To identify the best home equity lenders for borrowers with a credit score below 640, Bankrate surveyed more than 50 home equity lenders nationwide and scored each based on its self-reported data and research by Bankrate staff. We assigned scores based on a lender’s affordability, availability and borrower experience, giving equal weight to each category. Bankrate also collected data on each lender’s minimum credit score requirements for HELOC and home equity loans. To be named one of Bankrate’s best home equity lenders for bad credit, lenders must have a stated, required minimum credit score for at least one of these products that is below 640. Lenders must also receive a Bankrate score of 4.0 or higher.

To receive a top score from Bankrate, lenders must offer a standard rate lower than Bankrate’s tracked average, and if the lender offers HELOCs, they generally also offer a competitive introductory rate. In addition, lenders are usually licensed in more than 30 U.S. states, offer both HELOCs and home equity loans, provide at least one product for borrowers with credit scores of 640 or lower and have a loan minimum of $10,000 or less. If the lender offers HELOCs, they typically don’t require a minimum draw. Finally, our top-scoring lenders tend to make it easy for borrowers to compare rates and manage much of the loan process online, and they offer multiple options for customer support. For lenders that offer HELOCs, providing the option to lock the rate on some or all of a HELOC balance is a plus. Bankrate’s evaluations are independent and are not influenced by lender partnerships or advertising relationships. Read more about how Bankrate scores are determined here.

Some lenders may appear as honorable mentions, despite earning a Bankrate score of 4.0 or higher, due to eligibility restrictions — for example, concerning military affiliation —  or limited availability (15 or fewer states).