Personal Loans Articles

Homeowners often think the biggest decision is choosing the right contractor or design. But before the first tile is laid, the real foundation is financial.

Facing a payment you can't afford is terrifying, but the worst thing you can do is nothing.

Getting back to civilian life can be tough for military veterans, and financial issues can often arise. Many vets find that without the regular service pay and benefits, they may not have the funds they need, and that when it comes to job experience, their service often doesn’t help them put together the type of resume that employers are looking for.

Your FICO credit score is a big deal. The slightest change in your score can mean the difference between loan approval or rejection, or between a good or bad interest rate. That’s why it’s important to understand how FICO’s new credit rating scale will affect you – and what you can do to emerge stronger.

Applying for a term loan can be difficult and tedious, not to mention all the different eligibility criteria. Applying for a loan? Be aware of the debt-to-income limit. Business loan? Let’s hope you’re making more than the minimum monthly revenue. Personal loan? Get ready to reveal your annual income.

‘Tis the season for early holiday gift shopping–and for figuring out how to fund all those expensive purchases.

Federal Reserve Chairman Jerome Powell has highlighted the possibility of raising interest rates to control inflation as soon as March 2022.

We gathered four leading professionals on personal finance to discuss the state of the economy, how it affects American households and what you can do to keep your head above water during this high tide.

What if there were something you could do to instantly improve your credit score, possibly by more than 20 points? That something, according to a new TransUnion study, is a debt consolidation loan. Read on to find out how.

Today, there are more lenders and funding options available than ever. From debt consolidation to innovation funding, borrowers look toward these resources for financial help. With thousands of lenders to choose from, how can you tell which one is the best fit for your needs? Compare LendingClub and Prosper, 2 reputable lenders, to see which one comes out ahead in this head-to-head comparison.

Your credit score reflects your financial health, and you probably only notice it when it’s bad. Every adult in the US has a 3-digit credit ranking that shows whether their credit is good or bad. A credit score of over 680 is considered good or excellent, whereas a credit score under 600 is below average. A poor credit score of 580 or lower can seriously affect your life.

If you haven’t applied for a personal loan before, you may not know what to expect. Thankfully, the process is pretty straightforward at most online lenders. Once you’ve decided on a lender, you usually just have to fill out a quick application. Then, the lender makes a decision and, if you’re approved, deposits funds into your account a handful of days later.

Bad credit can make loan providers wary of lending money to you. Personal unsecured loans, which are the fastest and easiest type of borrowing, might not be open to your credit score but there are other ways to access money if you need it in an emergency, to cover temporary cash flow issues or to pay for a large purchase. Here are 7 of the best types of loans to turn to if you have bad credit.

Getting a personal loan with bad credit can be tough, but thanks to a few specialist lenders it’s a lot easier than you may think. When a lender assesses a personal loan application, they usually start with the applicant’s credit score. If the applicant has bad credit, this tells the lender there’s a high risk of them not repaying the loan in full.

High medical costs can add insult to injury when you're recovering from a medical emergency. Even people who have medical insurance can find themselves struggling with high copays, an insurance company that refuses to pay up, or simply face a long delay until insurance payments are approved.

Taking out a personal loan can be a smart and highly-effective way to consolidate your debt, which is the most common reason to take out such a loan, or you can also use one to get the funds necessary to pay for a sudden expense. You might need to deal with an emergency, pay for a large household expense, or just cover a temporary personal cash-flow issue.

The number of people taking out loans in the US has been steadily on the rise in the years since the mortgage crisis. As the economy recovers, more consumers are avoiding traditional credit alternatives in favor of better deals and safer terms thanks to new loan options.

Declaring bankruptcy used to carry stigma, but today declaring bankruptcy is mainly seen as a necessary step taken to repair financial well-being. While it does afford you a fresh start, it also brings new issues to contend with.

If, like most undergrads, you’re defined as a “dependent student,” you’re entitled to borrow up to $5,500 in federal student loans (also known as Stafford Loans) in your freshman year, $6,500 in your sophomore year, and $7,500 in both your junior and senior years.

From peer-to-peer lenders and micro loan websites to major brick and mortar banks, there are plenty of avenues for you to find your personal loan.

If you’ve ever applied for a loan, tried to buy a large item on a financing plan, or have a credit card, you’ll have been asked about your credit score. Your credit score is a way of measuring how financially responsible you are so that banks and other lenders can decide how risky it is to give you a loan.

Many people seek out personal loans without really understanding the mechanics behind the process. Getting accepted by a lender for a personal loan is determined by several factors, some of which you may not have control over.

A personal loan is a loan for all seasons, and lenders will let you use them for virtually anything. Planning to consolidate debt, make home improvements, or go on a long vacation? A personal loan isn’t the only way to get funding, but it is generally the simplest and quickest way to borrow at a potentially single-digit interest rate.

Having an effective budget means you'll be able to save money and feel more secure so that you can splurge on things like a fancy meal with friends without worrying that it might have pushed you into the red.

Before you head to the bank to take out a loan for a new car, small business or other investments, take the time to fully understand how your interest rate is calculated. This will help you to better understand your loan terms and conditions with your bank, and put you in a better position to negotiate your rates.

A secured personal loan is called that because the loan is secured by some form of collateral. Unsecured personal loans rely on your personal credit score, financial history, and debt load to determine whether you can be eligible for a loan or not.

A payday loan (or cash advance loan) is a high-interest loan that borrowers can turn to when they have an immediate need for cash. Payday loans are usually for small amounts (anything from $50-$1,000), and are offered by non-bank lenders and marketed mainly to low-income customers.

Maintaining financial security isn’t just a matter of making all your expenses every month, it also means clearing enough to put some away for a rainy day or for major purchases down the road.

A long-term personal loan is essentially any loan with a repayment period longer than around 3 years. Long-term personal loans usually offer higher loan amounts, lower interest rates, and are frequently secured to some item of collateral, such as your home or your car. Unsecured long-term personal loans will not have lower rates or higher loan amounts because the risk to the lender is still high.

Now that you’ve decided to take out a loan, how do you decide which type is the right personal loan for you? The first question to ask yourself is, “What is this loan for?” Is it for a small business or personal use? Is it to pay for a big expense, like a wedding or a car, or to cover personal expenditures? Is it to help you buy a home? The loan’s purpose will impact which type of loan is right.

Whether it's for purchasing a car or house, consolidating debt or for general expenses, you may be considering taking out a personal loan. Personal loans can be secured or unsecured, at fixed or variable rates, and range from as little as several hundred dollars to $100,000 for major expenses.

Online lending has become a booming industry in recent years, providing loans to countless people who prefer the ease, speed, and competitive rates of online lenders.

If you need some extra funds, one of the most important things to know is the best type of personal loan for your needs. When it comes to personal loans, there are 2 major categories that you will come across: secured loans and unsecured loans.

Unexpected home repairs, a surprise medical or dental bill, or a pet who needs emergency surgery rarely arrive at a convenient time, and they almost always come with a price tag.

If you’re lucky, your summer might be filled with long days at the beach, trips abroad or across the country, and evening ice cream cones.

A 401(k) hardship withdrawal sounds like an easy fix, but taxes and penalties can eat up nearly a third of what you take out. Before you tap your retirement account, it's worth running the numbers on a 401(k) loan, the SECURE 2.0 $1,000 emergency withdrawal, or a personal loan instead.

BNPL can make back-to-school shopping feel more affordable, but stacking multiple loans across apps can lead to overdraft fees, credit risk, and missed payments.

Having health insurance doesn't guarantee affordable care: 44% of insured adults under 65 say it's still difficult to afford their medical costs. Provider payment plans, HSAs, and personal loans can all help bridge the gap, but each comes with different trade-offs worth understanding first.

A personal loan is often the safer choice in an emergency since a 401(k) loan can trigger taxes, penalties, and repayment problems if you lose your job. Your decision should come down to how stable your employment is and how quickly you can realistically pay the money back.

Childcare costs now exceed median rent in nearly every state, leaving many parents scrambling to cover the gap between what they earn and what care actually costs. A personal loan can work as a short-term bridge in specific circumstances, but exhausting free and subsidized options first is almost always the smarter move.

Nearly 37% of renovating homeowners spent more than they budgeted last year, often due to hidden structural issues, scope changes, and material price swings. A personal loan can cover the gap quickly without putting your home on the line, but phasing the project or using savings is almost always the cheaper option.

High earners are increasingly turning to personal loans to fund major expenses while keeping their savings and investments intact. BestMoney survey data found that 85% of households earning between $175,000 and $199,000 have used a personal loan for a major expense, challenging the notion that borrowing is primarily a tool for financial hardship.

Financing a summer trip is common, but the tool you choose matters. Personal loans, credit cards, and BNPL all carry different costs and risks. Borrow only what you can repay quickly, and pay off last year's vacation debt before taking on new travel expenses.

A joint personal loan lets two people apply and borrow together, which can unlock better rates and higher amounts. Both borrowers are equally responsible for the full debt, regardless of any private agreement between them.

The average U.S. wedding costs around $34,000, and 73% of couples take on debt to cover it. Before you borrow, here's what to know about wedding loans.

Every extra dollar you pay toward your personal loan principal saves money on future interest and shortens your debt timeline.

To avoid personal loan scams, never pay upfront fees, verify the lender’s license, and avoid unsolicited offers. Watch for warning signs like guaranteed approval, pressure to act quickly, and missing contact information. Legitimate lenders never charge fees before approval.

When you apply for a personal loan, the lender will ask you for several documents to confirm your identity and collect information about your finances.

Most personal loans range from $1,000 to $100,000, but the amount you qualify for depends mainly on your credit score, income, and debt-to-income ratio.

Installment loans let you borrow a lump sum and repay it through fixed monthly payments over a set period. They offer predictable costs and can help build credit, but you risk losing collateral if you can't repay secured loans.

Secured personal loans require collateral but offer easier approval and lower rates than unsecured loans. You risk losing your collateral if you default. Best for borrowers with poor credit seeking competitive rates.

A personal loan can be a smart choice if you need predictable monthly payments, want to consolidate high-interest debt, or qualify for a competitive interest rate. However, if you can’t secure a low APR, already carry significant debt, or have access to lower-cost alternatives (like a 0% balance transfer or home equity loan), a personal loan may not be the best option.

Secured personal loans are usually better if you want lower interest rates or have poor credit, but they require collateral. The right option depends on your credit score, risk tolerance, and how much you need to borrow.

Keeping your credit score up is incredibly important for your personal finances. A strong credit score gives you access to more options when you need credit and access to lower interest rates on any money you do borrow. Your credit score may also be taken into account when you’re looking for housing or even when you apply for jobs.

Personal loans typically don't create tax complications since they're borrowed money that must be repaid.

Personal loans offer fixed-rate, fixed-term funding for almost any purpose — here's what to weigh before borrowing.

Most personal loans can be approved within minutes and funded within 1–3 business days, especially with online lenders.

Vacation loans promise immediate access to experiences you'll remember forever, but what lenders don't emphasize is that your payments continue long after your tan fades.

But with so many financial products available, how do you know if a personal loan is right for you? In this guide, we’ll discuss why people choose personal loans and provide insights into when taking one out can be beneficial—and when you should consider an alternative.