When you’re in need of extra cash, an unsecured personal loan can be a great option. These loans don’t require any collateral, meaning you don’t have to risk your car or home. They are ideal for people with good to excellent credit, but they can also be available for those with less-than-perfect scores. The best part? The loan process is usually quick, and you can use the money for anything from consolidating debt to covering emergency expenses or even funding a home renovation.
If you’re ready to take the plunge and apply for an unsecured personal loan, here’s a look at some of the top lenders offering these types of loans in 2024.
1. SoFi: A Personal Loan Lender with Flexible Terms
SoFi is one of the leading online lenders offering unsecured personal loans with competitive rates. With loan amounts ranging from $5,000 to $100,000, SoFi is a great option if you’re looking for flexibility in both the loan amount and repayment terms.
What sets SoFi apart is its customer service and a unique benefit: unemployment protection. If you lose your job, SoFi offers a forbearance program that allows you to temporarily pause your loan payments, giving you peace of mind during tough times. Additionally, SoFi offers no fees, including no origination fees, prepayment penalties, or late fees, which makes their loans even more attractive.
With repayment terms from 24 to 84 months, SoFi allows borrowers to choose the timeline that works best for them. And with fixed or variable interest rates, you can pick the loan that suits your budget. As long as you have a good credit score (typically 680 or above), you’re likely to qualify for their lowest rates.
2. Marcus by Goldman Sachs: A Reliable Lender with No Fees
If you’re looking for a lender with an established reputation, Marcus by Goldman Sachs is a solid choice. This lender offers unsecured personal loans with no fees, including no late fees, origination fees, or prepayment penalties. It’s one of the most straightforward lenders on the market, and that simplicity can be a real selling point for many people.
Marcus offers loan amounts from $3,500 to $40,000, which is perfect for many borrowers looking to pay off credit card debt, finance a major purchase, or take on a home improvement project. The repayment terms range from 36 to 72 months, giving you plenty of options to choose the plan that works best for your financial situation. The rates are competitive, with interest rates as low as 6.99% depending on your credit profile.
What’s more, Marcus by Goldman Sachs is known for its quick funding. Once you’re approved, you can receive your loan in as little as 1-4 business days, making it a good choice if you need cash fast.
3. LendingClub: A Peer-to-Peer Lending Platform
LendingClub is a peer-to-peer lending platform, which means you’re borrowing money directly from individual investors rather than from a traditional financial institution. This model allows LendingClub to offer competitive rates and flexible loan options.
LendingClub offers unsecured personal loans ranging from $1,000 to $40,000, with repayment terms of 36 or 60 months. The platform specializes in debt consolidation and credit card refinancing, making it an excellent option if you’re trying to manage high-interest debt. However, you can use the loan for anything—from financing a wedding to paying for medical expenses.
Since LendingClub operates in a peer-to-peer fashion, the rates can vary widely based on your credit score and other financial factors. Borrowers with excellent credit may get rates as low as 6.95%, while those with lower credit scores might see rates closer to 35.89%. The loan process can take a bit longer than traditional banks, with funding typically taking between 4-5 business days.
4. Upstart: The Tech-Savvy Lender Using AI
If you have a fair to good credit score, you might want to consider Upstart. This lender is a bit different from others because it uses artificial intelligence (AI) to help determine your eligibility and loan rate. This means that Upstart is able to offer loans to people who might not qualify with traditional lenders.
Upstart offers unsecured personal loans ranging from $1,000 to $50,000, with repayment terms from 36 to 60 months. The interest rates range from 5.99% to 35.99%, depending on your creditworthiness. While the rates can be on the higher end for borrowers with less-than-perfect credit, the AI-driven system allows for more flexibility when it comes to approval, even for those with a limited credit history.
One of the things that makes Upstart stand out is its fast application and approval process. You can get approved in as little as a few minutes, and once you’re approved, your funds could be disbursed as quickly as the next business day. The platform is entirely online, so you can apply from the comfort of your home.
5. Discover: Well-Known for Personal Loans with No Fees
Discover is another trusted name in the financial world. Known for its credit cards, Discover also offers unsecured personal loans with no fees, including no origination fees, late fees, or prepayment penalties. Discover provides a great option for borrowers looking for simplicity and transparency in their loan terms.
Discover offers unsecured personal loans from $2,500 to $35,000, with fixed rates ranging from 6.99% to 24.99%. You can select repayment terms of 36, 48, 60, or 84 months, depending on what fits your budget. Discover also boasts fast funding—loans can be funded in as little as one business day once you’re approved.
One of the standout features of Discover’s personal loan offerings is their no-fee policy, which makes them an appealing option for borrowers looking to avoid extra charges.
6. Avant: A Great Option for Those with Less-Than-Perfect Credit
If you’re not eligible for the lowest rates or don’t have perfect credit, Avant may be the right choice for you. Known for offering loans to people with less-than-perfect credit, Avant offers unsecured personal loans with interest rates starting at 9.95%.
Loan amounts range from $2,000 to $35,000, with terms from 24 to 60 months. Avant does charge an administrative fee, which is typically around 4.75%, so you’ll want to factor that into your loan decision. However, the company is transparent about the fees, and there are no hidden charges, making it easier to understand the full cost of your loan.
Avant is particularly known for its fast approval process and user-friendly interface. Many borrowers report receiving their funds in 1-2 business days after approval.
7. Best Egg: A Great Option for Debt Consolidation
Best Egg offers unsecured personal loans that are perfect for debt consolidation, home improvement projects, or financing large purchases. Loan amounts range from $2,000 to $50,000, and repayment terms are offered from 36 to 60 months.
Best Egg’s interest rates start as low as 5.99%, but the rates can go up to 29.99% depending on your creditworthiness. They don’t charge any fees for loan origination, which means you won’t be hit with surprise charges when you take out your loan.
Best Egg has a reputation for fast funding, with many borrowers receiving their loan within one business day after approval. This makes it a great option for people who need quick access to cash.
Final Thoughts on Unsecured Personal Loans
When it comes to choosing the right lender for your unsecured personal loan, it’s important to consider factors like loan amounts, interest rates, fees, and repayment terms. Each of the lenders listed above offers something unique, from no-fee loans to quick funding and flexible repayment options.
Remember, your credit score will play a significant role in the rates you’re offered, but even if your score isn’t perfect, there are options for you. With personal loans, you get the opportunity to manage your financial situation, whether it’s paying off debt or covering emergency expenses.
Before choosing a lender, take the time to shop around, compare offers, and read the fine print. With the right loan, you can take control of your financial future without having to put up any collateral.