Compare your personal loan options
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Debt consolidation loans for borrowers with fair credit

You can use an unsecured personal loan to consolidate debt or finance large purchases. Interest rates and terms can vary, based on your credit score and other factors. Compare loans from multiple lenders and learn more about personal loans.


We found 5 options from our lending partners

3 year loan

LightStream

on LightStream

LightStream

LightStream
APR 
5.5-20.5% 

Mo. payment 
$168 

Min. credit 
660 

on LightStream


Min. credit

660

Qualifications

  • Minimum credit score of 660.

  • No minimum income specified.

  • Maximum debt-to-income ratio varies depending on loan purpose.

Pros

  • No fees.

  • Co-sign option.

  • Low starting rates.

Cons

  • Does not offer pre-qualification on its website.

  • Requires several years of credit history.

Disclaimer

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). Rate quote includes AutoPay discount. AutoPay discount is only available when selected prior to loan funding. 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 $5,000 loan at 12.8% APR with a term of 3 years would result in 36 monthly payments of $168. Some additional conditions and limitations apply. Advertised rates and terms are subject to change without notice. SunTrust now Truist is an Equal Housing Lender. © 2020 Truist Financial Corporation. SunTrust®, Truist, LightStream®, the LightStream logo, and the SunTrust logo are service marks of Truist Financial Corporation. All rights reserved. All other trademarks are the property of their respective owners. Lending services provided by SunTrust now Truist Bank.

Avant

on Avant

APR 
9.95-35.99% 

Mo. payment 
$193 

Min. credit 
580 

on Avant


Min. credit

580

Qualifications

  • Minimum credit score of 580.

  • At least $20,000 in gross annual income.

Pros

  • Low minimum credit score.

  • Refinancing option.

  • No prepayment fee.

Cons

  • No co-sign or secured loan option.

  • Does not offer direct payment to creditors for debt consolidation loans.

Disclaimer

A $5,700 loan with an administration fee of 4.75% and an amount financed of $5,429.25, repayable in 36 monthly installments, would have an APR of 29.95% and monthly payments of $230.33. Minimum loan amounts may vary by state. If approved, the actual rate and loan amount that a customer qualifies for may vary based on credit determination and other factors. An administration fee of up to 4.75% will be deducted from the loan proceeds. Avant branded credit products are issued by Webbank, member FDIC

Prosper Borrowers

on Prosper Borrowers

Prosper Borrowers

Prosper Borrowers
APR 
17.3-22.9% 

Mo. payment 
$186 

Min. credit 
640 

on Prosper Borrowers


Min. credit

640

Qualifications

  • Minimum credit score: 640, but average is 717.

  • Minimum credit history: Two years, but average is 11.

  • Minimum annual income: None, but average is $89,000.

  • Maximum debt-to-income ratio: 50% (excluding mortgage).

  • No bankruptcies filed within the last year.

  • Fewer than five credit bureau inquiries in the last six months.

Pros

  • No prepayment fee.

  • Option to change your payment date.

  • Offers joint loan option.

Cons

  • Charges origination fee.

  • Charges late fee of $15 or 5% of the unpaid loan amount.

Disclaimer

For example, a three-year $10,000 personal loan would have an interest rate of 11.74% and a 5.00% origination fee for an annual percentage rate (APR) of 15.34% APR. You would receive $9,500 and make 36 scheduled monthly payments of $330.90. A five-year $10,000 personal loan would have an interest rate of 11.99% and a 5.00% origination fee with a 14.27% APR. You would receive $9,500 and make 60 scheduled monthly payments of $222.39. Origination fees vary between 2.41%-5%. Personal loan APRs through Prosper range from 7.95% to 35.99%, with the lowest rates for the most creditworthy borrowers. Eligibility for personal loans up to $40,000 depends on the information provided by the applicant in the application form. Eligibility for personal loans is not guaranteed, and requires that a sufficient number of investors commit funds to your account and that you meet credit and other conditions. Refer to Borrower Registration Agreement for details and all terms and conditions. All personal loans made by WebBank, Member FDIC.

Upgrade

on Upgrade

Upgrade

Upgrade
APR 
19.2-28.7% 

Mo. payment 
$196 

Min. credit 
600 

on Upgrade


Min. credit

600

Qualifications

  • Minimum credit score: 600.

  • Minimum annual income: None, but most applicants earn more than $30,000.

  • Minimum monthly free cash flow: $800.

  • Maximum debt-to-income ratio: 60%.

  • Unavailable to borrowers in: Iowa or West Virginia.

Pros

  • Credit health tools.

  • Hardship plans.

  • Directly pays creditors for debt consolidation loans used to pay off credit cards.

Cons

  • Origination and late fees.

Disclaimer

Personal loans made through Upgrade feature APRs of 7.99%-35.97%. All personal loans have a 2.9% to 8% origination fee, which is deducted from the loan proceeds. Lowest rates require Autopay and paying off a portion of existing debt directly. For example, if you receive a $10,000 loan with a 36-month term and a 17.98% APR (which includes a 14.32% 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 $343.33. Over the life of the loan, your payments would total $12,359.97. 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 lending partners. Information on Upgrade's lending partners can be found at https://www.upgrade.com/lending-partners/.

LendingPoint

on LendingPoint

LendingPoint

LendingPoint
APR 
22.67-24.18% 

Mo. payment 
$195 

Min. credit 
585 

on LendingPoint


Min. credit

585

Qualifications

  • Minimum credit score of 585; borrowers’ average is 670. LendingPoint uses the FICO 9 credit scoring model.

  • At least $20,000 in annual income; average customer earns $85,000.

  • Debt-to-income ratio of less than 40%; average customer is 15%.

  • LendingPoint is unavailable to borrowers in West Virginia.

Pros

  • Soft credit check with pre-qualification.

  • No prepayment fee.

  • Option to change your payment date.

Cons

  • May charge an origination fee.

  • No co-sign or secured loan options.

Disclaimer

Loan approval is not guaranteed. Actual loan offers and loan amounts, terms and annual percentage rates (“APR”) may vary based upon LendingPoint's proprietary scoring and underwriting system's review of your credit, financial condition, other factors, and supporting documents or information you provide. Origination or other fees from 0% to 6% may apply depending upon your state of residence. Upon LendingPoint's final underwriting approval to fund a loan, said funds are often sent via ACH the next non-holiday business day. LendingPoint makes loan offers from $2,000 to $25,000, at rates ranging from a low of 15.49% APR to a high of 34.99% APR, with terms from 24 to 48 months.


DIVE EVEN DEEPER IN PERSONAL LOANS

Learn more about personal loans

When you need money, whether to cover a large expense or to consolidate your debt , a personal loan can be a viable option. An unsecured personal loan is a fixed-rate loan that is not backed by collateral and repaid in monthly installments over a specific term, usually two to five years.

Interest rates on personal loans vary based on the type of lender and your creditworthiness. Lenders look at factors including your credit score, credit report and debt-to-income ratio. You can get a personal loan from some major banks, credit unions and online lenders.

» MORE: Online or in person: What’s the better way to get a loan?

Borrowers with excellent credit typically get the lowest rates and the largest loan amounts. They also have the widest options when it comes to shopping for a loan.

Those with fair to bad credit may have to look a little harder and pay a higher rate for a personal loan. Some online lenders target low-credit borrowers, offering loans with rates from 18% to 36% APR. Having steady income, low debt and a long credit history of on-time payments will improve your chances of being approved.

What rate should I expect?

Rates vary from lender to lender and depend heavily on your credit history and ability to repay, but here is what interest rates on personal loans look like, on average:

How's your credit?Score rangeEstimated APR
Excellent720 - 85013.9%
Good690 - 71918.0%
Fair630 - 68921.8%
Bad300 - 62927.2%; lowest scores unlikely to qualify

Source: NerdWallet lender survey

Before you shop for a personal loan

  • Compare your options. Interest rates on personal loans for good credit start around 5% APR, but if you can qualify for 0% interest credit card — and pay off the balance within the promotional period — then you’re better off with the credit card.
  • Calculate loan payments at a range of interest rates and amounts so you’ll have an idea of what to expect as you shop.
  • If you have bad credit, find a co-signer. Having a co-signer with good credit allows you to piggyback on his or her creditworthiness and potentially get a better rate.
  • Consider a secured loan. Using a car, savings account or other asset as collateral may get you a lower rate.
  • If you have time, do what you can to build your credit. The higher your credit score, the better your chances of qualifying for a personal loan and getting a more affordable rate.
  • Assess your overall financial well-being. Personal loans work best as part of a balanced financial plan. Borrow money to consolidate debt if it means you’ll get out of debt more quickly. But don’t borrow if it only adds financial strain. If your current debt is overwhelming, investigate your debt-relief options.

Compare loan offers from multiple lenders

If you decide a personal loan is right for you, always compare rates from multiple lenders. The loan with the lowest APR is the least expensive — and therefore, usually the best choice. Most lenders allow you to see estimated rates without affecting your credit score, so it pays to shop around.

If you have good credit and an existing banking relationship, it’s worth checking out loan options from your current bank or credit union. Here are some top banks that offer personal loans.

To compare rates from online lenders, use NerdWallet’s lender marketplace above to easily compare several offers at once. If you qualify, you could receive your money as soon as the next day.

Personal loan companies reviewed by NerdWallet

See more personal loan options on NerdWallet


Disclaimers

Annual Percentage Rates (APR), loan term and monthly payments are estimated based on analysis of information provided by you, data provided by lenders, and publicly available information. All loan information is presented without warranty, and the estimated APR and other terms are not binding in any way. Lenders provide loans with a range of APRs depending on borrowers' credit and other factors. Keep in mind that only borrowers with excellent credit will qualify for the lowest rate available. Your actual APR will depend on factors like credit score, requested loan amount, loan term, and credit history. All loans are subject to credit review and approval.