Best Personal Loans of December 2024: Options for All Credit Levels

You may need a personal loan for a lot of reasons that can be, well, personal. You might be looking to finance large purchases, make home improvements, consolidate high-interest debt, and much more. For example, I was able to use one for the surprise expense of fixing the foundation of our house last year.

Personal loans tend to be relatively short-term, usually five years or less, and plenty of lenders disburse funds within one to two business days. That’s especially important when your loan funds are covering an emergency.

It’s always a good idea to research financing options to ensure you’re getting the best deal in terms of interest rates and loan terms. Here are some of the best personal loans to consider.

How we evaluate products

In determining our list of the best personal loan lenders, we looked at popular companies and evaluated them according to a few key criteria important to the majority of borrowers.

• Credit checks: We included only companies that begin with a soft credit inquiry to check your eligibility, so you don’t ding your credit by shopping around.
• Fees: A variety of fees were taken into account in our assessment. Fees evaluated included late payment fees, origination fees, and prepayment fees.
• APRs: We did not include any lenders with APRs above 36%, and many offer rates as low as around 8% for creditworthy borrowers.

Companies with more than 700 CFPB complaints were also excluded from our list.

Best personal loans

• SoFi®
• Discover
• Wells Fargo
• Upstart
• Best Egg
• Upgrade
• Happy Money
• Prosper

Best personal loans compared

Lender	Best for:	APR
SoFi	Financial support	Fixed APR rates raging from 8.99%-29.99% (as of 09/05/24) with all discounts1 <p>Fixed rates from 8.99%-29.99% (as of 09/05/24) APR reflect the 0.25% autopay interest rate discount and a 0.25% direct deposit interest rate discount. SoFi rate ranges are current as of 02/06/2024 and are subject to change without notice. The average of SoFi Personal Loans funded in 2022 was around $30K. Not all applicants qualify for the lowest rate. Lowest rates reserved for the most creditworthy borrowers. Your actual rate will be within the range of rates listed and will depend on the term you select, evaluation of your creditworthiness, income, and a variety of other factors. Loan amounts range from $5,000– $100,000. The APR is the cost of credit as a yearly rate and reflects both your interest rate and an origination fee of 0%-7%, which will be deducted from any loan proceeds you receive. Autopay: The SoFi 0.25% autopay interest rate reduction requires you to agree to make monthly principal and interest payments by an automatic monthly deduction from a savings or checking account. The benefit will discontinue and be lost for periods in which you do not pay by automatic deduction from a savings or checking account. Autopay is not required to receive a loan from SoFi. Direct Deposit Discount: To be eligible to potentially receive an additional (0.25%) interest rate reduction for setting up direct deposit with a SoFi Checking and Savings account offered by SoFi Bank, N.A. or eligible cash management account offered by SoFi Securities, LLC (“Direct Deposit Account”), you must have an open Direct Deposit Account within 30 days of the funding of your Loan. Once eligible, you will receive this discount during periods in which you have enabled payroll direct deposits of at least $1,000/month to a Direct Deposit Account in accordance with SoFi’s reasonable procedures and requirements to be determined at SoFi’s sole discretion. This discount will be lost during periods in which SoFi determines you have turned off direct deposits to your Direct Deposit Account. You are not required to enroll in direct deposits to receive a Loan.</p>
Discover	Good or excellent credit	7.99%-24.99% (as of 07/01/24)
Wells Fargo	In-person branches	7.49%-23.24% (as of 07/01/24), lowest APR includes a 0.25% relationship discount
Upstart	Small loan amounts	7.80%-35.99% (as of 07/01/24)
Best Egg	Secured loan options	6.99%–35.99% (as of 12/04/24)
Upgrade	Fair to poor credit	9.99%-35.99% (as of 8/19/24)2 <p class="">Personal loans made through Upgrade feature Annual Percentage Rates (APRs) of 9.99%-35.99%. All personal loans have a 1.85% to 9.99% 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 17.59% APR (which includes a 13.94% 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 $341.48. Over the life of the loan, your payments would total $12,293.46. 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 bank partners. Information on Upgrade’s bank partners can be found at <a href="https://www.upgrade.com/bank-partners/" target="_blank" rel="noopener noreferrer">https://www.upgrade.com/bank-partners/</a>.<br></p>
Happy Money	High-interest credit card debt	Starting from 8.95% (as of 12/4/24)
Prosper	Peer-to-peer lending	From 8.99%-35.99% (as of 12/04/24)

Best places to shop for a personal loan

Before we take a look at loans from specific lenders, you may want to check out these loan comparison services. Much like you might use Google Flights or Kayak.com to search for flight deals, I’d recommend using a lender marketplace to quickly scan several loan options and compare rates.

NerdWallet loan matching

Using its large network of lenders, NerdWallet loan matching service quickly shows you a variety of loan options with competitive interest rates. Like the other services on this list, it only does a soft credit check for the pre-approval process, which doesn’t impact your credit.

Compare rates at NerdWallet | Read our full NerdWallet loan matching review.

Credible

Founded in 2012, Credible is a free lender marketplace based in San Francisco. According to its website, over 8.9 million users have compared loan rates with Credible since its founding. Thousands of customers have received offers through Credible, and more than 280 partners, from Uber to Trunk Club, trust the company and use its services.

Compare rates at Credible | Read our full read our Credible review.

AmONE

AmONE is a trusted and reputable company that has been developing its service since it was founded in 1999. AmONE is unique in that it provides live assistance to borrowers so you can always call and speak with a loan expert. It partners with many of the lenders discussed in this roundup.

Compare rates at AmONE | Read our full AmONE review.

Fiona

Founded in 2015, Fiona is run by Engine by MoneyLion, the leading search engine for financial services. You can search over 100 loan providers in just 60 seconds on Fiona.

Read our full Fiona review.

Best personal loans

Now let’s dive in and see what your best personal loan options are for specific circumstances.

Best for financial support: SoFi

I’m a big fan of SoFI in general — it’s an excellent company for managing your finances through home loans, student loan refinancing, investing through SoFi Invest³ <p><b>INVESTMENTS ARE NOT FDIC INSURED • ARE NOT BANK GUARANTEED •&nbsp;</b><b>MAY LOSE VALUE</b></p> <p>Brokerage and Active investing products offered through SoFi Securities LLC, member FINRA(<a href="https://www.finra.org/">www.finra.org</a>)/SIPC(<a href="https://www.sipc.org/">www.sipc.org</a>).</p> , and banking. It also shines in terms of personal loans.

If you choose a personal loan with SoFi, not only do you get a potentially higher maximum loan amount (up to $100,000), but you also can access a wealth of in-depth resources on its website.

SoFi covers everything from budgeting and investing to how to deal with financial stress. It also offers discounts for selecting autopay and direct deposit, and doesn’t charge origination fees.

APR: Fixed APR rates ranging from 8.99%-29.99% (as of 09/05/24) with all discounts¹ <p>Fixed rates from 8.99%-29.99% (as of 09/05/24) APR reflect the 0.25% autopay interest rate discount and a 0.25% direct deposit interest rate discount. SoFi rate ranges are current as of 02/06/2024 and are subject to change without notice. The average of SoFi Personal Loans funded in 2022 was around $30K. Not all applicants qualify for the lowest rate. Lowest rates reserved for the most creditworthy borrowers. Your actual rate will be within the range of rates listed and will depend on the term you select, evaluation of your creditworthiness, income, and a variety of other factors. Loan amounts range from $5,000– $100,000. The APR is the cost of credit as a yearly rate and reflects both your interest rate and an origination fee of 0%-7%, which will be deducted from any loan proceeds you receive. Autopay: The SoFi 0.25% autopay interest rate reduction requires you to agree to make monthly principal and interest payments by an automatic monthly deduction from a savings or checking account. The benefit will discontinue and be lost for periods in which you do not pay by automatic deduction from a savings or checking account. Autopay is not required to receive a loan from SoFi. Direct Deposit Discount: To be eligible to potentially receive an additional (0.25%) interest rate reduction for setting up direct deposit with a SoFi Checking and Savings account offered by SoFi Bank, N.A. or eligible cash management account offered by SoFi Securities, LLC (“Direct Deposit Account”), you must have an open Direct Deposit Account within 30 days of the funding of your Loan. Once eligible, you will receive this discount during periods in which you have enabled payroll direct deposits of at least $1,000/month to a Direct Deposit Account in accordance with SoFi’s reasonable procedures and requirements to be determined at SoFi’s sole discretion. This discount will be lost during periods in which SoFi determines you have turned off direct deposits to your Direct Deposit Account. You are not required to enroll in direct deposits to receive a Loan.</p>

Loan amounts: $5,000-$100,000

Loan terms: 2-7 years

Compare rates at SoFi | Read our full SoFi review.

Best for good or excellent credit: Discover Personal Loans

A Discover Personal Loan could be the right option for you if you are in the good and/or excellent credit score range.

I’d definitely check potential rates with more than one lender, but Discover happens to offer one of the lowest APR ranges at 7.99%-24.99% (as of 07/01/24). As with any lender, the higher your credit, the more likely you are to qualify for favorable rates.

However, I will note that I inputted several different loan amounts and terms, and even with a perfect 850 credit score, the lowest APR that showed up was 8.99%.

Take advantage of having an excellent credit score if you’re seeking financing, because while credit isn’t the sole determining factor in getting a loan, great credit improves your chances of a low interest rate.

APR: 7.99%-24.99% (as of 07/01/24)

Loan amounts: $2,500-$40,000

Loan terms: 3-7 years

Read our Discover Review.

Best for in-person branches: Wells Fargo

Although you can conduct all of your banking online or via mobile app, you may prefer to receive in-person treatment. If you’re looking for a good personal loan and the ability to go into a physical bank branch, you might select a Wells Fargo loan.

Wells Fargo has over 5,600 branches as well as online access to financial tools to assist you in the loan process. Plus, as long as you’ve had a Wells Fargo account for 12 months or more, you can apply for a personal loan and receive a relationship discount of 0.25% on your rate.

Personal loans with Wells Fargo offer other benefits, too, including no origination fees or prepayment penalties.

However, in 2022, the Consumer Financial Protection Bureau took action against Wells Fargo for inappropriate consumer practices, so that’s something to consider, although one can hope the bank is handling its business better since then.

APR: 7.49%-23.24% (as of 07/01/24), lowest APR includes a 0.25% relationship discount

Loan amounts: $3,000-$100,000

Loan terms: 1-7 years

Read our Wells Fargo review.

Best for small loans: Upstart

Sometimes a small amount of money can make a big difference in life. If you need even a small loan of around $1,000, you can try Upstart.

Like most of the companies on our list, Upstart offers a pre-approval process that runs only a soft credit check, so you don’t have to worry about damaging your credit score by exploring your personal loan options.

One of the things I like about Upstart is that it has an impressive track record with customers. On Trustpilot, Upstart has an average rating of 4.9 stars out of 5, based on over 47,000 reviews.

You can receive the funds of your personal loan very quickly, as soon as the next business day after acceptance if you accept it before 5 p.m. ET. And you won’t be charged prepayment fees if you choose to pay off the balance early.

APR: 7.80%-35.99% (as of 07/01/24)

Loan amounts: $1,000-$50,000

Loan terms: 3-5 years

Compare rates at Upstart | Read our full Upstart review.

Best for secured loans: Best Egg

You might be wondering whether secured vs. unsecured loans are better for your needs. Typically, personal loans are unsecured loans, meaning they’re not attached to any sort of collateral. However, Best Egg is one of few personal loan providers with secured loan options.

Best Egg offers a Secured Loan + Homeowner Discount, which is a bit like a home equity loan except that it uses fixtures inside your home, rather than the home itself, as collateral. There are pros and cons to this. The main pro is that you can get lower rates than with an unsecured loan. However, a major con is that you could lose items in your home like cabinets and light fixtures if you’re unable to repay the loan as agreed.

Another option with Best Egg is a Vehicle Equity Loan, which as you might expect is a loan that lets you tap into the value of your car. Again, be cautious if your finances are shaky, because you don’t want to lose your vehicle if you don’t abide by the loan terms.

Best Egg also offers unsecured personal loans, so you have plenty of options.

APR: 6.99%–35.99% (as of 12/04/24) for unsecured loans, potentially lower with Homeowner Discount

Loan amounts: $2,000-$50,000

Loan terms: 2-5 years

Read our Best Egg review.

Best for fair to bad credit: Upgrade

If your credit is less than ideal, you’re probably growing frustrated by the fact that it can be harder to access funding when you really need it. Upgrade is a lender that is known for lending to people who might have fair or even poor credit. (The company doesn’t specify a minimum credit score, but some sources say it’s 600 or even 580.)

Most lenders require a minimum credit score, so it’s helpful to find the rare lender that offers loans to those without great credit. Just remember that you won’t get the best of interest rates, but you’ll get the money you need.

Once you’ve taken on a fixed-rate loan with Upgrade, you can pay it off early without any prepayment penalties, letting you get out of debt more quickly. I’d definitely take advantage of the autopay discount if possible as well.

Another benefit of an Upgrade personal loan is the option to apply with a co-borrower, which can help raise your overall credit profile in the application. Plus, while loans are typically unsecured, you have the option of making it a secured loan by using your car as collateral.

APR: 9.99%-35.99% (as of 8/19/24)² <p class="">Personal loans made through Upgrade feature Annual Percentage Rates (APRs) of 9.99%-35.99%. All personal loans have a 1.85% to 9.99% 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 17.59% APR (which includes a 13.94% 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 $341.48. Over the life of the loan, your payments would total $12,293.46. 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 bank partners. Information on Upgrade’s bank partners can be found at <a href="https://www.upgrade.com/bank-partners/" target="_blank" rel="noopener noreferrer">https://www.upgrade.com/bank-partners/</a>.<br></p>

Loan amounts: $1,000-$50,000

Loan terms: 24 to 84 months (2-7 years)

Compare rates at Upgrade | Read our full Upgrade review.

Best for paying high-interest credit card debt: Happy Money

Although you can use a personal loan from just about any of the companies on our list to pay off credit card debt, Happy Money personal loans are specifically designed for this purpose.

Debt consolidation can be a good use of a personal loan. Basically, you take out a loan for the purpose of paying off multiple higher-interest debts. You make one payment at a fixed rate, which can often be more affordable and easier to manage.

Happy Money is very transparent about how its loans work, the loan terms that are potentially available, and its credit score requirements. If you’re looking for a straightforward way to consolidate credit card debt, Happy Money could be a good online lender for you.

While Happy Money doesn’t charge prepayment fees or late fees, it does charge a loan origination fee of 1.5%-5.5%.

APR: Starting from 8.95% (as of 12/4/24)

Loan amounts: $5,000-$40,000

Loan terms: 2-5 years

Compare rates at Happy Money | Read our full Happy Money review.

Best for peer-to-peer lending: Prosper

When we think of personal loans, we mostly think of borrowing from financial institutions such as a bank or credit union. Prosper is different in that it is a peer-to-peer lender. I might consider this if I wanted to feel like I was not just another set of numbers, but an individual with specific financial reasons for needing a loan.

With peer lending, the money comes from individual investors (even someone just like you), not a bank, and this can make peer-to-peer lending more flexible and improve your chances of loan approval. If you’re curious what kind of loan terms you could get by looking beyond traditional banks, Prosper could be a good fit for you.

You may qualify for a personal loan with a credit score of at least 600, and if you can raise your credit score or add a co-applicant with better credit, you’ll qualify for a lower APR.

APR: From 8.99%-35.99% (as of 12/04/24)

Loan amounts: $2,000-$40,000

Loan terms: 3-5 years

Compare rates at Prosper | Read our full Prosper review.

What can a personal loan be used for?

You can use a personal loan for a variety of things, including:

• Debt consolidation: By combining multiple debts into a personal loan, you can stay organized with payments and potentially pay less in interest.
• Home renovations: Use a personal loan to help pay for important home renovations and improvements.
• Medical bills: Cover costly medical bills with a personal loan (like elective surgery, IVF, braces, emergency treatment).
• Emergencies: Unexpected expenses like car or home repairs might fit in this category.
• Large purchases: Use a personal loan to cover large expenses involved with weddings, holidays, family gatherings, or moving houses.

In general, a personal loan can be a good idea as long as you use the funds for their intended purpose. If it’s for debt consolidation, for example, be sure you can avoid spending the funds on a whim and you’ll actually use them to move toward debt payoff.

Alternatives to personal loans

If you need funds for a large purchase or to consolidate debt, there are plenty of alternatives to personal loans, including:

• Credit cards: A 0% intro APR credit card could help you avoid paying interest on purchases or balance transfers for a certain number of months, giving you time to pay down debt.
• Home equity loans or home equity lines of credit (HELOC): Home equity loans and HELOCs let you borrow money against the equity in your home.
• Personal lines of credit: Similar to a credit card, you can use a personal line of credit for different expenses up to the credit limit.
• Peer-to-peer (P2P) loans: Borrow money from individuals registered on P2P lending platforms.
• Retirement loans: Borrow money from your retirement savings, such as a 401(k) account (though I wouldn’t recommend this unless there’s no other option).

Personal loan lenders to avoid

I have to issue a word of warning here: Even if you’re in a desperate financial situation, you should avoid certain types of lenders if at all possible.

• Payday lenders: Payday lenders offer loans at a massively high interest rate for a short period, essentially to tide the borrower over until the next paycheck. Some states have set laws capping a maximum amount for payday loan fees ranging from $10 to $30 for every $100 borrowed, according to the Consumer Financial Protection Bureau.
• Title loan: If you own a vehicle and take out this type of loan, a lien is placed against your car title, using the vehicle as collateral. This is risky because if you don’t repay according to the loan terms — which typically includes sky-high interest rates — the lender may seize the car.

To ensure you’re working with a reputable lender, look up potential companies using the Better Business Bureau's website. Because lenders are required to register within the state where they do business, you can also check with your state attorney general’s office.

FAQs

Bottom line

Like any financial decision, the type of personal loan (and whether you should get one at all) depends on your circumstances. I recommend getting a personal loan provided that you’ll be able to make the payments and use the funds for their intended purpose. It can help you to pay for major purchases or consolidate debt. Look for a lender that offers discounts for autopay and that minimizes fees overall.