Do you want to buy brand new home furniture but you don’t have a good credit score? Here is the comprehensive guide on bad credit furniture financing. If you have a great credit score, you can easily take a loan from your local bank, credit union, or even a credit card to buy your ideal furniture. However, if you have a bad score, the entire process can be relatively difficult. We will explain the best options you have for bad credit furniture financing.


This article will explain a few ways you can easily buy furniture with a bad credit score.

What is a Credit Score?

Whenever you take a loan from a bank, credit union, or a credit card, the lender usually submits your details to a credit bureau. In the United States, the most popular credit bureaus are Experian, Transunion and Equifax. These bureaus then submit these details to credit scoring companies.

In the US, the most popular scoring company is FICO. This company will generate your score based on your borrowing and paying history. If you have a high credit score, lenders will have some certainty that you will pay back the money. As a result, they will make the terms a bit better. If you have a weak score, lenders will have a difficult time lending you money because your track record is not all that good.

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How Furniture Financing Works

You have many options available to you when you are considering buying a piece of furniture. You can go to your neighborhood furniture store and pay in cash. Alternatively, you can go to one of your local stores and apply for financing. Most of the national brands such as Williams Sonoma, Wayfair, and Ashley Furniture have their own credit cards that you can use to buy. These cards are usually issued by partnering banks such as Comenity. Therefore, if you have a good credit score, you can use the card to buy your furniture.

Bad Credit Furniture Financing

If you have a bad credit score, you will have a difficult time accessing credit to buy your desired piece of furniture. Still, you have a number of options available to you. Some of these options are:

Use your local credit union

A credit union is a member-owned financial institution that offers services to improve the lifestyle of its members. It offers similar services to banks but it has better rates because it is not driven by profits. If you are a member of a credit union, you should consider talking to the credit officer and see whether they will lend you.

Use a bank with a co-signer

Most banks will avoid doing business with you if you have a bad credit score. However, if you have a co-signer who has a good credit score, most banks will always love to do business with you. This is because, if you fail to pay, they will just take the funds from your co-signer. Therefore, if buying the furniture is so urgent to you, we recommend that you use a co-signer.

Take a Secured Loan

If the furniture is so important to you, you can take a secured loan from your local bank. A secured loan is one that has a collateral. If you fail to pay back the loan, the bank will take the collateral, auction it, and raise the funds. Most banks will be comfortable with such a deal.

Use Peer to Peer Lending platforms

There are a number of peer to peer lending platforms like Lending Club, Upstart, and Prosper. These platforms usually don’t only give out loans to people with high credit scores. A company like Upstart also looks beyond your credit score. It looks at your education level, your college debt, and where you work. While this does not guarantee that they will lend money to you, you could give these Peer to Peer Loans For Bad Credit also a try.

Tips for Buying Furniture if you Have a Bad Credit Score

If you have a bad credit score, you should consider the following tips when buying home furniture.

  1. Consider buying second hand furniture. When you do your search well, you can easily find high quality used furniture.
  2. Consider comparing prices. By comparing prices from different stores, you will likely find good quality furniture at affordable prices.
  3. Don’t use predatory lenders. These are companies that offer you credit at so high interest rates. Using these companies for furniture financing is absolutely not worth it.
  4. Buy in bits. We get it. You want to buy high quality furniture for your home. If you cannot afford buying them all at once, we recommend that you spread the buying process.
  5. Don’t go for brand names. Luxury furniture brands like Perigold and Salt & Pepper can be tempting. However, if you do your search well, you can easily find furniture pieces that are much better and at a lower price.

Final Thoughts

We get it. You want your home to look great. However, as you will realize, buying quality pieces of furniture can be a difficult and expensive thing. Bad credit furniture financing is usually a more expensive thing to do because of the limited options that are available. By using the tips explained in this article, you will be at a great place to save money and make rational decisions.