Best Installment Loans of August 2024
Many, or all, of the products featured on this page are from our advertising partners who compensate us when you take certain actions on our website or click to take an action on their website. This does not influence our product evaluations or star ratings.
An installment loan can help you cover a large expense, consolidate high-interest debt or get through an emergency. This is a type of loan you borrow in a lump sum and repay with interest over a term of months or years. An installment loan can be less risky and more affordable than payday loans.
Personal installment loan amounts are from $1,000 to $100,000 and repayment terms are from two to seven years. Reputable lenders cap rates at 36%.
- 35+ personal loans reviewed and rated by our team of experts.
- 20+ years of combined experience covering personal loans and financial topics.
- Objective, comprehensive star rating system assessing 20+ categories and 70+ data points.
- Governed by NerdWallet's strict guidelines for editorial integrity.
- 35+ personal loans reviewed and rated by our team of experts.
- 20+ years of combined experience covering personal loans and financial topics.
- Objective, comprehensive star rating system assessing 20+ categories and 70+ data points.
- Governed by NerdWallet's strict guidelines for editorial integrity.
Best online installment loans
We compared dozens of lenders’ minimum credit score requirements, annual percentage rates, fees, special perks and funding times to choose the best installment lenders. Learn more about each lender and why it stands out.
» JUMP TO: How to compare installment loans
Best for installment loans for debt consolidation
- Secured and joint loans.
- Multiple rate discounts.
- Mobile app to manage loan payments.
- Direct payment to creditors with debt consolidation loans.
- Long repayment terms on home improvement loans.
- Origination fee.
- No option to choose your payment date.
- Successful borrowers' average credit score is 672.
- Free credit score monitoring and other credit assistance.
- Joint and secured loan options.
Best for installment loans for good credit
- No fees.
- Rate discount for autopay.
- Long repayment terms on home improvement loans.
- Rate Beat program and Experience Guarantee.
- No option to pre-qualify with a soft credit check on its website.
- No direct payment to creditors with debt consolidation loans.
- High minimum loan amount.
- No origination or other fees.
- Longer terms on home improvement loans.
- Maximum loan amounts up to $100,000.
Best for online installment loans
- Joint loan option.
- Direct payment to creditors with debt consolidation loans.
- Option to pre-qualify with a soft credit check.
- Option to change your payment date.
- Fast funding.
- Origination fee.
- No mobile app to manage loan.
- Limited term lengths.
- Pays off up to 12 creditors with debt consolidation loans.
- Member Center provides help for managing your money and credit.
Best for fast installment loans
- Option to pre-qualify with a soft credit check.
- Rate discount for autopay.
- Fast funding.
- Wide range of loan amounts.
- Charges origination fee.
- No direct payment to creditors with debt consolidation personal loans.
- Only two repayment term options.
- No co-sign or joint loan option.
- Accepts borrowers with fair or better credit (scores above 629).
- Common uses for Rocket Loans are debt consolidation and home improvement.
Best for secured installment loans
- Option to pre-qualify with a soft credit check.
- Wide range of loan amounts.
- Unsecured and secured loan options.
- Direct payment to creditors with debt consolidation loans.
- No late fees.
- Origination fee.
- No rate discounts.
- No option to choose initial payment date.
- No mobile app to manage loan.
- Loans can be funded within a day after approval.
- Ideal for those with good credit and several years of credit history.
Best for installment loans for fair credit
- Accepts borrowers new to credit.
- Fast funding.
- Option to change your payment date.
- Option to pre-qualify with a soft credit check.
- Seven-day customer service availability.
- May charge origination fee.
- No joint or co-signed loans.
- No direct payment to creditors on debt consolidation loans.
- Uses artificial intelligence to make loan decisions.
- May approve borrowers with limited credit history.
- Often provides instant approval decisions.
Best for installment loans for bad credit
- Offers direct payment to creditors with debt consolidation loans.
- Fast funding.
- Offers multiple rate discounts.
- Offers free credit score access.
- Charges origination fee.
- Borrowers can choose from only two repayment term options.
- No minimum income requirement.
- Borrowers can change their payment due date many times during repayment.
- Loan funds can be sent within one business day.
Best for installment loans for low credit scores
- Fast funding.
- Option to pre-qualify with a soft credit check.
- Mobile app to manage loan.
- Wide range of repayment term options.
- Seven-day customer service availability.
- May charge an origination fee.
- No co-signed, joint or secured loans.
- No direct payment to creditors on debt consolidation loans.
- Wide range of loan amounts from $2,000 to $35,000.
- Can fund loans within one day after approval.
How to compare installment loans
Review borrowing requirements: Try to find the lender’s qualification criteria, including minimum income and maximum debt-to-income ratio. Some installment lenders display this information on their website. If not, a website like NerdWallet may include it in a review.
Check the APR: Annual percentage rate — the interest rate plus any additional fees a lender charges — is the best cost-comparison tool for loans and other types of credit. The best installment loan is usually the one with the lowest APR and affordable monthly payments. Compare lenders’ APR ranges and pre-qualify with multiple lenders to see which one makes you the best offer.
Calculate monthly payments: A low-rate loan is ideal, but if the monthly payments don’t fit your budget, you may need a longer repayment term or to shop for more offers to find one with affordable monthly payments. Since missed payments can damage your credit score, it’s important to find a loan that you can comfortably repay each month.
Look for funding speed: Some lenders can provide funds the same or next day after you apply, 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.
How to get an online installment loan
1. Review your credit report
Check your credit report to see what a lender will see when evaluating your application. You can view your credit report for free on NerdWallet or at AnnualCreditReport.com. If you spot any errors, correct them before you apply. Most loan providers require a fair credit score (630 to 689) or better to qualify for a loan. If you have bad credit (a 629 or lower score), options may be limited. Few lenders approve borrowers with credit scores below 560.
2. Check in with your budget
Review your income and expenses to see how much you can afford to pay toward the loan each month. Then, use an installment loan calculator to determine what APR and repayment term you’d need to get affordable monthly payments. Applicants with lower credit scores can expect to pay higher interest rates.
Calculate your monthly personal loan payments
Total principal
$10,000.00Total interest payments
$2,748.23Total loan payments
$12,748.23Payoff date
07 / 2029
| Payment date | Principal | Interest | Monthly payment | Principal balance |
|---|---|---|---|---|
| Jul 2024 | $129.14 | $83.33 | $212.47 | $9,870.86 |
| Aug 2024 | $130.21 | $82.26 | $212.47 | $9,740.65 |
| Sep 2024 | $131.30 | $81.17 | $212.47 | $9,609.35 |
| Oct 2024 | $132.39 | $80.08 | $212.47 | $9,476.96 |
| Nov 2024 | $133.50 | $78.97 | $212.47 | $9,343.46 |
| Dec 2024 | $134.61 | $77.86 | $212.47 | $9,208.85 |
| Jan 2025 | $135.73 | $76.74 | $212.47 | $9,073.12 |
| Feb 2025 | $136.86 | $75.61 | $212.47 | $8,936.26 |
| Mar 2025 | $138.00 | $74.47 | $212.47 | $8,798.26 |
| Apr 2025 | $139.15 | $73.32 | $212.47 | $8,659.11 |
| May 2025 | $140.31 | $72.16 | $212.47 | $8,518.80 |
| Jun 2025 | $141.48 | $70.99 | $212.47 | $8,377.32 |
| Jul 2025 | $142.66 | $69.81 | $212.47 | $8,234.66 |
| Aug 2025 | $143.85 | $68.62 | $212.47 | $8,090.81 |
| Sep 2025 | $145.05 | $67.42 | $212.47 | $7,945.76 |
| Oct 2025 | $146.26 | $66.21 | $212.47 | $7,799.51 |
| Nov 2025 | $147.47 | $65.00 | $212.47 | $7,652.03 |
| Dec 2025 | $148.70 | $63.77 | $212.47 | $7,503.33 |
| Jan 2026 | $149.94 | $62.53 | $212.47 | $7,353.39 |
| Feb 2026 | $151.19 | $61.28 | $212.47 | $7,202.20 |
| Mar 2026 | $152.45 | $60.02 | $212.47 | $7,049.74 |
| Apr 2026 | $153.72 | $58.75 | $212.47 | $6,896.02 |
| May 2026 | $155.00 | $57.47 | $212.47 | $6,741.02 |
| Jun 2026 | $156.30 | $56.18 | $212.47 | $6,584.72 |
| Jul 2026 | $157.60 | $54.87 | $212.47 | $6,427.12 |
| Aug 2026 | $158.91 | $53.56 | $212.47 | $6,268.21 |
| Sep 2026 | $160.24 | $52.24 | $212.47 | $6,107.98 |
| Oct 2026 | $161.57 | $50.90 | $212.47 | $5,946.41 |
| Nov 2026 | $162.92 | $49.55 | $212.47 | $5,783.49 |
| Dec 2026 | $164.27 | $48.20 | $212.47 | $5,619.22 |
| Jan 2027 | $165.64 | $46.83 | $212.47 | $5,453.57 |
| Feb 2027 | $167.02 | $45.45 | $212.47 | $5,286.55 |
| Mar 2027 | $168.42 | $44.05 | $212.47 | $5,118.13 |
| Apr 2027 | $169.82 | $42.65 | $212.47 | $4,948.31 |
| May 2027 | $171.23 | $41.24 | $212.47 | $4,777.08 |
| Jun 2027 | $172.66 | $39.81 | $212.47 | $4,604.42 |
| Jul 2027 | $174.10 | $38.37 | $212.47 | $4,430.32 |
| Aug 2027 | $175.55 | $36.92 | $212.47 | $4,254.76 |
| Sep 2027 | $177.01 | $35.46 | $212.47 | $4,077.75 |
| Oct 2027 | $178.49 | $33.98 | $212.47 | $3,899.26 |
| Nov 2027 | $179.98 | $32.49 | $212.47 | $3,719.28 |
| Dec 2027 | $181.48 | $30.99 | $212.47 | $3,537.81 |
| Jan 2028 | $182.99 | $29.48 | $212.47 | $3,354.82 |
| Feb 2028 | $184.51 | $27.96 | $212.47 | $3,170.31 |
| Mar 2028 | $186.05 | $26.42 | $212.47 | $2,984.25 |
| Apr 2028 | $187.60 | $24.87 | $212.47 | $2,796.65 |
| May 2028 | $189.17 | $23.31 | $212.47 | $2,607.49 |
| Jun 2028 | $190.74 | $21.73 | $212.47 | $2,416.75 |
| Jul 2028 | $192.33 | $20.14 | $212.47 | $2,224.42 |
| Aug 2028 | $193.93 | $18.54 | $212.47 | $2,030.48 |
| Sep 2028 | $195.55 | $16.92 | $212.47 | $1,834.93 |
| Oct 2028 | $197.18 | $15.29 | $212.47 | $1,637.75 |
| Nov 2028 | $198.82 | $13.65 | $212.47 | $1,438.93 |
| Dec 2028 | $200.48 | $11.99 | $212.47 | $1,238.45 |
| Jan 2029 | $202.15 | $10.32 | $212.47 | $1,036.30 |
| Feb 2029 | $203.83 | $8.64 | $212.47 | $832.47 |
| Mar 2029 | $205.53 | $6.94 | $212.47 | $626.93 |
| Apr 2029 | $207.25 | $5.22 | $212.47 | $419.69 |
| May 2029 | $208.97 | $3.50 | $212.47 | $210.71 |
| Jun 2029 | $210.71 | $1.76 | $212.47 | $0.00 |
3. Pre-qualify
Many lenders let you preview potential loan offers through pre-qualification. You’ll enter some information about your credit and income — as well as the loan you want — and the lender will show you possible loan amounts, rates and repayment terms. Pre-qualifying doesn’t affect your credit score, so you can review offers from multiple lenders to find the best one.
4. Accept a loan offer
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 and your credit score will temporarily dip.
» Get started: Pre-qualify on NerdWallet
Installment loans for bad credit: What to know
The best bad-credit installment lenders offer loans with APRs below 36%, which is the highest rate most consumer advocates say an affordable loan can have. Many lenders that offer such loans require good or fair credit, but there are ways to boost your chances of approval.
Get a joint or co-signed personal loan. Adding someone with a higher credit score or income to the application can improve your chance of qualifying or getting a lower rate. A co-borrower on a joint personal loan shares access to the funds and information about the loan. A co-signer cannot access the loan funds. In both cases, your co-applicant must repay the loan if you don’t.
Get a secured personal loan. Putting up collateral for the loan — like a car or savings account — gives the lender something valuable to take if you stop making payments, meaning a secured loan may be easier to qualify for. Weigh the benefit of getting a secured loan against the risk of losing your collateral.
Ask for less money. Lenders try not to provide loans that are too large for the borrower to repay. A lender may decide you qualify for a smaller installment loan than you requested. If you can combine a smaller loan with borrowing alternatives to cover your expense, you may have a better chance of approval.
» MORE: See your bad credit loan options
Avoid predatory installment lenders
When shopping for an installment loan online, be mindful of red flags such as touts 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.
You can check the reputation of a loan company by searching complaints filed with the Consumer Financial Protection Bureau’s online database.
» MORE: Signs of a personal loan scam
How to find an installment loan near you
An online search for “installment loans near me,” may turn up lenders that charge high rates for fast, easy approval.
Here are some tips to find an affordable installment loan near you:
Consider a bank. If you’ve banked locally for a while and your accounts are in good standing, you may be able to get an affordable installment loan. Banks are known to have tighter borrowing requirements than other lenders, but long-term customers may have an advantage. Even major banks like Wells Fargo, U.S. Bank and Bank of America provide small loans with low fees to existing customers. Call and ask your bank if they have any options for you before borrowing elsewhere.
Look for a credit union. Credit unions are not-for-profit organizations, and many offer personal loans to their members. Federal credit unions cap personal loan APRs at 18%, and some offer small payday alternative loans with months-long repayment terms and rates capped at 28%. You must be a member to borrow from a credit union.
Shop online. Fortunately, you don’t have to live near a bank or credit union to borrow money; you can apply for an installment loan from your computer or mobile phone. Online lenders that charge affordable rates typically don’t try to keep them a secret.
Many banks, credit unions and online lenders let you pre-qualify online with no credit impact. Compare offers from multiple lenders to find the most affordable option.
Online alternatives to installment loans
Buy now, pay later: “Buy now, pay later” is an installment plan you can use for a large online purchase, like a laptop or mattress. When you check out, the retailer may offer to let you split your purchase into (usually four) payments, the first due upon purchase, and the other three 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 a small amount of money with low or no fees using a cash advance app. These apps provide advances as large as $500 to consumers with no credit check and mostly optional fees. Payment is withdrawn from your bank account on your next payday, so this option will only work if your budget can withstand that gap in your next paycheck.
Other ways to make money: If you have enough extra time, consider picking up online work like freelancing, testing websites and taking surveys. The amount you can make this way can vary, but if you take up freelancing, for example, you can build a client base over time to make more money.
Consider your offline options, such as family loans, a local financial assistance program, babysitting, selling items you no longer use or starting a dog walking business.
Frequently asked questions about installment loans
- What is an installment loan?
An installment loan is a loan you borrow in a lump sum and repay with interest in (usually monthly) installments. These loans are from $1,000 to $100,000 and can have repayment terms from months to several years.
- What are types of installment loans?
Any type of loan you borrow all at once and repay in smaller increments is an installment loan. Auto loans, student loans, mortgage loans and personal loans are all examples of installment loans.
- How does an installment loan affect your credit score?
An installment loan can affect your credit when you get one and when you repay one.
When you get it: If you pre-qualify to preview loan offers, your credit score won’t be affected. If you accept a loan offer and submit a formal application, the lender will do a hard credit check that causes your score to temporarily dip.
When you repay it: An installment loan has the biggest potential to impact your credit during repayment. On-time loan payments help build your credit and show positive payment history, but even one missed payment can cause a significant drop in your score.
- Do installment loans require a credit check?
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 sky-high interest rates.
- Can I get an installment loan with bad credit?
Some lenders, including Avant and Universal Credit offer unsecured installment loans to bad-credit borrowers. Borrowers with the lowest credit scores may not qualify on their own, but could get a co-signed, joint or secured loan to improve their chances.
Last updated on July 2, 2024
Methodology
NerdWallet’s review process evaluates and rates personal loan products from more than 35 technology companies and financial institutions. We collect over 50 data points from each lender 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.
NerdWallet's Best Installment Loans of August 2024
- Upgrade: Best for Installment loans
- LightStream: Best for Installment loans
- LendingClub: Best for Installment loans
- Rocket Loans: Best for Installment loans
- Best Egg: Best for Installment loans
- Upstart: Best for Installment loans for bad credit
- Universal Credit: Best for Installment loans for bad credit
- Avant: Best for Installment loans for bad credit
