SoFi personal loans
Finder Rating: 4.45 / 5 ★★★★★
- Not available in: Mississippi
Minimum credit score | 680 |
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APR | 7.99% to 23.43% |
Loan amount | $5,000 to $100,000 |
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Personal loan rates usually range from 4% to 36%, with 10.16% being the average, according to the Federal Reserve. But the lowest rate you can qualify for depends on your personal finances, especially your credit score, income and debts. With rising inflation and the prime rate on the rise, it’s now more important than ever to compare personal loan options. Here are our 12 top picks for low-interest personal loans with rates starting as low as 5.49%.
SoFi personal loans
Finder Rating: 4.45 / 5 ★★★★★
Minimum credit score | 680 |
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APR | 7.99% to 23.43% |
Loan amount | $5,000 to $100,000 |
Upgrade personal loans
Finder Rating: 4 / 5 ★★★★★
Personal loans made through Upgrade feature APRs of 5.94%-35.97%. All personal loans have a 2.9% to 8% origination fee, which is deducted from the loan proceeds. Lowest rates require Autopay and paying off a portion of existing debt directly. Loans feature repayment terms of 24 to 84 months. For example, if you receive a $10,000 loan with a 36-month term and a 17.98% APR (which includes a 14.32% yearly interest rate and a 5% one-time origination fee), you would receive $9,500 in your account and would have a required monthly payment of $343.33. Over the life of the loan, your payments would total $12,359.97. The APR on your loan may be higher or lower and your loan offers may not have multiple term lengths available. Actual rate depends on credit score, credit usage history, loan term, and other factors. Late payments or subsequent charges and fees may increase the cost of your fixed rate loan. There is no fee or penalty for repaying a loan early. Personal loans issued by Upgrade's lending partners. Information on Upgrade's lending partners can be found at https://www.upgrade.com/lending-partners/.
Minimum credit score | 620 |
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APR | 7.96% to 35.97% |
Loan amount | $1,000 to $50,000 |
LightStream personal loans
Finder Rating: 4.83 / 5 ★★★★★
Minimum credit score | 660 |
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APR | 5.73% to 19.99% |
Loan amount | $5,000 to $100,000 |
Monevo personal loans
Finder Rating: 4.4 / 5 ★★★★★
Minimum credit score | 300 |
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APR | 1.99% to 35.99% |
Loan amount | $1,000 to $500,000 |
Wells Fargo personal loans
Finder Rating: 3.65 / 5 ★★★★★
Minimum credit score | Varies |
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APR | 6.99% to 23.24% |
Loan amount | $3,000 to $100,000 |
PenFed Credit Union personal loans
Finder Rating: 3.6 / 5 ★★★★★
Minimum credit score | 650 |
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APR | 7.74% to 17.99% |
Loan amount | $600 to $50,000 |
Marcus by Goldman Sachs personal loans
Finder Rating: 3.8 / 5 ★★★★★
Marcus By Goldman Sachs® Offer Terms and Conditions
Your loan terms are not guaranteed and are subject to our verification of your identity and credit information. To obtain a loan, you must submit additional documentation including an application that may affect your credit score. The availability of a loan offer and the terms of your actual offer will vary due to a number of factors, including your loan purpose, our evaluation of your creditworthiness, your credit history, if we have recently declined your loan application and the number of loans you already have with us. To obtain a loan, you must submit additional documentation including an application that may affect your credit score. Rates will vary based on many factors, such as your creditworthiness (for example, credit score and credit history) and the length of your loan (for example, rates for 36 month loans are generally lower than rates for 72 month loans). Your maximum loan amount may vary depending on your loan purpose, income and creditworthiness. Your verifiable income must support your ability to repay your loan. Marcus by Goldman Sachs is a brand of Goldman Sachs Bank USA and all loans are issued by Goldman Sachs Bank USA, Salt Lake City Branch. Applications are subject to additional terms and conditions. You may be required to have some of your funds sent directly to creditors to pay down certain types of unsecured debt. Receive a 0.25% APR reduction when you enroll in AutoPay. This reduction will not be applied if AutoPay is not in effect. When enrolled, a larger portion of your monthly payment will be applied to your principal loan amount and less interest will accrue on your loan, which may result in a smaller final payment. See loan agreement for details.
Minimum credit score | 720+ FICO |
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APR | 6.99% to 24.99% |
Loan amount | $3,500 to $40,000 |
OneMain Financial personal loans
Finder Rating: 3.4 / 5 ★★★★★
Minimum credit score | Varies |
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APR | 18% to 35.99% |
Loan amount | $1,500 to $20,000 |
Stilt personal loans
Finder Rating: 4 / 5 ★★★★★
Minimum credit score | Not required |
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APR | 7.99% to 15.99% |
Loan amount | $1,000 to $35,000 |
Discover personal loans
Finder Rating: 4 / 5 ★★★★★
Minimum credit score | Good to excellent credit |
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APR | 5.99% to 24.99% |
Loan amount | $2,500 to $35,000 |
Happy Money
Finder Rating: 3.8 / 5 ★★★★★
Minimum credit score | 640 |
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APR | 8.99% to 29.99% |
Loan amount | $5,000 to $40,000 |
Prosper personal loans
Finder Rating: 3.42 / 5 ★★★★★
Minimum credit score | 600 |
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APR | 6.99% to 35.99% |
Loan amount | $2,000 to $50,000 |
We spend hundreds of hours comparing 120+ personal loan providers to choose and update our top picks for low-interest personal loans. Each lender is weighed across 11 key metrics: lowest APR, maximum APR, income requirements, lender reputation, application ease, loan amounts, state availability, existence of additional fees, available discounts, turnaround time and customer reviews. For the best low-interest personal loans, we place the most weight on a lender’s lowest APR and maximum APR offered.
Here are our best picks, organized from the lowest to highest starting rates on personal loans.
APR includes the interest and fees you’d pay over one year. It gives you a more accurate idea of how much your loan is going to cost. Many personal loans don’t come with application or origination fees, so in those cases the APR and interest rate are the same. Otherwise, a loan’s APR will be higher than its interest rate.
Look into these factors before you start the application process — there are various factors that play into what interest rate you can get on a personal loan.
A prequalification typically involves a soft credit check — the one that doesn’t hurt your credit score. As a general rule, expect to need a decent credit score to prequalify, often at or above 670. This isn’t always the case though, since some lenders work with no credit or bad credit borrowers, but it’s a good baseline to keep in mind. If you’re preapproved, the lender moves forward with a hard credit pull and asks you to provide more documents to become officially approved for a loan.
Lender | Prepayment | Late payment | Origination | Check processing | Nonsufficient funds | |
---|---|---|---|---|---|---|
Prosper | None | $15 or 5% of monthly payment amount, whichever is greater, if you haven’t paid the full amount of your monthly payment within 15 calendar days after your due date. | Varies between 1% to 5% of loan amount. Deducted from the amount of money you receive. | This fee is the lesser of 5% of your payment or $5. | $15 for each returned or failed payment. | Learn more |
Upgrade | None | $10 per payment if you don’t pay the full amount of your payment within 15 calendar days. | This fee may vary between 1% to 6%, which is deducted from the loan proceeds. | None | $10 for each returned or failed payment. | Learn more |
LendingClub | None | $15 or 5% of monthly payment amount, whichever is greater, if you haven’t paid the full amount of your monthly payment within 15 calendar days after your due date. Charged for each late payment. | The fee may vary between 1% to 6% but is charges with your loan. This means that you will receive the amount you applied minus the origination fee. | $7 dollars per each payment made by check. | $10. This is taken as a late fee. | Learn more |
Best Egg | None | $15 if you’re late by 3 calendar days. | 0.99% to 5.99% deducted from loan proceeds. | None | $15 for each returned or failed payment. | Learn more |
Achieve (formerly FreedomPlus) | None | $15 or 5% of monthly payment amount, whichever is greater, if you’re late within 10 calendar days. Charged for every late payment. | 0% to 5%, typically deducted from loan amount before borrower receives it. | $15 dollars per each payment made by check. | $15 for each returned or failed payment. | Learn more |
LaurelRoad | None | None | None | None | None | Learn more |
LendingPoint | None | Not listed | 6%, added onto loan amount. You have the option of having it deducted prior to deposit. | None | Not listed | Learn more |
NetCredit | None | No fee unless your state law requires it. | No fee unless your state law requires it. | No fee unless your state law requires it. | None | Learn more |
SoFi | None | None | None | None | None | Learn more |
LightStream | None | None | None | None | None | Learn more |
Your credit score is one of the most important factors that lenders use to determine what interest rates you qualify for. The two credit scoring models are FICO and VantageScore 4.0. It’s not a perfect science, and FICO and VantageScore have some differences, but your credit scores can help you predict what interest rates you may receive when borrowing credit and help you choose a lender that can accommodate your credit rating.
VantageScore 4.0 credit range | Average estimated interest rate (%)* |
---|---|
781 to 850 | 6.39% |
661 to 780 | 10.54% |
601 to 660 | 15.63% |
500 to 600 | 17.27% |
300 to 499 | 17.35% |
*Estimated average interest rates sourced from Forbes as of November 2022.
Big banks aren’t your only personal lending options.
Lender type | Details |
---|---|
Banks | Banks tend to offer some of the lowest rates out there, but you generally need a credit or FICO score of at least 670 to qualify — and some might only offer loans to current customers. |
Credit unions | Credit unions often offer low rates to a wide range of credit types compared to other lenders, since they’re owned by their customers. And federal credit unions legally can’t charge rates over 18%. |
Online lenders | These lenders have higher rates on average, but typically put less weight on credit score than a bank or credit union. |
Connection services | A connection service can help you quickly prequalify with multiple lenders to help you quickly find the lowest rate you qualify for with its partner lenders. |
You may be able to combine some of these tactics to ensure a low interest rate on a personal loan.
Forbearance is a loan repayment assistance program that lets you pause repayments when you have a temporary financial hardship that makes it difficult to make repayments. It’s meant to help you avoid defaulting on your loan in short-term situations, like if you lose your job or are in an accident.
In most situations, a forbearance lasts around three months, but it can go as long a few years. This depends on the lender, the type of loan you have and your financial situation.
Yes, forbearance typically makes your loan more expensive. During forbearance, interest continues to add up on your loan. That interest is added to your loan balance in a process called interest capitalization. Unlike with deferment, most lenders don’t extend your loan term when you go into forbearance. This all means that you’ll have a higher balance and higher monthly repayments when you come out of forbearance. That’s why it’s not a good solution for long-term or indefinite financial hardship.
Compare other personal loan options. To get more details of a specific lender, select Learn more to go to its site. Or select More info to read a review.
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