptcies, or charge-offs Fill out your information through PersonalLoans’ online portal
Average Borrower Profile:	PersonalLoans connects borrowers with personalized financial product offers from banks and other lenders If you have bad, fair, good, or excellent credit, financing options are available
Best For:	Short and long-term personal loans
CHECK RATES

PersonalLoan is a great payday loan alternative lender because it offers competitive rates of between 5.99% and 35.99%, flexible repayment terms ranging from 90 days to six years, and many lenders in one place. The process is straightforward, and you’ll get your money fast. Plus, PersonalLoan works with a variety of lenders so you can find the best loan for your individual needs.

PersonalLoans offers bad credit loans of amounts from $1,000 to $35,000. To qualify for a loan, you must have a minimum credit score of 580, a maximum DTI ratio of 43%, and recurring employment income or government benefits. Additionally, you should not have a record of late payments, charge-offs, or bankruptcies.

Nonetheless, this lender charges a loan origination fee of 1% to 5%, and you may incur late payment fees after a 15-day grace period. Most lenders don’t charge prepayment fees, though.

PersonalLoan stands out because it makes work easier for you by analyzing multiple quotes in one place. Thus, you will save time researching your best offers. Additionally, PersonalLoan matches your credit profile with its network of lenders, meaning that you can be sure to find the best offer for your particular situation.

Pros:

• PersonalLoans offers loans up to $35,000.
• The application process is fast and straightforward.
• Flexible repayment terms from 90 days to six years.
• No prepayment fees on most loans.
• Low-interest rates than payday loans ranging from 5.99% to 35.99%.

Cons:

• Higher interest rates for borrowers with bad credit.
• Origination and late payment fees vary by each lender in the network.
• A minimum credit score of 580 is required to qualify for a loan.

The Impact of Covid-19:

PersonalLoans is a p2p site and does not lend loans directly. Furthermore, lenders on the PersonalLoans platform set their deferral and forbearance policies. As a result, you must consult with your lender to explore your choices.

Upgrade

Loan Amount:	$1,000 – $50,000
APR:	8.49% – 35.99%
Min. Credit Score:	560
Approval:	1 Day
Terms:	2 – 7 Years
Fees:	Loan origination fee of 1.85% – 9.99% Late payment fee of $10, after a 15-day grace period Insufficient funds fee of $10 There are no prepayment fees
Qualification Criteria:	Be at least 18 years of age Have a credit score of at least 560 Have a DTI ratio that doesn’t exceed 75% Have recurring employment income or government benefits Fill out your information through Upgrade’s online portal
Average Borrower Profile:	Has a credit score of 678 Has an annual income of $78,000
Best For:	High DTI ratios
Check rates

Personal loans made through Upgrade feature Annual Percentage Rates (APRs) of 8.49% – 35.99%. All personal loans have a 1.85% to 9.99% origination fee, which is deducted from the loan proceeds. The lowest rates require Autopay and paying off a portion of existing debt directly. Loans feature repayment terms of 24 to 84 months. For example, if you receive a $10,000 loan with a 36 – month term and a 17.59% APR (which includes a 13.94% yearly interest rate and a 5% one-time origination fee), you would receive $9,500 in your account and would have a required monthly payment of $341.48. Over the life of the loan, your payments would total $12,293.46. The APR on your loan may be higher or lower, and your loan offers may not have multiple term lengths available. The actual rate depends on credit score, credit usage history, loan term, and other factors. Late payments or subsequent charges and fees may increase the cost of your fixed-rate loan. There is no fee or penalty for repaying a loan early.

Upgrade is an outstanding payday loan alternative for borrowers with high DTI ratios needing short-term loan solutions. This lender offers lower interest rates than payday loans of between 8.49% to 35.99%. Upgrade offers bad credit loans of up to $50,000 with flexible payment terms of up to seven years. However, it would help if you had a minimum credit score of 560 and a maximum DTI ratio of 75% to qualify for this loan.

There is also an origination fee of 1.85% to 9.99%. Upgrade charges a late payment fee of $10 and an insufficient funds fee of $10. Most importantly, there is no prepayment penalty associated with this loan.

Upgrade is a unique bad credit loan lender because it offers cosigner and secured loan application options for borrowers who don’t qualify for an unsecured personal loan.

One drawback of Upgrade is they don’t finance monthly expenditures like rent, which could affect the loan repayment. Borrowers must ensure they can afford the monthly payments before taking out a loan.

If you have a credit score of over 700, you may qualify for better rates with this lender.

Pros:

• Competitive interest rates of between 8.49% to 35.99%.
• Extended repayment terms of up to seven years.
• No prepayment penalty.
• Upgrade offers an Auto-pay discount of 0.5%.
• Secured and cosigner loan options for borrowers with terrible credit.

Cons:

• A minimum credit score of 560 is required.
• An origination fee ranging from 1.85% to 9.99%
• Not ideal for paying rent or other monthly bills.
• Higher rates for borrowers with lower credit scores.

The Impact of Covid-19:

If you’re struggling to make your loan payments because of job loss caused by the pandemic, you may qualify for a monthly installment reduction. Additionally, you can get a modification of your loan terms. Find more information here.

LendingPoint

Loan Amount:	$2,000 – $36,500
APR:	7.99% – 35.99%
Min. Credit Score:	580
Approval:	1 – 7 Days
Terms:	2 – 5 Years
Fees:	A loan origination fee of 0% to 6% Late payment fee of up to $30 Insufficient funds fee of $20
Qualification Criteria:	Be at least 18 years of age Have a credit score of at least 580 Have a DTI ratio that doesn’t exceed 50% Have an annual income of at least $25,000 Fill out your information through LendingPoint’s online portal
Average Borrower Profile:	Has a credit score of 673 Has an annual income of $80,000
Best For:	$25,000 annual income
CHECK RATES

LendingPoint is an outstanding payday loan alternative because it offers competitive rates of 7.99% – 35.99%, better than payday loans. They also provide loan amounts ranging from $2,000 to $36,500 and flexible repayment terms of up to five years. You must have a minimum credit score of 580 and an annual income of at least $25,000 to qualify for this loan.

LendingPoint charges a loan origination fee of 0% to 6%, a late payment fee of up to $30, and an insufficient funds fee of $20. Fortunately, this lender does not charge any prepayment penalty or hidden costs.

LendingPoint is a unique payday loan alternative lender because it offers fast application and approval.

A downside of LendingPoint is that they have a maximum DTI ratio requirement of 50%, which could be challenging to meet if you’re trying to manage multiple loans or debts. Additionally, LendingPoint does not offer loans in Nevada and West Virginia.

Pros:

• Competitive interest rates of between 7.99% and 35.99%.
• Extended repayment terms of up to five years.
• No prepayment penalties or hidden fees.
• Fast application and approval process.
• Wide alternative payday loans of up to $36,500.

Cons:

• A minimum credit score of 580 is required.
• LendingPoint has an origination fee ranging from 0% to 6%.
• A maximum DTI ratio requirement of 50%.
• Not available in Nevada and West Virginia.

The Impact of Covid-19:

LendingPoint doesn’t have specific programs to help borrowers affected by the pandemic, but they offer a wide range of loan options with competitive rates. You can get personalized assistance by contacting their customer service team at 1-888-969-0959 or customerservice@lendingpoint.com.

Upstart

Loan Amount:	$1,000 – $50,000
APR:	4.6% – 35.99%
Min. Credit Score:	300
Approval:	1 – 7 Days
Terms:	3 – 5 Years
Fees:	Loan origination fee of 0% – 12% Late payment fee of 5% of the amount due, or $15, whichever is greater, after a 15-day grace period Insufficient funds fee of $15 Paper documents fee of $10 There are no prepayment fees
Qualification Criteria:	Minimum age: 18 Residing in the United States (don’t have to be a citizen or permanent resident) (exception for military) Minimum credit score of 300 in most states No bankruptcies or public records on your credit report No accounts that are currently in collections or delinquent Living in the 50 US states
Average Borrower Profile:	Borrows roughly $8,600. Incurs an APR of 23.98% on a five-year term Achieves approval nearly twice as often than traditional lenders with a FICO Score of 620 to 660 The CFPB found Upstart’s AI risk model approves 27% more borrowers and they incur APRs 16% lower than traditional lenders
Best For:	Low credit scores, high DTI ratios
Check rates

Terms: Your loan amount will be determined based on your credit, income, and certain other information provided in your loan application. Not all applicants will qualify for the full amount. Minimum loan amounts vary by state: GA ($3,100), HI ($2,100), MA ($7,000).

Although educational information is collected as part of Upstart’s rate check process, neither Upstart nor its bank partners have a minimum educational attainment requirement in order to be eligible for a loan.

The full range of available rates varies by state. A representative example of payment terms for a Personal Loan is as follows: a borrower receives a loan of $10,000 for a term of 60 months, with an interest rate of 18.44% and a 8.64% origination fee of $864, for an APR of 22.88%. In this example, the borrower will receive $9136 and will make 60 monthly payments of $257. APR is calculated based on 5-year rates offered in March 2023.  Your APR will be determined based on your credit, income, and certain other information provided in your loan application. Not all applicants will be approved.

If you accept your loan by 5pm EST (not including weekends or holidays), you will receive your funds the next business day. Loans used to fund education related expenses are subject to a 3 business day wait period between loan acceptance and funding in accordance with federal law.

While most loans through Upstart are unsecured, certain lenders may place a lien on other accounts you hold with the same institution. It is important to review your promissory note for these details before accepting your loan.

When you check your rate, we check your credit report. This initial (soft) inquiry will not affect your credit score. If you accept your rate and proceed with your application, we do another (hard) credit inquiry that will impact your credit score. If you take out a loan, repayment information may be reported to the credit bureaus.

The APR calculation compares the two models based on the average APR offered to borrowers up to the same approval rate. The hypothetical credit-score only model used in Upstart’s analysis was developed in connection with the CFPB No Action Letter access-to-credit testing program and was built from a traditional credit score only model trained on Upstart platform data. APR for the scorecard was averaged for each given traditional credit score grouping.

While automated recurring payments are easy to set up, payments by check or one time electronic payments can also be used to repay a loan. Borrowers have the flexibility to choose the repayment method that works best for them.

This information is based on actual borrowers as of 4/1/2023 who identified “credit card refinancing” as their primary use of funds and paid off at least 51% of their outstanding credit card debt within 3 months of taking out the loan. Out of these actual borrowers, some could have experienced an increase or decrease in their credit score. This information reflects the overall average change in credit score points experienced by this group of borrowers as identified above.

The majority of borrowers on the Upstart marketplace are able to receive an instant decision upon submitting a completed application, without providing additional supporting documents, however final approval is conditioned upon passing the hard credit inquiry. Loan processing may be subject to longer wait times if additional documentation is required for review.

Upstart is an excellent alternative to payday loans in California because the lender offers personal loans with competitive APRs of 4.6% – 35.99%. They also permit loan amounts ranging from $1,000 to $50,000 and flexible repayment terms of three to five years. You must have a credit score of at least 300 and a DTI ratio that doesn’t exceed 45% – 50% (excluding rent/mortgage) to qualify for this loan.

Upstart charges a loan origination fee of 0% – 12%, a late payment fee of 5% of the amount due, or $15, whichever is greater, after a 15-day grace period, an insufficient funds fee of $15, and a paper documents fee of $10. Fortunately, this lender does not charge any prepayment fees.

An upside of Upstart is that the minimum credit score required for approval is 300, so many bad credit borrowers can be eligible. In addition, Upstart has an AI risk model that approves more borrowers than traditional lenders and offers lower APRs.

Additionally, their maximum DTI ratio requirement is 45% to 50%, so the borrower might need to lower their monthly payments to qualify.

Pros:

• Affordable interest rates of 4.6% – 35.99%.
• Wide loan amounts up to $50,000.
• Flexible repayment schedules of three to five years are available with Upstart.
• Lower minimum credit score requirements of 300.
• No prepayment penalties or hidden fees.

Cons:

• A maximum DTI ratio of 45% to 50%.
• Upstart charges an origination fee ranging from 0%-12%.
• Upstart charges insufficient funds fees of $10.
• Paper documents fee of $10.
• Upstart charges a late payment fee of $15, or 5% of the amount due, after a 15-day grace period.

The Impact of Covid-19:

Upstart has several forbearance options for borrowers affected by the pandemic, allowing them to pause payments or extend the repayment period with no additional charge. If you need help, contact their customer service at 1-855-451-6753 or submit an online request.

Funds Joy

Loan Amount:	$200 – $5,000
APR:	5.99% – 35.99%
Min. Credit Score:	0
Approval:	1 Day
Terms:	1 – 5 Years
Fees:	A loan origination fee of 1% to 5% Late payment fees vary by each lender Insufficient funds fees vary by each lender
Qualification Criteria:	Be at least 18 years of age Be employed, have recurring income, or government benefits. A valid email and SSN number. A United States citizen or a permanent resident. Fill out your information through FundsJoy’s online portal
Average Borrower Profile:	FundsJoy doesn’t disclose the average borrower profile information.
Best For:	Debt consolidation
CHECK RATES

FundsJoy is an excellent alternative to payday loans in California because the lender offers an outstanding alternative payday loan referral service to borrowers. Additionally, this lender offers affordable APRs of 5.99% – 35.99%, loan amounts ranging from $200 to $5,000, and flexible repayment terms of one to five years.

While FundsJoy does not have a minimum credit score requirement, borrowers must be employed, have recurring income, or have government benefits to qualify for this loan.

FundsJoy charges a loan origination fee of 1% – 5%. Late payment fees and insufficient funds fees vary by each lender on the platform. This lender does not charge other fees, such as prepayment penalties or hidden fees.

An upside of FundsJoy is that the minimum credit score required for approval is 0, so bad credit borrowers can be eligible. In addition, this lender has a referral service that helps borrowers find the best payday loan alternatives in California, allowing them to save money on interest.

Pros:

• Affordable interest rates of 5.99% to 35.99%.
• FundsJoy has a fast approval time of one day.
• Flexible repayment schedules of one to five years are offered.
• No minimum credit score requirement.
• FundsJoy offers a payday loan alternative referral service.

Cons:

• A loan origination fee ranges from 1% – 5%.
• FundsJoy charges late payment fees and insufficient funds fees that vary by each lender.
• FundsJoy offers smaller payday alternative loans than other lenders on our list.

The Impact of Covid-19:

FundsJoy doesn’t have specific forbearance options for borrowers affected by the pandemic. However, if you are experiencing financial hardship and need help, contact the lender directly to check the available options.

Payday Loan Alternatives

Consider a payday loan alternative if you can’t qualify for a bad credit personal loan in California. These loans are similar to traditional payday loans but have more flexible repayment terms and lower interest rates.

One of the best things about payday loan alternatives is that they are no-credit-checks. Thus, they don’t have a minimum credit score requirement. This means that even borrowers with bad credit can be eligible. Additionally, most alternative payday loan lenders in California offer approval within one day, so you can quickly get the money you need.

Payday loan alternatives also offer lower APRs of up to 300%, lower than payday loans (400%). However, since their rates are higher than all bad credit personal loan lenders, ensure to borrow from alternative payday loans if it’s your last option.

Nevertheless, here are the best alternative payday loans in California.

OppLoans

Loan Amount:	$500 – $4,000
APR:	59% – 160%
Min. Credit Score:	0
Approval:	1 – 7 Days
Terms:	9 – 18 Months
Fees:	No origination fees. Doesn’t charge prepayment fees. It doesn’t charge late payment fees.
Qualification Criteria:	Be at least 18 years of age. Have recurring employment income or government benefits. Be a citizen of the United States or a permanent resident in California. Accept direct deposits. Work for your employer for at least three months. Have a valid checking account that is at least 90 days old. Have a net monthly income of $18,000 or more. Fill out your information through OppLoans’ online portal.
Average Borrower Profile:	OppLoans doesn’t disclose average loan statistics
Best For:	Bad or no credit
CHECK RATES

OppLoans is an excellent alternative payday lender that offers alternative payday loans of up to $4,000. You can get approved for a loan in as little as one day, which can help you cover your expenses quickly. Additionally, the lender offers affordable interest rates of 59% to 160%, flexible repayment terms of 9 to 18 months, and no minimum credit score requirement.

To determine your eligibility, OppLoans looks at your recent transaction history, bank account balance, and banking history. The lender doesn’t check your credit score, but some evidence of income is required to qualify for the loan, usually an average of $18,000 per annum.

OppLoans doesn’t charge any fees apart from the interest rate, so you don’t worry about prepayment penalties, late payments, or origination fees.

The lender also offers loan refinance options to borrowers who pay at least 15% of their loan amount, or $400. OppLoans offers a hardship program that allows borrowers to pause payments if they experience financial difficulties.

Pros:

• OppLoans offers loans up to $4,000.
• Interest rates range from 59% to 160%, lower than payday loans.
• OppLoans offers one-day approval and flexible repayment terms of 9 to 18 months.
• No minimum credit score requirement and no hidden fees.
• OppLoans also provides loan refinance options and a hardship program.

Cons:

• The APR charged by OppLoans is higher than bad credit personal loan lenders in California.
• OppLoans offers lower loan amounts than many installment loan companies on our list.
• Limited loan terms.

The Impact of Covid-19:

OppLoans has a hardship program for people affected by the pandemic who can’t meet payments on time. Find out more about how you can get assistance at the lender’s Covid-19 resource center or contact OppLoans at (800) 990-9130 or info@opploans.com.

NetCredit

Loan Amount:	$1,000 – $10,000
APR:	36% – 155%
Min. Credit Score:	Not Listed
Approval:	1 – 7 Days
Terms:	1 – 5 Years
Fees:	A loan origination fee of up to 5% Late payment fee of $15, after a 15-day grace period There are no prepayment fees
Qualification Criteria:	Be at least 18 years of age Have recurring employment income or government benefits Fill out your information through NetCredit’s online portal