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Personal Loans Reviews

Personalloans.com Reviews - Logo

1. PersonalLoans.com Review

Ideal for short-term loans

No minimum credit score required

Quick application process

Speedy approvals

LOAN AMOUNTS

$500 to $35,000

LOAN TERM

3 to 72 months

APR RANGE

5.99% to 35.99%

MIN. CREDIT SCORE

None

FEES

No

FUNDING TIME

1 business day

YEARS IN BUSINESS

19 years

BBB RATING

Not rated

MIN. REVENUE

Varies

AVAILABILITY

All 50 states

Loans Under 36 Reviews - Logo

2. LoansUnder36 Review

Low credit scores accepted

One application for all lenders

Good repayment terms

No fees

LOAN AMOUNTS

$500 - $35,000

LOAN TERM

60 days to 72 months

APR RANGE

5.99% - 35.99%

MIN. CREDIT SCORE

None

FEES

Vary by lender

FUNDING TIME

24 hours

AVAILABILITY

Almost all 50 States

AmOne Reviews - Personal Loans Reviews

3. AmOne Review

No credit score check

Range of loan terms

Loans without collateral

Quick and easy application process

LOAN AMOUNTS

$1,000 to $50,000

LOAN TERM

Two to seven years

APR RANGE

3.99% to 35.99%

MIN. CREDIT SCORE

N/A

FEES

None

FUNDING TIME

Up to five business days

YEARS IN BUSINESS

20 years

BBB RATING

A+

MIN. REVENUE

Varies

AVAILABILITY

All 50 states

Guide to Lenders Review - Personal Loans Reviews

4. Guide to Lenders Review

Reputable lenders

No hard credit pull

All-purpose loans

Competitive rates

LOAN AMOUNTS

$1,000 to $50,000

LOAN TERM

24 to 84 months

APR RANGE

3.99% to 35.99%

MIN. CREDIT SCORE

None

FEES

No

FUNDING TIME

Up to 5 business days

YEARS IN BUSINESS

15

BBB RATING

A+

MIN. REVENUE

Varies

AVAILABILITY

All 50 states

5k Funds Review - Personal Loans Reviews

5. 5kfunds Review

Flexible terms and low fees

Offers options for individuals with low credit scores

Various types of financing available

Complete loan process transparency

LOAN AMOUNTS

$1,000 - $35,00

LOAN TERM

2 to 72 months

APR RANGE

5.99% - 35.99%

MIN. CREDIT SCORE

N/A

FEES

Vary from lender to lender

FUNDING TIME

24 hours

AVAILABILITY

All 50 States

CREDIT CHECK COMPANY

Experian, Equifax, TransUnion

Fiona Reviews - Personal Loans Reviews

6. Fiona Review

Reputable lenders

Low credit score requirements

Automatic repayments

Fast funding

LOAN AMOUNTS

$1,000 to $100,000

LOAN TERM

Two to seven years

APR RANGE

4.99% to 35.99%

MIN. CREDIT SCORE

580

FEES

No

FUNDING TIME

Up to five business days

YEARS IN BUSINESS

Five years

BBB RATING

No rating

MIN. REVENUE

Varies

AVAILABILITY

All 50 states

An Introduction to Personal Loan Reviews

A personal loan can help you alleviate financial hardships, cover the expenses of a large purchase, or simply supplement an expected or unexpected costly occurrence. If used and repaid in a timely and correct manner, personal loans can be very beneficial in reaching a specific financial goal.

As we reveal in the personal loans reviews on this site, interest rates can be as low as 6%, making these loans the least expensive financial solution for many borrowers.

Many aspects of lending are legally regulated, so lenders often differentiate themselves by competing on features like low fees, soft credit pulls, and speedy funds availability.

With every loan, you repay the amount you borrow – the principal – along with an amount of interest defined by the interest rate. The interest rate and the annual percentage rate are not the same thing.

In addition to interest, the APR includes all the fees and other costs associated with the loan, expressed as a percentage of the amount borrowed. If you want to compare the true costs associated with potential loans, compare the APRs.

Reasons to Get a Personal Loan

The best company for a personal loan might be the one that doesn’t ask a lot of questions about why you need to borrow money. While you’re allowed to take out a personal loan for almost any reason – or no specific reason at all – borrowers typically take out loans when they need money for a particular reason such as big-ticket purchases or home improvements.

If you can qualify for funding, a personal loan could offer the best solution to cover the costs of your project.

Here are some of the most common reasons people take out personal loans:

  • Buying a house
  • Making home repairs
  • Paying for a wedding
  • Buying a car
  • Paying for higher education
  • Covering unplanned emergencies
  • Consolidating debts

Unlike credit cards, which can be fine for smaller expenses that you can repay each month, personal loans are best suited for spreading out the expense of larger purchases or projects over several years.

The best personal loans typically come with fixed interest and monthly payments that save you money compared to paying with credit cards.

Overall, taking out a personal loan can be a smart decision when it’s the least expensive type of funding, when it can improve your overall financial standing, and when payments don’t stress your budget too much.

On the other hand, getting a personal loan to pay for a tropical vacation or an extravagant shopping trip can be unnecessarily expensive. If you need money for an emergency or medical expenses, you may find alternative funding sources such as community assistance or provider payment plans a better alternative.

Types of Personal Loans

This introduction to personal loan reviews focuses on unsecured loans with fixed repayments, which are quite common. Many of the lenders we cover provide additional types of loans: personal lines of credit, secured loans, mortgages, variable-rate loans, and more.

To determine what funding type works best for you, we suggest you evaluate your overall financial situation by considering factors such as the purpose of the loan, your credit score, and how much time you need for repayment.

Here’s an overview of the most common options:

Unsecured Personal Loans

Let’s start with the unsecured personal loan. “Unsecured” means that there is no collateral to provide security to the lender. This means the lender is taking a bigger risk, and you can therefore expect a higher interest rate than you would pay with a secured loan. It might take a higher credit score to qualify.

The unsecured personal loan is a type of installment loan, which means that it is repaid in a series of regularly scheduled payments, or installments.

Overall, this financing solution can be a good option if you have a good credit score, don’t mind an interest rate of 5% to 36%, and prefer a regular monthly repayment schedule.

Secured Personal Loans

A secured personal loan is an installment loan backed by collateral. A loan company may accept your house, land, vehicle, or any other valuable asset as collateral. If you default on your personal loan, the lender will resort to seizing your collateral to cover the remaining loan balance.

Considering that the lender’s risk isn’t that high with this funding type, it’s much easier to qualify for larger loan amounts and you will be offered lower rates and fees compared to an unsecured loan.

The most common examples of secured financing are car loans (secured by your vehicle), and mortgages (secured by your real estate).

Fixed-Rate Loans

With fixed-rate personal loans, you get some peace of mind in knowing that both your interest rate and monthly payment won’t change for the duration of the loan. If rising rates on long-term loans concern you and you want consistent monthly payments, you should consider a fixed-rate personal loan.

The only downside of this funding solution – even with the best personal loan companies – is that you won’t benefit if rates fall.

Variable-Rate Loans

Unlike fixed-rate funding, variable-rate loans come with interest rates that can fluctuate depending on the health of the national economy. Rates can’t rise and fall without a limit, as there’s usually a cap on how much they can vary over a certain period.

Variable-rate loans tend to have lower personal loan interest rates and APRs compared to fixed-rate options. Applying for a variable-rate loan makes sense if you opt for a short repayment period. Although rates may rise, it’s unlikely that they’ll surge.

Debt Consolidation Loans

A debt consolidation loan consolidates multiple debts into a single new loan. These loans can save you a lot of money if you pay off high-interest credit-card debt and other bills with a low-interest alternative. Borrowers use this type of funding to pay off medical bills, payday loans, credit card bills, loans from friends and family, and other debts.

Combining all of your debts into one affordable monthly payment, can help you reduce your total monthly costs and potentially spread out repayment over a longer term. Offered by some of the top personal loan lenders, this financing solution can be a good choice providing that it offers a lower APR than your existing loans.

Co-Signed Loans

You should consider applying for a joint or co-signed personal loan if you have a thin credit history and can’t qualify on your own. The second borrower will share the responsibility for repaying the loan and act as insurance for the lender.

Adding a co-signer who has an excellent credit score can improve your chances of qualifying for affordable rates and favorable terms on personal loans.

Personal Lines of Credit

Given that it works as revolving credit, a personal credit line is more like a credit card than a loan. With this funding type, you get access to a line of credit that you can withdraw from multiple times, whenever you need the money.

You pay interest only on the outstanding balance – the amount you’ve borrowed and haven’t yet repaid. A line of credit can be the best personal loan type for covering on-going and emergency expenses.

Payday Loans

Payday loans are short-term unsecured loans that come with high interest rates and APRs. Loans are limited to just a few hundred dollars, and repayment is due in full on the borrower’s next payday. Unless you’re absolutely sure that you won’t need to take out additional loans to pay the first, we suggest you explore other options.

How to Qualify for a Personal Loan

Once you decide what kind of loan you want, take some time to shop around and compare lenders’ rates and fees. Make sure you read all the fine print to find out whether you’re eligible for discounts or if something in your history might disqualify you.

The many personal loans reviews we have conducted show that no two loan providers weigh the prospective borrower’s credit and non-credit factors in the same way. Although lenders have the final say on eligibility, there are a few things you can do to strengthen your credit profile and increase your chances of qualifying for a loan.

Here’s an overview of factors that lenders may take into account when assessing your loan eligibility:

Credit Factors

With some lenders, you can get approved for a personal loan with a credit score as low as 500. However, it’s highly likely that you won’t qualify without collateral – and even in the best-case scenario, you’ll pay much higher personal loan rates.

For Americans, FICO is the standard credit scoring model. According to this model, a consumer’s personal credit score is calculated using a few different pieces of financial data such as length of credit history, amounts owed, repayment history, credit mix (different types of credit), and new credit (information about recent credit inquiries).

Non-Credit Factors

When deciding whether to fund your application, many lenders go beyond checking your credit score and take additional factors into consideration. Lenders may evaluate your age, location, employment, citizenship status, education, and assets.

The age threshold can vary from state to state. However, a prospective borrower applying for a personal loan in the USA must be at least 18 years old to qualify.

Given that not all loan providers offer their services nationwide, you’ll need to be sure the lender you pick operates in your state of residence.

Depending on the lender’s policy, you may be asked to demonstrate that your income is stable by providing bank records and employment details.

Most American lenders require that loan applicants be citizens or permanent residents of the United States.

If you’re planning to apply for an education-related loan, remember that you’ll need to meet minimum education standards imposed by the lender.

Finally, keep in mind that personal loan companies may also factor in both your liquid and non-liquid assets when assessing your application.

Liquid assets are cash and other assets that can quickly be sold and converted to cash – mutual funds or treasury bills, for instance. Non-liquid assets include real estate, heavy machinery, and other belongings that may take longer to convert into cash.

FAQ

Can I get a personal loan with bad credit?

Yes you can - but you should be prepared to shop around and compare the terms offered by different lenders. Fortunately, many lenders look beyond your personal credit score and take other factors into account when assessing loan applications. However, if your credit score is below 550, you’ll probably have a hard time finding a lender that will offer a large loan. Keep in mind that even the best personal loan for bad credit may come with a high interest rate.

Do personal loans hurt credit?

It’s hard to give a simple answer to this question. During the process of pre-approval, most lenders perform a “soft” credit check to give you an estimate of rates that you’ve qualified for. As this type of credit check won’t affect your score, it makes sense to apply with multiple personal loan providers and compare their preliminary offers. After you’ve made your choice on the best place to get a personal loan and settled on a particular lender’s rates and terms, you’ll proceed with a formal loan application. At this stage, you may be required to submit additional personal information and authorize a hard credit check, which may affect your score by a few points. If you make payments in a timely way and retire your loan, it will contribute to your good credit score. If you make late payments or default, a personal loan will hurt your score. During the period of the loan, the borrowed amount is added to your overall indebtedness. A high level of debt can harm your score.

How fast can I get a personal loan?

Depending on the lender, loan approval can take anywhere from five minutes to several weeks. If you apply for a personal loan online or from a peer-to-peer lender, you can expect your loan to be approved in just a few minutes and funded the same day. Unlike most online loan companies and lending marketplaces, financial institutions such as banks and credit unions can take a few weeks to process loan applications. So if you need the money fast, online lenders are the way to go.

Is it a good idea to get a personal loan?

We have learned during the research we have conducted for personal loans reviews that this type of funding can be a good idea for consumers who have excellent credit and a specific loan purpose in mind. If you have a low credit score and a thin credit history, you’ll probably have to settle with small loan amounts with high interest rates and fees. Paying off one of those loans promptly and reliably can help you qualify for a better loan next time.