Is a 373 credit score bad? Loans, cards & rates explained

A 373 credit score is considered a very low score, meaning most traditional lenders will view you as a high‑risk borrower.

It falls well below the 'fair' range (typically 580‑669) and signals significant past credit problems or limited credit history. Because of this, you'll likely face higher interest rates, larger fees, and stricter approval criteria for loans and credit cards - but you're not completely shut out; specific products for low scores do exist, though they come with tougher terms. Verify any offer's APR, fees, and repayment schedule before signing, because costs can vary widely by lender and state.

very poor or deep‑subprime range, meaning most traditional lenders will view you as a high‑risk borrower. Expect frequent denials for standard credit cards, mortgages, and auto loans, and when you are approved, expect higher deposits, larger security requirements, and much steeper interest rates.

In housing, landlords often require a larger security deposit (sometimes double the usual amount) or a co‑signer because they see the score as an indicator of potential missed rent payments. When it comes to borrowing, banks may only offer secured personal loans or payday‑type products with short terms; unsecured loans are rare and usually come with fees that can exceed the loan amount. For everyday finances, utilities and cell‑phone providers may ask for a prepaid plan or a credit‑check fee before activating service.

Because the impact spreads across major financial decisions, the practical takeaway is to verify each lender's specific criteria before applying. Check whether a landlord accepts alternative credit data, ask the loan officer about required collateral, and read any deposit or fee schedule up front so you're not surprised by unexpected costs.

Because a 373 score flags you as a very high‑risk borrower, most lenders treat you like a loan that could default. That risk rating comes from the same things that make any low score problematic: a short or thin credit history, repeated late payments, collection accounts, recent defaults, and balances that use a large share of any available credit.

These factors signal to lenders that you may struggle to meet payment obligations, so they either charge higher interest rates, require larger down payments, or limit the types of products you can get. In practice, this means fewer loan options, stricter approval criteria, and tighter credit‑card terms - though niche 'bad‑credit' lenders may still approve you under less favorable conditions.

You can still access a few loan products with a 373 credit score, but each comes with strict eligibility rules, higher costs, and limited borrowing power. Review the requirements carefully before you apply.

• **Secured personal loans** - Require collateral such as a car or savings account; lenders may offer lower rates than unsecured options, but you risk losing the asset if you miss payments.
• **Credit‑union installment loans** - May consider membership and income stability more than credit history; rates are usually higher than mainstream banks and loan amounts tend to be modest.
• **Payday alternative loans (PALs)** - State‑licensed short‑term loans with caps on fees; they provide quick cash but carry very high APRs and must be repaid within a short window.
• **Co‑signer personal loans** - If a trusted person with better credit co‑signs, you may qualify for a traditional unsecured loan; the co‑signer becomes equally liable for repayment.
• **Online 'bad‑credit' lenders** - Offer unsecured loans to low‑score borrowers; approvals are possible but interest rates are typically steep and terms can include hefty origination fees.

Before applying, verify the lender's licensing status, read the full loan agreement for fees and repayment terms, and confirm that any collateral or co‑signer arrangements are fully understood. Always borrow only what you can comfortably repay.

If you have a 373 score, you can still get a credit card, but expect very limited approval odds, low credit limits, and terms that focus on rebuilding access rather than rewards or cheap borrowing.

Most issuers that will consider you fall into two broad categories. Secured cards require a cash deposit that usually becomes your credit limit; the deposit protects the lender and makes approval almost certain if you can front the money. Unsecured 'subprime' cards do exist, but they are scarce, often come with high annual fees, steep interest rates, and modest limits that may barely cover a small purchase. Both types typically report to the major bureaus, which is why they're marketed as credit‑building tools.

• **Secured credit cards** - require a refundable security deposit (often equal to the stated limit); approval is generally straightforward once the deposit is posted; fees and APR vary by issuer and state, so read the cardholder agreement carefully.
• **Credit‑builder or prepaid cards** - function like a debit card linked to a savings account; they may not always report activity to all three bureaus, so verify reporting policy before applying.
• **Subprime unsecured cards** - rarely offered; when available they may carry annual fees and high APRs; limits are typically low (often under $500) and can be withdrawn quickly if you miss payments.

Before you apply, check whether the card reports to Experian, TransUnion, and Equifax, confirm any required deposit or fee, and be prepared for a higher cost of borrowing while you work on raising your score.

With a 373 credit score you'll typically see interest rates that are well above the market average, often landing in the high‑teens to low‑twenties percent APR range for loans and even higher for credit cards; exact figures vary by lender, loan type, and state regulations.

Because lenders view a 373 score as very high risk, expect personal loans to carry rates roughly 2 - 3 × the prime rate, auto financing to start near the upper end of 'subprime' brackets, and credit‑card APRs to sit at the top of the 'bad‑credit' tier - sometimes exceeding 25 % - so always read the cardholder agreement for fee structures and any promotional periods before applying.

higher APR Bad‑credit loans can become costly quickly because lenders offset the higher risk you present with steeper price tags. The main cost drivers are a higher APR, upfront and recurring fees, shorter repayment windows, and how interest compounds over time.

When the APR is high, even a modest loan balance can balloon. For example, an assumed 30 % APR on a $1,000 loan means you could owe roughly $125 in interest after just three months if payments are not made early. Add any origination or processing fee - often a flat dollar amount or a percentage of the loan - and the effective cost rises further. Shorter terms force larger monthly payments; if you can't meet them, you may be pushed into extensions that tack on extra interest, creating a cycle where the total repayment far exceeds the original amount borrowed.

Key cost components to watch

• **APR:** Typically much higher than prime rates; check the disclosed annual rate before signing.
• **Fees:** Origination, service, late‑payment, and prepayment fees can add several percent to the loan cost.
• **Term length:** Shorter terms increase monthly payments; longer terms may lower payments but extend interest accrual.
• **Compounding frequency:** Daily or monthly compounding amplifies interest compared with simple‑interest loans.

Before accepting any bad‑credit loan, read the full agreement, calculate the total amount you'll repay under different scenarios, and compare it to alternative options such as credit‑union loans or secured credit cards. If the numbers feel unmanageable, consider waiting to improve your score or seeking counseling from a reputable credit‑counseling agency.

You can start nudging a 373 score upward right now by fixing the biggest negatives on your report and building a few positive habits. Because the score is so low, even modest improvements - like removing an old collection or adding a tiny credit line - can shift it noticeably within a few months, but solid, lasting gains require consistent credit‑building work.

1. **Get a free copy of your credit report and dispute any errors.**
   
   Look for inaccurate late payments, wrong account balances, or accounts that aren't yours; each corrected item can lift points instantly.
2. **Pay down revolving balances to under 30 % of the total limit.**
   
   Credit utilization is a major factor; if you owe $300 on a $1,000 limit, bring it down to $200 or less before the next reporting cycle.
3. **Bring past‑due accounts current.**
   
   If you have any delinquent loans or credit cards, contact the creditor to arrange payment or a temporary hardship plan; getting 'current' status removes a heavy penalty from the scoring model.
4. **Add a secured credit card or a credit‑builder loan (if you don't already have any open tradelines).**
   
   A small, low‑limit secured card (often $200 - $500) gives the scoring model something positive to weigh against the negatives, and regular on‑time payments will show up as good behavior.
5. **Set up automatic payments or calendar reminders for every bill.**
   
   Consistently paying on time is the single most reliable way to improve any score over time; missing even one payment can wipe out other gains.
6. **Avoid opening multiple new accounts at once.**
   
   Each hard inquiry temporarily drags your score lower; space out any applications by several months to let existing activity settle.
7. **Keep old accounts open, even if you're not using them much.**
   
   Length of credit history matters; closing an old account shortens average age and can raise utilization on remaining cards.
8. **Monitor your score monthly through a reputable service.**
   
   Tracking changes lets you see which actions move the needle and catch new errors quickly.

*Only use reputable lenders and avoid 'quick‑fix' offers that promise huge jumps in days - those are usually scams.*

If your credit score sits at 373, it's a clear signal that professional or structured help may be needed to get back on track.

Typical signs you should seek guidance include:

• Inaccurate information on your credit report that you can't resolve on your own.
• Your monthly debt payments exceed 30 % of your income, causing you to miss due dates.
• Creditors have started sending collection notices or threatening legal action.
• You've been denied multiple loan or credit‑card applications despite applying for products aimed at low scores.
• Your credit file is very thin (few accounts, short history) and lenders repeatedly request additional documentation.

When any of these red flags appear, consider contacting a reputable credit‑counseling nonprofit, a financial advisor, or a consumer attorney to review your situation and outline a repayment or dispute plan. Always verify the credentials of any service before sharing personal information.

Safety note: Only work with organizations that are accredited by the National Foundation for Credit Counseling or similar reputable bodies.