Best Personal Loans July 2021

SoFi is an online lending platform that offers unsecured fixed-rate personal loans in every state except Mississippi. Founded in 2011, SoFi has extended over $50 billion in loans and stands out for allowing high loan amounts and its availability of extended loan terms.

Loans are available between $5,000 and $100,000, making SoFi a great option for those with excellent credit who need to borrow a large amount of money. Loan amounts available may vary by the state you live in. Repayment terms range from two to seven years, making SoFi an incredibly flexible option for those with sufficient credit (minimum 680) and annual income (at least $45,000). SoFi also lets prospective borrowers submit joint applications—although co-signers are not permitted.

Approved borrowers are rewarded with comparatively low APRs. What’s more, SoFi doesn’t charge origination fees, late fees or prepayment penalties—a stand-out feature because personal loan lenders often charge origination or late payment fees at a minimum.

However, if you’re considering a debt consolidating loan from SoFi, keep in mind that the lender does not offer direct payment to a borrower’s other creditors. This means the loan proceeds will be deposited to your bank account and you’ll have to pay off your other lenders individually. The platform does offer customers a number of other perks and discounts, including unemployment protection and the ability to change their payment due date once a year.

Eligibility:  Personal loan applicants should have a minimum credit scoreof 680. However, many successful applicants have a score of 700 or higher. Applicants also must have an annual income of at least $45,000, though the average income of a SoFi borrower is over $100,000.

Loan uses:  In general, SoFi personal loans are limited to use for personal, family and household purposes. This means a borrower can use loan funds to cover things like medical costs, credit card consolidation, home improvements and relocation costs. However, SoFi loans cannot be used to fund a new business venture, the purchase of real estate, investments and securities, post-secondary education or short-term bridge financing.

Turnaround time: Borrowers typically receive funds within a few days—or as soon as the next business day after approval and acceptance of terms. However, funding times may be longer than a few days—especially for loans over $20,000.

LightStream is a consumer lending division of Truist—which formed following the merger of SunTrust Bank and BB&T. The platform offers unsecured personal loans from as little as $5,000 up to $100,000. Loan amounts vary based on the loan purpose. Although a number of lenders offer smaller loans than the LightStream minimum, few lenders offer a higher maximum loan. Repayment terms are available from two to seven years, making it an excellent option for those who want to spread out the payment of large expenses over time.

In addition to offering appealing and flexible terms, LightStream charges no origination, late payment or prepayment fees. The lender also offers a 0.50% rate discount for borrowers who enroll in autopay—higher than most lenders with the same perk—as well as a 30-day loan experience guarantee to ensure borrower satisfaction, Covid-19/hardship assistance and a rate-beat program. LightStream will beat a competitor’s interest rate by 0.1% for applicants who meet certain criteria.

LightStream offers loans in all 50 states plus Washington, D.C. and Puerto Rico, and applicants can contact the lender’s customer support team seven days a week; current borrowers have access to customer support from Monday through Saturday. And, while LightStream doesn’t offer a mobile app for loan management, customers can access their account through LightStream.com.

Eligibility: LightStream recommends applicants have good to excellent credit before applying for a personal loan. To increase their chances of approval, applicants also should have several years of credit history, including multiple account types, as well as an income that is stable enough to service current debts and a new LightStream loan.

LightStream doesn’t give prospective borrowers the ability to prequalify for a loan. This fact—combined with the minimum credit score requirement—makes the platform a better fit for those with a strong credit profile. Applicants with excellent credit also are more likely to get favorable terms. LightStream does not allow co-signers, but prospective borrowers can submit a joint application.

Loan uses:  LightStream’s personal loans can be used for a wide range of purposes, from purchasing a new car, RV or jewelry to paying for home improvements. However, LightStream really stands out, because loans can be used to finance land, timeshares and so-called tiny homes. As with other top lenders, LightStream prohibits use of its personal loans for post-secondary education costs, business purposes and illegal activities. Borrowers also are prohibited from using LightStream loan funds to refinance an existing LightStream loan.

Turnaround time:  LightStream borrowers can receive funds as soon as the same day if the loan is approved before 2:30 p.m. Eastern time on a banking business day. To receive same-day funding, the applicant also must review and electronically sign the loan agreement; provide LightStream with funding preferences and relevant banking information; and complete the final verification process—all before 2:30 p.m. on the day the loan is approved.

Marcus by Goldman Sachs is a subsidiary of the investment bank Goldman Sachs and offers personal loans between $3,500 and $40,000. While Marcus may not be the ideal choice for those who need access to a large loan amount, the platform still offers rather flexible loans that are available for three- to six-year terms.

Borrowers can access APRs between 6.99% and 19.99% with a 0.25% discount for autopay enrollees. And, like some other top lenders, Marcus doesn’t charge any fees, including for sign-up, late payment and prepayment. Plus, borrowers can benefit from the platform’s on-time payment reward and flexible payment dates.

As with many other top lenders, Marcus lets applicants prequalify with a soft credit pull, so it’s easy to see your loan options without hurting your credit. While Marcus customers don’t have access to a mobile app for managing their loans, the lender makes up for the lost convenience with robust customer support options. Borrowers can contact customer support seven days a week from 9 a.m. to 7 p.m. Eastern time and have access to extensive online resources.

Eligibility:  Marcus does not disclose the minimum required credit score, but applicants should have a minimum score of 660. Those with higher scores are eligible for lower rates and more favorable terms. And, while Marcus doesn’t disclose an income requirement, the platform does require applicants to have an income sufficient to cover loan repayment. In contrast to some personal loan providers, Marcus does not permit co-signers or co-applicants.

Loan uses:  Marcus’ personal loans can be used for debt consolidation, home improvement, moving and relocation, special events, travel and vacations and more. Borrowers cannot use Marcus personal loans to refinance existing student loans, but the platform supports other forms of debt consolidation with a consolidation calculator and direct payment to third-party lenders.

Turnaround time:  An applicant’s loan may be approved in under 24 hours—quicker than some lenders, but not the fastest approval process we encountered. Once a loan is approved, funds take between one and four days after bank account verification to land in the borrower’s account. However, funding time varies depending on the financial institution and when the loan was processed.

Upgrade was launched in 2017 and provides accessible online and mobile credit and banking services in every state except Iowa, Vermont and West Virginia. Since that time, the platform has made more than $3 billion in credit available to over 10 million applicants and continues to expand its online and mobile services. Although maximum APRs are on the high end compared to other online lenders, Upgrade makes loans available to those with poor credit history.

Loans amounts, which start at just $1,000, are flexible but cap out at $35,000—lower than lenders that focus on lower-risk borrowers. Three- and five-year loan terms are available. Upgrade charges an origination fee between 2.9% and 8% of the loan, and borrowers will encounter a $10 fee if their payment is more than 15 days late or if the payment does not go through; there are no discounts for autopay. That said, Upgrade borrowers are not subject to a prepayment penalty, so you can reduce the overall cost of the loan if you’re able to pay it off early.

Beyond offering accessible personal loans, Upgrade streamlines the lending process with a mobile app that lets borrowers view their balance, make payments and update personal information. Upgrade’s Credit Heath tool also makes it easy to track your credit score over the life of your loan.

Eligibility:  Prospective borrowers should have a minimum score of 580 to qualify for an Upgrade personal loan (the average borrower score is 697), making it an accessible option for those with fair credit. Furthermore, the lender does not require applicants to meet a minimum income requirement, although borrowers make $95,000 per year on average. Applicants should have a maximum pre-loan debt-to-income ratio of 45%, excluding their mortgage.

The lender also considers each applicant’s free cash flow, which demonstrates their likely ability to make consistent on-time loan payments. Ideally, applicants should have a minimum monthly cash flow of $800.

Upgrade increases loan accessibility by also allowing co-applicants.

Loan uses:  As with most other personal loans, loans from Upgrade must be used to pay off credit cards, consolidate other debt, make home improvements or pay for other large purchases. However, Upgrade stands out from some lenders by allowing borrowers to use personal loan funds to cover business expenses. What’s more, Upgrade will directly pay off third-party lenders, making debt consolidation more convenient than with some competing lenders.

There are no specific prohibitions on the use of Upgrade loans other than those already imposed by law.

Turnaround time:  Once an Upgrade loan is approved, it generally takes up to four business days for a borrower to receive the funds. However, if Upgrade is directly paying off a borrower’s loans to a third-party lender, it can take up to two weeks for the funds to clear.

Founded in 2012 and based in Chicago, Avant is a consumer lending platform that offers secured and unsecured personal loans through a third-party bank (WebBank). Unsecured loans are available in Wasington, D.C. and every state but Hawaii, Louisiana, Nevada and South Carolina. The platform specializes in middle-income borrowers with fair to good credit and only requires a minimum score of 580 to qualify.

Maximum loan amounts are low compared to other lenders, but the low minimum amount and flexible repayment terms (two to five years) make it an accessible option for borrowers. However, as with many loans for subprime borrowers, Avant personal loans come with a price. In addition to charging an administrative fee of up to 4.75% of the loan amount, Avant’s APR range (9.95% to 35.99%) is on the high end for applicants with a good to excellent credit score—and there is no autopay discount. Still, the platform earns top marks for borrowers with less than stellar credit who need quick access to funds.

It’s also worth noting that Avant agreed to a $3.85 million settlement with the Federal Trade Commission (FTC) in April 2019. According to FTC documents, the lawsuit was filed in response to allegations that, among other things, Avant charged consumers late fees and interest they didn’t owe and collected payments from customers without permission or in amounts larger than authorized. We reached out to Avant to find out what they’ve done to adjust practices since the settlement but did not receive a response. Even so, Avant has a high 4.7 star rating on Trustpilot.

Eligibility:  Avant aims to provide credit services to a range of customers, including those with fair credit. For that reason, Avant has a minimum credit score requirement of 580, with the average borrower score between 600 and 700. Likewise, Avant focuses on low- to middle-income borrowers and has a minimum income requirement of just $20,000, though most borrowers have an average household income of $40,000 to $100,000.

To expand eligibility, Avant also will consider more than just your employment income, including alimony and child support, and may include the income of other people within your household. That said, Avant does not allow co-signers or co-applicants.

Loan uses:  As with many other personal loan providers, Avant loans can be used to consolidate debt and pay for things like medical expenses, auto repairs, home improvements moving or vacations and travel. Avant borrowers cannot use personal loan funds to cover business expenses, but the platform does allow current borrowers to refinance their existing Avant loans with another loan—possibly with a lower APR.

Turnaround time:  Avant applicants who are approved for an unsecured loan before 4:30 p.m. Central time Monday through Friday may receive their funds the next business day. However, as with other lenders, the funding timeline varies depending on the borrower’s bank. It can also take longer for borrowers who take out secured loans.

Discover is an online bank that also offers customers credit cards, retirement solutions and personal loans in all 50 states. As a lending platform, Discover stands out because of its online application and mobile banking tools, well-reviewed customer support team and quick funding.

In general, loans are available from $2,500 to $35,000 and may be issued for between three and seven years. So, while borrowers may get a larger loan from another lender, the repayment terms are fairly flexible. Discover charges a late payment fee and does not offer an autopay discount; however, it does not charge any origination fees or prepayment penalties, making it competitive with other top personal loan providers.

It’s worth noting that Discover has a low 1.9-star rating on Trustpilot. However, the majority of these reviews are from credit card and banking customers—specifically, there are reports that Discover is closing credit accounts in the wake of Covid-19. Some negative loan reviews also mention high interest rates that make it difficult to pay off loan balances. Overall, however, an online customer survey conducted by Discover revealed that 81% of customers reported saving money by consolidating debt with a Discover personal loan; 77% of debt consolidation customers reported feeling less stressed after taking out a Discover personal loan.

Eligibility:  Prospective borrowers must have a minimum score of 660 to qualify for a Discover personal loan, but the average Discover borrower has a score of 750. Discover does not require applicants to have a minimum credit history length. Applicants also must demonstrate a minimum household income of $25,000 per year, though an average income is not disclosed. Discover also evaluates each applicant’s credit history, recent credit activities and other credit inquiries. Co-signers and co-applicants are not permitted.

Loan uses: Discover personal loans can be used for financial emergencies, medical bills, adoption and fertility costs, auto repairs and pet emergencies. Unlike some other personal loan providers, Discover loans can also be used to cover small-business expenses. Customers cannot use a Discover loan to pay for post-secondary education, to pay off a secured loan or for illegal activity.

Turnaround time:  Applicants generally receive a same-day decision. If approved, funds may be sent as soon as the next business day if the loan was funded on a week day—and if there aren’t any typos or errors in the application. Otherwise, borrowers may not receive loan funds for up to seven days. Discover also can disperse funds directly to third-party creditors when a loan is being used for debt consolidation.

LendingClub is a peer-to-peer—or marketplace—lender founded in 2007. As the largest online lending platform for personal loans, LendingClub has worked with over 3 million customers and funded more than $55 billion in loans. It’s also one of the most geographically widespread options, with lending capabilities in every state except Iowa and the U.S. territories.

While LendingClub imposes high APRs and no autopay discount, applicants can choose to borrow as little as $1,000. So you won’t have to borrow—and pay interest on—more than you need. And, though borrowers are limited to $40,000, this is a higher cap than some other lenders. That said, LendingClub’s loan terms are limited to three or five years, which is less flexible than other lenders on our list. Borrowers also are charged an origination fee between 2% and 6% of the total loan amount, which is taken from the loan proceeds at funding.

LendingClub also makes debt consolidation easier by offering a balance transfer loan. With this type of loan, LendingClub offers direct payment to third-party lenders, including over 1,700 creditors. Not only does the platform take care of payments for you, you can choose exactly how much of your new loan amount you want LendingClub to pay toward each creditor.

Eligibility: Applicants must have a minimum credit score of 600 and a minimum credit history of three years to qualify for a LendingClub loan. Furthermore, applicants should have a debt-to-income ratio of less than 40% for single applicants and 35% for joint applicants. These factors, including proof of income, help LendingClub’s platform of investors decide who they want to lend to. Co-applicants are permitted but co-signers are not an option for LendingClub borrowers.

Loan uses: Loans issued through LendingClub can be used for more major expenses, including debt and credit card consolidation, home repairs, medical bills and special events. LendingClub also makes it easy to consolidate debt by offering direct payment to third party creditors. Borrowers are restricted from using funds for postsecondary education, the purchase of investments, gambling and illegal activities.

Turnaround time:  LendingClub borrowers typically receive their loan funds as soon as four days after loan approval. However, this timeline may vary if an application is complete or if the lender requires additional documentation or verification.

Loan Example: A representative example of loan payment terms is as follows: you receive a loan of $13,411 for a term of 36 months, with an interest rate of 12.16% and a 5.30% origination fee of $711, for an APR of 15.99%. In this example, you will receive $12,700 and will make 36 monthly payments of $446.46. Loan amounts range from $1,000 to $40,000 and loan term lengths are 36 months or 60 months. Some amounts and term lengths may be unavailable in certain states. APR ranges from 8.05% to 35.89% and is determined at the time of application. Origination fee ranges from 3% to 6% of the loan amount. Lowest APR is available to borrowers with excellent credit. Advertised rates are subject to change without notice.

If you check your rate with Credible, information that LendingClub subsequently obtains as part of the process will be considered and could affect your ability to obtain a loan. LendingClub Corporation, NMLS ID 167439.

Upstart has made a mark on the personal loan space because of its artificial intelligence- and machine learning-based approach to borrower qualification. In fact, Upstart estimates that it has been able to approve 27% more borrowers than possible under a traditional lending model. With competitive APRs, Upstart is not a top lender for borrowers who can qualify for more competitive rates. Even so, the platform’s minimum 600 credit score makes it an accessible option to those with fair credit.

Upstart also offers a pretty flexible range of loan options, with amounts ranging from as low as $1,000 so you don’t have to borrow (or pay interest on) more than you really need. And, while Upstart’s loans cap out at $50,000—lower than some lenders—this is likely to be enough for many prospective borrowers.

Even though Upstart’s three- and five-year loan terms are more restrictive than other lenders, it’s likely to be an acceptable tradeoff for applicants who might not be approved in a more traditional lending environment. Plus, it’s available in every state except West Virginia and Iowa, so it’s as widely available as many other top lenders.

Eligibility:  Upstart stands out because it uses an AI-based platform to consider a range of non-conventional variables when evaluating borrower applications. And, while the platform advertises a minimum credit score of 600, Upstart may even accept applicants who don’t have enough credit history to have a score. When evaluating prospective borrowers, Upstart considers college education, job history, residence, debt-to-income ratio, bankruptcies and delinquencies and number of credit inquiries.

Borrowers also must have a full-time job or offer starting in six months, a regular part-time job or another source of regular income—with a minimum annual income of $12,000. Co-signers and co-applicants are not permitted.

Loan uses:  Upstart’s personal loans can be used for credit card and other debt consolidation, special events, moving and relocation, medical and dental costs and home improvements. In contrast to many other traditional and online lenders, Upstart also lets borrowers use personal loan funds to cover educational expenses (except in California, Connecticut, Illinois, Washington and the District of Columbia).

Upstart borrowers cannot use personal loans to finance illegal activity or purchase weapons, firearms or illegal drugs.

Turnaround time:  Upstart provides next-business day funding for borrowers whose loans are accepted before 5 p.m. Eastern time Monday through Friday. Loans that are approved after 5 p.m. are typically funded the following business day, or the day after that. That said, Upstart reports that 99% of loan applicants receive their money one business day after accepting their loan terms. Loans for education-related expenses may take up to an additional three business days after loan acceptance.

Founded in 2009, Payoff is an online lending platform that connects prospective borrowers with fixed-rate credit card debt consolidation loans in every state except Massachusetts, Mississippi, Nebraska and Nevada. Though Payoff only offers loans for credit card debt consolidation, it’s a top choice for borrowers with fair to good credit, with more qualified applicants able to access the platform’s lowest rates. Plus, applicants can complete a prequalification process to see what kind of rates they qualify for without damaging their credit.

Payoff offers pretty flexible lending terms (two to five years) and borrowers can borrow as little as $5,000 or as much as $40,000, depending on the credit card balances they need to consolidate. Rates are relatively competitive on the low end (5.99%) and the highest possible rate (24.99%) is still lower than some other lenders that cater to borrowers with fair credit. However, like some lenders, Payoff does not offer an autopay discount. And, while Payoff charges a 0% to 5% origination fee, there are no late fees, annual fees or prepayment penalties.

Finally, while Payoff does not offer borrowers a mobile app, the platform’s customer support team is available seven days a week so it’s easy to get in touch when you need to. Payoff also features a support center and FAQs page—both of which offer a ton of helpful resources for prospective and current borrowers.

Eligibility: Prospective Payoff borrowers should have a minimum credit score of 640 to qualify for a debt consolidation loan. To be eligible, applicants must also have a minimum credit history of three years, zero current delinquencies, a minimum annual income of $40,000 and a debt-to-income ratio under 50%. The platform also will evaluate each applicant’s credit utilization ratio and current lines of credit. Payoff does not offer borrowers a co-signer option, so applicants must qualify based on their individual financial circumstances.

Loan uses:  Payoff only offers loans for credit card debt consolidation, making this the most limited lending platform on our list of the best personal loans.

Turnaround time:  After submitting an application and all the necessary documents, underwriting may take three to seven business days. After getting approved and signing the paperwork, you will receive the funds within three to six business days, according to a representative.

A sister company to Rocket Homes and Rocket Mortgage by Quicken Loans, Rocket Loans offers personal loans through Cross River Bank. The lender’s availability in most states and low minimum credit score requirement make Rocket Loans an accessible option. However, borrowers will face origination fees and repayment terms limited to three or five years.

Rocket Loans may be a good option if you have a fair credit score (580 or higher) and want funds fast. However, the platform charges an origination fee between 1% and 6% of the loan amount and APRs range from 7.161% to 29.99%, so cheaper loan options may be available, depending on your creditworthiness.

Overall, Rocket Loans stands out because of the low credit score requirement and potentially fast funding time. The platform also makes it easy to manage personal loans with the user dashboard and customer support team, which is available Monday through Saturday.

Eligibility:  Prospective Rocket Loans borrowers must have a minimum credit score of 580 to qualify for a personal loan; however, the average borrower score is 710. Borrowers also should have a minimum credit history of two years. That said, the average credit history of a Rocket Loans borrower is much longer—18 years.

Finally, Rocket Loans requires borrowers to have a minimum annual income of $24,000 and a maximum debt-to-income ratio of 40%, but borrowers average $85,000 and 14%, respectively. Rocket Loans does not allow co-signers or co-applicants.

Loan uses:  Rocket Loans borrowers can use personal loan funds for home improvements, auto-related expenses, travel and vacation and other large expenses. Personal loans also may be used to consolidate other debt, but Rocket Loans will not pay third-party lenders directly. Loan funds cannot be used for education expenses or expenses related to illegal activities.

Turnaround time:  Approved borrowers can receive their loan funds on the same day they apply, if they complete their application and sign the promissory note before 1 p.m. Eastern time on a business day. This means that same-day funding is possible, but the average time to receive funds is two to four days.