Discover Personal Loan Review

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Updated on Thursday, July 11, 2019

Discover personal loan details

Fees and penalties

  • Terms: 36 to 84 months
  • APR range: 6.99% to 24.99% APR
  • Loan amounts: $2,500 to $35,000
  • Time to funding: You can find out if you’re approved for the loan the same day of your application. Funds may be sent to you as early as the next business day. Discover may take up to seven days to disburse the funds if your application has errors, if the loan is funded on a weekend, or you request funds with some disbursement methods.
  • Hard pull/soft pull: Checking your rate will result in a soft pull.
  • Origination fee: None
  • Prepayment penalty: None
  • Late payment fee: $39 if payment is not received in full by the due date.

Discover personal loans has no fees as long as you make your monthly payments in full and on time. To help avoid late fees, you can set up automatic payments for free. You can also set up the automatic payment to withdraw more than the monthly payment amount if you want to pay off your loan early.

The repayment terms with Discover personal loans are more flexible than with most other personal loan lenders, with 36 to 84 months to repay your loan.

One cool perk from Discover is that the company allows you to see your free Credit Scorecard with your FICO Score on its website, even if you’re not a customer. This feature does not impact your credit.

Discover personal loans come with a 30-day guarantee. This means you have 30 days after the date your loan is funded to return the entire amount without interest and the loan will be canceled. However, Discover states that if the money was paid directly to your other lenders, it will not be able to get that money returned.

Personal loans from Discover can be used for many different purposes, including vacations, financing a wedding, home improvements, car repairs, medical bills, debt consolidation and more.

Eligibility requirements

  • Minimum credit score: Discover seeks applicants with “good credit.”
  • Minimum credit history: The lender says it prefers borrowers with a “strong financial history.”
  • Maximum debt-to-income ratio: Not specified.

Discover doesn’t specify a minimum credit score, minimum credit history or maximum debt-to-income ratio required to qualify for a personal loan; instead, its website says that Discover personal loans “may be an ideal solution for people with good credit and a strong financial history.” The exact definition of a good credit score is subjective, but Experian suggests that a FICO score must be at least 660 to be considered “good.”

Discover also specifies that in order to be eligible for a personal loan, you must:

  • be a U.S. citizen or permanent resident
  • be at least 18 years old
  • have a minimum household income of $25,000

Applying for a personal loan from Discover

You can apply for a personal loan from Discover on its website, or by calling 1-866-248-1255. If you received an invitation in the mail to apply, you can also fill out and mail the application.

Discover’s website allows you to check your interest rate and monthly payment amount with a soft pull on your credit. You have to share how much you need to borrow, the purpose of the loan and the length of the loan term, as well as personal information, like your address and phone number.

If you’re happy with the rates and you’d like to move forward with the loan, you’ll need to finish the application with the following information:

  • An invitation number, if you received one
  • Household income
  • Employment history
  • The bank account number and routing number to receive the funds
  • Creditor information (balances and account numbers) if funds will be sent directly to creditors to consolidate debt

After your loan application is received, a loan specialist may call you to confirm your information.

If your application is complete, you can receive a decision the same day. Funds may be sent as soon as the next business day, depending on the disbursement method you’ve chosen.

Pros and cons of a Discover personal loan



  • Flexible terms. Borrowers can choose from a range of repayment terms, from 36 to 84 months.
  • No origination fee or prepayment penalty. Discover does not charge borrowers an origination fee nor does it penalize them for paying off the loan early.
  • Check your rate with a soft pull. This means shopping around to see your rate won’t impact your credit score.
  • Interest rates may be higher than with some other lenders. Interest rates on Discover personal loans start at 6.99%, while other lenders’ rates may be as low as 3.99%. Take advantage of the pre-qualification form so you can compare your rate with other offers.
  • Late fees. You may be charged a fee of $39 if you don’t make the full monthly payment on time.

Who’s the best fit for a Discover personal loan?

If you have high-interest debt to consolidate, a personal loan from Discover may help you get a lower interest rate. You’ll also get a fixed monthly payment amount, which can make budgeting easier compared with fluctuating monthly payments.

Borrowers looking to spread their loan payments out over a long period of time may also be a good fit for a Discover personal loan, since the term can be as long as 84 months.

Discover personal loan consumer reviews

Reading about other borrowers’ experiences with a lender can help you decide whether or not you want to borrow money from that company. So what do people think about Discover personal loans? While Discover personal loans are not rated by the Better Business Bureau, its parent company, Discover Financial Services, has earned an A+.

Discover personal loans have earned 4.9 out of 5 stars from reviewers on LendingTree, the parent company of MagnifyMoney. Customers said they appreciated Discover’s rapid approval time, quick disbursement of funds and helpful customer service representatives.

One customer from Phoenix, Arizona said, “[I] had no idea Discover even did personal loans, [I was] so excited that I got an offer in the mail. [I] got online and filled out the application and got instantly approved … and within 48 hours had my disbursements being sent out to pay off my other debt.”

However, there were some complaints in the reviews of Discover personal loans, as well. High interest rates were the biggest criticism from negative reviewers. Some customers felt that their high credit scores should have earned them a lower APR. Overall, though, the vast majority of the reviews gave Discover personal loans four or five stars, making this company one potential borrowers should consider.

Discover personal loan FAQ

You can see if you qualify, check your rate and see your monthly payment without impacting your credit score through the Discover website.

Borrowers incur no origination fees, processing fees or prepayment penalties from a Discover personal loan. However, you may get hit with a fee if you make a late or incomplete payment.

A personal loan from Discover can be used for a large variety of purposes. You can use it to pay for a wedding, a dream vacation, home renovations, medical expenses, adoption costs, car repairs and more. You can also use the loan to consolidate high-interest debts.

Discover personal loans are commonly used to consolidate debt from credit cards and store cards. You can also use a Discover personal loan to consolidate home and auto loans, but if you already have a low interest rate on those debts, you might not save money by consolidating.

Discover will send you the money as early as the next business day after you accept the terms of the loan, as long as the application has no errors and the loan is being funded on a weeknight. Funding can take up to seven days if you make a mistake on your application, the loan funding is happening over a weekend or you request a different disbursement method.

Discover only offers personal loans to individuals. You can not take out a loan with a co-signer.

Discover will lend you up to $35,000 with a personal loan.

Discover personal loans come with a 30-day guarantee. If you decide within 30 days of funding that you no longer want the loan, you can send Discover a check for the full amount with zero interest and a request to cancel.

Alternative personal loan options




Credit Req.


Minimum Credit Score


36 or 60


Origination Fee

2.90% - 8.00%


on LendingTree’s secure website

Lender Disclosure

Upgrade is an online lender that offers fairly priced personal loans for a term of either 36 or 60 months.... Read More

Personal loans made through Upgrade feature APRs of 6.94%-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. 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 should be available within four (4) business days. Funds sent directly to pay off your creditors may take up to 2 weeks to clear, depending on the creditor. Personal loans issued by Upgrade's lending partners. Information on Upgrade's lending partners can be found at

While Upgrade charges an origination fee of 2.90% - 8.00% of your loan amount and offers fewer options for loan terms, you can borrow up to $35,000.

Marcus by Goldman Sachs®



Credit Req.

Not specified


36 to 72


Origination Fee

No origination fee


on LendingTree’s secure website

Lender Disclosure

Marcus by Goldman Sachs® offers personal loans for up to $40,000 for debt consolidation and credit consolidation. ... Read More

Your loan terms are not guaranteed and are subject to our verification of your identity and credit information. To obtain a loan, you must submit additional documentation including an application that may affect your credit score. The availability of a loan offer and the terms of your actual offer will vary due to a number of factors, including your loan purpose and our evaluation of your creditworthiness. Rates will vary based on many factors, such as your creditworthiness (for example, credit score and credit history) and the length of your loan (for example, rates for 36 month loans are generally lower than rates for 72 month loans Your maximum loan amount may vary depending on your loan purpose, income and creditworthiness. Your verifiable income must support your ability to repay your loan. Marcus by Goldman Sachs is a brand of Goldman Sachs Bank USA and all loans are issued by Goldman Sachs Bank USA, Salt Lake City Branch. Applications are subject to additional terms and conditions.

Marcus by Goldman Sachs® offers loan amounts up to $40,000. However, this lender has shorter repayment terms, meaning you’ll have less time to pay off a personal loan than you may with another lender.




with AutoPay

Credit Req.

Not specified


24 to 144*


Origination Fee

No origination fee


on LendingTree’s secure website

Lender Disclosure

LightStream is the online lending division of SunTrust Bank.... Read More

*Your loan terms, including APR, may differ based on loan purpose, amount, term length, and your credit profile. Excellent credit is required to qualify for lowest rates. Rate is quoted with AutoPay discount. AutoPay discount is only available prior to loan funding. Rates without AutoPay are 0.50% points higher. Subject to credit approval. Conditions and limitations apply. Advertised rates and terms are subject to change without notice. Payment example: Monthly payments for a $10,000 loan at 3.99% APR with a term of 3 years would result in 36 monthly payments of $295.20.

With low APRs available for qualified borrowers and longer terms on personal loans, LightStream is a competitive lender. However, there’s no preapproval process to check rates, so you have to apply and take a hit on your credit score if you want to see your rate. Plus, in order to get the lowest rates, you have to sign up for autopay.