Small Loans: Borrow $20 or More Instantly

Anyone can fall a little short of cash from time to time. The good news is there are a lot of small loan options to get you by. You’ll have your pick of cash advance apps, small personal loans or overdraft protection to decide which type of loan fits your needs best.

Get a small loan using a cash advance app

Compare these cash advance apps that let you borrow small amounts as low as $5.

Compare small personal loans

This list of lenders offers loans starting as low as $100. It’s possible to get your loan funded as soon as the same day you apply.

What about payday loans?

Finder doesn’t like to recommend payday loans because they are typically very expensive. Most payday lenders don’t charge interest. Instead, they charge a flat fee called a “finance charge,” which is $15 to $25 per $100 borrowed. This fee is equivalent to APRs between 300% and 1,300%.

Payday loans tend to lead borrowers into a cycle of debt that can be difficult to break. In addition, many payday lenders use predatory tactics, such as trying to convince you to borrow more than you can afford, which puts you at risk of getting even deeper into debt.

Types of small loans

Here are the details you need to know about your options for borrowing small amounts. Keep an eye on interest rates, fees, loan terms and the pros and cons of each.

Cash advance apps

You can easily borrow $20 or more with cash advance apps. Providers typically don’t charge interest or late fees, and you don’t need a credit check to qualify. However, you may be charged a monthly membership fee or a fee for instant transfers. Your repayment will be automatically deducted from your account on your next payday.

Features of cash advance apps

• Loan amounts: $10 to $1,000
• Loan terms: Until your next payday or deposit, but some lenders may let you extend your due date
• Costs: May include a monthly membership fee and fees for expedited transfers
• How to get one: Download an app and sign up by providing personal information, contact details and linking your bank account
• How long it takes to get a loan: Typically within three days or instant for a fee

Pros and cons of cash advance apps

Eligibility requirements

• Be at least 18 and a US resident
• Have a job or other income source
• Have an active bank account
• Have a history of recurring deposits

Small personal loans

Banks, credit unions and online lenders offer small personal loans that let you borrow as little as $100 or $200. Loan terms are longer than cash advance apps, but you’ll probably need a credit check. Some personal loans can have turnaround times as fast as the same day you apply.

Features of personal loans

• Loan amounts: $100 to $2,000+
• Loan terms: 3 months to 3 years
• Costs: APRs typically between 6% and 36%
• How to get one: Fill out an online application, provide your personal and financial details and wait for approval. Or, call or visit a branch location to apply with a loan officer.
• How long it takes to get a loan: As soon as the same day.

Pros and cons of small personal loans

Eligibility requirements

• Be at least 18 and a US resident
• Have a job or other income source
• Have an active bank account
• Have a history of recurring deposits

Overdraft protection

Overdraft protection has you covered if you need to make a purchase or pay a bill and your account doesn’t have enough funds. This service helps you avoid making late payments and incurring non-sufficient fund (NSF) fees. Your bank assesses a fee for this service, usually anywhere from $10 to $40, and you may have to pay interest on the balance as well. However, many banks offer short grace periods to repay the overdraft.

Features of overdraft protection

• Loan amounts: No minimum
• Loan terms: Varies by bank, approximately 30 to 90 days
• Costs: Fees plus interest
• How to get one: You can request it from your bank or it may be offered automatically. Some banking apps — like Albert and Chime — also offer overdraft protection services.
• How long it takes to get a loan: Instant if you have the service.

Pros and cons of overdraft protection

Eligibility requirements

• Be 18 or older

• Be a US citizen or permanent resident

• Have a valid, active bank account

May require direct deposit

Can you get a small loan with no credit check?

Yes, there are several ways to borrow small amounts with no credit check required. Options include cash advance apps, overdraft protection services and credit card cash advances.

You may also want to explore these no credit check loans. Just be wary of lenders that offer guaranteed approval. Most reputable lenders assess your ability to repay the loan before granting approval.

Can you get a small loan with bad credit?

Yes. Plenty of lenders will extend loans to borrowers with bad credit — especially for small loan amounts. Instead of focusing on your credit score, these lenders typically assess your income, banking activity and overall ability to repay the loan. But you will likely pay higher rates than people with better credit scores.

What is the quickest way to get a small loan online?

The fastest way to get a small loan is usually through a cash advance app, assuming you are already signed up and approved for advances. For a small fee, you could have cash in your account in seconds without even leaving your house.

Many personal loan lenders advertise funding as soon as the same day you apply, but that may depend on when you apply, the transfer method and other stumbling blocks.

What to consider before getting a small loan

Before applying for a small loan, consider these issues first.

• Do you really need it? Even small loans can set you back a bit. Decide if you really need it or if you can wait. For example, paying for a prescription may not be able to wait.
• Rates and fees. Almost no small loans are truly free, so consider how much this micro loan will cost. Whether you’re being charged interest or paying a fee to have the money transferred instantly, you’ll typically pay more than what you’re borrowing.
• Loan terms. Repayment terms are typically short when you take out a small loan and are often due on your next payday. Consider if that is going to put you further in debt when you get paid.
• Compare your options. It’s important to explore all your options when borrowing a small amount of money, so you can find the least expensive option that also makes the most sense for you.
• Watch out for disreputable lenders. There are a lot of shady lenders out there claiming to provide small loans at reasonable rates. Be sure to do your research and keep an eye out for red flags like “guaranteed approval.”
• Read your contract. Before you agree to borrow even a small amount, carefully read the terms and conditions of your contract. That way, you’ll fully understand the loan’s cost and avoid any surprises down the road.

Other ways to borrow a small amount of money

Consider a few other options if you just need a small loan:

• Ask friends or family. It can be awkward to ask to borrow money from people you know, but it could be a less expensive option, and many people like to help out their friends in need.
• Sell something. We could probably all stand to have less stuff. See if there’s something you can part with that will bring in enough funds to cover your financial need.
• Ask your boss for a pay advance. If you have a good relationship with your boss, it may not be a big deal to ask for a small loan to tide you over. Then, they can just deduct the amount from your next paycheck.
• Get a pawnshop loan. Pawnshop loans aren’t cheap, but they are a fast and easy way to get a small loan right away. Plus, they won’t go after you (or your credit) if you can’t repay it — they’ll just keep the item.

Frequently asked questions

What app will let me borrow $20 instantly?

While it can take time to work up to larger cash advances, most apps will let even first-time users take out a $20 advance. You might try Cleo, Dave or Chime for a fast loan today.

How do I borrow 20 dollars?

Twenty dollars is a small loan and should be pretty easy to get. Ask a family member or friend if you can borrow $20 until payday or try a cash advance app. Maybe you can take advantage of your bank’s overdraft protection if you’re eligible and if it makes sense for your financial needs.

How to borrow $25 instantly?

If you don’t have a friend or family to ask, or you aren’t eligible for a cash advance app, you could go to an ATM or bank and get a fast credit card cash advance. Rates and fees can be relatively high — and you’ll need an available balance — but if you only need to borrow $25, those fees aren’t such a bad deal in a pinch.

To make sure you get accurate and helpful information, this guide has been edited by Megan B. Shepherd as part of our fact-checking process.

Written by

Lacey Stark

Writer

Lacey Stark is a freelance personal finance writer for Finder, specializing in banking, loans, investing, estate planning, and more. She has 20 years of experience writing and editing for magazines, newspapers, and online publications. A word nerd from childhood, Lacey officially got her start reporting on live sporting events and moved on to cover topics such as construction, technology, and travel before finding her niche in personal finance. Originally from New England, she received her bachelor’s degree from the University of Denver and completed a postgraduate journalism program at Metropolitan State University also in Denver. She currently lives in Chicagoland with her dog Chunk and likes to read and play golf. See full bio