Can I get an unsecured furniture loan with bad credit?

It is possible, but it may be more challenging. Some lenders specialize in working with borrowers who have less-than-perfect credit. However, you should expect a higher APR to offset the lender's increased risk. To improve your chances, focus on highlighting a stable income and a low debt-to-income ratio. Applying with a co-signer who has good credit can also significantly increase your odds of approval and help you secure a more favorable rate.

Is an unsecured loan better than using the furniture store's financing?

Often, yes. While store financing can seem convenient, it frequently comes with very high interest rates (often 25% or more) that kick in if you don't pay off the balance during a short promotional period. This is called deferred interest. An unsecured personal loan gives you a fixed rate and a predictable payment schedule, making it easier to budget. Plus, the funds can be used at any store, not just one, giving you complete freedom of choice.

How quickly can I receive the money for my furniture?

The process is typically very fast. After you submit your online application and are approved, many lenders can deposit the funds directly into your bank account within one to two business days. This allows you to act quickly on sales or limited-time offers.

Do I have to tell the lender which furniture I'm buying?

No. That's one of the major benefits of a personal loan. The funds are deposited into your account, and you can use them as you see fit for your furnishing project. You don't need to provide receipts or get approval for specific items. The loan is between you and the lender, not you and the furniture store.

Can I use a personal loan for used or custom-built furniture?

Absolutely. Because you receive the loan as cash, you have the ultimate flexibility. This is a huge advantage over store financing, which is tied to new items from a single retailer. You can shop at estate sales, online marketplaces, or commission a custom piece from a local artisan—the choice is entirely yours.

What happens if I only use part of the loan amount?

Once you accept a loan, you are responsible for repaying the entire amount, plus interest. It's wise to borrow only what you need. If you end up with leftover funds, the smartest financial move is to make an immediate lump-sum payment back towards the loan's principal. Be sure to confirm your loan has no prepayment penalties before doing so.

Unsecured Personal Loans for Furniture

Finance your new furniture and create the home you want without pledging your house or car as collateral.

Check Your Rate

Furnishing a home is expensive. Your options shouldn't be complicated.

Store credit cards have sky-high interest rates and pushy sales tactics.
A personal loan offers a single, fixed monthly payment with a clear end date, often at a much lower APR.
You don't want to risk your car or home just to buy a new bedroom set.
Unsecured loans are based on your creditworthiness, not your assets. No collateral is ever required.
You need to buy multiple items from different stores, and managing multiple payment plans is a headache.
Get the cash you need in your bank account to shop anywhere you want, online or in-store.

Get the Furniture You Need Now, Without the Risk

An unsecured personal loan for furniture is a straightforward way to finance your home furnishing project. Unlike a secured loan, it doesn't require you to put up any collateral. This means your property, like your home or vehicle, is never at risk. Lenders approve your application based on your credit history, income, and overall financial health. This type of financing is also known as a 'signature loan' because your signature on the loan agreement is your promise to repay.

This flexibility is perfect for furnishing a new apartment, upgrading your living room, or finally buying that dining set for family gatherings. You receive the funds as a lump sum in your bank account, giving you the power to purchase furniture from any retailer, take advantage of sales, or even buy high-quality second-hand pieces. The repayment plan is simple: a fixed monthly payment over a set term (typically 2-7 years), so you always know exactly what you owe and when your loan will be paid off.

Your Simple Path to a Furnished Home

1
1. Check Your Rate (2 Minutes)
Fill out our short online form. This is a 'soft' credit inquiry, so it won't affect your credit score.
2
2. Review Your Loan Offers
If you pre-qualify, you'll see potential loan amounts, terms, and APRs from our network of lenders.
3
3. Finalize and Get Funded
Choose the best offer, complete the final application, and if approved, funds can be deposited in your account in as little as one business day.

Example scenario

We just bought our first home and had nothing to put in it. The store financing was confusing and expensive. Getting a personal loan was so much easier. We got the cash and bought exactly what we wanted from three different places.

Maria & David R.·New Homeowners, Austin, TX

Understanding the Cost of Your Furniture Loan

The total cost of your unsecured furniture loan depends on three main factors: the amount you borrow, the Annual Percentage Rate (APR), and the loan term. The APR includes your interest rate plus any fees, such as an origination fee, giving you a complete picture of the borrowing cost. A shorter term means higher monthly payments but less interest paid overall, while a longer term lowers your monthly payment but increases the total interest you'll pay.

Example Furniture Financing Scenarios

Living Room Set (Sofa, Chairs, Table)

Loan Amount

$5,000

Furnishing a 2-Bedroom Apartment

Loan Amount

$15,000

Estimated monthly

$119/mo for $5k loan

Based on a 5-year loan at 14.99% APR. Your actual rate will vary.

See Your Estimated Monthly Payment

Find out what you could afford with no impact to your credit score.

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Loan amount: $2,000 – $20,000
APR: 8.99% – 35.99%
Term: 24 months – 60 months

Your actual APR depends on credit score, loan amount, term, and credit usage history. Not all applicants will qualify for the lowest rates.

How Unsecured Loans Compare to Other Options

When you're at the furniture store, you'll likely be offered store credit or a branded credit card. While convenient, these options often come with hidden costs. A personal loan provides a clear alternative with distinct advantages. Understanding the differences helps you make the most cost-effective choice for your situation.

Unsecured Loan vs. Store Financing vs. Rent-to-Own

Feature	Unsecured Personal Loan	Store Credit Card	Rent-to-Own
Interest Rates	Fixed, often lower APRs	Very high (25%+), often deferred interest 'traps'	Not applicable; uses high fees instead
Flexibility	Cash to use at any store	Can only be used at that specific retailer	Limited to items from that specific company
Total Cost	Clear and predictable	Can be high if not paid off during promo period	Extremely high, often 2-3x the retail price
Ownership	You own the furniture immediately	You own the furniture immediately	You don't own until the final payment is made

Do You Qualify for a Furniture Loan?

What Lenders Typically Look For

Credit Score: A score of 600 or higher is generally preferred, with the best rates reserved for scores above 680.
Verifiable Income: Lenders need to see that you have a steady source of income to comfortably handle the monthly payments.
Debt-to-Income (DTI) Ratio: Your total monthly debt payments (including the new loan) should ideally be below 40% of your gross monthly income.
Credit History: A history of on-time payments and responsible credit use improves your chances of approval and a better rate.

If your credit isn't perfect, you can strengthen your application by checking your credit report for errors, paying down existing credit card balances, or applying with a creditworthy co-signer.

Find Out if You Qualify in Minutes

It's free, fast, and won't hurt your credit score to see your options.

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Tips for Smart Furniture Financing

Create a Budget First: Before applying, know exactly how much you need to borrow. Measure your space and price out the items you want. This prevents over-borrowing and keeps your loan focused.
Factor in Delivery and Taxes: The price tag on the floor isn't the final price. Remember to include sales tax, delivery fees, and assembly costs in your total loan amount.
Don't Just Accept the First Offer: Comparing rates from multiple lenders is the single best way to save money. Even a small difference in APR can save you hundreds of dollars over the life of the loan.
Look for Prepayment Penalties: Ensure the loan you choose allows you to pay it off early without any extra fees. This gives you the flexibility to save on interest if your financial situation improves.

Ready to design your space? Let's get started.

A simple application is all that stands between you and your new furniture.

Start Your Application

Frequently Asked Questions

Can I get an unsecured furniture loan with bad credit?
It is possible, but it may be more challenging. Some lenders specialize in working with borrowers who have less-than-perfect credit. However, you should expect a higher APR to offset the lender's increased risk. To improve your chances, focus on highlighting a stable income and a low debt-to-income ratio. Applying with a co-signer who has good credit can also significantly increase your odds of approval and help you secure a more favorable rate.
Is an unsecured loan better than using the furniture store's financing?
Often, yes. While store financing can seem convenient, it frequently comes with very high interest rates (often 25% or more) that kick in if you don't pay off the balance during a short promotional period. This is called deferred interest. An unsecured personal loan gives you a fixed rate and a predictable payment schedule, making it easier to budget. Plus, the funds can be used at any store, not just one, giving you complete freedom of choice.
How quickly can I receive the money for my furniture?
The process is typically very fast. After you submit your online application and are approved, many lenders can deposit the funds directly into your bank account within one to two business days. This allows you to act quickly on sales or limited-time offers.
Do I have to tell the lender which furniture I'm buying?
No. That's one of the major benefits of a personal loan. The funds are deposited into your account, and you can use them as you see fit for your furnishing project. You don't need to provide receipts or get approval for specific items. The loan is between you and the lender, not you and the furniture store.
Can I use a personal loan for used or custom-built furniture?
Absolutely. Because you receive the loan as cash, you have the ultimate flexibility. This is a huge advantage over store financing, which is tied to new items from a single retailer. You can shop at estate sales, online marketplaces, or commission a custom piece from a local artisan—the choice is entirely yours.
What happens if I only use part of the loan amount?
Once you accept a loan, you are responsible for repaying the entire amount, plus interest. It's wise to borrow only what you need. If you end up with leftover funds, the smartest financial move is to make an immediate lump-sum payment back towards the loan's principal. Be sure to confirm your loan has no prepayment penalties before doing so.

Personal loan disclosure

Money Savvy is not a lender. We are a marketing service that connects consumers with participating lenders. Rates, amounts, and terms vary by lender, your credit history, and other factors.

Loan amounts: $1,000 – $100,000
Repayment terms: 3 – 84 months
Min APR: 5.99%
Max APR: 35.99%
Origination fees: 0% – 10% of the loan amount
Late fees: May apply; vary by lender

Representative example: A $10,000 loan with a 36-month term at an 18.99% APR would have an approximate monthly payment of $366.39 and a total cost of $13,190.04, including interest and a $500 origination fee.

Your actual APR depends on your credit score, income, and other factors. Only borrow what you can afford to repay.

California residents: California Financing Law disclosures available upon request.