Loan Companies Like SoFi, Prosper, FreedomPlus, LaurelRoad

ElitePersonalFinance
Last Update: July 2, 2022 Loan Reviews Loans

The lending market provides you with abundant options with a good credit score. However, options also present opportunities. For example, with many lenders competing for your business, you shouldn’t settle for a good personal loan. Instead, look to find a great one.

Our review includes some of the best personal loans for good credit to aid your search. Most lenders mandate a credit score of at least 650, and annual percentage rates (APRs) are as low as 2.49%. Moreover, since applying doesn’t hurt your credit score, it’s wise to shop around and see which lender will offer the best terms.

Furthermore, our marketplace can help you obtain the best good credit personal loan in the shortest amount of time. With a few clicks, you can browse dozens of lenders willing to help.

The Best Personal Loans For Good Credit

Since high-end APRs are for borrowers with bad credit, applicants with good credit should obtain APRs in the 5% to 10% range. Moreover, alternative factors like your income, savings, spending habits, education, and rent history can also tilt the scale in your favor.

As a result, we hope that our reviews will make your search a little easier.

Lender: Loan Amount: APR: Min. Credit Score: Best For:
SoFi $5,000 – $100,000 5.74% – 20.28% 680 No-fee personal loans
Prosper $2,000 – $40,000 7.95% – 35.99% 640 Obtaining multiple personal loans
Laurel Road $5,000 – $45,000 7.00% – 24.75% 660 – 700 Debt consolidation
Happy Money $5,000 – $40,000 5.99% – 24.99% 550 A stable credit history
FreedomPlus $7,500 – $50,000 7.99% – 29.99% 620 Debt consolidation
Marcus by Goldman Sachs $3,500 – $40,000 6.99% – 19.99% 660 No-fee personal loans
Discover $2,500 – $35,000 5.99% – 24.99% 660 Debt consolidation
LightStream $5,000 – $100,000 2.49% – 19.99% 660 Strong credit profiles
Wells Fargo $3,000 – $100,000 5.74% – 19.99% 660 Wells Fargo customers
PNC Bank $1,000 – $35,000 5.99% – 35.99% 660 Online and in-person service
Pentagon Federal Credit Union $600 – $50,000 4.99% – 17.99% 650 High DTI ratios
TD Bank $2,000 – $50,000 6.99% – 18.99% 700 Good to excellent credit scores
TransformCredit $3,000 – $7,000 Up to 35.99% 750 Borrowers with cosigners

SoFi

Loan Amount: $5,000 – $100,000
APR: 5.74% – 20.28%
Min. Credit Score: 680
Approval: 1 – 7 Days
Terms: 2 – 7 Years
Fees:
  • There are no loan origination fees
  • There are no late payment fees
  • There are no closing fees
  • There are no prepayment fees
Qualification Criteria:
  • Be at least 18 years of age
  • Have a credit score of at least 680.
  • Be employed, have an employment offer that starts in 60 days, or have recurring income from other sources.
  • Fill out your information through SoFi’s online portal
Average Borrower Profile:
  • Has a FICO Score of 753
  • Has gross income of $151,144
  • Has free cash flow of $5,696 per month
  • Borrows $31,634
  • Excellent credit scores incur an APR of 6.59%
  • Good credit scores incur an APR of 15.56%
Best For: No-fee personal loans
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SoFi can help you obtain an affordable personal loan with a fee structure that’s more attractive than many of its competitors. Like LightStream, you can borrow anywhere from $5,000 to $100,000. And SoFi’s APRs range from 5.74% to 20.28%, with terms of two to seven years. In addition, if you have a SoFi Money account or open one within 60 days of your loan application, you’ll earn a $10 bonus. Also, SoFi doesn’t have origination or late payment fees, and like Marcus by Goldman Sachs, it’s one of the few companies on our list that doesn’t levy these charges. As a result, if you’re in the market for a good credit personal loan, SoFi is an excellent place to start your search.

You need a credit score of 680 to qualify at SoFi, and the requirement is higher than most lenders on our list. Furthermore, the average SoFi borrower has a FICO Score of 753, so the lender’s underwriting standards may be stricter. However, like LightStream, applying won’t impact your credit score, so it doesn’t hurt to inquire.

Pros:

  • Like LightStream, SoFi’s personal loans range from $5,000 to $100,000.
  • SoFi’s financing rates range from 5.74% to 20.28%.
  • Flexible terms stretch from two to seven years.
  • Like Marcus by Goldman Sachs, SoFi doesn’t have origination or late payment fees.
  • Applying won’t hurt your credit score.

Cons:

  • Like LightStream and Laurel Road, you must borrow at least $5,000.

The impact of COVID-19:

SoFi’s Special Handling Team offered assistance to borrowers struggling to make their loan payments during the pandemic. If you find yourself in a similar situation, you can contact SoFi at 1-855-456-7634 to learn more about the options available.

Prosper

Loan Amount: $2,000 – $40,000
APR: 7.95% – 35.99%
Min. Credit Score: 640
Approval: 1 Day
Terms: 3 – 5 Years
Fees:
  • Loan origination fee of 2.41% – 5%
  • Late payment fee of 5% of the amount due, or $15, whichever is greater
  • There are no prepayment fees
Qualification Criteria:
  • Be at least 18 years of age
  • Have a FICO Score of at least 640
  • Have less than five inquires into your credit profile over the last six months
  • Have a positive annual income
  • Have a DTI ratio that doesn’t exceed 50%
  • Have at least three open accounts listed on your credit report
  • Have not filed for bankruptcy over the preceding 12 months
  • Fill out your information through Prosper’s online portal
Average Borrower Profile:
  • Has a credit score of 714
  • Has a loan-to-income ratio of 5.34%.
  • Borrows $13,446
  • Incurs an APR of 13.49%
  • Has a DTI ratio of 16.90%
Best For: Obtaining multiple personal loans
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Prosper lets you take out more than one personal loan at a time. But your first loan must be at least six months old, and all of your payments must be current, with no charge-offs or delinquencies over the last 12 months. In addition, the consolidated balance can’t exceed Prosper’s $40,000 maximum.

However, you can borrow $2,000 to $40,000, and APRs range from 7.95% to 35.99%. Moreover, terms of three to five years are available, and Prosper has an excellent reputation. Also, Prosper is like Happy Money because it’s a peer-to-peer (P2P) lender. Therefore, Prosper connects you with investors who offer financing instead of issuing the loan. However, the product you receive is identical, and like Happy Money, P2P lenders often help borrowers obtain lower APRs.

Pros:

  • Prosper’s personal loans range from $2,000 to $40,000
  • Prosper’s financing rates range from 7.95% to 35.99%.
  • Flexible terms stretch from three to five years.
  • Like Happy Money, applying won’t hurt your credit score.

Cons:

  • If your payment is late, a fee of 5% of the amount due, or $15, whichever is greater, will apply.
  • Prosper’s loan origination fee is 2.41% to 5%.

The impact of COVID-19:

While Prosper offers borrowers a 15-day grace period before levying late payment fees, assistance is available if you suffer from financial hardship. Prosper recommends that you contact the loan company at 1-800 843-1662, or via email at covidhelp@prosper.com.

Laurel Road

Loan Amount: $5,000 – $45,000
APR: 7.00% – 24.75%
Min. Credit Score: 660 – 700
Approval: 1 – 7 Days
Terms: 3 – 5 Years
Fees:
  • Late payment fee of 5% of the amount due, or $28, whichever is less.
  • There are no loan origination fees
  • There are no closing fees
  • There are no application fees
  • There are no prepayment fees
Qualification Criteria:
  • Be at least 18 years of age
  • Have a minimum credit score of 660 with a cosigner
  • With no cosigner, have a minimum credit score of 700.
  • Have a DTI ratio that doesn’t exceed 43%
  • Have recurring employment income or government benefits.
  • Have no bankruptcies over the last four years
  • Fill out your information through Laurel Road’s online portal
Average Borrower Profile: Laurel Road doesn’t disclose average personal loan statistics
Best For: Debt consolidation
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Like SoFi and LightStream, the minimum you can borrow from Laurel Road is $5,000. However, personal loans range from $5,000 to $45,000, with APRs of 7% to 24.75%, and terms of three to five years. But maximum loan amounts vary by purpose. For example, you can borrow up to $35,000 for green, business, moving, auto, and other standard expenses. However, for debt consolidation or major home improvement projects, the maximum loan amount is $45,000. In addition, doctors and dentists can qualify for personal loans of $30,000 to $80,000, depending on their education and employment status.

Without a cosigner, you need a minimum credit score of 700 to qualify. Conversely, borrowing with a friend or family member lowers the minimum threshold to 660. Furthermore, Laurel Road is like SoFi and Marcus by Goldman Sachs because there are no loan origination fees. And avoiding the charge is an excellent way to save money.

Pros:

  • Laurel Road’s personal loans range from $5,000 to $45,000.
  • Up to $80,000 is accessible by doctors and dentists.
  • Laurel Road’s financing rates range from 7% to 24.75%.
  • Flexible terms stretch from three to five years.
  • Like SoFi and Marcus by Goldman Sachs, Laurel Road doesn’t have loan origination fees.
  • Applying won’t hurt your credit score.

Cons:

  • If your payment is late, a fee of 5% of the amount due, or $28, whichever is less, will apply.
  • Like TD Bank, you need a credit score of at least 700 without a cosigner.
  • Like SoFi and LightStream, you have to borrow at least $5,000.

The impact of COVID-19:

Laurel Road’s forbearance programs helped customers pause their loan payments for up to three months. However, if you’re still experiencing financial difficulties, Laurel Road encourages borrowers to contact its servicing partner Mohela at 1-877-292-6845.

Happy Money

Loan Amount: $5,000 – $40,000
APR: 5.99% – 24.99%
Min. Credit Score: 550
Approval: 1 – 7 Days
Terms: 2 – 5 Years
Fees:
  • Loan origination fee of 0% – 5%
  • There are no late payment fees
  • There are no application fees
  • There are no prepayment fees
Qualification Criteria:
  • Be at least 18 years of age
  • Have a credit score of at least 550
  • The maximum DTI ratio is often 43%
  • Have recurring employment income or government benefits
  • Have no current delinquencies
  • Have a credit history of at least three years
  • Fill out your information through Happy Money’s online portal
Average Borrower Profile:
  • Has a credit score of 710
  • Has $2,000 in cash flow per month
  • Has a DTI ratio of 40%
Best For: A stable credit history
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Happy Money has stricter qualification criteria than most lenders. But the higher standards often result in more attractive loans. For example, the loan company doesn’t approve borrowers with any current delinquencies, and you need to have a credit history of at least three years. Also, Happy Money loans are not available in Massachusetts or Nevada.

However, like SoFi and LightStream, the minimum you can borrow is $5,000. Qualified applicants can borrow $5,000 to $40,000, with APRs of 5.99% to 24.99% and terms of two to five years. However, loan minimums are $5,100 in New Mexico and $6,100 in Maryland.

Also, Happy Money is a P2P lender like Prosper, and its marketplace makes it easy to apply. And since applying won’t hurt your credit score, Happy Money is a prudent pathway to finding the best personal loans for good credit.

Pros:

  • Happy Money’s personal loans range from $5,000 to $40,000.
  • Happy Money’s financing rates range from 5.99% to 24.99%.
  • You can receive an APR discount of 0.25% to 1% if you use the loan proceeds for debt consolidation.
  • Flexible terms stretch from two to five years.
  • Happy Money doesn’t have late payment fees.
  • Like Prosper, applying won’t hurt your credit score.

Cons:

  • Happy Money’s loan origination fee is 0% to 5%.
  • Like SoFi and LightStream, you have to borrow at least $5,000.
  • Three-year credit history is mandatory.
  • Massachusetts and Nevada residents can’t apply.

The impact of COVID-19:

Happy Money has relief programs that can help borrowers dealing with COVID-19 disruptions or other means of financial hardship. To inquire about the available options, you can call Happy Money at 1-949-346-8740 or send an email to success@happymoney.com.

FreedomPlus

Loan Amount: $7,500 – $50,000
APR: 7.99% – 29.99%
Min. Credit Score: 620
Approval: 1 – 7 Days
Terms: 2 – 5 Years
Fees:
  • Loan origination fee of 1.99% – 4.99%
  • Late payment fee of 5% of the amount due, or $15, whichever is greater.
  • There are no prepayment fees
Qualification Criteria:
  • Be at least 18 years of age
  • Have a credit score of at least 620
  • Have a DTI ratio that doesn’t exceed 40%
  • Have recurring employment income or government benefits
  • Fill out your information through FreedomPlus’ online portal
Average Borrower Profile:
  • Has a credit score of 700
  • Has an annual income of $120,000
  • Borrows $19,000
  • Has a DTI ratio of 23%
  • Incurs a 4.99% loan origination fee
  • Achieves a 7.99% APR with excellent credit and a loan amount of less than $12,000 on a three-year term
Best For: Debt consolidation
Check rates

FreedomPlus is another excellent gateway to the best good credit personal loans. However, the lender’s products are not available in Wyoming, Colorado, Connecticut, Oregon, Wisconsin, West Virginia, Hawaii, Kansas, Vermont, New Hampshire, North Dakota, and Nevada.

However, you can borrow $7,500 to $50,000 in all other states, with APRs of 7.99% to 29.99% and terms of two to five years. And like Happy Money, borrowers seeking debt consolidation loans can receive APR discounts. But in contrast to the former, the discount is up to 4%. In addition, applicants with retirement assets of $25,000 to $40,000 can receive APR discounts of up to 5%. Therefore, FreedomPlus is an excellent choice if you want to save money and can meet these requirements.

Pros:

  • FreedomPlus’ personal loans range from $7,500 to $50,000.
  • FreedomPlus’ financing rates range from 7.99% to 29.99%.
  • APR discounts of up to 4% are available if you’re seeking debt consolidation.
  • APR discounts of up to 5% are available if you have a large retirement account.
  • Flexible terms stretch from two to five years.
  • Like Happy Money, applying won’t hurt your credit score.

Cons:

  • FreedomPlus’ loan origination fee is 1.99% to 4.99%.
  • If your payment is late, a fee of 5% of the amount due, or $15, whichever is greater, will apply.
  • You have to borrow at least $7,500.
  • Loans are unavailable in 12 states.

The impact of COVID-19:

While FreedomPlus doesn’t list any specific hardship policies, you can contact the loan company via phone at 1-800-297-5879 or send an email to CustomerSupport@FreedomPlus.com to learn more about the options available.

Marcus by Goldman Sachs

Loan Amount: $3,500 – $40,000
APR: 6.99% – 19.99%
Min. Credit Score: 660
Approval: 1 – 7 Days
Terms: 3 – 6 Years
Fees:
  • There are no loan origination fees
  • There are no late payment fees
  • There are no prepayment fees
Qualification Criteria:
  • Be at least 18 years of age
  • Have a credit score of at least 660
  • The maximum DTI ratio is often 43%
  • Have recurring employment income or government benefits
  • Fill out your information through Marcus by Goldman Sachs’ online portal
Average Borrower Profile: Marcus by Goldman Sachs doesn’t disclose average personal loan statistics
Best For: No-fee personal loans
Check rates

Marcus by Goldman Sachs lets you borrow anywhere from $3,500 to $40,000, with APRs of 6.99% to 19.99% and terms of three to six years. In addition, if you enroll in Auto-Pay, you can reduce your APR by 0.25%. However, loans with six-year terms often have higher APRs than three-year terms. As a result, longer-dated maturities often incur higher costs.

But Marcus by Goldman Sachs is like SoFi because it doesn’t charge loan origination or late payment fees. Therefore, the lender should be atop your list when searching for your next loan. Also, large institutions like TD Bank, Wells Fargo, and Marcus by Goldman Sachs have some of the lowest high-end APRs on our list at 18.99% and 19.99%, respectively. So only Pentagon Federal Credit Union at 17.99% can offer a cheaper high-end rate. Thus, Marcus by Goldman Sachs is an excellent option if you don’t qualify for the lowest rates elsewhere.

Pros:

  • Marcus by Goldman Sachs offers personal loans from $3,500 to $40,000.
  • Marcus by Goldman Sachs has rates from 6.99% to 19.99%.
  • Flexible terms stretch from three to six years.
  • Like SoFi, Marcus by Goldman Sachs doesn’t have origination or late payment fees.
  • Applying won’t hurt your credit score.

Cons:

  • Longer loan terms often have higher APRs.

The impact of COVID-19:

While Marcus by Goldman Sachs’ policies remained consistent throughout the pandemic, help was available to borrowers in need. If you confront similar issues today, you can discuss the problem with Marcus by Goldman Sachs by calling 1-844-627-2872 and speaking with a representative.

Discover

Loan Amount: $2,500 – $35,000
APR: 5.99% – 24.99%
Min. Credit Score: 660
Approval: 1 – 7 Days
Terms: 3 – 7 Years
Fees:
  • Late payment fee of $39
  • There are no loan origination fees
  • There are no prepayment fees
Qualification Criteria:
  • Be at least 18 years of age
  • Have a credit score of at least 660
  • The maximum DTI ratio is often 43%
  • Have a household income of at least $25,000
  • Fill out your information through Discover’s online portal
Average Borrower Profile:
  • Has a credit score of 750
  • Has household income that exceeds the $25,000 minimum
Best For: Debt consolidation
Check rates

Discover is a reliable lender with a 30-day return policy on personal loans. For example, if you receive funding and change your mind, you can return the proceeds penalty-free if you make the repayment via check. However, Discover cannot cancel debt consolidation loans sent to creditors.

In addition, you can borrow anywhere from $2,500 to $35,000, with APRs of 5.99% to 24.99% and terms of three to seven years. Moreover, there are no loan origination fees like SoFi and Marcus by Goldman Sachs. Therefore, Discover is an excellent option if you have good credit. Also, you need a minimum credit score of 660 to qualify, and like LightStream, Wells Fargo, Marcus by Goldman Sachs, and PNC Bank, it’s the most common number on our list. Thus, it should be attainable for most good credit borrowers.

Pros:

  • Discover’s personal loans range from $2,500 to $35,000.
  • Discover’s financing rates range from 5.99% to 24.99%.
  • Flexible terms stretch from three to seven years.
  • Like SoFi, Discover doesn’t have loan origination fees.
  • Applying won’t hurt your credit score.

Cons:

  • If your payment is late, a $39 fee will apply.
  • Applicants need a minimum household income of $25,000 to qualify.
  • You can’t use the proceeds to pay off a secured loan or your Discover credit card.

The impact of COVID-19:

Discover offered payment deferrals as the pandemic unfolded and didn’t collect late fees from struggling borrowers. However, if you fear that you may miss a payment going forward, you can contact Discover’s customer service team via phone at 1-866-248-1255.

LightStream

Loan Amount: $5,000 – $100,000
APR: 2.49% – 19.99%
Min. Credit Score: 660
Approval: 1 – 7 Days
Terms: 3 – 12 Years
Fees:
  • There are no loan origination fees
  • There are no late payment fees
  • There are no closing fees
  • There are no prepayment fees
Qualification Criteria:
  • Be at least 18 years of age
  • Have a credit score of at least 660
  • The maximum DTI ratio is often 45%
  • Have recurring employment income or government benefits
  • Fill out your information through LightStream’s online portal
Average Borrower Profile:
  • Has stable income
  • Has few or no delinquencies
  • Has a long credit history across many accounts
  • Has liquid assets, savings, or retirement assets
  • Does not overuse revolving credit lines
Best For: Strong credit profiles
Check rates

Like SoFi and Happy Money, LightStreams’ loans start at $5,000. Financing ranges from $5,000 to $100,000, with APRs of 2.49% to 19.99%, and terms of three to 12 years. You need to have a strong credit track record, stable and active credit accounts (like credit cards, mortgages, auto loans), and a steady recurring income. Moreover, home equity, a large savings account, and retirement assets increase your chances of approval. And prior cash down payments and responsible credit utilization also help your cause.

However, it should be worth it if you can meet the requirements. For example, LightStream has the lowest low-end APR on our list at 2.49%, and like SoFi and Marcus by Goldman Sachs, there are no origination or late payment fees. In addition, the minimum credit score requirement is 660, so like Discover and PNC Bank, the stipulation isn’t too cumbersome. Also, LightStream is like Wells Fargo because its high-end APR maxes at 19.99%, so it’s still affordable if you don’t qualify for the cheapest rates.

Pros:

  • LightStream’s personal loans range from $5,000 to $100,000.
  • LightStream’s financing rates range from 2.49% to 19.99%.
  • Flexible terms stretch from three to 12 years.
  • Large loans can have 12-year terms, which are longer than comparable offers.
  • Like SoFi, LightStream doesn’t have origination or late payment fees.
  • Applying won’t hurt your credit score.

Cons:

  • Like Happy Money, you have to borrow at least $5,000.
  • LightStream has strict qualification criteria.

The impact of COVID-19:

While LightStream doesn’t list any specific policies or contact information to help struggling borrowers, customers should be able to inquire about their options by logging into their LightStream account.

Wells Fargo

Loan Amount: $3,000 – $100,000
APR: 5.74% – 19.99%
Min. Credit Score: 660
Approval: 1 – 7 Days
Terms: 1 – 7 Years
Fees:
  • Late payment fee of $39
  • Insufficient funds fee of $39
  • There are no loan origination fees
  • There are no prepayment fees
Qualification Criteria:
  • Be at least 18 years of age
  • Have a credit score of at least 660
  • The maximum DTI ratio is often 43%
  • Have recurring employment income or government benefits
  • Apply online or at a Wells Fargo branch
Average Borrower Profile:
  • Excellent credit scores often obtain APRs of 5.74% to 8.22% on a three-year term
  • Good credit scores often obtain APRs of 9.47% to 11.96% on a three-year term
  • Fair credit scores often obtain APRs of 11.96% to 14.46% on a three-year term
Best For: Wells Fargo customers
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Wells Fargo provides personal loans that range from $3,000 to $100,000, with APRs of 5.74% to 19.99%, and terms of one to seven years. However, proceeds of $3,000 to $4,999 have maturities of one to three years, while $5,000 to $100,000 have maturities of one to seven years. In addition, Wells Fargo only accepts online applications from current customers. However, if you already bank there, APR discounts of 0.25% to 0.50% are available if you meet certain conditions. Conversely, new customers can apply at one of Wells Fargo’s 7,200+ in-person locations across the United States.

Like SoFi and LightStream, Wells Fargo is one of three lenders on our list that issues $100,000 loans. Therefore, it’s an excellent option for significant expenses. Furthermore, there are no loan origination fees, so like SoFi, you save money by applying at Wells Fargo. However, the latter may conduct a hard credit check when you inquire, so please keep that in mind before making your final decision.

Pros:

  • Wells Fargo’s personal loans range from $3,000 to $100,000.
  • Wells Fargo’s financing rates range from 5.74% to 19.99%.
  • Wells Fargo customers get APR discounts.
  • Flexible terms stretch from one to seven years.
  • Like SoFi, Wells Fargo doesn’t have loan origination fees.

Cons:

  • If your payment is late, a $39 fee will apply.
  • For insufficient funds, a $39 fee will apply.
  • Only current customers can apply online.
  • Applying may impact your credit score.

The impact of COVID-19:

Wells Fargo offered payment deferrals to qualifying credit card, line of credit, auto, and personal loan borrowers. If you still need assistance, you can apply by calling Wells Fargo at 1-866-828-5047.

PNC Bank

Loan Amount: $1,000 – $35,000
APR: 5.99% – 35.99%
Min. Credit Score: 660
Approval: 1 – 7 Days
Terms: 6 Months – 5 Years
Fees:
  • Late payment fee of 10% of the amount due, or $40, whichever is greater, after a 15-day grace period
  • Insufficient funds fee of $36
  • There are no loan origination fees
  • There are no prepayment fees
Qualification Criteria:
  • Be at least 18 years of age
  • Have a credit score of at least 660
  • The maximum DTI ratio is often 45%
  • Have recurring employment income or government benefits
  • Apply online or at a PNC Bank branch
Average Borrower Profile: PNC Bank doesn’t disclose average personal loan statistics
Best For: Online and in-person service
Check rates

PNC Bank offers the lowest APRs to “well-qualified” applicants, so it’s a solid choice if you have good credit. For example, you can borrow anywhere from $1,000 to $35,000, with APRs of 5.99% to 28.74% and terms of six months to five years. However, PNC Bank’s disclosures state that the APR range applies to three-year loans of $15,000 to $36,000. Thus, other loan balances and terms may incur APRs up to 35.99%. In addition, you can’t use the proceeds to refinance a student loan or make tuition payments.

Conversely, PNC Bank is like Wells Fargo because it’s a traditional bank that doesn’t charge loan origination fees. And like Marcus by Goldman Sachs, an auto-pay discount of 0.25% is available, but you need a PNC Bank checking account. Also, in-person help is available because PNC Bank has more than 2,600 branches in 29 states. Therefore, like Wells Fargo and TD Bank, you may prefer a traditional lender if you value face-to-face interaction.

Pros:

  • PNC Bank’s personal loans range from $1,000 to $35,000.
  • PNC Bank’s financing rates range from 5.99% to 35.99%.
  • Like Wells Fargo, PNC Bank customers get APR discounts.
  • Flexible terms stretch from six months to five years.
  • Like Wells Fargo, PNC Bank doesn’t have loan origination fees.
  • Applying won’t hurt your credit score.

Cons:

  • If your payment is late, a fee of 10% of the amount due, or $40, whichever is greater, will apply after a 15-day grace period.
  • For insufficient funds, a $36 fee will apply.

The impact of COVID-19:

PNC Bank supported its customers during the pandemic by offering assistance to those suffering from financial hardship. To apply, you can submit your application through PNC Bank’s online portal.

Pentagon Federal Credit Union

Loan Amount: $600 – $50,000
APR: 4.99% – 17.99%
Min. Credit Score: 650
Approval: 1 – 7 Days
Terms: 1 – 5 Years
Fees:
  • Late payment fee of $29
  • Insufficient funds fee of $30
  • There are no loan origination fees
  • There are no prepayment fees
  • There are no application fees
Qualification Criteria:
  • Be at least 18 years of age
  • Have a credit score of at least 650
  • The maximum DTI ratio is often 50%
  • Have recurring employment income or government benefits
  • Fill out your information through Pentagon Federal’s online portal
Average Borrower Profile:
  • Excellent credit scores often obtain APRs of 4.99% to 5.99%
  • Good credit scores often obtain APRs of 7.99% to 9.99%
  • Fair credit scores often obtain APRs of 11.99% to 17.99%
Best For: High DTI ratios
Check rates

Pentagon Federal Credit Union is the only lender on our list that provides personal loans of less than $1,000. You can borrow anywhere from $600 to $50,000, with APRs ranging from 4.99% to 17.99%, and terms of one to five years. However, you have to be a member to qualify. You can apply online by depositing $5 into a Pentagon Federal savings account. And since its high-yield savings account has an annual percentage yield (APY) of 0.55%, it’s a solid choice. Then, you can have your loan proceeds deposited into your savings account.

Furthermore, you can use the funds for debt consolidation, home improvement projects, auto, medical, and leisure expenses. In addition, Pentagon Federal is like SoFi and Wells Fargo because it doesn’t have loan origination fees. And with online and in-personal services available, Pentagon Federal makes it easy to inquire about a loan. Finally, the credit union has the lowest low-end APR on our list at 17.99%. Therefore, its products are affordable even if you don’t qualify for the cheapest rate.

Pros:

  • Pentagon Federal’s personal loans range from $600 to $50,000.
  • Pentagon Federal’s financing rates range from 4.99% to 17.99%.
  • Flexible terms stretch from one to five years.
  • Like SoFi, Pentagon Federal doesn’t have loan origination fees.
  • Applying won’t hurt your credit score.

Cons:

  • If your payment is late, a $29 fee will apply.
  • For insufficient funds, a $30 fee will apply.
  • You have to become a member.

The impact of COVID-19:

During the pandemic, forbearance programs were available to borrowers struggling to make their loan payments. If you’re still suffering from financial disruptions, you can contact Pentagon Federal’s Financial Hardship Center at 1-800-247-5626 and inquire about possible solutions.

TD Bank

Loan Amount: $2,000 – $50,000
APR: 6.99% – 18.99%
Min. Credit Score: 700
Approval: 1 – 7 Days
Terms: 1 – 5 Years
Fees:
  • Late payment fee of 5% of the amount due, or $10, whichever is less
  • There are no loan origination fees
  • There are no prepayment fees
  • There are no application fees
  • There are no insufficient funds fees
Qualification Criteria:
  • Be at least 18 years of age
  • Have a credit score of at least 700
  • The maximum DTI ratio is often 43%
  • Have recurring employment income or government benefits
  • Apply online or at a TD Bank branch
Average Borrower Profile: TD Bank doesn’t disclose average personal loan statistics
Best For: Good to excellent credit scores
Check rates

Like Pentagon Federal, TD Bank lets you apply for a personal loan online or in-person and has more than 1,100 branches in sixteen states. Moreover, you can borrow anywhere from $2,000 to $50,000, with APRs of 6.99% to 18.99% and terms of one to five years. And like Wells Fargo, a 0.25% APR discount is attainable; but you set up automatic payments through a TD Bank checking or savings account. However, regardless of your loan amount and term, your minimum monthly payment will be at least $125. In addition, you need a credit score of at least 700 to qualify.

Conversely, TD Bank is like PNC Bank and Wells Fargo because it’s a well-known institution that doesn’t charge loan origination fees. And it lowers your balance when you incur the cost, so a $10,000 loan with a 3% origination fee will net you proceeds of $9.700. As a result, you need to borrow a gross value of $10,309.28 to ensure that your net amount is $10,000. However, you pay interest on the gross amount, which makes the loan more expensive. Therefore, it’s prudent to avoid origination fees.

Pros:

  • TD Bank’s personal loans range from $2,000 to $50,000.
  • TD Bank’s financing rates range from 6.99% to 18.99%.
  • Flexible terms stretch from one to five years.
  • Like Wells Fargo, TD Bank doesn’t have loan origination fees.
  • APR discounts are available if you meet certain conditions.
  • Applying won’t hurt your credit score.

Cons:

  • If your payment is late, a fee of 5% of the amount due, or $10, whichever is less, will apply.
  • Your minimum monthly payment can’t fall below $125.

The impact of COVID-19:

TD Bank provided pandemic assistance by allowing qualifying borrowers to defer their loan payments. However, the programs were specific to HELOCs and mortgages. If you want to inquire about personal loan assistance, you should  contact a representative at 1-800-937-5020.

TransformCredit

Loan Amount: $3,000 – $7,000
APR: Up to 35.99%
Min. Credit Score: 750
Approval: 1 – 7 Days
Terms: 3 – 5 Years
Fees: TransformCredit states “There are no added fees”
Qualification Criteria:
  • Be at least 18 years of age
  • Ensure your cosigner has a credit score greater than 750
  • Have recurring employment income or government benefits
  • Fill out your information through TransformCredit’s online portal
Average Borrower Profile: TransformCredit doesn’t disclose average personal loan statistics
Best For: Borrowers with cosigners
Check rates

TransformCredit provides affordable personal loans to applicants with cosigners. For example, you can borrow anywhere from $3,000 to $7,000, with terms of three to five years and APRs max at 35.99%. However, your cosigner must have a credit score greater than 750, and homeowners are “much more likely” to qualify. Also, TransformCredit’s services are only available in Georgia, Illinois, Wisconsin, Utah, California, Idaho, Oregon, South Dakota, and New Hampshire. But your cosigner can live in any U.S. state, and if you have a friend or family member willing to vouch for your creditworthiness, it can help you overcome a poor credit score.

In contrast, Laurel Road has lower APRs, and you only need a credit score of 660 to qualify for a cosigner loan. Therefore, it may be a better option. Also, TransformCredit’s loans max at $7,000, so it’s not the best product for significant expenses.

Pros:

  • TransformCredit’s personal loans range from $3,000 to $7,000.
  • APRs won’t eclipse 35.99%.
  • Owning a home increases your chances of qualifying.
  • Your cosigner can live in any state.
  • Like Happy Money, checking your rate won’t impact your credit score.

Cons:

  • TransformCredit only offers cosigner loans.
  • You may get a lower APR by using a cosigner with another lender.
  • Like FreedomPlus, financing is not available in all states.

The impact of COVID-19:

While TransformCredit doesn’t list any coronavirus-related hardship programs, financial relief may be available by speaking with a representative. You can call TransformCredit at 1-470-435-6300 or email hello@transformcredit.com to determine the next steps.

Are Better Terms Available to Borrowers With Good Credit?

Yes. You may qualify for higher loan amounts, lower fees, more flexible terms, and lower APRs when you have good credit. Also, typical borrowing amounts range from $2,000 to $50,000, with APRs of 5.99% to 35.99%. However, if you have good credit, your loan amount should be near the high-end range, and your APR should be near the low-end. Moreover, some good credit borrowers will qualify for upwards of $100,000, with APRs of 5% to 10%.

In addition, borrowers with good credit often incur lower loan origination fees. For example, the typical charge can be 1% to 8% of the proceeds. However, your upfront cost should be 1% to 4% due to your outstanding credit history.

What Do I Need to Qualify?

To determine your creditworthiness, lenders often pay close attention to your credit score. However, since other metrics also have a material impact, awareness can help you overcome these challenges.

A good credit score:

As the obvious top choice, you need a minimum credit score of roughly 650 to 700 to obtain a good credit personal loan. However, if you can meet the requirement, you should be rewarded with a solid offer.

Recurring income:

Beyond your credit score, lenders want to know that you have the monthly or annual income required to repay the loan. And your salary, self-employment income, or government benefits will influence your loan terms. Moreover, lenders view borrowers with the most cash left over after paying their bills as more creditworthy. As a result, they often obtain lower APRs.

A low to moderate debt-to-income (DTI) ratio:

If your outstanding debt is high relative to your annual income, lenders view this as a red flag. Therefore, you want to ensure that your mortgage, car, or credit card payments don’t overrun your recurring income. Also, most lenders like to see a DTI ratio of 36%. However, some loan companies will approve applicants with a DTI ratio of 40%, 43%, or as high as 50%. However, it all depends on lenders’ underwriting standards.

A stable credit history:

Last, many lenders want you to have a credit history of more than one year. In addition, they want to know that you’ve responsibly utilized credit. As a result, they may require that you have no bankruptcies, charge-offs, or delinquencies within a specific period.

How to Select the Best Good Credit Personal Loan

When analyzing several competing offers, it can be challenging to spot the little things that make one product better than the other. However, for a quick checklist, please consult our recommendations below.

Low APRs:

As the first requirement, you should aim to find personal loans with the lowest APRs because some lenders offer as low as 2.49%, and obtaining the lowest rate results in less sunk costs. Therefore, please consult our marketplace to compare the best offers.

Low origination fees:

Since loan origination fees often range from 1% to 8% and are subtracted from the loan amount, the lower the charge, the less you need to borrow. For example, with a $10,000 personal loan, a 3% loan origination fee results in net proceeds of $9,700. Thus, you need to apply for $10,309.28 to have a final balance of $10,000.

Also, your monthly payments are determined by the initial $10,309.28, not the net proceeds of $10,000. As a result, you should consider the origination fee before making your final decision.

Cash flow considerations:

When selecting the right loan, your cash flow is a critical component. For example, a cheap loan with short terms won’t help if you can’t manage the monthly payments. Conversely, if you opt for a personal loan with a higher APR and more flexible terms, lower monthly payments can help ensure prudent budgeting.

Are Personal Loans Good For Debt Consolidation?

Absolutely. You should qualify for an APR of 5% to 10% if you have good credit. As a result, if you have credit card debt incurring an APR of 15% to 25%, paying off the balance with a personal loan can save you money.

For example, carrying a credit card balance from month to month will result in hefty interest charges. However, if you consolidate the loan, you can extend your repayment horizon and lower your interest expense at the same time. Moreover, some lenders offer APR discounts if you let them send the personal loan proceeds directly to a creditor. As a result, good credit personal loans are an excellent way to help rebalance your finances.

Is It Smart to Consider a Cosigner?

While it often depends on the situation, a cosigner may be appropriate. For example, even if you have good credit, you may not qualify for the lowest APRs provided to borrowers with credit scores of 750 to 850. However, when you bring in a cosigner, the second guarantor increases your creditworthiness. As a result, the lender will likely lower your APR and loan origination fee and provide you with the desired maturity.

However, you should only consider the practice if you’re sure you can repay the funds. If not, it could create friction between you and your friend or family member who acts as the cosigner. Thus, please consider the pros and cons before making your final decision.

Do Personal Loans Have Fees?

Yes. There are a few fees that you should consider. However, they vary by lender, and if you read our reviews above, you’ll notice that some loan companies don’t charge any fees.

Application fees:

They don’t often apply, but some lenders charge application fees when processing your loan request. The typical charge is $25 to $50. Moreover, the expense adds up when you borrow a small amount.

Prepayment fees:

Most lenders have abolished prepayment fees, and none of the lenders on our list levy the charge. However, for those that are unfamiliar, prepayment fees occur when you pay off your loan early. And this results in less interest for lenders, so they charge fees to make up for the shortfall. Therefore, you should clarify that the expense doesn’t apply.

Insufficient funds fees:

Most lenders have insufficient funds fees. If you send a check, authorize a payment, or set up automatic withdrawals and the account is overdrawn, loan companies often levy penalty charges. As a result, please ensure that your monthly cash flow can support the loan payments.

Late payment fees:

Most lenders have late payment fees. However, the terms can be hit and miss. For example, some lenders levy the charge immediately after your payment date passes. Others provide 10 to 15-day grace periods to allow you to get your finances in order. Conversely, lenders like SoFi, Happy Money, Marcus by Goldman Sachs, and LightStream don’t have late payment fees.

Why Did We Select These Lenders?

We analyzed more than 100 lenders to determine which companies have the best products and the lowest APRs. And if you have a credit score of approximately 650, the companies above provide the cheapest rates. In addition, some don’t charge loan origination or late payment fees, which makes them even more affordable. As a result, they should meet the needs of most borrowers.

Conclusion

It’s easy to find affordable personal loans when you have good credit. Companies like LightStream and SoFi offer cheap rates, and you shouldn’t have any trouble obtaining multiple offers. However, the more you apply, the greater the chance of landing the best deal. Also, applying doesn’t hurt your credit score, so you have nothing to lose by shopping around.

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