7 Best Medical Loans in 2026

What is a medical loan?

A medical loan is a type of fixed-rate, unsecured personal loan that’s used for health-related expenses.

Medical loans can be used for expenses like emergency room visits, dental work, cosmetic surgery and fertility treatments.

Additionally, if you have medical debt across multiple accounts, a medical loan with a low rate can help consolidate debt into one monthly payment.

Banks, online lenders and credit unions all offer personal loans, but interest rates and features can differ among lenders. Here are our top picks for medical loans.

NerdWallet’s picks for the best medical loans

The top lenders for medical loans offer low rates, fast funding, a wide variety of loan amounts and flexible repayment options. Here’s what makes each lender stand out.

Upgrade: Best for rate discounts

Most lenders don’t offer as many rate discount opportunities as Upgrade does. Upgrade lowers borrowers’ annual percentage rate by 0.5 percentage points if you sign up for automatic payments. The lender also reduces rates by up to 10 percentage points if you secure your loan using a vehicle as collateral.

If you’re using the loan to consolidate medical debt, you could save up to 4 percentage points by letting Upgrade send loan funds directly to your creditors.

While there are several opportunities to lower your loan costs, it’s important to note that Upgrade personal loans have origination fees up to 9.99%, which increase the cost of your loan.

LendingClub: Best for flexible repayment options

LendingClub offers a wide range of repayment terms from two to seven years, which is more than many lenders offer. It also lets borrowers select their initial repayment date and adjust their monthly payment date multiple times throughout the repayment period.

If you have a bunch of existing debt, however, you might not qualify for a LendingClub personal loan. The lender requires borrowers to have a debt-to-income ratio no higher than 40%.

PedFed: Best for small loan amounts

PenFed Credit Union offers loans starting at $600, whereas other lenders have minimum loan amounts in the thousands.

PenFed requires borrowers become credit union members in order to get a loan. However, unlike many credit unions, you don’t have to live in a certain area or work for a specific company to become a member.

LightStream: Best for large loan amounts

LightStream offers personal loans up to $100,000, while most lenders cap their loans at $50,000 or less.

To qualify for a loan, however, you’ll need a credit score of at least 660, which is higher than many lenders.

Best Egg: Best for secured loans

Best Egg offers two ways for borrowers to get a secured loan. You can either use a vehicle as collateral or use household fixtures, like kitchen cabinets or bathroom vanities.

One downside is that you typically need at least three years of credit history to qualify for a Best Egg loan.

Upstart: Best for borrowers with fair to bad credit

Upstart considers loan applicants from across the credit spectrum, including borrowers with low or no credit scores. It uses alternative data points, like educational background and work history, to qualify applicants rather than relying mostly on credit scores.

A drawback of Upstart loans, however, is that origination fees can be up to 12%, which is higher than most lenders.

SoFi: Best for fast funding

SoFi is one of the rare lenders that sends funds the same day it approves the loan application. Approved applicants can get same-day funding if they sign the loan agreement by 5:30 p.m. ET on a business day. This can be crucial if you need money right away for a medical emergency.

SoFi does have a higher minimum loan amount — $5,000 — than most lenders.

How to compare medical loans

Below are factors to consider when selecting the best medical loan.

Annual percentage rate. A loan’s annual percentage rate represents the true cost of borrowing, including interest and fees. APRs typically range from about 7% to 36% on personal loans. To get the lowest rates, you'll need excellent credit.

You can use APRs to compare different loan offers. The one with the lowest APR is generally the cheapest.

Origination fee. Some lenders charge one-time origination fees to cover the cost of processing a loan. Borrowers with bad credit scores may receive higher origination fees than those with excellent credit.

Loan term. The length of the repayment period affects your monthly payments. A longer repayment term results in lower monthly payments but higher total interest paid over the life of the loan. Aim for a loan term with payments that fit within your budget.

Speed. If you need fast funding to cover health care costs, consider a lender with a quick approval and funding process. Some online lenders can provide loan funds as quickly as the same day.

» MORE: How fast can I get a personal loan?

Pros and cons of medical loans

How to get a medical loan

The process to get a medical loan is generally the same as for any personal loan:

1. Know your credit score

Your credit score is a key factor in determining whether you qualify for a loan. You can check your credit score for free on NerdWallet.

2. Figure out how much you can afford

Use a personal loan calculator to estimate monthly payments and determine whether they fit comfortably within your budget.

3. Pre-qualify and compare loans

Pre-qualifying lets you see potential loan terms, including the loan’s interest rate, loan amount and monthly payments, without impacting your credit score. Compare offers from multiple lenders and identify the best loan for your needs and budget.

4. Complete the application

Once you’ve decided on a lender, you can formally apply for the loan. Lenders typically send the loan proceeds directly to your bank account within a few days of approval.

» MORE: Requirements for a personal loan

How to get medical loans for borrowers with bad credit

If you have fair or bad credit (credit score in the low-600s or lower), you may receive a high APR on your medical loan, which means you’ll pay more in interest over the loan term.

Here's what that can mean for your costs: A five-year, $5,000 loan with a 21.99% interest rate would cost $3,284 in interest payments. The same loan at 35.99% APR leads to a total interest cost of $5,838, which is more than the original loan amount. Financial experts generally advise that APRs should not exceed 36%.

There are ways for borrowers with low credit scores to improve their chances of qualifying and getting a lower rate. Here are a few steps you can take:

» MORE: Compare medical loans for bad credit

Alternatives to medical loans

Other ways to pay for medical procedures or pay off medical debt may be less expensive than a medical loan.

Payment plans

Some medical providers offer low-interest or interest-free payment plans directly to patients who can’t afford to pay in full. Many medical providers also use third-party financing companies to offer patient payment plans.

Third-party companies may offer temporary 0% financing and charge market interest rates or higher after the promotional period ends. These plans may charge deferred interest, which means if you haven’t paid the bill in full before the 0% financing period ends, you’ll owe interest that accrued from when you first started the payment plan.

Ask your medical provider about any fees or charges associated with the payment plan so you know the total cost of this option. Make sure you know whether you’ll owe your provider or a third party before you sign a financing agreement.

Credit card for medical expenses

CareCredit is one example of a specialty credit card to finance medical expenses. The card, issued through Synchrony Bank, is accepted by over 285,000 health care providers. CareCredit can cover medical events related to LASIK surgery, dentistry, cosmetic surgery and general health care.

Approved borrowers may receive 0% interest for a promotional period of six, 12, 18 or 24 months for expenses of $200 or more. However, if the balance is not paid off by the end of the term, CareCredit will charge interest retroactively from the purchase date. The standard APR for CareCredit financing is 32.99%, which may be higher than rates on other credit cards.

» COMPARE: Best credit cards for medical expenses

0% credit card

A 0% interest credit card is an option that can include perks like a sign-up bonus and rewards. You’ll need good to excellent credit to qualify (credit score in the mid-600s or higher). You must pay off the debt in full before the promotional period expires or the lender will start charging interest on your balance.

Work with a medical billing advocate

If you’re facing hospital bills, a medical bill advocate or patient advocate can help spot potential errors and negotiate on your behalf to reduce your total bill. Ask for an itemized bill from your healthcare provider, so you can verify each charge.

Hardship plans or financial assistance programs

If you're experiencing financial difficulties, you may qualify for a hardship plan from your health care provider. You could also be eligible for financial assistance from a charity organization or government program.

Nonprofit hospitals are generally required by law to provide financial assistance to patients who can’t afford to pay. Look into these options first before taking out a loan.

» MORE: Ways to pay off your medical debt