Best Personal Loan Lenders of July 2025

A closer look at the best personal loan lenders

You can get a personal loan from online lenders, banks and credit unions. The best place to get a personal loan is from a lender that gives you the rate, term and features that fit your financial situation.

Here’s what makes our picks for the best personal loan lenders stand out:

SoFi: Best for good to excellent credit

Although SoFi doesn’t have a specific credit score requirement, the lender told NerdWallet that it caters its loans to good- and excellent-credit borrowers. The average borrower with a SoFi personal loan has a credit score of 745.

LightStream: Best for home improvement

One of the most common reasons borrowers choose a LightStream personal loan is for home improvement. LightStream offers loans of up to $100,000, which can fund expensive remodels or home addition projects. Repayment terms of up to 20 years are available for home improvement loans over $25,000.

Discover: Best debt consolidation loans

Debt consolidation is one of the most common reasons borrowers get a Discover personal loan. Discover streamlines the debt consolidation process by sending loan proceeds directly to your creditors, saving you from having to do that step. The lender says it can send funds to creditors in one business day after loan approval.

Upstart: Best for short credit history

Even if you have a thin credit file or no credit history, you may be able to qualify for an Upstart personal loan. Instead of relying strongly on a loan applicant’s credit history, Upstart has an AI-based underwriting model that considers alternative data, such as education and work experience, during the loan approval process.

Upgrade: Best for bad and fair credit

The minimum credit score for an Upgrade personal loan is 580, which makes it ideal for borrowers with bad or fair credit (scores in the low 600s or lower). Upgrade also offers secured and joint loans, so bad- and fair-credit borrowers can add collateral or a co-borrower to their loan application to boost their chances of approval.

Best Egg: Best for secured loans

Best Egg offers lower annual percentage rates and larger loan amounts for its secured loans. You can secure a Best Egg personal loan in two ways: with a homeowner-secured loan or with an auto-secured loan. Homeowners can use permanent fixtures in their home, like built-in cabinets or bathroom vanities, as collateral.

LendingClub: Best for joint personal loans

To strengthen your loan application, you can add a co-borrower with a higher credit score or income when applying for a LendingClub personal loan. With a joint personal loan, both applicants get access to the loan and are responsible for making monthly payments.

Where to get a personal loan

Online lenders: Online lenders offer a streamlined loan process and typically provide the fastest funding times. There are online lenders that cater to borrowers across the credit spectrum.

Banks: Bank lenders typically require borrowers to have good to excellent credit (scores in the mid-600s or higher). Some banks provide rate discounts and perks to existing customers.

Credit unions: Credit unions are usually more willing to lend to borrowers who have fair or bad credit, but to get a personal loan from a credit union, you must first be a member. Federal credit unions cap interest rates at 18%.

» MORE: Online vs. in-person loan: Which is better?

How to compare the best personal loan lenders

Here are things to consider as you shop for a personal loan.

Pre-qualification. Many lenders let you pre-qualify online to check your estimated interest rate and loan terms. This process involves a soft credit check, which won’t affect your credit score. It pays to pre-qualify for a loan with multiple lenders and compare offers and loan features.

Annual percentage rates. Because APRs include interest rates and fees, they provide an apples-to-apples cost comparison for borrowers deciding between personal loan offers. Personal loan interest rates differ by lender, and the rate you receive depends on factors like your credit score, income and debt-to-income ratio (DTI). Use our personal loan calculator to see how APR affects monthly payments and total loan costs.

» MORE: See average personal loan rates

Fees: Some lenders charge origination fees to cover the cost of processing the loan. Lenders typically deduct this fee before sending the funds, but it is included in the loan’s annual percentage rate. Some lenders also charge a late fee if you miss a payment’s due date and a nonsufficient funds fee if you authorize a payment but don’t have enough money in your bank account.

Funding time. The time it takes to get a personal loan can depend on the type of lender. Many online lenders will approve your application and send funds within a day or two after you apply. Banks and credit unions may take up to a week.

Repayment terms. Lenders may offer a wide variety of repayment terms. They typically range from two to seven years. A shorter-term loan means you’ll pay less interest, while a longer repayment term gives you lower monthly payments. Based on your budget, one may make more financial sense than the other.

Loan amount. Depending on how much money you need, certain lenders could be a better fit than others. Most lenders offer small to midsize loan amounts of $2,000 to $50,000, but some provide up to $100,000. Determine the amount you need, whether that means adding up your credit card debt to consolidate or getting a cost estimate on a home improvement project, and compare lenders that can offer that size loan.

Special features. See if the lender you’re considering offers any perks that could help you reach your financial goals. You may benefit from features like payment flexibility, financial planning or rate discounts for setting up autopay.

Explore the top personal loans and lenders in each of these categories:

• Personal loans for good credit.

• Bad credit loans.

• Best debt consolidation loans.

• Fast personal loans.

• Small personal loans.

How to get a personal loan

1. Check your credit. Your credit score is a primary factor lenders use to determine whether you qualify for a personal loan and the rate you receive. Resolve any errors that might be hurting your score and, if you can, pay down debts to reduce your DTI ratio. Get a free credit report with NerdWallet or at AnnualCreditReport.com.

2. Pre-qualify with multiple lenders. Pre-qualifying gives you an idea of the rate and terms you can expect. Compare pre-qualified offers to find the lowest APR and monthly payments that fit your budget.

3. Apply. The formal application process usually requires documents to verify your identity and income. Once approved, you’ll typically receive your loan funds within a week.

Pros and cons of personal loans

Depending on your financial situation and the loan’s purpose, a personal loan can be the right move or one you should sidestep.

Pros

Lower starting APRs than credit cards. For borrowers with strong credit, personal loans typically have lower APRs than credit cards. While some credit cards offer 0% interest during an introductory period, the rates are generally higher after the period ends.

» MORE: Personal loans vs. credit cards: What’s the difference?

Fixed rates and monthly payments. Personal loans have fixed rates and monthly payments over a set term, so you always know what you owe and for how long. Other financing options like home equity lines of credit have variable rates, meaning the monthly payments fluctuate.

Flexible loan amounts. Depending on the lender and your creditworthiness, you may have access to personal loan amounts of $1,000 to $100,000. This range meets a wide variety of expenses, from small emergencies to large home improvement projects.

No collateral. Unlike home equity loans that require you to secure the loan with your house, unsecured personal loans don’t require collateral. You risk hurting your credit if you can’t repay, but you won't lose any assets.

» MORE: Home equity loans vs. personal loans: Which is best?

Cons

Maximum APRs can be high. If you have a low credit score, APRs on personal loans can be higher than credit card APRs.

Possible fees. Borrowers may have to pay fees — like origination or late fees — along with their loan payments.

Increases debt. Taking a personal loan adds debt to your budget, so it's important to factor in the additional obligation and feel comfortable about paying it off.

» MORE: Pros and cons of personal loans