Best Personal Loans Of 2024 in USA

In today’s financial world, there is a large selection of loan options available to borrowers with different financial goals. One of the most popular and versatile options is a personal loan. This type of loan offers a fixed amount of money that can be used for various purposes, such as debt consolidation, home renovations, emergency fund or medical expenses.

Personal loans are available from traditional banks, credit unions, SACCOs and online lending platforms. They typically range from $1,000 to $50,000, with few lenders offering loan amounts up to $100,000. Most personal loans can be funded within a few business days so you don’t have to wait for long periods to get the money you need.

Finding the right personal loan can be a daunting task, especially with so many options available. To help you make an informed decision, here’s a rundown of some of the best personal loans in 2024, along with their eligibility requirements, allowable uses, pros, and cons.

Best Personal Loans Of 2024

LightStream	Best for Low Interest Rates
SoFi	Best for Personal Loan
LendingPoint	Best for Fast Funding & Below-Average Credit
Upgrade	Best for Bad Credit
Universal Credit	Best for Comparing Multiple Offers
Discover	Best for No Interest If Repaid Within 30 Days
Upstart	Best for Loans as Low as $1000
Avant	Best for Range of Repayment Options

 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 $5,000 to $100,000. Loan amounts vary based on the loan purpose. Repayment terms are available from two to seven years.

Eligibility:

• LightStream welcomes borrowers with good-to-excellent credit (scores typically above 660)
• A regular source of income
• U.S. citizenship or permanent residency
• A minimum age of 18 (in most states)

Loan uses:

• Debt consolidation
• Home improvement
• Major purchases
• Medical expenses

Pros:

• Competitive rates: Boasting some of the lowest APRs in the market (as low as 6.40% for excellent credit), LightStream can save you money compared to traditional banks.
• No fees: Forget origination, prepayment, or late fees. LightStream keeps it simple and transparent.
• Fast funding: Get approved and see funds in your account as soon as the same day (subject to verification).
• User-friendly online platform: Apply, manage, and make payments with ease through their straightforward online portal.
• Rate Beat Program: If you find a lower qualified rate from another lender, LightStream will beat it by 0.10 percentage points.

Cons:

• Strict credit requirements: Those with low credit scores may not qualify for the best rates or even approval.
• Unsecured loans: No collateral means higher interest rates compared to secured loans like mortgages.
• Limited loan uses: You can’t use LightStream loans for education, business, or refinancing existing LightStream loans.

SoFi, short for Social Finance, is a leading online personal finance company that offers various financial products and services, including personal loans. SoFi’s personal loans are designed to help individuals meet their financial goals with competitive interest rates and flexible terms.

Eligibility:

1. Good credit score: Typically, SoFi requires borrowers to have a minimum credit score of 680.
2. Steady income: Applicants should have a stable source of income or employment history.
3. Strong financial profile: SoFi considers factors like debt-to-income ratio and cash flow when evaluating loan applications.

Loan Uses:

1. Debt consolidation: Combining multiple debts into one consolidated loan with potentially lower interest rates can simplify repayment.
2. Home improvements: Funds can be utilized for home renovations or repairs.
3. Major purchases: Whether it’s financing a vehicle or purchasing expensive appliances, these loans offer flexibility in meeting large expenses.
4. Wedding expenses: Couples looking to fund their dream wedding can use this option as well.
5. Travel or vacation costs: Borrowers have the freedom to use the funds for travel adventures or family vacations.

Pros:

1. Competitive interest rates: SoFi provides attractive interest rates based on borrowers’ creditworthiness.
2. No origination fees or prepayment penalties: Borrowers don’t need to worry about additional charges while applying for the loan or paying it off early.
3. Unemployment protection program*: If you lose your job through no fault of your own after taking out a loan from SoFi, they may temporarily pause your payments and even assist in finding new employment opportunities during that period.

Cons:

1. Strict eligibility criteria: The high borrower standards might make it difficult for some individuals with average or lower credit scores to qualify.
2. No joint applications: Unlike some other lenders, SoFi does not allow borrowers to apply for a loan with a co-signer.
3. Limited loan amounts: The maximum loan amount offered by SoFi may not be sufficient for individuals needing larger sums of money.

It’s important to note that this is just an overview, and potential applicants should thoroughly review the terms and conditions provided by SoFi before proceeding with any personal loan application.

LendingPoint is an online lender that specializes in providing personal loans to individuals who may have less-than-perfect credit. With a focus on personalized lending solutions, LendingPoint aims to help borrowers with diverse financial backgrounds access the funds they need for various purposes.

Eligibility:

1. Fair credit score: LendingPoint considers applicants with credit scores as low as 585, making it more accessible for individuals with average or below-average credit.
2. Stable income: Applicants should have a reliable source of income that supports their ability to repay the loan.
3. Financial stability: Factors such as employment history and debt-to-income ratio are taken into consideration during the application process.

Loan Uses:

1. Debt consolidation: Combining multiple debts into one loan can simplify repayment and potentially lower interest rates.
2. Home improvements: Funds can be utilized for renovations, repairs, or other household expenses.
3. Medical expenses: Unexpected medical bills or procedures can be covered by these loans.
4. Major purchases: Borrowers may use the funds to finance major purchases like appliances or electronics.
5. Wedding costs: Individuals looking to fund their wedding expenses can utilize this option as well.

Pros:

1. Accepts fair credit scores: LendingPoint offers options for borrowers with less-than-perfect credit histories.
2. Quick funding process*: Once approved, borrowers may receive their funds within one business day, allowing them quicker access to cash when needed.
3. Flexible repayment terms: LendingPoint provides flexible repayment schedules tailored to meet individual needs and budgets.

Cons:

1. Higher interest rates*: Since LendingPoint caters to borrowers with lower credit scores, interest rates offered might be higher compared to lenders that target borrowers with excellent credit.
2. Origination fees: Depending on the loan amount and borrower’s location, LendingPoint may charge an origination fee, which adds to the overall cost of borrowing.
3. Limited maximum loan amounts: The maximum loan amount offered by LendingPoint may be lower compared to some other lenders, limiting access to larger sums of money.

It’s essential for potential applicants to carefully review the terms and conditions provided by LendingPoint before proceeding with a personal loan application. Additionally, comparing rates and offerings from multiple lenders can help individuals make informed decisions about their borrowing needs.

Upgrade was launched in 2017 and provides accessible online and mobile credit and banking services. 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.

Upgrade charges an origination fee between 1.85% and 9.99% 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.

Eligibility:

• Minimum credit score: 580
• A regular source of income
• U.S. citizenship or permanent residency
• A minimum age of 18 (in most states)

Loan Uses:

Upgrade’s unsecured personal loans range from $1,000 to $50,000, helping you conquer various financial peaks:

• Debt consolidation: Climb out of high-interest debt by consolidating it into one manageable loan.
• Home improvement: Breathe new life into your home with renovations, repairs, or that backyard oasis.
• Major purchases: Upgrade your car, invest in yourself with education, or finally get that dream wedding ring.
• Personal expenses: Tackle unexpected bills, emergency costs, or simply smooth out your budget.

Pros:

• Flexible credit requirements: Borrowers with lower credit scores might still qualify for reasonable rates.
• Fast funding: Get approved and see funds in your account as soon as the next business day.
• Autopay discount: Get a rate reduction by setting up automatic payments.
• Direct debt payoff: Upgrade can directly pay off your creditors, simplifying consolidation.
• No prepayment penalty: Reach the top debt-free without any extra fees.

Cons:

• Higher interest rates: Compared to lenders like SoFi and LightStream, Upgrade’s rates might be higher, especially for lower credit scores.
• Origination fees: Upgrade charges an origination fee ranging from 1.85% to 9.99%, which gets deducted from your loan amount.
• Limited loan amounts: Compared to SoFi and LightStream, the maximum loan amount is lower.

Universal Credit is an online lender powered by Upgrade with loans originated by partners Cross River Bank and Blue Ridge Bank. 

Eligibility:

• Minimum credit score: 580
• A regular source of income
• U.S. citizenship or permanent residency
• A minimum age of 18 (in most states)
• Doesn’t allow co-signers or co-borrowers

Loan Uses:

Universal Credit’s unsecured personal loans range from $1,000 to $50,000, offering paths to various financial destinations:

• Debt consolidation: Merge high-interest debt into one manageable loan, potentially simplifying your payments.
• Home improvement: Tackle repairs, renovations, or even small-scale upgrades for your living space.
• Major purchases: Get that new appliance, invest in personal growth, or cover unexpected expenses.
• Personal expenses: Smooth out your budget, bridge temporary gaps, or handle emergency costs.

Pros:

• Flexible credit requirements: Borrowers with fair credit have a chance at approval, potentially expanding access to personal loans.
• Direct creditor payoff: Universal Credit can simplify debt consolidation by directly paying off your creditors.
• Fast funding: Get approved and see funds in your account as soon as the next business day.
• Autopay discount: Lower your interest rate by setting up automatic payments.

Cons:

• Higher interest rates: Compared to competitors like SoFi and LightStream, Universal Credit’s rates are generally higher, even for fair credit scores.
• Origination fees: Expect to pay an origination fee ranging from 5.25% to 9.99%, impacting your loan amount.
• Limited loan amounts: The maximum loan amount is lower than competitors like SoFi and LightStream.
• Unavailable in some states: Universal Credit currently doesn’t operate in Iowa, West Virginia, or Washington, D.C.

Discover is an online bank that also offers customers credit cards, retirement solutions and personal loans in all 50 states. 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.

Eligibility:

Discover Personal Loans welcome borrowers with good credit (scores typically above 660). You’ll also need:

• Minimum credit score: 660
• Minimum household income: $25,000
• Doesn’t allow co-signers or co-borrowers
• A regular source of income
• U.S. citizenship or permanent residency
• A minimum age of 18 (in most states)

Loan Uses:

Discover’s unsecured personal loans range from $2,500 to $40,000, allowing you to explore various financial avenues:

• Debt consolidation: Merge high-interest debt into one manageable loan, potentially saving money and simplifying your payments.
• Home improvement: Breathe new life into your living space with renovations, repairs, or upgrading appliances.
• Major purchases: Invest in yourself with education, get that dream vacation, or finally replace your old car.
• Personal expenses: Tackle unexpected bills, medical costs, or simply smooth out your budget.

Pros:

• Competitive rates: Enjoy APRs as low as 5.99% for excellent credit, potentially saving you money compared to other lenders.
• No fees: Forget origination, prepayment, or late fees. Discover keeps it transparent and cost-effective.
• Fast funding: Get approved and see funds in your account as soon as the same day (subject to verification).
• User-friendly online platform: Apply, manage, and make payments with ease through their straightforward online portal.
• Repayment flexibility: Choose a term length that fits your budget, with options from 24 to 84 months.

Cons:

• Strict credit requirements: Low credit scores might not qualify for the best rates or even approval.
• Unsecured loans: No collateral means potentially higher interest rates compared to secured loans like mortgages.
• Lower maximum loan amount: Compared to lenders like SoFi and LightStream, the maximum loan amount is lower.
• No joint loans: Discover doesn’t currently offer joint personal loan applications.

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.

Even though Upstart’s three-, five-, seven-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 welcomes borrowers with a wider range of credit scores than most lenders, starting at 300 (yes, seriously!). You’ll also need:

• A regular source of income
• U.S. citizenship or permanent residency
• A minimum age of 18 (in most states)
• Minimum credit score: 300
• Minimum income requirement: $12,000
• Doesn’t allow co-signers or co-borrowers

Loan Uses:

Upstart’s unsecured personal loans range from $1,000 to $50,000, offering paths to various financial destinations:

• Debt consolidation: Merge high-interest debt into one manageable loan, potentially saving money and simplifying your payments.
• Home improvement: Upgrade your living space with renovations, repairs, or finally adding that backyard deck.
• Major purchases: Get that new car, invest in professional development, or make your dream vacation a reality.
• Personal expenses: Handle unexpected bills, medical costs, or even finance a large purchase like furniture.

Pros:

• Flexible credit requirements: Borrowers with low or no credit history might still qualify for reasonable rates.
• Fast funding: Get approved and see funds in your account as soon as the next business day.
• No prepayment penalty: Climb out of debt faster without any extra fees.
• Multiple repayment terms: Choose a term length that fits your budget, with options from 36 to 60 months.
• Direct creditor payoff: Upstart can simplify debt consolidation by directly paying off your creditors.

Cons:

• Higher interest rates: Compared to lenders like SoFi and LightStream, Upstart’s rates can be higher, especially for lower credit scores.
• Origination fees: Expect to pay an origination fee ranging from 1% to 8% of your loan amount.
• Limited loan terms: Compared to competitors, Upstart offers fewer repayment term options.
• Not available in all states: Upstart currently doesn’t operate in Vermont or West Virginia.

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 Washington, D.C. and every state but Hawaii, Iowa, New York, Vermont, West Virginia and Maine. The platform specializes in middle-income borrowers with fair to good credit and only requires a minimum score of 580 to qualify.

Eligibility:

Avant welcomes borrowers with fair credit (scores typically starting at 580). However, they go beyond the traditional score, considering alternative data points for those with limited credit history. You’ll also need:

• A regular source of income
• U.S. citizenship or permanent residency
• A minimum age of 18 (in most states)
• Minimum credit score: 580
• Minimum income: $20,000
• Doesn’t allow co-signers or co-borrowers

Loans Uses:

Avant’s unsecured personal loans range from $2,000 to $35,000, paving the way for various financial destinations:

• Debt consolidation: Merge high-interest debt into one manageable loan, streamlining payments and potentially saving money.
• Home improvement: Tackle repairs, renovations, or even smaller upgrades to refresh your living space.
• Major purchases: Get that new appliance, invest in personal growth like education, or finally purchase that dream gadget.
• Personal expenses: Smooth out your budget, bridge temporary gaps, or cover unexpected bills.

Pros:

• Flexible credit requirements: Borrowers with fair or even bad credit have a chance at approval, opening doors potentially closed elsewhere.
• Fast funding: Get approved and see funds in your account as soon as the next business day.
• No prepayment penalty: Reach the debt-free summit faster without any extra fees.
• Multiple repayment terms: Choose a term length that fits your budget, with options from 12 to 60 months.
• Mobile app for easy management: Manage your loan and make payments conveniently on the go.

Cons:

• Higher interest rates: Compared to lenders like SoFi and LightStream, Avant’s rates can be higher, especially for lower credit scores.
• Origination fees: Some loan options come with origination fees ranging from 2.95% to 9.95%, which reduce your loan amount.
• Limited loan amounts: Compared to competitors, Avant offers lower maximum loan amounts.
• Not available in all states: Avant currently doesn’t operate in Maryland or New York.

Tags: #personal loans for bad credit #discover personal loans