What is the minimum credit score for affirm?
Loan limits vary by merchant and will depend on your credit record and payment history with Affirm. The lender has no minimum credit score to qualify for a loan, and checking whether you prequalify will not damage your credit score.
The Affirm website states there's no minimum credit score to qualify for a buy now, pay later (BNPL) loan. Along with a soft pull on your credit, Affirm determines whether you qualify for a loan based on your: Income. Debt-to-income ratio (DTI).
When deciding whether to approve you, Affirm will consider your credit score, as well as any prior payment history with Affirm (including loans you may have outstanding) and how long you've had an Affirm account. Affirm also looks at your credit utilization, income, existing debt and any recent bankruptcies.
Your loan application may be affected by any or all of the following: Your credit score. Your credit utilization. Your payment history with Affirm, including overdue payments, deferred payment, and loan delinquency.
| Loan amount | Varies. (Average purchase amount: $140.) |
|---|---|
| Availability | Available online and in stores. |
| Conducts soft credit check | Yes. |
| Minimum credit score | None. |
| Late fee | Up to $7. |
There is no minimum credit score requirement mentioned in the eligibility requirements for an Affirm loan. But, your credit score, utilization rate, payment history with Affirm, the age of your Affirm account, currently active Affirm loans, etc., are some of the factors that affect your loan application with Affirm.
Loan limits vary by merchant and will depend on your credit record and payment history with Affirm. The lender has no minimum credit score to qualify for a loan, and checking whether you prequalify will not damage your credit score.
Unfortunately, we can't guarantee you'll get approved, even if you receive a purchasing power amount.
Make sure you meet all eligibility requirements, including age and residency. Be aware of your credit history, including your current score and debt obligations, both with Affirm and other creditors. Help us understand your financial situation better by verifying your income. Consider the size of your loan request.
Affirm doesn't disclose any minimum income requirements, but it does take your income into consideration when deciding whether to approve financing. It also uses your debt-to-income (DTI) ratio—how much of your monthly income goes toward debt payments—to calculate whether you'll be able to repay your loan.
Why does Affirm keep rejecting me?
Your history with Affirm, including the number of loans you currently have with us, late or deferred payments or current or previous loans, and any charged-off loans. Your overall financial history, including any recent changes to your income or credit score, or any bankruptcies.
You may be eligible for Affirm financing even if you don't have an extensive credit history. Affirm bases its loan decision not only on your credit score but also on several other data points about you. After your purchase, you'll receive monthly email and SMS reminders about your upcoming payments.
| Affirm | Afterpay | |
|---|---|---|
| Minimum credit score | Not specified | Not specified |
| APRs | 0.00%-36.00% | 0.00%-35.99% |
| Loan amount | $50-$17,500 | From $400 |
| Repayment term | 3 to 48 months | 6 or 12 months |
Klarna does not have a minimum credit score requirement for its pay-in-four credit product. While Klarna does not report on-time payments of pay-in-four loans to the credit bureaus, it may report missed payments.
Afterpay may perform a soft credit check, which doesn't hurt your credit score. Afterpay doesn't disclose a minimum credit score requirement, and borrowers with fair or bad credit (689 credit score or lower) may be eligible to use Afterpay.
Affirm, in its turn, doesn't charge any late fees at all. Afterpay doesn't charge interest, while Affirm charges interest up to 36%. Afterpay charges a 30-cent fee per transaction plus a commission rate fee of 4-6% per transaction, depending on the plan selected by a merchant.
Another payment solutions platform that can serve as an Affirm alternative is Sezzle. You can use this BNPL company to make purchases from 47,000 brands. With the Sezzle mobile app, you can make a purchase and split the payment into four interest-free installments over six weeks.
Typically, you can qualify for Synchrony's Amazon store cards with a fair credit score (580 to 669). On the other hand, you'll likely need at least a good credit score (670 to 739) to qualify for one of the Amazon Visa cards from Chase.
If you're delinquent on your payments or default on your loan, Affirm could deny you a loan in the future and that information may be reported to credit bureaus which could result in a decrease to your credit score.
A soft credit check is performed when you create an account with Affirm. While it may appear on your credit report, a soft credit check doesn't impact your credit score.
Does Affirm boost credit score?
Affirm also reports on time payments to Experian, while other service providers do not do this. This gives you the opportunity to improve your credit score, as long as you do not make a late payment.
The spend now limit is based on several factors, including your purchase and repayment history with Affirm and the balance of your linked bank account. It can go up or down over time based on these factors. Note: The pay in full feature is only available if a bank account is linked to your Affirm Card.
Affirm uses Plaid, a financial technology company, to verify your bank account and create highly secure links between your accounts and Affirm.
If your application was denied, you can always re-apply at any time! (double-check that the appropriate changes were made to meet our business requirements). If you're unsure why your business doesn't qualify, you can reach out for more information at this email: sally@affirm.com.
Your payment history, the amount of credit you've used, the length of time you've had the credit and any late payments will all be reported to Experian. If you default on your Affirm loan or make late payments, you risk decreasing your credit score.
