Best of

Best Debt Consolidation Loans of March 2024

Debt consolidation loans help borrowers combine multiple high-interest debts into a single payment. Compare our picks for the best debt consolidation loans for all credit scores.

By
Jackie Veling
Feb 1, 2024

Many or all of the products featured here are from our partners who compensate us. This may influence which products we write about and where and how the product appears on a page. However, this does not influence our evaluations. Our opinions are our own. Here is a list of our partners and here's how we make money.

Best Debt Consolidation Loans

Lender
NerdWallet Rating
Est. APR
Loan amount
Min. credit score
Learn more
SoFi

SoFi Personal Loan

Get rateon SoFi's websiteon SoFi's website
Best for No fees

8.99-29.99%

$5,000-$100,000

None

Get rateon SoFi's websiteon SoFi's website
Lightstream

LightStream

Get rateon LightStream's websiteon LightStream's website
4.5
/5
Best for Low rates

7.99-25.49%

$5,000-$100,000

660

Get rateon LightStream's websiteon LightStream's website
Upgrade

Upgrade

Get rateon Upgrade's websiteon Upgrade's website
5.0
/5
Best for Best overall

8.49-35.99%

$1,000-$50,000

560

Get rateon Upgrade's websiteon Upgrade's website
Discover

Discover® Personal Loans

Get rateon Discover's websiteon Discover's website
5.0
/5
Best for Fast funding

7.99-24.99%

$2,500-$40,000

660

Get rateon Discover's websiteon Discover's website

Our pick for

No fees

SoFi
Get rateon SoFi's websiteon SoFi's website
SoFi

SoFi Personal Loan

5.0
Est. APR

8.99-29.99%

Loan amount

$5,000-$100,000

Min. credit score

None

Get rateon SoFi's websiteon SoFi's website
Key facts

Qualified borrowers will find few lenders better than SoFi, thanks to thoughtful perks like unemployment protection and free financial advising.

Pros
  • Joint loan option.
  • Multiple rate discounts.
  • Hardship program for borrowers in need.
  • Mobile app to manage loan.
Cons
  • No option to choose initial payment date.
  • High minimum loan amount.
Qualifications
  • Must legally be an adult in your state.
  • Must be a U.S. citizen, permanent resident or non-permanent resident with valid documentation.
  • Must be employed, have sufficient income or have an offer of employment to start within 90 days.
Available Term Lengths2 to 7 years
Fees
  • Origination fee: 0% to 7%.
  • Late fee: None.
DisclaimerFixed rates from 8.99% APR to 29.99% APR reflect the 0.25% autopay interest rate discount and a 0.25% direct deposit interest rate discount. SoFi rate ranges are current as of 02/06/2024 and are subject to change without notice. The average of SoFi Personal Loans funded in 2022 was around $30K. Not all applicants qualify for the lowest rate. Lowest rates reserved for the most creditworthy borrowers. Your actual rate will be within the range of rates listed and will depend on the term you select, evaluation of your creditworthiness, income, and a variety of other factors. Loan amounts range from $5,000– $100,000. The APR is the cost of credit as a yearly rate and reflects both your interest rate and an origination fee of 0%-7%, which will be deducted from any loan proceeds you receive. Autopay: The SoFi 0.25% autopay interest rate reduction requires you to agree to make monthly principal and interest payments by an automatic monthly deduction from a savings or checking account. The benefit will discontinue and be lost for periods in which you do not pay by automatic deduction from a savings or checking account. Autopay is not required to receive a loan from SoFi. Direct Deposit Discount: To be eligible to potentially receive an additional (0.25%) interest rate reduction for setting up direct deposit with a SoFi Checking and Savings account offered by SoFi Bank, N.A. or eligible cash management account offered by SoFi Securities, LLC (“Direct Deposit Account”), you must have an open Direct Deposit Account within 30 days of the funding of your Loan. Once eligible, you will receive this discount during periods in which you have enabled payroll direct deposits of at least $1,000/month to a Direct Deposit Account in accordance with SoFi’s reasonable procedures and requirements to be determined at SoFi’s sole discretion. This discount will be lost during periods in which SoFi determines you have turned off direct deposits to your Direct Deposit Account. You are not required to enroll in direct deposits to receive a Loan.

Our pick for

Best overall

Upgrade
Get rateon Upgrade's websiteon Upgrade's website
Upgrade

Upgrade

Est. APR

8.49-35.99%

Loan amount

$1,000-$50,000

Min. credit score

560

Get rateon Upgrade's websiteon Upgrade's website
Key facts

Upgrade personal loans come with multiple rate discounts and offer direct payment to creditors. This lender has a low minimum credit score requirement, making the perks stand out even more.

Pros
  • 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.
Cons
  • Origination fee.
  • No option to choose your payment date.
Qualifications
  • Minimum credit score: 560.
  • Minimum number of accounts on credit history: One account.
  • Maximum debt-to-income ratio: 75%, including the loan you're applying for.
  • Minimum length of credit history: Two years.
  • Minimum income requirement: None. Lender accepts income from alimony, retirement, child support, Social Security and other sources.
Available Term Lengths3 to 7 years
Fees
  • Origination fee: 1.85% to 9.99%.
  • Late Fee: $10.
  • Failed payment fee: $10.
DisclaimerPersonal loans made through Upgrade feature Annual Percentage Rates (APRs) of 8.49%-35.99%. All personal loans have a 1.85% to 9.99% origination fee, which is deducted from the loan proceeds. Lowest rates require Autopay and paying off a portion of existing debt directly. Loans feature repayment terms of 24 to 84 months. For example, if you receive a $10,000 loan with a 36-month term and a 17.59% APR (which includes a 13.94% yearly interest rate and a 5% one-time origination fee), you would receive $9,500 in your account and would have a required monthly payment of $341.48. Over the life of the loan, your payments would total $12,293.46. The APR on your loan may be higher or lower and your loan offers may not have multiple term lengths available. Actual rate depends on credit score, credit usage history, loan term, and other factors. Late payments or subsequent charges and fees may increase the cost of your fixed rate loan. There is no fee or penalty for repaying a loan early. Personal loans issued by Upgrade's bank partners. Information on Upgrade's bank partners can be found at https://www.upgrade.com/bank-partners/.

Our pick for

Low rates

Lightstream
Get rateon LightStream's websiteon LightStream's website
Lightstream

LightStream

4.5
Est. APR

7.99-25.49%

Loan amount

$5,000-$100,000

Min. credit score

660

Get rateon LightStream's websiteon LightStream's website
Key facts

LightStream is a solid option for good-credit borrowers, with no fees and low rates that vary based on loan purpose.

Pros
  • No fees.
  • Rate discount for autopay.
  • Long repayment terms on home improvement loans.
  • Rate Beat program and Experience Guarantee.
Cons
  • 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.
Qualifications
  • Must be a U.S. citizen or permanent resident.
  • Must be at least 18 years old.
  • Minimum credit score: 660.
  • Must have several years of credit history with multiple account types and few or no delinquencies.
  • Must have assets like retirement, investment and savings accounts.
Available Term Lengths2 to 7 years
Fees
  • Origination fee: None.
  • Late fee: None.
DisclaimerRates quoted are with AutoPay. Your loan terms are not guaranteed and may vary based on loan purpose, length of loan, loan amount, credit history and payment method (AutoPay or Invoice). AutoPay discount is only available when selected prior to loan funding. Rates without AutoPay are 0.50% points higher. To obtain a loan, you must complete an application on LightStream.com which may affect your credit score. You may be required to verify income, identity and other stated application information. Payment example: Monthly payments for a $10,000 loan at 7.99% APR with a term of 5 years would result in 60 monthly payments of $202.72. Some additional conditions and limitations apply. Advertised rates and terms are subject to change without notice. Truist Bank is an Equal Housing Lender. © 2024 Truist Financial Corporation. Truist, LightStream, and the LightStream logo are service marks of Truist Financial Corporation. All other trademarks are the property of their respective owners. Lending services provided by Truist Bank.

Our pick for

Paying off credit card debt

Happy Money
Get rateon Happy Money's websiteon Happy Money's website
Happy Money

Happy Money

Est. APR

11.72-17.99%

Loan amount

$5,000-$40,000

Min. credit score

640

Get rateon Happy Money's websiteon Happy Money's website
Key facts

If you qualify for a low rate, Happy Money is a smart way to consolidate high-interest credit card debt into one fixed monthly payment.

Pros
  • Pre-qualify with soft credit check.
  • Direct payment to creditors with debt consolidation loans.
  • Fast funding.
  • Hardship program.
Cons
  • Origination fee.
  • No rate discount.
  • No joint, co-sign or secured loan options.
  • No option to choose initial payment date.
Qualifications
  • Must be a U.S. citizen or permanent resident.
  • Must have a valid Social Security number.
  • Minimum credit score: 640.
  • Minimum credit history: 6 years and 2 accounts.
  • Maximum debt-to-income ratio: 55%.
  • No bankruptcies filed in past two years.
Available Term Lengths2 to 5 years
Fees
  • Origination fee: 1.5% to 5%.
DisclaimerThis offer does not constitute a commitment to lend or an offer to extend credit. Upon submitting a loan application, you may be asked to provide additional documents to verify your identity, income, assets, or financial condition. The rate and terms you may be approved for will be shown to you during the application process. Loans subject to an origination fee, which is deducted from the loan proceeds. Refer to full borrower agreement for all terms, conditions and requirements. Only loans applied for and issued on or after January 10, 2024, are covered under the TruStage™ Payment Guard Insurance Policy. Please refer to the certificate of insurance, provided to you with your loan origination documents, for terms and conditions of the coverage. Some exclusions apply. Claims must be submitted for review and approval to CUMIS Specialty Insurance Company, Inc. TruStage™ Payment Guard Insurance is underwritten by CUMIS Specialty Insurance Company, Inc and not by Happy Money. CUMIS Specialty Insurance Company, our excess and surplus lines carrier, underwrites coverages that are not available in the admitted market. Product and features may vary and not be available in all states. Certain eligibility requirements, conditions, and exclusions may apply. Please refer to the Group Policy for a full explanation of the terms. The insurance offered is not a deposit, and is not federally insured, sold or guaranteed by any financial institution. Corporate Headquarters 5910 Mineral Point Road, Madison, WI 53705.

Our pick for

Rate discounts

Achieve
See my rateson NerdWallet's secure websiteon NerdWallet's secure website
Achieve

Achieve Personal Loans

Est. APR

8.99-35.99%

Loan amount

$5,000-$50,000

Min. credit score

620

See my rateson NerdWallet's secure websiteon NerdWallet's secure website
Key facts

Achieve personal loans can be a good debt consolidation option for fair- or good-credit borrowers who qualify for one of the lender’s rate discounts.

Pros
  • Option to pre-qualify with a soft credit check.
  • Multiple rate discounts.
  • Direct payment to creditors with debt consolidation loans.
  • Joint loan options.
Cons
  • Charges origination fee.
  • Not available in all states.
  • No mobile app to manage loan.
  • High minimum loan amount.
Qualifications
  • Minimum credit score: 620; borrower average is 700.
  • Maximum debt-to-income ratio: 45% excluding mortgage.
  • Minimum income: None; borrowers' average household income is $110,000.
  • Minimum credit history: 3 years and 2 accounts.
  • No active delinquencies and no bankruptcy in the last 24 months.
Available Term Lengths2 to 5 years
Fees
  • Origination fee: 1.99% - 6.99%.
DisclaimerPersonal loans available through Achieve.com (NMLS #138464) or Achieve Personal Loans (NMLS ID #227977) are made by Cross River Bank, a New Jersey State Chartered Commercial Bank, or Pathward®, N.A., Equal Housing Lenders. Loan applications are subject to credit review, underwriting criteria and approval. Loans are not available in all states and available loan terms/fees may vary by state. Loan amounts range from $5,000 to $50,000. APRs range from 8.99% to 35.99% and include applicable origination fees that vary from 1.99% to 6.99%. Repayment periods range from 24 to 60 months. Example loan: four-year $20,000 loan with an origination fee of 6.99%, a rate of 15.49%, and corresponding APR of 19.54%, would have an estimated monthly payment of $561.60 and a total cost of $26,956.80. To qualify for a 8.99% APR loan, a borrower will need excellent credit, a loan amount less than $12,000.00, and a term of 24 months. Adding a co-borrower with sufficient income; using at least eighty-five percent (85%) of the loan proceeds to pay off qualifying existing debt directly; or showing proof of sufficient retirement savings, could also help you qualify for lower rates. Funding time periods are estimates and can vary for each loan request. Same day decisions assume a completed application with all required supporting documentation submitted early enough on a day that our offices are open. Achieve Personal Loans loan consultants' hours are Monday-Friday 6am-8pm AZ time, and Saturday-Sunday 7am-4pm AZ time.

Our pick for

Secured loan option

BestEgg
Get rateon Best Egg's websiteon Best Egg's website
BestEgg

Best Egg

Est. APR

8.99-35.99%

Loan amount

$2,000-$50,000

Min. credit score

600

Get rateon Best Egg's websiteon Best Egg's website
Key facts

Best Egg is worth considering for borrowers looking for a secured loan or to consolidate debt, but the loans come with an origination fee.

Pros
  • 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.
Cons
  • Origination fee.
  • No rate discounts.
  • No option to choose initial payment date.
  • No mobile app to manage loan.
Qualifications
  • Minimum credit score: 600.
  • Must be a U.S. citizen.
  • Minimum credit history: 24 months and 1 account.
  • Minimum annual income: $3,500.
  • Maximum debt-to-income ratio: 40% or 65% including mortgage.
Available Term Lengths3 to 5 years
Fees
  • Origination fee: 0.99% - 8.99%.
Disclaimer*Trustpilot TrustScore as of December 2022. Best Egg loans are personal loans made by Cross River Bank, a New Jersey State Chartered Commercial Bank, Member FDIC, Equal Housing Lender or Blue Ridge Bank, N.A., Member FDIC, Equal Housing Lender. The Best Egg Credit Card is issued exclusively by First Bank & Trust, Member FDIC, Brookings SD pursuant to a license by Visa International. Visa is a registered trademark, and the Visa logo design is a trademark of Visa International Incorporated. “Best Egg” is a trademark of Marlette Best Egg Technologies, LLC. Offers may be sent pursuant to a joint marketing agreement between Cross River Bank, Blue Ridge Bank, N.A. and/or First Bank & Trust and Marlette Marketing, LLC, a subsidiary of Best Egg, Inc. The term, amount, and APR of any loan we offer to you will depend on your credit score, income, debt payment obligations, loan amount, credit history and other factors. Your loan agreement will contain specific terms and conditions. About half of our customers get their money the next day. After successful verification, your money can be deposited in your bank account within 1-3 business days. The timing of available funds upon loan approval may vary depending upon your bank’s policies. Loan amounts range from $2,000– $50,000. Residents of Massachusetts have a minimum loan amount of $6,500 ; Ohio, $5,001; and Georgia, $3,001.  For a second Best Egg loan, your total existing Best Egg loan balances cannot exceed $100,000. Annual Percentage Rates (APRs) range from 8.99%–35.99%. The APR is the cost of credit as a yearly rate and reflects both your interest rate and an origination fee of 0.99%–8.99% of your loan amount, which will be deducted from any loan proceeds you receive. The origination fee on a loan term 4-years or longer will be at least 4.99%. Your loan term will impact your APR, which may be higher than our lowest advertised rate. You need a minimum 700 FICO® score and a minimum individual annual income of $100,000 to qualify for our lowest APR. For example: a 5‐year $10,000 loan with 9.99% APR has 60 scheduled monthly payments of $201.81, and a 3‐year $5,000 loan with 7.99% APR has 36 scheduled monthly payments of $155.12. To help the government fight the funding of terrorism and money laundering activities, Federal law requires all financial institutions to obtain, verify, and record information that identifies each person who opens an account. What this means for you: When you open an account, we will ask for your name, address, date of birth, and other information that will allow us to identify you. We may also ask to see your driver’s license or other identifying documents. Best Egg products are not available if you live in Iowa, Vermont, West Virginia, the District of Columbia, or U.S. Territories. TO REPORT A PROBLEM OR COMPLAINT WITH THIS LENDER, YOU MAY WRITE OR CALL– Operations Manager, Email: [email protected], Address: P.O. Box 42912, Philadelphia, PA 19101, Phone: 1-855-282-6353. This lender is licensed and regulated by the New Mexico Regulation and Licensing Department, Financial Institutions Division, P.O. Box 25101, 2550 Cerrillos Road, Santa Fe, New Mexico 87504. To report any unresolved problems or complaints, contact the division by telephone at (505) 476-4885 or visit the website https://www.rld.nm.gov/financial-institutions/

Our pick for

Bad credit

Universal Credit
See my rateson NerdWallet's secure websiteon NerdWallet's secure website
Universal Credit

Universal Credit

Est. APR

11.69-35.99%

Loan amount

$1,000-$50,000

Min. credit score

560

See my rateson NerdWallet's secure websiteon NerdWallet's secure website
Key facts

A Universal Credit loan is a sound option for bad-credit borrowers looking to build credit, but rates are high compared to similar lenders.

Pros
  • Offers direct payment to creditors with debt consolidation loans.
  • Fast funding.
  • Offers multiple rate discounts.
  • Offers free credit score access.
Cons
  • Charges origination fee.
  • Borrowers can choose from only two repayment term options.
Qualifications
  • Minimum credit score: 560.
  • Minimum number of accounts on credit history: 1 account.
  • Maximum debt-to-income ratio: 75%, including mortgage and the loan you’re applying for.
  • Minimum length of credit history: 2 years.
  • Minimum income requirement: None. Lender accepts income from alimony, retirement, child support, Social Security and other sources.
Available Term Lengths3 to 5 years
Fees
  • Origination fee: 5.25% to 9.99%.
  • Late fee: Up to $10.
  • Non-sufficient funds fee: $10.
DisclaimerPersonal loans made through Universal Credit feature Annual Percentage Rates (APRs) of 11.69%-35.99%. All personal loans have a 5.25% to 9.99% origination fee, which is deducted from the loan proceeds. Lowest rates require Autopay and paying off a portion of existing debt directly. Loans feature repayment terms of 36 to 60 months. For example, if you receive a $10,000 loan with a 36-month term and a 28.47% APR (which includes a 22.99% yearly interest rate and a 7% one-time origination fee), you would receive $9,300 in your account and would have a required monthly payment of $387.05. Over the life of the loan, your payments would total $13,933.62. The APR on your loan may be higher or lower and your loan offers may not have multiple term lengths available. Actual rate depends on credit score, credit usage history, loan term, and other factors. Late payments or subsequent charges and fees may increase the cost of your fixed rate loan. There is no fee or penalty for repaying a loan early. Accept your loan offer and your funds will be sent to your bank or designated account within one (1) business day of clearing necessary verifications. Availability of the funds is dependent on how quickly your bank processes the transaction. From the time of approval, funds sent directly to you should be available within one (1) business day. Funds sent directly to pay off your creditors may take up to 2 weeks to clear, depending on the creditor. Personal loans issued by Universal Credit's bank partners. Information on Universal Credit's bank partners can be found at https://www.universal-credit.com/bank-partners/ † Accept your loan offer and your funds will be sent to your bank or designated account within one (1) business day of clearing necessary verifications. Availability of the funds is dependent on how quickly your bank processes the transaction. From the time of approval, funds sent directly to you should be available within one (1) business day. Funds sent directly to pay off your creditors may take up to 2 weeks to clear, depending on the creditor.

Our pick for

Joint loan option

Lending Club
See my rateson NerdWallet's secure websiteon NerdWallet's secure website
Lending Club

LendingClub

Est. APR

9.57-35.99%

Loan amount

$1,000-$40,000

Min. credit score

600

See my rateson NerdWallet's secure websiteon NerdWallet's secure website
Key facts

LendingClub personal loans are a solid option for good-credit borrowers looking to consolidate debt and build their credit.

Pros
  • 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.
Cons
  • Origination fee.
  • No mobile app to manage loan.
Qualifications
  • Minimum credit score: 600; average borrower score is above 700.
  • Minimum income: None; lender requires proof of income. Borrower average is $100,000 per year.
  • Maximum DTI: 40%.
  • Minimum credit history: 36 months and two accounts.
Available Term Lengths2 to 5 years
Fees
  • Origination fee: 3% to 8%.
  • Late fee: 5% of payment or $15 after 15-day grace period.
DisclaimerBetween April 1, 2023 and June 30, 2023, Personal Loans issued by LendingClub Bank were funded within 30 hours after loan approval, on average. 46% of Personal Loans issued by LendingClub Bank during the same period were funded within 24 hours after loan approval. Loan approval, and the time it takes to issue a credit decision, are not guaranteed and individual results vary based on creditworthiness and other factors, including but not limited to investor demand. A representative example of payment terms for a Personal Loan is as follows: a borrower receives a loan of $19,854 for a term of 36 months, with an interest rate of 10.29% and a 6.00% origination fee of $1,191, for an APR of 14.60%. In this example, the borrower will receive $18,663 and will make 36 monthly payments of $643. Loan amounts range from $1,000 to $40,000 and loan term lengths range from 24 months to 60 months. Some amounts, rates, and term lengths may be unavailable in certain states. For Personal Loans, APR ranges from 9.57% to 35.99% and origination fee ranges from 3.00% to 8.00% of the loan amount. APRs and origination fees are determined at the time of application. Lowest APR is available to borrowers with excellent credit. Advertised rates and fees are valid as of July 11, 2023 and are subject to change without notice. Loans are made by LendingClub Bank, N.A., Member FDIC, Equal Housing Lender (“LendingClub Bank”), a wholly-owned subsidiary of LendingClub Corporation, NMLS ID 167439. LendingClub Bank is not an affiliate of NerdWallet, Inc., which is an unrelated third party (“third party”). LendingClub Bank is not responsible for any products and services provided by this third party and may receive compensation if you visit the third party’s websites or use any of its products or services. Credit eligibility is not guaranteed. Loans are subject to credit approval and may be subject to sufficient investor commitment. Credit union membership may be required. Certain information that LendingClub Bank subsequently obtains as part of the application process (including but not limited to information in your consumer report, your income, the loan amount that your request, the purpose of your loan, and qualifying debt) will be considered and could affect your ability to obtain a loan. Loan closing is contingent on accepting all required agreements and disclosures. “LendingClub” and the “LC” symbol are trademarks of LendingClub Bank.

Our pick for

Fast funding

Discover
Get rateon Discover's websiteon Discover's website
Discover

Discover® Personal Loans

Est. APR

7.99-24.99%

Loan amount

$2,500-$40,000

Min. credit score

660

Get rateon Discover's websiteon Discover's website
Key facts

With competitive rates and no origination fees, Discover personal loans are good options for borrowers with good and excellent credit.

Pros
  • No origination fee.
  • Option to pre-qualify with a soft credit check.
  • Fast funding.
  • Mobile app to manage loan.
Cons
  • May charge late fee.
  • No co-sign or joint loan option.
  • No rate discount.
Qualifications
  • Minimum credit score: 660.
  • Must be at least 18 years old.
  • Must have a valid U.S. Social Security number.
  • Minimum individual or household annual income of $25,000.
  • Must have an active email address.
Available Term Lengths3 to 7 years
Fees
  • Origination fee: None.
  • Late fee: $39.
DisclaimerThis is not a commitment to lend from Discover Personal Loans. Your APR will be between 7.99% and 24.99% based on creditworthiness at time of application for loan terms of 36-84 months. For example, if you get approved for a $15,000 loan at 12.99% APR for a term of 72 months, you'll pay just $301 per month. You must have a minimum individual or household annual income of $25,000, be over 18 years of age, and have a valid US SSN to be considered for a Discover personal loan. Loan approval is subject to confirmation that your income, debt-to-income ratio, credit history and application information meet all requirements. Our lowest rates are available to consumers with the best credit. Many factors are used to determine your rate, such as your credit history, application information and the term you select. State restrictions may apply. A Discover personal loan is intended for personal use and cannot be used to pay for post-secondary education, to pay off a secured loan, or to directly pay off a Discover credit card. If your application is approved, we will send funds after you accept the loan. Your bank or creditor may take more days to process the funds. Discover makes loans without regard to race, color, religion, national origin, sex, disability, or familial status.

Our pick for

Bank loans

PNC Bank Personal Loan
See my rateson NerdWallet's secure websiteon NerdWallet's secure website
PNC Bank Personal Loan

PNC Bank Personal Loan

Est. APR

7.49-30.49%

Loan amount

$1,000-$35,000

Min. credit score

None

See my rateson NerdWallet's secure websiteon NerdWallet's secure website
Key facts

For borrowers who want flexibility, PNC delivers with a wide range of repayment terms and a joint loan option, but non-customers may need to visit a branch to close the loan.

Pros
  • Rate discount for autopay.
  • Joint loan option.
  • Direct payment to creditors with debt consolidation loans.
  • Wide variety of repayment term options.
Cons
  • Product varies by location.
  • May require in-person visit.
  • No large loan amounts.
Qualifications
  • Minimum credit score: None.
  • Must be at least 18 years old.
  • Must provide date of birth and Social Security number.
  • Must show photo ID.
  • Must be able to show proof of income.
Available Term Lengths6 months to 5 years
Fees
  • Origination fee: None.
  • Late fee: Greater of $40 or 10% of amount due, after 15-day grace period.

Compare debt consolidation lenders

Upgrade: Best overall

Overview: Upgrade is a standout debt consolidation lender that offers direct payment to creditors and multiple rate discounts, which lower the amount of interest you pay on your loan. Upgrade loans are available to borrowers with a 560 credit score or higher.

  • Pros

    Cons

    • Multiple rate discounts.

    • Secured and joint loans.

    • 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 initial payment date.

SoFi: Best for no fees

Overview: SoFi’s debt consolidation loans have no required fees, including no late fees. Its loans are available to borrowers with good or excellent credit (690 credit score or higher) and come with unique perks like unemployment protection and free financial advising.

  • Pros

    Cons

    • Joint loan option.

    • Multiple rate discounts.

    • Hardship program for borrowers in need.

    • Mobile app to manage loan.

    • No option to choose initial payment date.

    • High minimum loan amount.

Happy Money: Best for paying off credit card debt

Overview: Happy Money specializes in credit card consolidation, rolling multiple credit card debts into one monthly payment. It pays off your creditors for you, saving you that step, and is available to borrowers with a credit score of 640 or higher.

  • Pros

    Cons

    • Option to pre-qualify with a soft credit check.

    • Offers direct payment to creditors.

    • Fast funding.

    • No late fee.

    • Hardship program for borrowers in need.

    • Origination fee.

    • No rate discount.

    • No co-sign or joint loan option.

    • No option to choose initial payment date.

LightStream: Best for low rates

Overview: LightStream offers debt consolidation loans to borrowers with a minimum credit score of 660. Its combination of lower overall rates, no fees and a discount for setting up autopay makes it a particularly affordable option.

  • Pros

    Cons

    • No fees.

    • Rate discount for autopay.

    • Long repayment terms.

    • Rate Beat program and Experience Guarantee.

    • No option to pre-qualify on its website.

    • No direct payment to creditors with debt consolidation loans.

    • High minimum loan amount.

Universal Credit: Best for bad credit

Overview: Universal Credit offers debt consolidation loans with direct payment to creditors, multiple rate discounts and fast funding. Borrowers with bad credit can apply, thanks to a 560 minimum credit score requirement.

  • Pros

    Cons

    • Direct payment to creditors with debt consolidation loans.

    • Fast funding.

    • Offers multiple rate discounts.

    • Free credit score access.

    • Origination fee.

    • Two repayment term options.

Best Egg: Best for secured loan option

Overview: Best Egg borrowers can apply for a secured loan to consolidate their debts, using their home’s fixtures or a vehicle as collateral. Best Egg also pays off your creditors for you and has a 600 minimum credit score requirement.

  • Pros

    Cons

    • Option to pre-qualify with a soft credit check.

    • Wide range of loan amounts.

    • 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.

Discover: Best for fast funding

Overview: Discover’s debt consolidation loans are a good fit for borrowers who want to move quickly on their debts. If you’re approved, Discover can send the loan funds directly to your creditors within one business day. Borrowers need a minimum credit score of 660 to apply.

  • Pros

    Cons

    • No origination fee.

    • Option to pre-qualify with a soft credit check.

    • Fast funding.

    • Mobile app to manage loan.

    • May charge late fee.

    • No co-sign or joint loan option.

    • No rate discount.

Achieve: Best for rate discounts

Overview: Achieve offers three ways to get a rate discount on its debt consolidation loan, including a direct pay discount if borrowers opt to have the loan funds sent directly to their creditors. Achieve has a minimum credit score requirement of 620.

  • Pros

    Cons

    • Multiple rate discounts.

    • Direct payment to creditors with debt consolidation loans.

    • Option to pre-qualify with a soft credit check.

    • Joint loan option.

    • Charges origination fee.

    • No mobile app to manage loan.

    • High minimum loan amount.

LendingClub: Best for joint loan option

Overview: LendingClub offers joint debt consolidation loans, meaning you can add a co-borrower to your application which may help you qualify for a larger loan amount or a lower interest rate. LendingClub has a 600 minimum credit score requirement.

  • Pros

    Cons

    • 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.

    • Origination fee.

    • No mobile app to manage loan.

PNC: Best for bank loans

Overview: PNC offers debt consolidation loans to good- and excellent-credit borrowers in all 50 states, and you don’t need to be a customer to apply. Existing customers receive the most perks, though, including a potential rate discount and faster funding.

  • Pros

    Cons

    • Rate discount for autopay.

    • Joint loan option.

    • Direct payment to creditors with debt consolidation loans.

    • Wide variety of repayment term options.

    • Product varies by location.

    • May require in-person visit.

    • No large loan amounts.

What is a debt consolidation loan?

A debt consolidation loan combines multiple unsecured debts — such as credit cards, medical bills and payday loans — into one fixed monthly payment.

As long as the interest rate on the debt consolidation loan is lower than the combined rates on your existing debts, you’ll save money on interest and potentially pay off your debt faster.

How do debt consolidation loans work?

Online lenders, banks and credit unions offer debt consolidation loans. If you qualify, the lender deposits the loan into your bank account, and you use that money to pay off your debts. Some lenders send loan proceeds directly to your creditors, saving you that step.

Once you pay off your other debts, you make monthly payments toward the debt consolidation loan. Payments are fixed for the life of the loan, typically two to seven years.

Are debt consolidation loans a good idea?

A debt consolidation loan is a good idea if you can get a lower annual percentage rate than what you're currently paying on your other debts. The best debt consolidation loan interest rates are reserved for borrowers with good or excellent credit (690 or higher credit score).

Like with all financial decisions, you should carefully weigh the pros and cons of consolidating your debts before you apply for a loan. Here are the main benefits and drawbacks of debt consolidation loans to help you make an informed decision.

Pros of debt consolidation

Cons of debt consolidation

  • You pay less in interest.

  • You may get out of debt faster.

  • You have only one payment.

  • You have a clear finish line.

  • You may not qualify for a low enough rate.

  • You still have debt you need to manage.

  • Consolidation won’t fix core spending issues.

Pros of debt consolidation loans

  • You pay less in interest: By getting a debt consolidation loan at a lower rate than your current debts, you’ll save money on interest, which can make your debt more manageable.

  • You may get out of debt faster: Because you’re saving money on interest, you can use that savings to make larger payments on your loan and get out of debt even faster.

  • You have only one payment: Unlike juggling multiple credit card bills, you’ll have only one monthly payment if you combine your debts under a consolidation loan.

  • You have a clear finish line: A debt consolidation loan gives you an exact date you’ll be debt-free, which can help you stay motivated as you make the payments.

Cons of debt consolidation loans

  • You may not qualify for a low enough rate: Not all consolidation loans come with low interest rates, and if you have bad credit (a score below 630), you may not get a rate that’s lower than your current debts.

  • You still have debt you need to manage: Consolidating debt is a smart choice for many, but it’s important to remember the debt doesn’t disappear — it goes somewhere else. Most debt consolidation loans offer terms of two to seven years, so be prepared to stick to your monthly payments over that time period.

  • Consolidation won’t fix core spending issues: If you’re in debt because you struggle to stick to your monthly budget, a debt consolidation loan won’t fix that. It may even make things worse if you use your newly freed credit cards to rack up additional debt.

How to compare debt consolidation loans

1. Look for an annual percentage rate lower than your existing debts

The loan's annual percentage rate, or APR, represents its true annual cost and includes interest and any fees. Rates vary based on your credit score, income and debt-to-income ratio. Use APRs to compare costs between multiple loans. Choose a low rate with monthly payments that fit your budget.

2. Avoid origination fees if you can

Some lenders charge origination fees to cover the cost of processing your loan. This one-time fee typically ranges from 1% to 10% of the loan amount and is deducted from your loan proceeds or added to the loan balance. If the fee is deducted from your loan proceeds, you’ll need to request more than the sum of your debts to cover the fee and still have enough to pay your creditors.

Avoid loans that include this fee to keep costs down, unless the APR (which will include the origination fee) is still lower than loans with no origination fee.

3. Check that the available loan amounts and terms match your debt

Debt consolidation loans come in a wide range of loan amounts ($1,000 to $50,000) and repayments terms (two to seven years). Look for a lender whose loan product meets your debt payoff needs. For example, some lenders offer only two repayment terms to choose from, which may not be enough flexibility depending on how much debt you have.

4. Look for special debt consolidation features

Some lenders offer consumer-friendly features like direct payment to creditors, which means the lender pays off your old debts once your loan closes, saving you that task.

Other features to shop for include free credit score monitoring and hardship programs that temporarily reduce or suspend monthly payments if you face a financial setback, such as a job loss.

Do debt consolidation loans hurt your credit?

Debt consolidation loans can help — and hurt — your credit score. When you use the loan to pay off your credit cards, you lower your credit utilization, which measures how much of your credit limit is tied up. Lowering your credit utilization can help your credit.

On the other hand, applying for a loan requires a hard credit check, which can temporarily ding your credit score. And if you turn around and rack up new credit card debt, your credit score will suffer.

Making late payments on your new loan can also hurt your credit score, while on-time payments can help.

Ultimately, if you use the debt consolidation loan to pay off your debts and then pay off the new loan on time, the overall effect on your credit should be positive.

How to qualify for a debt consolidation loan

1. Build your credit

Loan approval is based mainly on your credit score and ability to repay. It may be possible to get a debt consolidation loan with bad credit, but borrowers with good to excellent credit have more loan options and may qualify for lower rates.

If you have fair or bad credit (689 credit score or lower), it can pay to build your credit before seeking a consolidation loan.

2. Apply for a joint, co-signed or secured loan

Adding a co-borrower or co-signer to your application can help you qualify for a debt consolidation loan that you wouldn’t be able to on your own because of poor credit or low income. In a joint loan, both borrowers have equal access to the funds, unlike a co-signed loan, in which only the main applicant does. Co-borrowers and co-signers are on the hook for missed payments.

Some lenders may also offer a secured loan, which means you can back it with collateral, like your car or an investment account, to boost your chances of approval or get a better loan offer. But you risk losing the asset if you fail to repay the loan.

3. Consider different types of lenders

Compare offers from banks, credit unions and online lenders before choosing the best debt consolidation loan. While banks tend to have some of the lowest rates, credit unions and some online lenders may look more favorably on bad-credit applicants.

How to get a debt consolidation loan with bad credit

You can still get a debt consolidation loan if you have bad credit (a 629 credit score or lower).

Look specifically for lenders that let you pre-qualify with a soft credit check — that way you can check if you meet the lender’s requirements without taking a hit to your credit score. This will also help you check if the rate you qualify for is lower than your existing debts.

Some online lenders specifically offer debt consolidation loans for borrowers with bad credit. If you’re not sure where to begin, your local credit union is also a good first stop.

How to get a debt consolidation loan

1. Add up current debts and calculate the combined interest rate

The first step in getting a debt consolidation loan is having a clear picture of your current debt. You can use NerdWallet’s debt consolidation calculator to see your total balance, total monthly payment and combined interest rate across all debts.

You’ll want to keep two numbers in mind moving forward: Your total debt, because this is the loan amount you need to apply for, and your combined interest rate, because you’ll want a lower interest rate on your consolidation loan.

2. Pre-qualify and compare loan options

One of the best ways to compare loan offers is to pre-qualify with multiple lenders, which lets you see your potential loan terms, including APR, without any effect on your credit score. Though not all banks or credit unions offer pre-qualification, most online lenders do.

3. Apply for a debt consolidation loan

Once you’ve decided on a lender, it’s time to apply for the loan.

Most loan applications are online and ask you to supply personal information like your Social Security number, address and other contact details. You also may be asked to provide proof of identity, employment and income.

Once you’ve submitted your application, the lender will make an approval decision. If you’re approved, you’ll sign the loan agreement and receive the funds. Funding time varies among lenders, but some lenders can fund the same day you’re approved.

4. Pay off creditors

Here’s the most important step: Use the loan proceeds to pay off your existing debts. Some lenders send the funds to your creditors for you, so you’ll need to provide account information about your existing debts — and check the accounts to make sure they’re paid off.

If a lender doesn’t offer direct payment, they’ll deposit the funds in an account of your choosing or mail a check, if you prefer. It’ll be up to you to make sure the right amount goes to each debt.

5. Begin making payments on your new loan

Once your existing debts are paid, you’re left with your new loan. Personal loan payments are monthly, though there’s usually no fee for paying off a loan early. Make a plan now to manage your personal loan payments.

As you make progress on paying off your loan, try to keep your credit card balances at or near zero until you’re debt-free. But avoid closing the accounts, which can lower your credit score.

Alternatives to debt consolidation loans

A debt consolidation loan isn’t your only option for paying off debt.

0% balance transfer credit card: For borrowers with good to excellent credit, transferring debts to a 0% balance transfer card may be a good option — as long as you can pay it off during the introductory period, which can range from 15 to 21 months.

Credit counseling: Nonprofit organizations offer credit counseling, which includes helping you create a debt management plan. Similar to other consolidation products, these plans roll your debts into one manageable payment at a reduced interest rate.

Debt payoff strategies: If you’re not sure how to tackle debt, you may not need to consolidate. The debt snowball and debt avalanche methods are two common strategies for paying off debt. The snowball method focuses on paying off your smallest debt first, building momentum as you go. The avalanche focuses on paying off the debt with the highest interest rate first, then applying the savings elsewhere. Both can boost your payoff speed.

How we chose the best debt consolidation loans

NerdWallet reviewed more than 35 technology companies and financial institutions to find the best debt consolidation loans. We assessed these loans across five major categories, detailed below. If you’d like to know more about our rating process, see our personal loans methodology.

  • Affordability

    An affordable loan has low rates and fees compared to other similar loans and may offer rate discounts.

    Underwriting and eligibility

    The lender reviews borrowers credit reports and credit history, and tries to understand their ability to repay a loan, before making a final application decision.

    Loan flexibility

    A flexible loan is one that lets users customize terms and payments. That means offering a wide range of repayment term options, allowing the borrower to change their payment date, offering loans in most states and funding it quickly.

    Customer experience

    A good customer experience can include a fully online application process, financial education on the lender’s website and a customer service team that’s available most of the time and can be reached multiple ways.

    Transparency

    A transparent lender makes information about the loan easy to find on its website, including rates, terms and loan amounts. Transparency also means allowing users to pre-qualify online to preview potential loan offers and reporting payment information with the major credit bureaus.

Last updated on February 1, 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.

To recap our selections...

NerdWallet's Best Debt Consolidation Loans of March 2024

  • SoFi Personal Loan: Best for No fees
  • Upgrade: Best for Best overall
  • LightStream: Best for Low rates
  • Happy Money: Best for Paying off credit card debt
  • Achieve Personal Loans: Best for Rate discounts
  • Best Egg: Best for Secured loan option
  • Universal Credit: Best for Bad credit
  • LendingClub: Best for Joint loan option
  • Discover® Personal Loans: Best for Fast funding
  • PNC Bank Personal Loan: Best for Bank loans

Frequently asked questions

  • Debt consolidation loan interest rates vary by lender. The annual percentage rate, which is the interest rate plus any fees a lender charges, can range from 6% to 36%. Factors like your credit score, income and debt-to-income ratio help determine what interest rate you'll get on a loan.

NerdWallet Pixel