Find a range of loans that you can pay back over a year or more.
When you run into a project or emergency and need more cash than you have on hand, a personal loan can meet your cash needs. You can get the money you need, often up to $10,000, with a 12-month personal loan. A personal loan can help in an emergency or for other expenses, but give you a little more time to pay it back than a short term loan.
How does a 12-month personal loan work?
Personal loans are designed to help you with your finances when you need cash soon but would like to pay it back over a year or more. Traditional personal loans through a bank or other lender can be applied for online, but because they lend at higher amounts, tend to require more paperwork and have a few days turnaround time.
Installment loans can be another option when looking for a cash loan with longer terms than a short term loan. Often installment loans will get you cash faster, and in higher amounts than a short term loan, but with a longer period to pay it back. Loan terms will vary based on the state you live in. You can usually apply online and have the cash you need deposited quickly.
Compare installment loans
We update our data regularly, but information can change between updates. Confirm details with the provider you're interested in before making a decision.
What do you need to look for when comparing 12 month loans?
- Fees and rates.
When looking for any personal loan, rates will vary based on whether you choose a personal loan or installment loan. Shopping around is the best way to ensure you end up with a loan that has competitive rates.
- Repayment terms.
Does the lender offer a long enough payment period for you? The repayment schedule should be within your income so you can afford to make the payments.
- Approval period.
Turnaround time will vary. Bank loan applications can be in-depth and often time consuming, whereas a short term or installment loan should give you access to cash quickly. With the latter two, the approval should be instant and the cash transferred to your account within a couple of days.
- Repayment penalties.
Some personal loans carry penalties for missed repayments, which could end up straining your finances more and raising the cost of borrowing.
Benefits and drawbacks
- Longer loan terms.
Most one-year personal loans offer you a flexible repayment period and repayment options that suit your finances. You usually have the option to make weekly, biweekly or monthly repayments to fit your budget.
- Flexible loan amount.
A 12-month personal loan gives you access to a wide range of loan amounts, some up to $35,000. Different lenders offer different loan amounts, but you can generally borrow anywhere from $2,500 to $35,000. It is generally advisable not to take out multiple loans in a row, so be sure to apply for the amount you need.
- Higher loan means more to repay.
It can be easy to apply for the max loan amount, only to realize that you now need to pay it back over the course of the year and fit those repayments into your budget. Be sure that whatever loan you take out, you are able to make the payments within the limits of your income.
Things to be cautious of
The temptation to borrow more than you need is always there. Remember that you will have to pay interest and other additional costs on your loan, so you should only borrow the amount you need and have a clear purpose for what you want to spend it on.
- Missing repayments.
Make sure that you can comfortably make your monthly repayments before you apply for a loan, as there are usually penalties for late payments.
Are you eligible for a 12 month loan?
A 12-month personal loan can make life a lot easier when you find yourself in a tight financial spot. Please note that you will have to meet the following requirements:
- You have to be at least 18 years old in most states
- You must be a United States citizen or permanent resident
- You must provide proof of income
Remember, it’s always important to compare your options when it comes to loans for any term length. Use the tables above to help with your comparisons.
What type of loan are you looking for?
|24 months||Compare more|
More guides on Finder
Small business loan interest rates are low — but will it last?
Business loan interest rates dropped in 2020 and are likely to stay low. Here’s why.
M&T Starter Savings account review
A kids savings account with an interest rate that compounds daily but has long hold times for customer service.
Third Federal Savings & Loan home equity review
Get a low rate guarantee, but you won’t know if you’re eligible until you apply.
PenFed Credit Union home equity review
Get a line of credit with low closing costs — but you can’t apply online.
Emprise Bank High Interest Checking account review
A checking account that earns up to 1.75% APY and up to $25 in ATM reimbursements.
How to start a photography business
From your marketing strategy to financing and insurance, we’ll walk you through how to start a career behind the lens.
Navy Federal Visa Buxx review
Navy Federal’s Visa Buxx card has no fees, but you must qualify for membership with the credit union.
Axie Infinity guide: How to play and earn
Axie Infinity is an RPG game that is currently dominating the NFT sector. Discover what Axies are, what makes them unique and how you can earn money simply by playing.
BECU home equity review
Get fixed- and variable-rate options in a HELOC, if you qualify for membership.
The best free debit cards for kids for 2021
A must-have for parents looking to teach their little ones healthy money habits early on.
Ask an Expert