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Colin Beresford is a writer and editor experienced in helping people make the best decisions with their money, whether it's buying a car or taking on a loan. He has written for Bloomberg, The Associated Press, NerdWallet, Car and Driver magazine, amo...
Colin Beresford is a writer and editor experienced in helping people make the best decisions with their money, whether it's buying a car or taking on a loan. He has written for Bloomberg, The Associated Press, NerdWallet, Car and Driver magazine, amo...
Colin Beresford is a writer and editor experienced in helping people make the best decisions with their money, whether it's buying a car or taking on a loan. He has written for Bloomberg, The Associated Press, NerdWallet, Car and Driver magazine, amo...
Colin Beresford is a writer and editor experienced in helping people make the best decisions with their money, whether it's buying a car or taking on a loan. He has written for Bloomberg, The Associated Press, NerdWallet, Car and Driver magazine, amo...
Jordan Tarver has spent seven years covering mortgage, personal loan and business loan content for leading financial publications such as Forbes Advisor. He blends knowledge from his bachelor's degree in business finance, his experience as a top perf...
Jordan Tarver has spent seven years covering mortgage, personal loan and business loan content for leading financial publications such as Forbes Advisor. He blends knowledge from his bachelor's degree in business finance, his experience as a top perf...
Jordan Tarver has spent seven years covering mortgage, personal loan and business loan content for leading financial publications such as Forbes Advisor. He blends knowledge from his bachelor's degree in business finance, his experience as a top perf...
Jordan Tarver has spent seven years covering mortgage, personal loan and business loan content for leading financial publications such as Forbes Advisor. He blends knowledge from his bachelor's degree in business finance, his experience as a top perf...
Financial and loans expert Joel Larsgaard loves nerding out on the topic of personal finance with the mission of helping others improve their financial standing.
He has been in the money media space for almost 20 years. He produced "...
Financial and loans expert Joel Larsgaard loves nerding out on the topic of personal finance with the mission of helping others improve their financial standing.
He has been in the money media space for almost 20 years. He produced "...
Financial and loans expert Joel Larsgaard loves nerding out on the topic of personal finance with the mission of helping others improve their financial standing.
He has been in the money media space for almost 20 years. He produced "...
Financial and loans expert Joel Larsgaard loves nerding out on the topic of personal finance with the mission of helping others improve their financial standing.
He has been in the money media space for almost 20 years. He produced "...
Editorial Note: We earn a commission from partner links on Forbes Advisor. Commissions do not affect our editors' opinions or evaluations.
Personal loans are a type of financing borrowers can get from traditional banks, credit unions or online lenders, in which they receive a lump-sum payment they can use for just about any legal personal expense. Loan amounts typically range from $1,000 to $50,000, with few lenders offering loan amounts up to $100,000.
Our editors are committed to bringing you unbiased ratings and information. Advertisers do not and cannot influence our ratings. We use data-driven methodologies to evaluate financial products and companies, so all are measured equally. You can read more about our editorial guidelines and the personal loans methodology for the ratings below.
29 nationwide lenders researched
16 data points evaluated and scored
Unbiased editorial team
No AI writing
Best Personal Loans of December 2024
Best for Good to Excellent Credit
SoFi®
5.0
Our ratings take into account loan cost, loan details, eligibility and accessibility, customer experience and application process. All ratings are determined solely by our editorial team.
SoFi is an online lender that offers a range of products, including large personal loans that you can use for various purposes.
Why We Like It
SoFi’s personal loans come with higher maximum amounts and longer terms than loans from other lenders.
What We Don’t Like
SoFi requires a minimum credit score of 650 and an annual income of at least $45,000, making it out of reach for some borrowers.
Who It’s Best For
If you need a large loan amount and a long loan term, a SoFi personal loan is a great option if you can meet the borrower requirements.
Consumer Sentiment Index
4.2
4.2/10
Consumer Score
The Consumer Sentiment Index from Forbes Advisor uses a proprietary weighting system designed by our subject matter experts. It evaluates thousands of consumer insights and reviews from leading online forums to determine customer satisfaction at scale.
Consumer Sentiment Index
3,184
How do we calculate
We gather and analyze consumer sentiment from a range of sources to create the Consumer Sentiment Index to determine customer satisfaction levels for each feature outlined below. This data is designed to give you an idea of real consumer experience of the services and product we review. This data is currently separate from our overall rating out of 5
Insights Analyzed
# Interest Rates and Fees
ForInterest Rates and Fees
57% of people had positive sentiments
14% of people had neutral sentiments
29% of people had negative sentiments
57%
14%
29%
ForInterest Rates and Fees
57% of people had positive sentiments
14% of people had neutral sentiments
29% of people had negative sentiments
# Customer Service
For Customer Service
26% of people had positive sentiments
11% of people had neutral sentiments
63% of people had negative sentiments
26%
11%
63%
For Customer Service
26% of people had positive sentiments
11% of people had neutral sentiments
63% of people had negative sentiments
# Loan Terms and Flexibility
For Loan Terms and Flexibility
56% of people had positive sentiments
23% of people had neutral sentiments
21% of people had negative sentiments
56%
23%
21%
For Loan Terms and Flexibility
56% of people had positive sentiments
23% of people had neutral sentiments
21% of people had negative sentiments
# Ease of Approval and Process
For Ease of Approval and Process
64% of people had positive sentiments
10% of people had neutral sentiments
26% of people had negative sentiments
64%
10%
26%
For Ease of Approval and Process
64% of people had positive sentiments
10% of people had neutral sentiments
26% of people had negative sentiments
While some borrowers appreciate SoFi’s simple application and disbursement process, others are dissatisfied with communication and customer service. Borrowers are also frustrated with misleading promotional offers and how their loan inquiries were handled.
Pros & Cons
Prequalification without a hard inquiry
Same-day approval possible
Can pay off third-party creditors directly
High credit score requirement
Co-signers not permitted
Details
Eligibility
Minimum credit score required. 650
Minimum annual income. $45,000
Co-borrowers. Permitted
Co-signers. Not permitted
Customer service
We evaluated SoFi’s customer service experience by calling its team directly. During our assessment, we found that its wait times were some of the longest—one minute and 41 seconds. Once we connected with customer service, its team was able to answer each of our questions effectively.
They disclosed loan amounts, available interest rates, required documents and loan approval times. They also shared information about prequalification and potential fees.
Best for Bad Credit
Upgrade
4.8
Our ratings take into account loan cost, loan details, eligibility and accessibility, customer experience and application process. All ratings are determined solely by our editorial team.
Upgrade is an online lender that offers personal loans along with savings and checking accounts.
Why We Like It
Upgrade offers borrowers small loan amounts with accessible borrower requirements, including a minimum credit score requirement of 300 and no income requirement.
What We Don’t Like
Although Upgrade advertises rates as low as 9.99%, some borrowers could be offered the maximum rate of 35.99%, which is high compared to other lenders.
Who It’s Best For
Upgrade personal loans are best for borrowers with bad credit histories or who may have inconsistent income.
Consumer Sentiment Index
5.4
5.4/10
Consumer Score
The Consumer Sentiment Index from Forbes Advisor uses a proprietary weighting system designed by our subject matter experts. It evaluates thousands of consumer insights and reviews from leading online forums to determine customer satisfaction at scale.
Consumer Sentiment Index
5,884
How do we calculate
We gather and analyze consumer sentiment from a range of sources to create the Consumer Sentiment Index to determine customer satisfaction levels for each feature outlined below. This data is designed to give you an idea of real consumer experience of the services and product we review. This data is currently separate from our overall rating out of 5
Insights Analyzed
# Interest Rates and Fees
For Interest Rates and Fees
54% of people had positive sentiments
10% of people had neutral sentiments
36% of people had negative sentiments
54%
10%
36%
For Interest Rates and Fees
54% of people had positive sentiments
10% of people had neutral sentiments
36% of people had negative sentiments
# Customer Service
For Customer Service
67% of people had positive sentiments
3% of people had neutral sentiments
30% of people had negative sentiments
67%
3%
30%
For Customer Service
67% of people had positive sentiments
3% of people had neutral sentiments
30% of people had negative sentiments
# Loan Terms and Flexibility
For Loan Terms and Flexibility
74% of people had positive sentiments
10% of people had neutral sentiments
16% of people had negative sentiments
74%
10%
16%
For Loan Terms and Flexibility
74% of people had positive sentiments
10% of people had neutral sentiments
16% of people had negative sentiments
# Ease of Approval and Process
For Ease of Approval and Process
94% of people had positive sentiments
2% of people had neutral sentiments
4% of people had negative sentiments
94%
2%
4%
For Ease of Approval and Process
94% of people had positive sentiments
2% of people had neutral sentiments
4% of people had negative sentiments
Upgrade customers report mixed experiences with its personal loan offerings. Some wins that jump out include the streamlined application process, easy approval and quick funding. But their experiences were not perfect. Some users are dissatisfied with the high APRs and loan fees that make working with Upstart costly.
Pros & Cons
Flexible eligibility requirements
Can pay off creditors directly
High loan amounts available
High APR range
Fees for late payments and insufficient funds
Charges origination fees from 0% and 12%
Details
Eligibility:
Minimum credit score. 300
Minimum income. None
Co-applicants. Permitted
Customer service
We called Upgrade to gauge the responsiveness of its customer service team and found it to be one of the most responsive lenders on our list. While we waited just over one minute for their team to answer our call—which is not the fastest time—they were transparent and knowledgeable about Upgrade’s loans.
We received information on loan amounts, required documentation, interest rate ranges, approval speed, fees and various perks, like hardship programs and autopay discounts. The representative also confirmed that they report payments to credit bureaus.
Best for Low Interest Rates
LightStream
4.7
Our ratings take into account loan cost, loan details, eligibility and accessibility, customer experience and application process. All ratings are determined solely by our editorial team.
LightStream is a personal loan lender that offers loans with low interest rates that you can use for a range of purposes.
Why We Like It
LightStream offers loans with interest rates as low as 6.94%, which is one of the lowest minimum interest rates among personal loan lenders. The lender also has a rate-beat program and a 0.50% rate discount for borrowers who enroll in autopay.
What We Don’t Like
Although many personal loan lenders allow borrowers to prequalify with a soft credit inquiry, LightStream doesn’t. To see if you qualify, you’ll need to submit an application and undergo a hard credit check, which temporarily impacts your credit score.
The Consumer Sentiment Index from Forbes Advisor uses a proprietary weighting system designed by our subject matter experts. It evaluates thousands of consumer insights and reviews from leading online forums to determine customer satisfaction at scale.
Consumer Sentiment Index
1,791
How do we calculate
We gather and analyze consumer sentiment from a range of sources to create the Consumer Sentiment Index to determine customer satisfaction levels for each feature outlined below. This data is designed to give you an idea of real consumer experience of the services and product we review. This data is currently separate from our overall rating out of 5
Insights Analyzed
# Interest Rates and Fees
For Interest Rates and Fees
64% of people had positive sentiments
14% of people had neutral sentiments
22% of people had negative sentiments
64%
14%
22%
For Interest Rates and Fees
64% of people had positive sentiments
14% of people had neutral sentiments
22% of people had negative sentiments
# Customer Service
For Customer Service
19% of people had positive sentiments
1% of people had neutral sentiments
80% of people had negative sentiments
19%
1%
80%
For Customer Service
19% of people had positive sentiments
1% of people had neutral sentiments
80% of people had negative sentiments
# Loan Terms and Flexibility
For Loan Terms and Flexibility
71% of people had positive sentiments
18% of people had neutral sentiments
11% of people had negative sentiments
71%
18%
11%
For Loan Terms and Flexibility
71% of people had positive sentiments
18% of people had neutral sentiments
11% of people had negative sentiments
# Ease of Approval and Process
For Ease of Approval and Process
77% of people had positive sentiments
8% of people had neutral sentiments
15% of people had negative sentiments
77%
8%
15%
For Ease of Approval and Process
77% of people had positive sentiments
8% of people had neutral sentiments
15% of people had negative sentiments
LightStream borrowers appreciate the user-friendly application process, fast funding and competitive interest rates. However, there are a handful of concerns about customer service and discrepancies between advertised and actual rates.
Pros & Cons
Long loan terms available
Low interest rates
Fast approval and funding
No prequalification option
High minimum loan amount
Low average customer rating on Trustpilot
Details
Eligibility:
Minimum credit score. 660
Minimum income. Does not disclose
Co-borrowers. Permitted
Customer service
We tried to call LightStream to test the quality of its customer service, but they don’t provide a customer service number. If you want to reach their customer service team, you must contact them via email. Its email support is available Monday through Friday, 9:30 am to 7 pm and Saturday, 12 to 4 pm ET.
Best for Debt Consolidation
LendingClub
4.1
Our ratings take into account loan cost, loan details, eligibility and accessibility, customer experience and application process. All ratings are determined solely by our editorial team.
LendingClub offers personal loans among other products, including checking and savings accounts and business loans. Its personal loans can be used for various purposes, including consolidating debt.
Why We Like It
LendingClub lets borrowers consolidate from $1,000 to $40,000 in debt and offers direct payoff to creditors. With APRs starting at 8.91% to 35.99%, borrowers consolidating high-interest debt who qualify for the lowest rates can save money on interest payments.
What We Don’t Like
LendingClub charges origination fees of 3% to 8%, which are typically taken out of the total loan amount.
Who It’s Best For
LendingClub’s personal loans are best for borrowers looking to consolidate high-interest debt who want to have creditors paid off directly.
Consumer Sentiment Index
6.0
6/10
Consumer Score
The Consumer Sentiment Index from Forbes Advisor uses a proprietary weighting system designed by our subject matter experts. It evaluates thousands of consumer insights and reviews from leading online forums to determine customer satisfaction at scale.
Consumer Sentiment Index
10,607
How do we calculate
We gather and analyze consumer sentiment from a range of sources to create the Consumer Sentiment Index to determine customer satisfaction levels for each feature outlined below. This data is designed to give you an idea of real consumer experience of the services and product we review. This data is currently separate from our overall rating out of 5
Insights Analyzed
# Interest Rates and Fees
For Interest Rates and Fees
64% of people had positive sentiments
13% of people had neutral sentiments
23% of people had negative sentiments
64%
13%
23%
For Interest Rates and Fees
64% of people had positive sentiments
13% of people had neutral sentiments
23% of people had negative sentiments
# Customer Servic
For Customer Service
68% of people had positive sentiments
2% of people had neutral sentiments
30% of people had negative sentiments
68%
2%
30%
For Customer Service
68% of people had positive sentiments
2% of people had neutral sentiments
30% of people had negative sentiments
# Loan Terms and Flexibility
For Loan Terms and Flexibility
84% of people had positive sentiments
7% of people had neutral sentiments
9% of people had negative sentiments
84%
7%
9%
For Loan Terms and Flexibility
84% of people had positive sentiments
7% of people had neutral sentiments
9% of people had negative sentiments
# Ease of Approval and Process
For Ease of Approval and Process
95% of people had positive sentiments
2% of people had neutral sentiments
3% of people had negative sentiments
95%
2%
3%
For Ease of Approval and Process
95% of people had positive sentiments
2% of people had neutral sentiments
3% of people had negative sentiments
Borrowers are typically satisfied with LendingClub and value the competitive interest rates and efficient application process. However, some cite concerns about high origination fees and communication issues.
Pros & Cons
Directly pay off creditors with debt consolidation loans
Offers loans as small as $1,000 to $40,000
No minimum credit or income requirements
Charges origination fees
Terms available for two to five years
Details
Eligibility:
Minimum credit score. None
Minimum annual income. None
Co-borrowers. Permitted
Customer service
We tested LendingClub’s customer service to assess how helpful it is for prospective borrowers and found the representative could provide only surface-level answers. For example, after waiting just over one minute to connect with a rep, they confirmed you can set up autopay but did not confirm if any autopay discounts are available. In another case, they mentioned LendingClub charges an origination fee but didn’t disclose anything further like the amount.
However, this does not mean they were not responsive or able to provide helpful information. We connected with a rep in just over one minute. Through our evaluation, we gathered key information, including loan amounts, required documentation such as W-2s and bank statements, loan assistance options and funding turnaround times.
Best for Credit Union Financing
PenFed
4.1
Our ratings take into account loan cost, loan details, eligibility and accessibility, customer experience and application process. All ratings are determined solely by our editorial team.
PenFed is a credit union originally founded for veterans and military members but has since opened its membership to anyone.
Why We Like It
For borrowers looking for a personal loan from a credit union, PenFed stands out for its national presence, low interest rates and flexible membership requirements.
What We Don’t Like
Although PenFed is available in all 50 states, it only operates branches in 14.
Who It’s Best For
PenFed personal loans are best for borrowers who are looking to borrow from a credit union at low interest rates.
Consumer Sentiment Index
3.8
3.8/10
Consumer Score
The Consumer Sentiment Index from Forbes Advisor uses a proprietary weighting system designed by our subject matter experts. It evaluates thousands of consumer insights and reviews from leading online forums to determine customer satisfaction at scale.
Consumer Sentiment Index
546
How do we calculate
We gather and analyze consumer sentiment from a range of sources to create the Consumer Sentiment Index to determine customer satisfaction levels for each feature outlined below. This data is designed to give you an idea of real consumer experience of the services and product we review. This data is currently separate from our overall rating out of 5
Insights Analyzed
# Interest Rates and APR
For Interest Rates and APR
61% of people had positive sentiments
8% of people had neutral sentiments
31% of people had negative sentiments
61%
8%
31%
For Interest Rates and APR
61% of people had positive sentiments
8% of people had neutral sentiments
31% of people had negative sentiments
# Customer Service
For Customer Service
22% of people had positive sentiments
8% of people had neutral sentiments
70% of people had negative sentiments
22%
8%
70%
For Customer Service
22% of people had positive sentiments
8% of people had neutral sentiments
70% of people had negative sentiments
# Loan Terms and Flexibility
For Loan Terms and Flexibility
45% of people had positive sentiments
34% of people had neutral sentiments
21% of people had negative sentiments
45%
34%
21%
For Loan Terms and Flexibility
45% of people had positive sentiments
34% of people had neutral sentiments
21% of people had negative sentiments
# Ease of Approval and Process
For Ease of Approval and Process
67% of people had positive sentiments
3% of people had neutral sentiments
30% of people had negative sentiments
67%
3%
30%
For Ease of Approval and Process
67% of people had positive sentiments
3% of people had neutral sentiments
30% of people had negative sentiments
PenFed personal loan borrowers gave the lender mixed reviews. Some appreciated the ease and speed of the application process, while others had issues with customer service, transparency and loan processing. Some borrowers also faced unexpected fees.
Pros & Cons
No origination or prepayment fees
Prequalification with a soft credit check
Allows for co-borrowers
Doesn’t operate branches in all states
Requires membership
Charges late payment fee of $29
Details
Eligibility
Minimum credit score. Does not disclose
Minimum income. Does not disclose
Co-borrowers. Permitted
Customer service
We called PenFed to evaluate its customer service team’s responsiveness and found it to be one of the most helpful and efficient experiences among lenders on our list. While we waited one minute and 15 seconds to connect with a rep, they provided complete transparency for each of our questions.
PenFed’s team disclosed essential loan details like loan amounts, available interest rates, required documentation and loan approval times. They also shared information about potential fees and payment assistance options if repayment becomes challenging. We are impressed with PenFed’s willingness to share this information with prospective borrowers, which can improve the overall loan experience.
Best for Credit Card Debt Consolidation
Happy Money
4.1
Our ratings take into account loan cost, loan details, eligibility and accessibility, customer experience and application process. All ratings are determined solely by our editorial team.
Happy Money is a lender designed to consolidate high-interest credit card debt into lower-interest personal loans with predictable repayment schedules.
Why We Like It
Happy Money offers credit card debt consolidation loans from $5,000 to $40,000 and sends payments directly to creditors. The lender also advertises a low maximum interest rate—lower than most credit card APRs—making it a good option to consolidate credit card debt.
What We Don’t Like
Happy Money charges an origination fee of up to 5.5% and may be unable to consolidate bills that aren’t credit card debt.
The Consumer Sentiment Index from Forbes Advisor uses a proprietary weighting system designed by our subject matter experts. It evaluates thousands of consumer insights and reviews from leading online forums to determine customer satisfaction at scale.
Consumer Sentiment Index
1,928
How do we calculate
We gather and analyze consumer sentiment from a range of sources to create the Consumer Sentiment Index to determine customer satisfaction levels for each feature outlined below. This data is designed to give you an idea of real consumer experience of the services and product we review. This data is currently separate from our overall rating out of 5
Insights Analyzed
# Interest Rates and Fees
For Interest Rates and Fees
79% of people had positive sentiments
6% of people had neutral sentiments
15% of people had negative sentiments
79%
6%
15%
For Interest Rates and Fees
79% of people had positive sentiments
6% of people had neutral sentiments
15% of people had negative sentiments
# Customer Service
For Customer Service
79% of people had positive sentiments
1% of people had neutral sentiments
20% of people had negative sentiments
79%
1%
20%
For Customer Service
79% of people had positive sentiments
1% of people had neutral sentiments
20% of people had negative sentiments
# 3 Loan Terms and Flexibility
For Loan Terms and Flexibility
53% of people had positive sentiments
9% of people had neutral sentiments
38% of people had negative sentiments
53%
9%
38%
For Loan Terms and Flexibility
53% of people had positive sentiments
9% of people had neutral sentiments
38% of people had negative sentiments
# Ease of Approval and Process
For Ease of Approval and Process
93% of people had positive sentiments
1% of people had neutral sentiments
6% of people had negative sentiments
93%
1%
6%
For Ease of Approval and Process
93% of people had positive sentiments
1% of people had neutral sentiments
6% of people had negative sentiments
Happy Money borrowers express mixed feelings about its personal loans. While many appreciate the streamlined application, quick approvals and competitive interest rates, others report poor communication, difficulties with payment adjustments and frustrations with the online platform.
Pros & Cons
Pays creditors directly
Offers low rates
No late fees, returned check fees or prepayment penalty fees
Has origination fees
Primarily consolidates credit card debt
Doesn’t allow co-signers or co-borrowers
Details
Eligibility
Minimum credit score. 640
Minimum income. None
Co-signers. Not permitted
Co-borrowers. Not permitted
Customer service
We tested Happy Money’s customer service quality to gauge a prospective borrower’s experience. Through our research, we found that Happy Money had the longest wait time, two minutes and 15 minutes, which may be frustrating for some customers.
Once we connected with a representative, they disclosed much of the information we hoped to receive. For example, they shared loan amounts, interest rates, required documentation and turnaround times for the entire loan process, including preapproval, approval and funding. Besides the wait time to speak with a representative, the call was helpful and effective.
Best for Traditional Banking
U.S. Bank
4.1
Our ratings take into account loan cost, loan details, eligibility and accessibility, customer experience and application process. All ratings are determined solely by our editorial team.
Minimum Credit Score
Does not disclose
APR range
8.74% to 24.99%
with autopay
Loan amounts
$1,000 to $50,000 for existing U.S. Bank customers and up to $25,000 for new customers
$1,000 to $50,000 for existing U.S. Bank customers and up to $25,000 for new customers
Depends on the area you live in
Editor’s Take
U.S. Bank is a traditional bank that operates branches in 26 states and is available to borrowers nationwide.
Why We Like It
For borrowers looking for a loan from a traditional bank, U.S. Bank’s personal loans stand out for having competitive interest rates and a range of loan amounts.
What We Don’t Like
U.S. Bank’s $50,000 maximum loan amount is available only to current customers.
Who It’s Best For
U.S. Bank personal loans are best for existing customers who live in one of the lender’s 26 states with branches.
Consumer Sentiment Index
2.6
2.6/10
Consumer Score
The Consumer Sentiment Index from Forbes Advisor uses a proprietary weighting system designed by our subject matter experts. It evaluates thousands of consumer insights and reviews from leading online forums to determine customer satisfaction at scale.
Consumer Sentiment Index
2,112
How do we calculate
We gather and analyze consumer sentiment from a range of sources to create the Consumer Sentiment Index to determine customer satisfaction levels for each feature outlined below. This data is designed to give you an idea of real consumer experience of the services and product we review. This data is currently separate from our overall rating out of 5
Insights Analyzed
# Interest Rates and Fees
For Interest Rates and Fees
20% of people had positive sentiments
4% of people had neutral sentiments
76% of people had negative sentiments
20%
4%
76%
For Interest Rates and Fees
20% of people had positive sentiments
4% of people had neutral sentiments
76% of people had negative sentiments
# Customer Service
For Customer Service
5% of people had positive sentiments
2% of people had neutral sentiments
93% of people had negative sentiments
5%
2%
93%
For Customer Service
5% of people had positive sentiments
2% of people had neutral sentiments
93% of people had negative sentiments
# Loan Terms and Flexibility
For Loan Terms and Flexibility
36% of people had positive sentiments
21% of people had neutral sentiments
43% of people had negative sentiments
36%
21%
43%
For Loan Terms and Flexibility
36% of people had positive sentiments
21% of people had neutral sentiments
43% of people had negative sentiments
# Ease of Approval and Process
For Ease of Approval and Process
31% of people had positive sentiments
3% of people had neutral sentiments
66% of people had negative sentiments
31%
3%
66%
For Ease of Approval and Process
31% of people had positive sentiments
3% of people had neutral sentiments
66% of people had negative sentiments
The majority of feedback for U.S. Bank was negative, with many borrowers expressing dissatisfaction with the customer service and issues with the loan process. Borrowers reported unexpected fees, delays and problems with loan payoff and documentation.
Pros & Cons
Operates physical branches
0.50% autopay discount
Quick funding
Need a credit score of at least 800 to qualify for the lowest advertised rates
Smaller loan amounts available to non-U.S. Bank checking customers
Branch locations in only 26 states
Details
Eligibility
Minimum credit score. Does not disclose
Minimum income. Does not disclose
Co-signers. Permitted
Co-borrowers. Permitted
Customer service
We called U.S. Bank’s customer service team to test its quality. Compared to other lenders on our list, we waited the second longest for our call to be answered—two minutes and one second. Although the representative was friendly and transparent, they provided most of the information through a sales pitch, which may be unsettling to some prospective borrowers.
U.S. Bank was one of few lenders that provided a specific interest rate based on loan details we provided. While the rep didn’t ask for a credit score to provide the interest rate, its website discloses you need a score of at least 800 to qualify for the lowest rates.
Best for No Credit
Upstart
4.0
Our ratings take into account loan cost, loan details, eligibility and accessibility, customer experience and application process. All ratings are determined solely by our editorial team.
Upstart is an AI-based lending platform that evaluates loan applications using non-conventional variables, such as college education.
Why We Like It
Upstart makes personal loans available to many borrowers, including those without established credit histories. Borrowers with a credit score must have a score of at least 300, but borrowers without a credit score may also be approved if they meet other criteria.
What We Don’t Like
Upstart’s maximum advertised interest rate is higher than other lenders, and it charges an origination fee of up to 12%.
The Consumer Sentiment Index from Forbes Advisor uses a proprietary weighting system designed by our subject matter experts. It evaluates thousands of consumer insights and reviews from leading online forums to determine customer satisfaction at scale.
Consumer Sentiment Index
2,077
How do we calculate
We gather and analyze consumer sentiment from a range of sources to create the Consumer Sentiment Index to determine customer satisfaction levels for each feature outlined below. This data is designed to give you an idea of real consumer experience of the services and product we review. This data is currently separate from our overall rating out of 5
Insights Analyzed
# Interest Rates and Fees
For Interest Rates and Fees
28% of people had positive sentiments
14% of people had neutral sentiments
58% of people had negative sentiments
28%
14%
58%
For Interest Rates and Fees
28% of people had positive sentiments
14% of people had neutral sentiments
58% of people had negative sentiments
# Customer Service
For Customer Service
10% of people had positive sentiments
3% of people had neutral sentiments
87% of people had negative sentiments
10%
3%
87%
For Customer Service
10% of people had positive sentiments
3% of people had neutral sentiments
87% of people had negative sentiments
# Loan Terms and Flexibility
For Loan Terms and Flexibility
56% of people had positive sentiments
16% of people had neutral sentiments
28% of people had negative sentiments
56%
16%
28%
For Loan Terms and Flexibility
56% of people had positive sentiments
16% of people had neutral sentiments
28% of people had negative sentiments
# Ease of Approval and Process
For Ease of Approval and Process
66% of people had positive sentiments
8% of people had neutral sentiments
26% of people had negative sentiments
66%
8%
26%
For Ease of Approval and Process
66% of people had positive sentiments
8% of people had neutral sentiments
26% of people had negative sentiments
Upstart borrowers express frustration with high interest rates and origination fees that increase the cost of borrowing. While borrowers found Upstart’s borrowing process simple and quick, others reported issues with customer service, communication and lending practices.
Pros & Cons
Accessible to borrowers with no credit history
Prequalification with a soft credit check
Ability to choose a custom payment date
Charges an origination fee up to 12% of the loan amount
No co-signer option
Only offers three- or five-years terms
Details
Eligibility:
Minimum credit score. 300
Minimum income. No minimum but must have a source of income
Co-signers. Not permitted
Co-borrowers. Not permitted
Customer service
We tested Upstart’s customer service quality to evaluate its helpfulness. Through our research, we found Upstart’s team was one of the fastest to answer, as we waited only 39 seconds. However, once connected, the representative was vague. While they disclosed general loan details like loan amounts, fees and interest rate ranges, they were unclear about documentation requirements and approval times.
Best for Below Average Credit
LendingPoint
3.9
Our ratings take into account loan cost, loan details, eligibility and accessibility, customer experience and application process. All ratings are determined solely by our editorial team.
LendingPoint is an online lender that offers small personal loans to borrowers with damaged credit histories.
Why We Like It
With a minimum credit score requirement of 600 , LendingPoint makes loans available to borrowers with fair credit at potentially low interest rates.
What We Don’t Like
LendingPoint charges an origination fee of up to 10% and interest rates from 7.99% to 35.99% .
Who It’s Best For
LendingPoint’s personal loans are best for borrowers who have fair credit and can’t qualify for loans elsewhere, or borrowers who can qualify for the lowest advertised interest rates.
Consumer Sentiment Index
6.0
6/10
Consumer Score
The Consumer Sentiment Index from Forbes Advisor uses a proprietary weighting system designed by our subject matter experts. It evaluates thousands of consumer insights and reviews from leading online forums to determine customer satisfaction at scale.
Consumer Sentiment Index
10,607
How do we calculate
We gather and analyze consumer sentiment from a range of sources to create the Consumer Sentiment Index to determine customer satisfaction levels for each feature outlined below. This data is designed to give you an idea of real consumer experience of the services and product we review. This data is currently separate from our overall rating out of 5
Insights Analyzed
# Interest Rates and Fees
For Interest Rates and Fees
64% of people had positive sentiments
13% of people had neutral sentiments
23% of people had negative sentiments
64%
13%
23%
For Interest Rates and Fees
64% of people had positive sentiments
13% of people had neutral sentiments
23% of people had negative sentiments
# Customer Service
For Customer Service
68% of people had positive sentiments
2% of people had neutral sentiments
30% of people had negative sentiments
68%
2%
30%
For Customer Service
68% of people had positive sentiments
2% of people had neutral sentiments
30% of people had negative sentiments
# Loan Terms and Flexibility
For Loan Terms and Flexibility
84% of people had positive sentiments
7% of people had neutral sentiments
9% of people had negative sentiments
84%
7%
9%
For Loan Terms and Flexibility
84% of people had positive sentiments
7% of people had neutral sentiments
9% of people had negative sentiments
# Ease of Approval and Process
For Ease of Approval and Process
95% of people had positive sentiments
2% of people had neutral sentiments
3% of people had negative sentiments
95%
2%
3%
For Ease of Approval and Process
95% of people had positive sentiments
2% of people had neutral sentiments
3% of people had negative sentiments
Borrowers appreciate the easy application process and robust customer service but criticize the high interest rates and misleading prequalification process. Some borrowers are concerned about LendingPoint’s perceived predatory practices and poor handling of loans post-approval.
Pros & Cons
Quick funding
Low credit score requirements
No prepayment penalty
Origination fee up to 10%
Co-signers or joint loans not permitted
Not available in Nevada and West Virginia
Details
Eligibility:
Minimum credit score. 600
Minimum annual income. $35,000
Co-signers. Not permitted
Customer service
After testing and evaluating LendingPoint’s customer service, we found it to be one of the most helpful and transparent lenders on our list after waiting only 46 seconds to be connected to a representative. The customer service representative we spoke with shared an in-depth perspective of their loan offers, including information about loan amounts, eligibility requirements, how interest rates are determined and prequalification.
LendingPoint’s team also disclosed late fees but didn’t confirm origination fees. While customer service didn’t share this information wasn’t, the lender discloses a fee of up to 10% on its website. LendingPoint was also one of few lenders that shared how they report payments to credit bureaus, which it typically does at the start of the month.
The above personal loan rates are accurate as of December 5, 2024. Some APRs and loan amounts are available for certain loan purposes.
How To Compare Best Personal Loans
Consider these tips when comparing personal loans:
When Possible, Prequalify
Many personal loan providers offer prospective borrowers the ability to prequalify for a loan. This means the applicant can submit details about their financing needs, income, housing situation and other relevant information to find out what kind of loan amounts, rates and repayment terms they are likely to qualify for. Even better, this process typically only requires a soft credit inquiry so you can shop around without hurting your credit score.
Consider the Purpose of Your Loan
Personal loans generally offer broad flexibility and can be used for a wide range of purposes. While they are commonly used for consolidating debt, financing home improvements, covering vacations, weddings, funerals, large purchases, and other personal expenses, they can typically be applied to almost any legal financial need. However, some lenders may have restrictions on specific uses, such as business expenses or education costs. When considering a lender, confirm that your intended use of the loan is permissible under its borrower agreement.
Keep an Eye Out for Additional Fees
Some lenders offer fee-free personal loans that don’t require borrowers to pay origination fees, late payment fees, prepayment penalties or any other common loan costs. However, this is generally an exception rather than a rule, so it’s important to ask about fees when shopping for the best loan terms. Also, if a lender charges an origination fee, find out whether it’s built into the APR or taken out of the loan amount prior to funding, as this may impact the loan amount you need to request.
Evaluate the Lender’s Customer Support Options
If you’ve found a lender that’s prepared to offer the money you need at acceptable terms, there’s one more thing to consider before signing the loan agreement. While customer support may not seem like a big deal in the honeymoon phase of your loan, it can make a huge difference if you encounter issues with payments or face a financial hardship during your repayment period. Review the lender’s customer service resources and read reviews from past and current borrowers to make sure it’s a good fit.
Ask an expert
What should prospective borrowers consider when choosing a personal loan?
Joel Larsgaard
Advisory Board Member
Tom Thunstrom
Advisory Board Member
Taylor Medine
Mortgages & Loans Writer
The first thing to consider is whether or not you need one in the first place.
Personal loans are often used to fuel consumption or consolidate debt, but that comes at a cost. Instead of taking out a personal loan to go on vacation, consider saving up longer to pay for it in cash! And while a personal loan might make sense on the debt consolidation front, it could also prolong or exacerbate the problem, keeping you in debt for a longer period of time.
A focused plan of attack to pay off your debt is often better than moving that debt around, opting for different debt vehicles. But if you’re able to use a personal loan as a tool to help you eradicate high-interest debt quickly, it can make financial sense.
Just make sure you shop around and do business with a reputable lender. Read the fine print so you know what fees and penalties to expect, too.
If you are thinking about a personal loan, consider these factors:
Is there another way to borrow funds? For instance, if you own a home, can you utilize a home equity loan or line of credit? If you have a 401k plan, will your provider allow you to borrow against the plan for a short-term need? Both of these likely will provide a lower interest rate than an unsecured personal loan.
How is your credit? If you have fair to poor credit, utilize a nonprofit credit counseling service to help you address past credit issues and develop a plan to improve your credit score. Ask your local bank or credit union if you’re unsure who to contact. You can also utilize these steps to improve your credit before you apply for any loan.
Can you incorporate the payment into your monthly budget? Regardless of the personal loan option you choose, you will have an expense to repay over time. Can you make that payment?
My rule for loan shopping is similar to shopping for a car, couch, mattress or any other big-ticket item: Never take the first offer without haggling or looking elsewhere.
Doing a bit of lender sleuthing online and negotiating offers is the best way to uncover deals, discounts and rate-beat programs that could save you money.
Before agreeing to a loan, it’s also crucial to make sure you can handle loan payments—with money to spare. Sure, personal loans can be a shortcut to zero out your credit card balance and pay for a big expense (hello, dental work, bathroom renos, cross-country moves and more).
But agreeing to payments of, say, $500 or $1,000, over a one- to five-year period is a huge commitment, and falling behind can put you in a very sticky situation. Only borrow what you need and pay attention to how interest affects monthly and long-term payments before signing.
Personal loan interest rates fluctuate frequently, and the rate you’re offered isn’t guaranteed until you sign your loan agreement. However, you can use the average rates below to understand current lender rates.
Average Personal Loan Interest Rates By Credit Score
Here are the average interest rates for personal loans based on VantageScore risk tiers, according to Credible. Please note that interest rates are determined and set by lenders.
Consumers with higher credit scores generally will qualify for lower interest rates. To increase your scores, make your payments on time and keep your balances low. If possible, check your credit report and scores three to six months before applying. This will give you time to improve your credit if necessary. – Rod Griffin, senior director of consumer education and advocacy at Experian
You can use personal loans for just about any type of personal expense. Most commonly, though, personal loans are good for:
Emergency expenses. If you need money right away for unexpected expenses like medical bills, funeral costs, car repairs or something else that needs immediate attention, you can use an emergency personal loan.
Debt consolidation. Personal loans are a great way to consolidate high-interest debt to help save money on interest and streamline your payments.
Home improvements and repairs. If you have an upcoming home project, you can take out a home improvement personal loan to help finance the costs. You can also use personal loans for unexpected home repairs or maintenance expenses.
Auto financing. While auto loans are the most common way to finance a vehicle, personal loans also can help you get the job done. Personal loans have fewer restrictions on the types of cars you can purchase, but they typically charge higher interest rates than traditional auto loans.
Moving costs. The cost of moving can add up quickly. If you don’t have cash on hand, a loan for moving can help you finance the costs.
Pro Tip
It’s always a good idea to prequalify for several loans before choosing one. Many lenders let you prequalify without a hard credit inquiry so you can check and compare rates. However, if you accept a loan offer, the full application process typically includes a hard credit check that may impact your score. Hard inquiries typically stay on your credit report for up to two years.
Pros and Cons of Personal Loans
While personal loans may help you cover your expenses, there are downsides and you may also face hidden fees. Before taking out a personal loan, be sure to consider these advantages and disadvantages to understand the debt you’re taking on.
PROS
CONS
Interest rates and monthly payments remain fixed throughout the life of the loan
You have to repay the full amount of your loan, even if you end up not needing it all
Fewer qualification requirements than other financing methods, such as lower minimum credit score requirements
Borrowers pay interest on the full loan amount
You can use personal loans for a variety of reasons
Possible origination fees between 1% and 8% of the loan amount
Best Place To Get a Personal Loan
You can get personal loans from three types of institutions:
Online lenders. These are often technology-based non-bank companies that offer a small range of lending products, including personal loans. Online lenders typically offer low interest rates, loans that are available nationally and can provide funds within 24 to 48 hours.
Banks. Many local and national banks offer personal loans in addition to other financial products, such as checking and savings accounts. If you have an existing relationship with a bank, you may want to consider opening your personal loan through that bank.
Credit unions. These are local to your community and tend to offer applications both online and in person. Credit unions require membership, so be sure to check if you’re eligible.
The best place to get a personal loan is where you can access the most favorable terms and loan limits that fit your needs.
Check your credit score. Start by checking your credit score for free through your credit card issuer or another website that offers free scores. This will give you an understanding of your creditworthiness and your qualification chances. Aim for a score of at least 610; however, a score of at least 720 will yield the most favorable terms.
If necessary, take steps to improve your credit score. If your score falls below 610 or you want to boost your score to receive the best terms possible, take time to improve your credit score before applying, such as lowering your credit usage or paying off unpaid debts.
Determine how much you need to borrow. Once you check your credit score, calculate how much money you want to borrow. Remember, though, you’ll receive your money as a lump sum, and you’ll have to pay interest on the entire amount—so only borrow what you need.
Shop around for the best terms and interest rates. Many lenders will let you prequalify prior to submitting your application, which lets you see the terms you would receive with just a soft credit inquiry. Prequalifying lets you shop around for the best rates without hurting your credit score.
Submit a formal application and await a lending decision. After you find a lender that offers you the best terms for your situation, submit your application online or in person. Depending on the lender, this process can take a few hours to a few days.
Using personal loans can be a convenient way to consolidate and pay off high-interest credit card debt. Interest rates on personal loans are usually fixed, which means the interest rate and payment stay the same for the entire loan term. You can also take comfort in knowing your debt will be paid off by a predetermined date as long as you make each payment as scheduled.
Recap: Best Personal Loan Companies of December 2024
We reviewed 31 popular lenders based on 16 data points in the categories of loan details, loan costs, eligibility and accessibility, customer experience and the application process. We chose the best lenders based on the weighting assigned to each category:
Loan costs. 35%
Loan details. 20%
Eligibility and accessibility. 20%
Customer experience. 15%
Application process. 10%
Within each major category, we also considered several characteristics, including available loan amounts, repayment terms, APR ranges and applicable fees. We also looked at minimum credit score requirements, whether each lender accepts co-signers or joint applications and the geographic availability of the lender. Finally, we evaluated each provider’s customer support tools, borrower perks and features that simplify the borrowing process—like prequalification options and mobile apps.
Where appropriate, we awarded partial points depending on how well a lender met each criterion.
A personal loan is a type of lump-sum financing borrowers can get from a traditional bank, credit union or online lender, which they can use for a variety of expenses. Common uses include medical bills, auto repairs, home improvement projects and debt consolidation. Personal loans typically have repayment terms between two and seven years and offer interest rates as low as 3% for high-qualified borrowers.
A good interest rate on a personal loan is one that’s lower than the national average for borrowers with excellent credit. However, the interest rate you receive depends on several factors, and lenders frequently charge other fees that can make a loan more expensive. To minimize costs, maintain a good to excellent credit score (at least 670).
How are APRs determined for personal loans?
An annual percentage rate—or APR—is the total annual cost of a loan, over the life of the loan. Stated another way, it’s the total cost of credit based on the interest rate, fees and length of the repayment term. Some lenders include origination fees in the advertised APRs, while others take them out of the loan amount at funding. The APR of a personal loan, therefore, will vary depending on your creditworthiness, the size of the loan, how long you have to repay the loan and the lender.
What fees should I look out for when choosing a personal loan?
Common fees associated with personal loans include origination fees, late payment fees and returned check fees. Some lenders also charge a prepayment penalty to borrowers who opt to pay off their loans early. Keep in mind, however, that many lenders offer a no-fee structure that can reduce costs over the life of your loan—so it’s important to always shop around for the most favorable loan terms.
What loan term length should you choose?
Much like your loan amount, personal loan term lengths play a key role in determining both your monthly payment and interest charges. Loans with shorter terms come with larger monthly payments but less interest overall. Longer term loans, however, offer smaller monthly payments at the cost of more interest paid over the life of your loan.
For example, if you borrow $3,000 over one year with 11% interest, you’d owe $265 per month and $182 in interest overall—a total of $3,182. Now let’s say you extend that same loan over three years. You’d owe $98 per month but $536 in total interest—or $3,536 for the full loan amount and interest. This makes it clear that you can save money by opting for shorter loan terms, but that’s only possible if you’re able to afford the higher monthly payment.
How many personal loans can you have at once?
You may have more than one personal loan with one specific lender or multiple loans with different lenders. However, some lenders may set a limit to how many loans you can have open through them, such as two loans. Plus, opening multiple loans can make you appear as a riskier borrower and lower your qualification chances.
How long does it take to get a personal loan?
Typically, it doesn’t take long to get a personal loan. Some lenders offer online applications with automated approvals and same-day funding. Most lenders, however, take a few business days to a week to process your application and disburse your funds.
If the lender needs to verify any information with you, it can take longer. Once you apply for a loan, look for any communication from your lender so you can respond promptly.
What is the easiest personal loan to get?
The easiest personal loan to get is one with low, or no, credit score and income requirements. Although these loans can be enticing, they often come with high interest rates and fees, which make them expensive to borrow and difficult to repay. Before accepting one of these loans, be sure to understand any fees that come with the loan and the repayment terms.
What's the largest personal loan you can get?
The loan amount you can get depends on your creditworthiness and what a specific lender offers. Larger loan amounts are usually reserved for highly qualified applicants because those transactions are riskier for lenders. Because you’ll owe interest on the entire loan amount, it’s crucial to only borrow the amount you need and nothing more.
Information provided on Forbes Advisor is for educational purposes only. Your financial situation is unique and the products and services we review may not be right for your circumstances. We do not offer financial advice, advisory or brokerage services, nor do we recommend or advise individuals or to buy or sell particular stocks or securities. Performance information may have changed since the time of publication. Past performance is not indicative of future results.
Forbes Advisor adheres to strict editorial integrity standards. To the best of our knowledge, all content is accurate as of the date posted, though offers contained herein may no longer be available. The opinions expressed are the author’s alone and have not been provided, approved, or otherwise endorsed by our partners.
Colin Beresford is a writer and editor experienced in helping people make the best decisions with their money, whether it's buying a car or taking on a loan. He has written for Bloomberg, The Associated Press, NerdWallet, Car and Driver magazine, among many others covering various financial topics.
Jordan Tarver has spent seven years covering mortgage, personal loan and business loan content for leading financial publications such as Forbes Advisor. He blends knowledge from his bachelor's degree in business finance, his experience as a top performer in the mortgage industry and his entrepreneurial success to simplify complex financial topics. Jordan aims to make mortgages and loans understandable.
Financial and loans expert Joel Larsgaard loves nerding out on the topic of personal finance with the mission of helping others improve their financial standing.
He has been in the money media space for almost 20 years. He produced "The Clark Howard Show" for 14 of those years and has been hosting the "How To Money" podcast for six years. He currently hosts “How To Money”—which has covered debt, loan options and related subjects—three times a week, and a personal finance radio show on KFI radio in Los Angeles on Sunday afternoons. Basically, he's been marinating in all things personal finance for a long time.
His goal is to help his cadre of listeners live a balanced life, saving and investing for their future while simultaneously enjoying the here and now. Joel's other passions include sipping delicious craft beer, riding bikes, and exploring Atlanta with his wife and three kids.
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