Because of the additional risk that the banks or lending companies see in people with low credit rating, the interest rates go higher.  There will be the usual interest rate plus 10% or more because of the credit score.  This is where you ask if you want to get a Bad Credit Personal Loan or go for the payday loans.  In deciding, check the total amount of interest you will be paying, the due date because payday loans are really short-term and the terms.  One will not be better than the other generally.  It depends on what you need it for.