Anybody whose credit score is under 600 or so is really in a situation where they'd be classified as having bad credit. You're not going to qualify for any kind of home loan (especially in this lending environment), and you're probably not even going to get any credit card companies to approve you for that little piece of purchasing plastic.

So if you're the person I'm describing, how are you supposed to obtain short term financing when cash runs out before bills do? You're probably going to need to look into personal loans for bad credit. They're not exactly a good option, but they might be your only option, so just make sure you get the best one possible.

That means taking out loans that are not one cent more than the amount you need to make it through the month, and it means making your payments on time, every time. That's your only hope for improving your credit.