Money Research Collective’s editorial team solely created this content. Opinions are their own, but compensation and in-depth research determine where and how companies may appear. Many featured companies advertise with us. How we make money.
6 Best Personal Loans
By Stephanie Colestock MONEY RESEARCH COLLECTIVE
Compare quotes from multiple lenders. Get $200 if you find a better rate elsewhere.
$600 - $100,000
12 to 84 months
6.49% - 35.99%
Undisclosed
Offers some of the longest loan terms in the market. If you’re not satisfied after closing, you get $100.
5,000 to 100,000
2 - 12 years
6.94 - 25.29%
700+
Loans for up to $100k. Apply entirely online for a streamlined process. Offers unemployment protection.
24 to 84 months
$5,000 - $100,000
4.99% - 20.25%(with AutoPay)
680
Offers a lower APR than most credit unions and allows non-military consumers to apply.
Up to 60 months
Up to $50,000
As low as 5.99%
650
A personal loan can be a very helpful financial product, one that helps consumers cover a variety of expenses. These loans, which are offered by various banks, credit unions and financial institutions, can be used for nearly any purpose and are repaid over a period of years.
Choosing the best personal loan depends on how much you intend to borrow, what sort of monthly payment you can afford, and the interest rate for which you qualify. Be aware, though, that interest rates are subject to change, so it’s a good idea to look at the websites of the lending companies you’re interested in so you’re working with the very latest figures
Here’s a look at the six lenders we chose as our top personal loan picks for 2022 – and why they made the cut.
Our Top Picks for Best Personal Loans
- LightStream — Best Overall
- SoFi — Best Online Lender
- Credible — Best Loan Marketplace
- U.S. Bank — Best Bank Lender
- PenFed — Best Credit Union Lender
- Marcus by Goldman Sachs — Best Personalized Loans
Best Personal Loans Reviews
Bet Overall: LightStream
Why we chose this lender: LightStream is our pick for the best overall personal loan lender. It offers one of the widest ranges for both loan amounts and repayment terms, in addition to charging lower interest rates than many of their competitors and providing a rapid funding process for eligible borrowers.
- Wide range of loan terms
- Wide range of loan amounts
- Lower-than-average interest rates
- Quick funding
- Intended for borrowers with good (or better) credit
- No pre-approval or pre-qualification offered
- Term lengths
- 36 to 144 months
- Loan amounts
- $5,000 to $100,000
- APR Range
- 2.99% to 19.99% (with autopay discount)
- Minimum credit score to qualify
- 660+
If you’re looking for a simple personal loan that works for your budget and timeline, LightStream may have what you need. This lender offers a minimum loan amount of $5,000, and goes all the way up to $100,000, with repayment terms from 36 months to as long as 144 months in length. The combination of these features allows borrowers much more flexibility than LightStream’s competitors.
Interest rates are below industry average and a 0.50% annual percentage rate (APR) discount is offered to those who opt in for autopay. While LightStream doesn’t publish a minimum credit score for approval, they do have certain credit history requirements and prefer borrowers with good credit; expect a minimum FICO score from one of the three main bureaus of around 660 to be required, especially if you’re looking for the most competitive rates.
Speaking of competitive rates, LightStream guarantees that they’ll beat any qualified interest rate you’re offered from another lender. And if you’re unsatisfied with your loan experience, you can reach out after funding to take advantage of LightStream’s $100 satisfaction guarantee.
Applications for loans are created and submitted entirely online and take just a few minutes to complete. Once you’ve been approved, funds can be deposited into your bank account as soon as the same day. It’s important to note, though, that LightStream doesn’t offer loan pre-qualification, so a hard credit inquiry is required in order to see whether you qualify and which interest rates you’ll be offered.
Best Online Lender: SoFi
Why we chose this lender: With an easy-to-navigate web platform and a 60-second loan decision process, SoFi is our top pick among online lenders. SoFi also offers quick loan funding, a wider range of loan amounts compared to many other lenders, and below-average interest rates.
- Wide range of loan amounts
- Online pre-approval in 60 seconds with no credit impact
- Same-day funding available
- Rates are competitive, but not as low as some of the other lenders on this list
- Not available in all states
- Term lengths
- 24 to 84 months
- Loan amounts
- $5,000 to $100,000
- APR
- 5.74% to 21.28% (with discounts)
- Minimum credit score to qualify
- No minimum
SoFi offers loans from $5,000 all the way up to $100,000. It has an entirely-online application process, where you can check your rate in just 60 seconds without affecting your credit. If approved, your loan can be funded as soon as that same day.
SoFi personal loans come in repayment terms from two to seven years in length. While interest rates aren’t the lowest possible, they do fall below the national average for personal loans — especially when you factor in available discounts, such as 0.50% for autopay. There is no minimum credit score required to qualify for a SoFi personal loan, though most borrowers have good to excellent credit.
Personal loans from SoFi are not currently available in Mississippi.
Best Loan Marketplace: Credible
Why we chose this lender: This feature-rich online marketplace allows borrowers to shop around for quotes from multiple lenders — and to investigate a wide range of personal loan options — making it easy to find the best possible terms in just minutes.
- Easily compare personal loan offers from multiple providers
- Pre-qualification and no-cost quotes available
- Best Rate Guarantee
- Wide range of loan amounts
- Credible doesn't service any loans
- Each lender's requirements may vary
- Funding can take days
- Term lengths
- 12 to 84 months
- Loan amounts
- $600 to $100,000
- APR
- 5.40% to 35.99%
- Minimum credit score to qualify
- Varies
When you’re trying to find the best possible loan terms, shopping around with multiple lenders can be key. Credible makes it easy for borrowers to do exactly that, enabling them to get rates and loan term offers from various partner lenders at one time on the Credible marketplace, all without affecting their credit score.
Credible’s partners offer personal loans for as little as $600 or as much as $100,000. Interest rates range from 2.49% up to 35.99%, depending on the lender as well as the borrower’s creditworthiness. And if Credible can’t find you the best possible rate on your loan, you’ll get a $200 giftcard courtesy of their best rate guarantee.
Funding times can vary from one lender to the next, though many partner financial institutions offer same- or next-day funding. It’s also important to note that even though you’re shopping for a loan on Credible’s site, Credible won’t actually be offering (or servicing) any of the loans — they merely act as a broker. It’s a good idea, then, for consumers to check out the lender(s) recommended by Credible before signing on the dotted line by reading over their websites carefully and asking questions that may arise.
Best Bank Lender: US Bank
Why we chose this lender: As one of JD Power’s top-ranked banks in the 2021 U.S. Retail Banking Survey — earning above-average marks across the country, and the number one slot in the California region — U.S. Bank offers a high-satisfaction experience for borrowers. They allow personal loans up to $50,000, funding within hours (in many case), and do business nationwide.
- Wide range of loan amounts
- Funds available within one business day
- Lower credit score requirement (660+)
- Lower loan limits for non-banking customers
- Term lengths
- 12 to 84 months (60 for non-banking customers)
- Loan amounts
- $1,000 to $50,000 (for existing banking customers; maximum of $25,000 otherwise)
- APR
- 5.99% to 19.49%
- Minimum credit score to qualify
- 660+
Taking out a personal loan from a nationwide bank can have many benefits, whether you’re an existing customer and want to link your accounts or prefer to manage your financial products in person with a live representative.
That’s why U.S. Bank is our pick for the best bank lender: they offer an online process for existing banking customers and give non-customers the opportunity to go into a local branch and finalize their loan. Once the loan is closed, funds are available within one business day.
U.S. Bank personal loans of $600 to $50,000 are available to banking customers; for non-customers, the limit is $25,000. There is a credit score requirement of 660 or higher to qualify, though a higher credit score may qualify you for a lower rate (which ranges from 5.99% to 19.49% APR).
Best Credit Union Lender: PenFed
Why we chose this lender: PenFed snags our top pick for the best credit union lender, offering a robust network of branches nationwide as well as quick funding and a range of personal loan amounts from which to choose.
- Wide range of loan amounts
- Nationwide network of branches
- Funding in as little as a day
- Personal loans are only available to credit union members
- Shorter loan terms than many other lenders
- Term lengths
- 12 to 60 months
- Loan amounts
- $600 to $50,000
- APR
- 4.99% to 17.99%
- Minimum credit score to qualify
- Not specified
PenFed is one of the three largest credit unions in the U.S. (in terms of customers and assets), with more than 50 local brick-and-mortar branch locations. For borrowers who want a personal loan from a credit union that allows for in-person transactions and account management, PenFed takes the win.
Personal loans from PenFed can range from $600 to $50,000 with funding in as few as 1-2 business days once approved. Interest rates can be as low as 4.99% APR while repayment terms are up to 60 months in length.
PedFed offers an online application process, and potential borrowers can check their rate without affecting their credit. Non-credit union members can also check their rate and loan options; however, in order to proceed with a personal loan, applicants will need to apply for PenFed membership.
Best Loan Personalization: Marcus by Goldman Sachs
Why we chose this lender: With loan payment due dates that can be changed (and then changed again, up to three total times over the course of the loan) Marcus is our pick for the best loan personalization.
- Reward for on-time payments
- Personalized due date that can be changed
- Higher interest rates than other lenders on this list
- Funding can take multiple days
- Term lengths
- 36 to 72 months
- Loan amounts
- $3,500 to $40,000
- APR
- 6.99 to 19.99%
- Minimum credit score to qualify
- Not specified
Another online bank, Marcus by Goldman Sachs, offers easy personal loans with no fees and competitive interest rates. The personal loan application process takes about four minutes to complete online, though the time it takes to fund your loan can range from one to four business days.
Personal loans from Marcus range from $3,500 to $40,000 with an APR of between 6.99% and 19.99%. Loan terms are more limited than with other lenders, ranging only from three to five years in length.
Marcus, however, offers several perks. Borrowers are able to choose the payment due date that works best for them — and this can be changed up to three times over the course of the loan. After 12 on-time payments, a payment reward is available. This reward allows the borrower to defer up to one payment at any time (without accruing additional interest or late fees), as long as the borrower’s loan is still in good standing.
Other companies we considered
Though we chose these six companies as our best personal loan lenders and marketplace platforms, we also considered a few others that are well worth mentioning.
For instance, we also looked at Upstart, a loan marketplace that matches borrowers with lenders offering competitive loan terms. With Upstart, credit score isn’t the most important factor; by taking into account things like education and work experience, Upstart sometimes approves borrowers with lower credit scores and offers them larger loans.
We also looked at Best Egg, which offers personal loans up to $50,000 and funding in as little as a day. However, Best Egg charges origination fees which will add to the borrower’s overall cost of the loan.
Personal Loans Guide
How do personal loans work?
A personal loan is a financial product that lets people borrow a lump sum of money and pay it back in installments over a specified period of time. As part of the loan arrangement, lenders charge interest which is paid as part of the scheduled monthly payments. Unlike mortgages, car loans, and home equity loans, personal loans are unsecured. The advantage to an unsecured personal loan is that it’s much harder for lenders to seize the borrowers’ assets in case of default. The disadvantage, however, is that personal loan interest rates tend to be higher than those charged on secured loans.
Personal loans can be used for pretty much any purpose (though not for illegal activity, gambling, or, in many cases, paying for educational expenses); often, personal loans are used for credit card debt consolidation (or other high-interest debt consolidation), medical expenses, home improvement projects, or big expenses such as a wedding or trip.
How many personal loans can you have at once?
There is no limit to the number of personal loans you can have at one time, whether from one lender or a number of different lenders. In theory, you can take out as many personal loans as you want, to cover a variety of financial purposes.
With that said, many lenders will take into account your overall debt burden when deciding whether or not to approve your loan application. If you have multiple outstanding loans and a monthly debt obligation that is too high compared to your annual income, you may be denied additional loans.
How to get a personal loan
The process for getting a personal loan depends on the lender you choose and the details of the loan. In general, though, here’s what to expect when applying for a personal loan:
- Check your rate through a potential lender. Shopping around before choosing a personal loan can help ensure that you find the lowest rates and best possible loan terms. You can often check your rate and/or loan pre-approval without hurting your credit or getting a hard inquiry on your credit report.
- Enter any requested personal information. You’ll typically need to provide certain information when applying, such as your name, address, date of birth, income, employment status and more.
- Choose your loan terms, including the amount you want to borrow and the repayment period. It’s time to choose your loan amount and how long you want to have to repay that loan.
- Submit additional documentation. Some lenders will ask you to provide additional information or upload certain documents, such as social security number, proof of employment or proof of income.
- Wait for funds to be disbursed. Once your loan is approved, it’s time for it to be funded. Depending on the lender and when approval is given, funding can happen as soon as the same day, or within a few business days.
Once your personal loan has been funded, you can spend the money as you see fit — well, within the lender’s limitations, of course. Your repayments will start within about a month, and you’ll be expected to make a payment on your debt each month — according to your loan agreement — until the balance is satisfied.
How We Found the Best Personal Loans
In order to find the best personal loans and lenders, we compared many important factors. Our methodology looked at:
- The ease with which borrowers can apply for a loan, and whether they are able to see rates without a hard credit check
- Each lenders’ personal loan limits (minimum/maximum loan amount) and interest rates, as well as their fee structures, including late fees, origination fees, and prepayment penalties
- Eligibility requirements such as minimum credit score and debt-to-income ratio (DTI), if applicable
- How quickly loans can be funded
Summary of the Best Personal Loans of 2022
- Best Overall: LightStream
- Best Online Lender: SoFi
- Best Loan Marketplace: Credible
- Best Bank Lender: U.S. Bank
- Best Credit Union Lender: PenFed
- Best Loan Personalization: Marcus
Stephanie Colestock is a DC-based personal finance writer with nearly 11 years of freelance writing experience. She covers a wide range of finance-related topics and is currently working toward her CFP®️ certification. Her work appears on sites such as Business Insider, MSN, Fox Business, CNET, Investopedia, and more.