Our Verdict
Upgrade is the best option for borrowers with bad credit (580-639). While most reputable lenders require 620+, Upgrade accepts scores as low as 580. They also offer a secured loan option where you can use your car as collateral to get lower rates.
The trade-off: higher fees and rates than premium lenders. But compared to predatory alternatives (payday loans, title loans), Upgrade is a far better choice for people rebuilding credit.
⚠️ Important: If you have a credit score below 620, expect higher APRs (often 20%+). Consider whether you truly need the loan, or if building credit first might be a better long-term strategy.
Pros & Cons
✓ Pros
- Accepts 580+ credit scores
- Secured loan option available
- Low $1,000 minimum
- Free credit monitoring
- Mobile app for management
- Pre-qualification available
- Direct creditor payments for consolidation
✗ Cons
- Origination fee (up to 9.99%)
- Higher APR for bad credit
- May require income verification
- Secured loan requires car title
- Not available in all states
Secured vs. Unsecured Options
Upgrade offers two types of personal loans:
- Unsecured Personal Loans: No collateral required, but higher rates for lower credit scores
- Secured Personal Loans: Use your car as collateral for lower rates (vehicle must be paid off)
If you have a paid-off car and need lower rates, the secured option can reduce your APR significantly—sometimes by 5% or more.
Who Should Use Upgrade?
- Bad credit (580-639): Few legitimate options at this level
- Rebuilding credit: On-time payments reported to bureaus
- Debt consolidation: Direct payment to creditors available
- Small loans: $1,000 minimum is accessible
- Car owners: Secured option for better rates