Best Pool Loans: Finance a Swimming Pool in 2021
A swimming pool loan can help you finance your backyard's new centerpiece. Compare unsecured loans with your other options.
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A pool loan is an unsecured personal loan from a bank, credit union or online lender that can be used for almost any purpose, including installing a swimming pool.
How you pay for a pool depends on things like how much it’ll cost, how much you have in savings and equity, and your credit and income.
An above-ground pool costs about $2,500 on average, while inground pools can cost over $50,000, according to HomeAdvisor. There are many financing options you could choose in that price range, but personal loans and home equity are both popular ways to pay for a new pool.
These lenders offer unsecured personal loans to finance your new swimming pool.
A pool loan is an unsecured personal loan from a bank, credit union or online lender that can be used for almost any purpose, including installing a swimming pool.
How you pay for a pool depends on things like how much it’ll cost, how much you have in savings and equity, and your credit and income.
An above-ground pool costs about $2,500 on average, while inground pools can cost over $50,000, according to HomeAdvisor. There are many financing options you could choose in that price range, but personal loans and home equity are both popular ways to pay for a new pool.
These lenders offer unsecured personal loans to finance your new swimming pool.
Summary of Best Pool Loans: Finance a Swimming Pool in 2021
| Lender | NerdWallet Rating | Est. APR | Loan Amount | Min. Credit Score | Learn More |
|---|---|---|---|---|---|
 SoFi Check rate on SoFi's website | Best for Pool loans with good credit | 4.99 - 19.63% | $5,000 - $100,000 | 680 | Check rate on SoFi's website |
 LightStream Check rate on LightStream's website | Best for Pool loans with low rates | 4.49 - 20.49% | $5,000 - $100,000 | 660 | Check rate on LightStream's website |
 Upgrade Check rate on Upgrade's website | Best for Co-signed and joint pool loans | 5.94 - 35.47% | $1,000 - $50,000 | 560 | Check rate on Upgrade's website |
 Wells Fargo Personal Loan See my rates on NerdWallet's secure website | Best for Pool loans from a bank | 5.74 - 19.99% | $3,000 - $100,000 | None | See my rates on NerdWallet's secure website |
Our pick for
Pool loans with good credit
on SoFi's website
SoFi
Est. APR
Loan Amount
Min. Credit Score
on SoFi's website
Our pick for
Pool loans with low rates
on LightStream's website
LightStream
Est. APR
Loan Amount
Min. Credit Score
on LightStream's website
Our pick for
Co-signed and joint pool loans
on Upgrade's website
Upgrade
Est. APR
Loan Amount
Min. Credit Score
on Upgrade's website
Our pick for
Pool loans from a bank
on NerdWallet's secure website
Wells Fargo Personal Loan
Est. APR
Loan Amount
Min. Credit Score
on NerdWallet's secure website
Where to get a swimming pool loan
Loan rates, terms and features vary by lender, so it’s best to compare multiple options. Online lenders allow you to pre-qualify to see rates and terms with no impact to your credit score, and funding can be faster. But you may get a lower rate from your bank.
You can use annual percentage rates, which include any fees a lender charges, to compare the cost between loans.
Online lenders
LightStream provides loans for outdoor home improvement projects up to $100,000. Its APRs for excellent-credit borrowers (above 719 FICO) start around 5% on loans larger than $25,000.
SoFi offers home improvement loans up to $100,000, repaid over two to seven years. The lender charges no fees and is an option for borrowers with good to excellent credit (690 or higher on the FICO scale).
Upgrade’s loans go up to $50,000 and have shorter repayment terms than LightStream and SoFi. It's a good option for borrowers with fair credit (630 to 689 FICO). Upgrade includes a rate discount for setting up autopay, but it also deducts an origination fee from your loan amount.
Banks
Wells Fargo offers personal loans for home improvements up to $100,000. Existing customers may qualify for a rate discount, while new customers must visit a Wells Fargo branch to apply.
USAA is a financial services company offering members of military families personal loans up to $20,000 for nearly any purpose, including swimming pools. Borrowers with excellent credit may qualify for its lowest rates and repayment terms of more than five years.
Credit unions
Credit unions are not-for-profit lenders that may provide low rates and flexible loan terms, especially for borrowers with bad or fair credit. Membership is required to apply for a loan, and eligibility can depend on where you live, what industry you work in or other factors.
Navy Federal Credit Union offers personal loans up to $50,000 that can be used to finance home improvements, including swimming pools, with repayment terms over 60 months. Membership is exclusive to those in military-related professions and their dependents.
Swimming pool loan rates
Personal loan rates generally range from 6% to 36%. The rate you qualify for depends on factors like your income, existing debt, credit history and credit score.
Here are average personal loan rates by credit score.
How's your credit? | Score range | Estimated APR |
Excellent. | 720-850. | 11.2%. |
Good. | 690-719. | 15.5%. |
Fair. | 630-689. | 20.5%. |
Bad. | 300-629. | 25.3% (Lowest scores unlikely to qualify). |
Source: Average rates are based on aggregate, anonymized offer data from users who pre-qualified in NerdWallet’s lender marketplace from July 1, 2020, to July 31, 2021. Rates are estimates only and not specific to any lender.
Financing your pool: Personal loan vs. home equity loan
Unsecured personal loans and home equity are two options to finance large home improvement projects. Here’s when each option makes sense.
When to get a personal loan
You don’t have enough equity in your home to cover the project. Once you know the likely cost of your swimming pool, you can calculate your equity to see if it’s enough.
You don’t want to use your home as collateral. Personal loans aren’t secured with collateral, but you risk your home if you don’t repay a home equity loan or line of credit.
The project needs to start quickly. Many online lenders say they can fund loans as qcuickly as the same day you apply or the following business day. Banks and credit unions can usually fund a personal loan in under one week.
When to get a home equity loan
You want a lower rate. Rates are generally lower than personal loans. HELOCs have variable rates, while home equity loans can have fixed rates. In both cases, rates are often in the single digits.
You want to deduct interest on your taxes. Interest on home equity loans may be tax deductible if the money is used to "buy, build or substantially improve the taxpayer's home," according to the IRS. Consult with a tax professional about whether your pool qualifies.
Swimming pool loans: Things to consider
Approval based on credit: Build your credit score before applying for a loan. You’ll need good to excellent credit to qualify for a large loan with a low rate.
Additional costs: Homeowners can spend up to $3,200 per year on maintenance and pool repairs, according to HomeAdvisor. Other potential swimming pool costs include higher homeowners insurance and safety accessories, like a childproof fence.
Lower return on investment: A backyard swimming pool may add to your family’s quality of life, but don’t expect it to increase the resale value of your home as much as other home improvement projects.
Last updated on February 18, 2021
Methodology
NerdWallet’s review process evaluates and rates personal loan products from more than 30 lenders. We collect over 45 data points from each lender, interview company representatives and compare the lender with others that seek the same customer or offer a similar personal loan product. 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. 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.
This methodology applies only to lenders that cap interest rates at 36%, the maximum rate most financial experts and consumer advocates agree is the acceptable limit for a loan to be affordable. NerdWallet does not receive compensation for our star ratings. Read our editorial guidelines.
To recap our selections...
NerdWallet's Best Pool Loans: Finance a Swimming Pool in 2021
- SoFi: Best for Pool loans with good credit
- LightStream: Best for Pool loans with low rates
- Upgrade: Best for Co-signed and joint pool loans
- Wells Fargo Personal Loan: Best for Pool loans from a bank
Frequently asked questions
Terms on personal loans for swimming pools can range from about two to seven years, though some lenders offer longer-term loans up to 12 years. Home equity financing options often have terms of a decade or more.
Your monthly payments on a pool loan are determined by the amount you borrow, the interest rate you pay and your repayment terms. Calculate your monthly payments on a swimming pool loan to decide what you can afford.
You need a good or excellent credit score (690 or higher FICO) to get a low rate on an unsecured pool loan. There are lenders that accept borrowers with fair or bad credit, but bad-credit borrowers often get high rates.
