Annie Millerbernd
Nicole Dow
Kim Lowe
A personal installment loan is money you borrow in a lump sum, can use for a variety of purposes and repay with interest over a term of months or years.
Checking rates is free and won't impact your credit score.
Best for installment loans for rate discounts
2025 NerdWallet award winner
7.74 - 35.99%
$1K - $50K
600
2 to 7 years
Upgrade accepts lower credit scores than similar lenders, and it offers multiple rate discounts for its personal loans.
Read our review of UpgradeUpgrade accepts lower credit scores than similar lenders, and it offers multiple rate discounts for its personal loans.
Read our review of UpgradeBest for installment loans for home improvement
2025 NerdWallet award winner
6.49 - 24.89%
$5K - $100K
660
2 to 7 years
LightStream is a solid option for good- and excellent-credit borrowers, with no fees and a promise to beat competitors’ rates.
Read our review of LightStreamLightStream is a solid option for good- and excellent-credit borrowers, with no fees and a promise to beat competitors’ rates.
Read our review of LightStreamBest for installment loans for joint borrowers
2025 NerdWallet award winner
7.90 - 35.99%
$1K - $60K
600
2 to 7 years
A LendingClub personal loan is a standout option for qualified borrowers who want to pay off debt with flexible terms.
Read our review of LendingClubA LendingClub personal loan is a standout option for qualified borrowers who want to pay off debt with flexible terms.
Read our review of LendingClubBest for fast-funded installment loans
8.01 - 29.99%
$2K - $45K
640
3 to 5 years
Rocket Loans is a solid online loan option for good- to excellent-credit borrowers who need to borrow money fast.
Read our review of Rocket LoansRocket Loans is a solid online loan option for good- to excellent-credit borrowers who need to borrow money fast.
Read our review of Rocket LoansBest for secured installment loans
6.99 - 35.99%
$2K - $50K
600
3 to 5 years
Best Egg is worth considering for borrowers looking for a secured loan or to consolidate debt.
Read our review of Best EggBest Egg is worth considering for borrowers looking for a secured loan or to consolidate debt.
Read our review of Best EggBest for installment loans for short credit history
6.70 - 35.99%
$1K - $75K
None
3 to 5 years
Upstart personal loans offer fast funding and may be an option for borrowers with low credit scores or thin credit histories. Upstart is a solid financing choice for large purchases.
Read our review of UpstartUpstart personal loans offer fast funding and may be an option for borrowers with low credit scores or thin credit histories. Upstart is a solid financing choice for large purchases.
Read our review of UpstartBest for installment loans for debt consolidation
11.69 - 35.99%
$1K - $50K
560
3 to 5 years
A Universal Credit personal loan may be a smart choice for borrowers with lower credit scores who want to consolidate debt.
Read our review of Universal CreditA Universal Credit personal loan may be a smart choice for borrowers with lower credit scores who want to consolidate debt.
Read our review of Universal CreditBest for bad-credit installment loans
9.95 - 35.99%
$2K - $35K
550
2 to 5 years
Avant personal loans are a solid option for fair- and bad-credit borrowers who need fast funding, but their rates and origination fees can be high.
Read our review of AvantAvant personal loans are a solid option for fair- and bad-credit borrowers who need fast funding, but their rates and origination fees can be high.
Read our review of AvantOur team of consumer lending experts follows an objective and robust methodology to rate lenders and pick the best.
30+
Lenders reviewed
We review over 35 lenders, including major banks, top credit unions, leading digital platforms, and high interest installment lenders operating across multiple states.
25+
Categories assessed
Each lender is evaluated across five weighted categories and 27 subcategories, covering affordability, eligibility, consumer experience, flexibility, and application process.
60+
Data points analyzed
Our team tracks and reassesses hundreds of data points annually, including APR ranges, fees, credit requirements, and borrower tools, ensuring up to date, accurate comparisons.
We evaluate more categories than competitors and carefully weigh how each factor impacts your experience.
NerdWallet’s review process evaluates and rates personal loan products from more than 30 financial technology companies and financial institutions. We collect over 60 data points and cross-check company websites, earnings reports and other public documents to confirm product details. We may also go through a lender’s pre-qualification flow and follow up with company representatives. NerdWallet writers and editors conduct a full fact check and update annually, but also make updates throughout the year as necessary.
Our star ratings award points to lenders that offer consumer-friendly features, including: soft credit checks to pre-qualify, competitive interest rates and no fees, transparency of rates and terms, flexible payment options, fast funding times, accessible customer service, reporting of payments to credit bureaus and financial education. Our ratings award fewer points to lenders with practices that may make a loan difficult to repay on time, such as charging high annual percentage rates (above 36%), underwriting that does not adequately assess consumers’ ability to repay and lack of credit-building help. We also consider regulatory actions filed by agencies like the Consumer Financial Protection Bureau. We weigh these factors based on our assessment of which are the most important to consumers and how meaningfully they impact consumers’ experiences.
NerdWallet does not receive compensation for our star ratings. Read more about our ratings methodologies for personal loans and our editorial guidelines.
Here’s what makes our picks for the best personal installment loans stand out.
Upgrade offers multiple ways to get a rate discount on a personal installment loan. You can get your rate lowered by 0.50 percentage points for setting up automatic loan payments. You can save 1 to 3 percentage points off your rate when you get a debt consolidation loan and authorize the lender to send funds directly to your creditors. Upgrade also offers rate discounts if you have another Upgrade product, such a checking account, or if you secure your personal loan with a vehicle.
LightStream offers some of the highest loan amounts and the longest repayment terms for its home improvement installment loans. You can borrow up to $100,000 and take as long as 20 years to repay the loan (as long as it’s over $25,000).
LendingClub lets you add a co-borrower to a personal installment loan application. Adding a co-borrower with a higher credit score or income may increase your chance of loan approval or qualifying for a larger loan amount or lower interest rate.
Rocket Loans can fund a personal installment loan the same day you apply if the loan agreement is signed before 4 pm ET on a business day. Fast funding can be crucial if you need cash for an emergency.
Best Egg offers two ways for you to secure a personal installment loan. You can either use a vehicle as collateral or permanent fixtures in your home, like built-in cabinets. One of the benefits of getting a secured loan from Best Egg is that the rates are lower than its unsecured personal loans.
Many lenders rely on an applicant’s credit history to determine approval for a personal installment loan, but Upstart will consider applicants with thin credit files or no credit history at all. Instead, the lender uses an AI-based underwriting model that factors nontraditional data, like education and work experience, into the loan approval process.
One of the top reasons borrowers get a personal installment loan from Universal Credit is to consolidate high-interest credit cards and debt. The lender offers direct payment to creditors, which streamlines the consolidation process. Universal Credit also offers a 1 to 3 percentage point rate discount if you authorize sending the loan proceeds directly to your creditors.
Avant has a minimum credit score requirement of 550, which makes it a fitting choice for borrowers with bad credit (a score below 630). The lender says its typical borrower has a credit score of 652, which is considered fair credit (scores from 630 to 689).
An installment loan is a loan you borrow in a lump sum and repay in smaller increments, plus interest, over regular intervals of time. The interest rate is usually fixed and the payments, which are often made monthly, remain the same throughout the life of the loan.
Personal installment loans can be used for a variety of purposes including debt consolidation, home improvement projects, car repairs, medical procedures, large purchases, weddings and travel. These loans typically range from $1,000 to $100,000 with repayment terms from two to seven years. Reputable lenders cap annual percentage rates (APRs) at 36%.
Lenders will check your credit report when evaluating your loan application. Checking your credit report in advance will give you the chance to spot any errors and correct them before you apply. You can view your credit report for free on NerdWallet or at AnnualCreditReport.com. Many loan providers require fair credit or better (a score of at least 630) to qualify for a personal loan. If you have bad credit, consider taking steps to improve your credit before applying.
Review your income and expenses to see how much you can afford to pay toward an installment loan each month. Then, use an installment loan calculator to determine what APR and repayment term you’d need to get affordable monthly payments. A longer repayment term can result in lower monthly payments, but you’ll end up paying more in overall interest. Applicants with lower credit scores can expect to pay higher interest rates.
Estimated monthly payment
$309.92
Total interest over 3 years
$1,156.95
Total loan payment
$11,156.95
Loan amount
$10,000
Interest rate
7.25%
Loan term (years)
3
Many lenders let you preview potential loan offers through pre-qualification. You’ll enter some information about yourself — as well as the loan you want — and the lender will show your potential loan amount, rates and repayment terms. Since pre-qualifying typically doesn’t affect your credit score, you can review offers from multiple lenders to find the best one.
Once you’ve chosen a lender, you’ll formally apply for a personal loan. Gather documents like W-2s, pay stubs and bank statements to make the application process go smoothly. At this time, the lender will do a hard credit pull, which can cause your credit score to slightly dip by a few points.
» Get started: Pre-qualify on NerdWallet
The best bad-credit installment lenders offer personal loans with APRs below 36%, which is the highest rate most consumer advocates say an affordable loan can have. While many personal loan lenders require good or fair credit, there are ways to boost your chances of approval if your score is lower.
» MORE: See your bad-credit loan options
An online search for “installment loans near me,” may turn up lenders that charge high rates for fast, easy approval. When shopping for an installment loan online, be mindful of red flags such as claims of “guaranteed approval” or “no credit check.” Most legitimate lenders won’t approve borrowers without reviewing their credit and finances.
High-interest installment lenders may charge triple-digit APRs to consumers with bad credit. Interest on these loans can cost more than the original amount borrowed, so consider them a last resort after you’ve exhausted alternatives.
» MORE: Signs of a personal loan scam
Check the APR: Annual percentage rate — the interest rate plus upfront fees a lender may charge — is the best cost-comparison tool for installment loans and other types of credit. The best personal installment loan is usually the one with the lowest APR and affordable monthly payments.
Calculate monthly payments: Since missed payments can damage your credit score, it’s important to find an installment loan that you can comfortably repay each month. If the monthly payments don’t fit your budget, you may need a longer repayment term or to shop for more affordable offers.
Look for funding speed: Some personal loan lenders can provide funds the same or next day after you’re approved, while others may take up to a week to deposit the loan into your account.
Compare other features: If you have two competitive offers, compare other loan features, like credit-building tools, budgeting help and the ability to change your payment date.
Buy now, pay later: “Buy now, pay later” is an installment plan you can use for a large purchase, like a laptop or mattress. When you check out online or at a store, the retailer may offer to let you split your purchase into (usually four) payments with the first due upon purchase and the rest due in two-week increments. BNPL plans typically don’t charge interest or require a hard credit pull, but because it can be easy to lose track of the due dates, it’s best to use it for one purchase at a time.
Cash advance apps: You may be able to borrow as much as $500 using a cash advance app. These apps let you borrow money from your next paycheck with no credit check and mostly optional fees. This option will only work if your budget can withstand that gap in your next paycheck.
Family loans: You likely won’t have to meet strict credit or income requirements when borrowing money from family or friends. A family loan can also save you the interest or fees a traditional lender would charge. However, you can jeopardize a personal relationship if you default on a family loan. Come up with a mutual agreement to how the loan will be repaid, put it in writing and stick to the terms.
Local financial assistance programs: There may be charities and nonprofit organizations in your area that provide assistance with bills and essential needs or offer low-cost loans for those in need. Use our tool to find local financial assistance programs.
Other ways to make money: If you have enough time, consider pursuing ways to make extra money, such as freelancing, testing websites, taking surveys, babysitting, dog walking or selling items you no longer use. The amount you may make can vary.
An installment loan can affect your credit when you get one and when you repay one.
Reputable lenders check your credit history to determine whether you’ll be able to repay a new installment loan. Some lenders offer no-credit-check installment loans, but those loans are riskier to the lenders, and they make up for that risk by charging high interest rates.
There are lenders with low credit score requirements that offer personal installment loans to bad-credit borrowers. Borrowers with low credit scores may want to consider a co-signed, joint or secured loan to improve their chances.
