Should I Get a Personal Loan?

Consider a personal loan if you’re consolidating debt or need to fund a large expense like a home remodel.
Ronita Choudhuri-Wade
Jackie Veling
By Jackie Veling  and  Ronita Choudhuri-Wade  
Updated
Edited by Kim Lowe  

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A personal loan is a way to consolidate high-interest debt or finance a large expense like a home improvement project. Interest rates on personal loans can be lower than on some credit cards, especially if you have good credit.

But financial experts typically advise against using a personal loan for that beach vacation or the latest flatscreen TV. For discretionary purchases like these, paying with cheaper options like a 0%-interest credit card or money you’ve saved up is best.