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Personal Loans

What Is an Installment Loan and How Do They Work?

Editorial Note: The editorial content on this page is not provided or commissioned by any financial institution. Any opinions, analyses, reviews, statements or recommendations expressed in this article are those of the author’s alone, and may not have been reviewed, approved or otherwise endorsed by any of these entities prior to publication.

Personal Loan

Consumers interested in borrowing money to meet their financial needs may want to consider an installment loan. This type of loan requires a fixed monthly payment throughout the term, which could make it easy to calculate into a budget.

But before taking out an installment loan, you’ll need to know the basics, from the pros and cons of taking one out to how to qualify.

What is an installment loan?

An installment loan is a loan that combines the principal loan amount with an interest rate. That total is then scheduled to be paid back in equal amounts over a set time frame. Typically, these loans are repaid monthly and may require some form of collateral.

Several variables determine an installment loan’s monthly payment. Notably, your credit score affects the interest rate you receive. The better your score, the better your rate may be. The amount you borrow and the loan term are also factors that affect repayment.

The four most common types of installment loans are:

Although there are many types of consumer and business installment loans, we will focus on personal loans.

Risky installment loans vs. legitimate installment loans

Payday or vehicle title loans may be considered installment loans. But payday and vehicle title loans tend to have short repayment terms, typically 30 days or less. Traditional installment loans, such as personal loans, generally have longer repayment terms. Our personal loan marketplace shows lenders offering terms from 12 to 84 months.

But payday loans and auto title loans are considered risky when compared to other types of loan products. The Consumer Financial Protection Bureau reports that default rates on vehicle title and payday installment loans are high, with online payday installment loans listed as the highest. The bureau also points out that borrowers with a greater payment-to-income ratio were more likely to default on their loan.

One of the biggest disadvantages of payday loans, besides their high interest rates, is the number of scam lending companies. Consumers must do their due diligence and look for red flags before doing business with a payday loan lender. A few common red flags include:

  • Asking for your bank login info
  • Requiring repayment via wire transfer or money order
  • Requesting an upfront payment before the loan is disbursed
  • Being promised a loan over the telephone
  • Not disclosing all fees before accepting the loan
  • Websites that don’t list valid addresses and phone numbers
  • Companies that are based overseas

Reliable companies that offer the best personal loans will have a positive Better Business Bureau rating, so you can start there when looking for a legitimate installment loan lender. Afterward, check to see if the company is registered with your state’s Attorney General’s office or your state’s banking department, as this is a rule for all lenders and loan brokers.

Pros and cons of installment loans

Before deciding on whether an installment loan is right for you, it’s helpful to review the pros and cons.

ProsCons

Build credit

Stricter qualification requirements

Lower interest rates

Less flexible

Fixed interest rates

Often carry prepayment penalties

Fixed monthly payments

Temptation to borrow more than you need

Short- and long-term loans available

May require collateral

Pros

  1. Installment loans, when regularly paid on time, can help build your credit. Also, they add to your credit mix, which makes up 10% of your FICO Score.
  2. Interest rates for installment loans are typically lower than their line of credit counterparts. For example, a $15,000 personal installment loan with PNC Bank has interest rates between 5.99% and 7.79%, while its $15,000 line of credit has a starting rate of 10.50% as of Oct. 5, 2018.
  3. Another perk of most of these loans is a fixed interest rate that won’t increase in the future, even if the market changes.
  4. Budgeting is easy with installment loans, as they offer fixed monthly payments that remain the same throughout the life of the loan.
  5. Whether you need a short-term installment loan to cover an emergency root canal or a long-term loan to make a major home improvement, you’ll find both are readily available.

Cons

  1. Many installment loans have stricter qualification requirements. You can expect lenders to check your credit history and request proof of income.
  2. There’s less payment flexibility than what you’d experience with revolving credit, such as lines of credit and credit card accounts.
  3. Many states, such as Nebraska, allow financial institutions to charge prepayment penalties on their installment loans.
  4. Applicants are often approved for more money than they need, which leads to the temptation to borrow excess funds.
  5. Installment loans may require collateral, such as a certificate of deposit (CD) or savings account or the equity in your home. That puts your assets at risk if you are later unable to repay the loan.

How to qualify for an installment loan

Once you’ve identified a few legitimate lenders, you’ll want to make sure you qualify for an installment loan. Consider the following general requirements before you fill out the loan application:

  • Your credit score. Check your credit score for free with a site such as LendingTree, MagnifyMoney’s parent company, to know where your credit score falls. Experian lists a “good” FICO score as 700 and above and an “excellent” score as 800 and above. The higher your credit score, the less of a risk you appear to lenders, which increases your chances of approval. Having a low credit score doesn’t mean you can’t get a loan, but you may need a friend or family member with good credit who is willing to act as a cosigner.
  • Your credit history. Get a copy of your credit history by requesting a free report at AnnualCreditReport.com. This report is provided complimentary once a year by the three major credit reporting agencies (Experian, TransUnion and Equifax). Lenders will examine the report to see if you regularly pay your debts on time.
  • Your debt-to-income (DTI) ratio. The lower your DTI ratio, the better chances you have of qualifying for a loan. Wells Fargo lists 35% or less as ideal and 36% to 49% as adequate with room to improve. You can find your DTI ratio by adding up all your debt and monthly bills and dividing it by your gross monthly income.
  • Proof of stable income. Proving that you have a stable income is the best way to show the lender that you can repay the loan. Be prepared to provide pay stubs, tax documents, benefit letters and bank statements if requested.
  • Collateral. If you’re shopping for a secured installment loan, you’ll also need to have collateral. Gather together any CD or savings account statement if you’d like to use your savings as collateral. You may also want to determine how much equity you have in your home and use that as collateral.

Where to find installment loans

After you’ve determined that you qualify for a personal loan, you can begin comparing offers to find the best deal. There are several reputable lenders to consider.

Traditional banks

Banks such as Wells Fargo, PNC Bank, Citizens Bank and TD Bank offer installment loans. Besides finding the lowest APR, you’ll want to check for fees.

Keep in mind that each bank application may result in a hard pull on your credit, which can negatively affect your credit. Before shopping for rates, you may want to use our personal loan calculator to get an idea of what kinds of rates you can afford.

Credit unions

Another credible option is to apply for an installment loan from an established credit union, such as Alliant, PenFed and Navy Federal. Credit unions have some of the lowest APRs, which works in your favor by giving you a smaller monthly payment.

For example, Alliant Credit Union has a 12-month personal loan with a 6.24% APR, while Wells Fargo Bank starts its 12-month personal loans at 7.24% as of Oct. 5, 2018.

But with this type of lender, you may have to become a member before you can qualify for loans. Call the company to learn about its eligibility requirements. Navy Federal Credit Union, for example, accepts service members and their family, as well as Department of Defense civilians. PenFed welcomes volunteers, association members, those with a military affiliation and certain employees whose employers partner with the company.

Online lenders

Online lenders, such as Earnest, SoFi and Upstart, may be convenient options. Their applications can be completed online and in little time. Most of these companies also allow you to submit to a soft credit check to review rates. A soft credit check won’t affect your credit score.

Another perk in shopping for online lenders for an installment loan is how quickly you’ll receive your funds once approved. SoFi releases funds a few days after address verification. Upstart awards funds the next business day after acceptance.

Conclusion

If you do your homework and find a legitimate lender with favorable terms, an installment loan can be a great financial tool to meet your personal needs. You’ll easily be able to add the monthly payment amount to your budget and have a clear time frame of when the loan will be completely paid off.

Advertiser Disclosure: The products that appear on this site may be from companies from which MagnifyMoney receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MagnifyMoney does not include all financial institutions or all products offered available in the marketplace.

Alicia Bodine
Alicia Bodine |

Alicia Bodine is a writer at MagnifyMoney. You can email Alicia here

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Personal Loans

Citizens Bank Personal Loan Review

Editorial Note: The editorial content on this page is not provided or commissioned by any financial institution. Any opinions, analyses, reviews, statements or recommendations expressed in this article are those of the author’s alone, and may not have been reviewed, approved or otherwise endorsed by any of these entities prior to publication.

Disclosure : By clicking “See Offers” you’ll be directed to our parent company, LendingTree. You may or may not be matched with the specific lender you clicked on, but up to five different lenders based on your creditworthiness.

Citizens Bank (RI)
APR

6.79%
To
20.89%

Credit Req.

Not specified

Minimum Credit Score

Terms

36 to 84

months

Origination Fee

No fees

SEE OFFERS Secured

on LendingTree’s secure website

Citizens Bank personal loan details
 

Fees and penalties

  • Term lengths: 36 to 84 months
  • APR range: 6.79% to 20.89%
  • Loan amounts: $5,000 to $50,000
  • Time to funding: Funds can be in your account in as quickly as 2 business days
  • Credit check: Soft Pull
  • Origination fee: No fees
  • Prepayment fee: None
  • Late payment fee: Not specified

Citizens Bank product details

A Citizens Bank personal loan offers you the ability to lower your interest rate. If you have another qualifying Citizens Bank account when you complete your application, you’ll receive the Citizens Loyalty Discount, entitling you to a 0.25% rate discount. Save another 0.25% by opting to have your monthly loan payments automatically debited through ACH. This allows you to reduce your rate by a total of 0.50%.

In addition, if you’re an active-duty service member or are called into active duty before your Citizens Bank personal loan is repaid, you may qualify for special benefits. Eligibility varies according to a number of factors, so contact customer service for more details.

Eligibility requirements

  • Minimum credit score: Not specified
  • Minimum credit history: “Reasonably strong credit history,” per Citizens Bank’s website.
  • Maximum debt-to-income ratio: Not specified.

To qualify for a Citizens Bank personal loan, you must have a strong credit history and a minimum annual income of at least $24,000. You must also be a U.S. citizen or permanent resident of the U.S. or Puerto Rico and have a valid Social Security number. Additionally, you’ll need to be at least the age of majority in the state where you reside.

Applying for a personal loan from Citizens Bank

You can apply for a Citizens Bank personal loan online. To complete your application, you’ll need to provide your Social Security number, gross annual income — accompanied by your most recent pay stub — and requested loan amount. If applicable, you might also be required to specify the name and phone number of your employer and the name and email address of your co-signer. Do note, though, that if you use a co-signer, they’ll also need to provide all the information listed above.

After submitting your application, you might be asked to supply additional documents to verify the information submitted. If you’re asked to provide proof of Social Security number, this could include a copy of your Social Security card, birth certificate or passport. Documents needed for income verification purposes may vary, according to your unique situation. Submit the documents online for the fastest processing, via email or by standard or overnight mail.

If your personal loan is approved, you’ll need to acknowledge and accept the terms of the offer, review and sign your application and promissory note — along with your co-signer, if applicable. Your promissory note can be signed digitally — the fastest method — or physically. The money will be deposited in your account quickly — possibly within two business days — and your first payment will be due 20 to 50 days from disbursement.

Pros and cons of a Citizens Bank personal loan

Pros:

Cons:

  • No fees: Citizens Bank loans comes with zero fees, including origination fees and prepayment penalties.
  • Flexible terms: Choose a monthly payment that fits your budget, with terms ranging from 36 to 84 months.
  • Fast funding: Funds could be dispersed into your account in as quickly as two business days after approval.
  • Interest rate reductions: Take 0.25% off your rate if you qualify for the Citizens Loyalty Discount and another 0.25% for having your monthly loan payments automatically deducted through ACH. This can allow you to reduce your rate by up to 0.50%.
  • Strong credit requirements: While the Citizens Bank website doesn’t provide a specific baseline credit score, it does note that “reasonably strong credit” is needed for loan approval.
  • Income requirements: To qualify for a personal loan from Citizens Bank, you’ll need a minimum annual income of at least $24,000.

Who’s the best fit for a Citizens Bank personal loan?

If you don’t want to pay fees, the Citizens Bank personal loan might be a good fit. Since no fees are attached to the loan — including origination fees and prepayment penalties — you can save money on its total cost.

Considering loans can often be funded within two business days, this could also be a great choice if you need cash fast. If you already have an account with Citizens Bank, you’ll especially want to check this loan out. You could be eligible for a reduced interest rate of up to 0.50% if you qualify for the Citizens Loyalty Discount and have your monthly loan payments automatically deducted through ACH.

Reading Citizens Bank reviews like this one is an important way to gather the facts, so you can make the best choice for your unique financial situation. It’s also advisable to shop around for other low-fee lenders, before signing any loan paperwork.

Citizens Bank consumer reviews

Citizens Bank has an A+ rating from the Better Business Bureau. On LendingTree, our parent company, 92% of reviewers recommend Citizens Bank.

Positive points in consumer reviews include great rates, knowledgeability and helpfulness of the lender, as well as the rapidity of the process. On the negative side, the lack of bank branches was mentioned.

Avik, from Jericho, N.Y., praised the bank employee he worked with: “As a first-time home buyer, we stumbled upon lot of unknowns especially buying [a] little bit above our budget and affordability. David walked us through the process and made it super easy. The bank also closed the loan in such a short notice. We were able to get our home where we were competing against multiple cash offers.” Vladimir from Pomona, N.Y., found the team “very responsive and easy to deal with.”

On the other hand, while Jared from Croton On Hudson, N.Y., did acknowledge that the team was “pretty great,” he added that “the requirement to open an account with them was a bit more work when I realized how few branches were nearby,” though “likely not an issue in the long-term.”

Citizens Bank FAQ

The company offers a broad range of retail and commercial banking products and services to individuals, small businesses, middle-market companies, large corporations and institutions. Citizens Bank also provides mortgage lending, student lending and commercial banking services.

Citizens Bank will take multiple factors into consideration, including employment history, credit history, assets and debt. There is a soft pull credit for the rate quote and a hard credit pull for the application.

The use of personal loans include debt consolidation, engagements and weddings, kitchen and bath remodel, vacations and timeshares, and recreational vehicles.

While Citizens Bank doesn’t charge late fees, not making your payments on time could affect your credit score.

Alternative personal loan options

Wright-Patt Credit Union

Wright-Patt Credit Union
APR

8.99%
To
17.99%

Credit Req.

710

Minimum Credit Score

Terms

60

months

Origination Fee

No origination fee

APPLY NOW Secured

on Wright-Patt Credit Union’s secure website

With no annual fee, low fixed rates and terms up to 60 months, Wright-Patt Credit Union offers personal loans that are great options for those looking to work with a credit union.... Read More

Wright-Patt Credit Union offers personal loans from $500 to $40,000. Personal loans can be used for anything. One of the perks attached to the loan is the Skip-a-Pay Program, allowing eligible borrowers to skip one payment per calendar year without a late fee. You’ll need to join the credit union to apply for a personal loan: Ohio residents in several central and southwest counties, as well as the cities of Columbus and Cincinnati, are eligible for membership; those outside the region can research other means of joining the credit union. If you qualify for membership, this can be a good choice if you need less than the $5,000 minimum Citizens Bank loan.

PenFed Credit Union

PenFed Credit Union
APR

Starting at 6.49%

Credit Req.

700

Minimum Credit Score

Terms

36 to 60

months

Origination Fee

No origination fee

APPLY NOW Secured

on PenFed Credit Union’s secure website

Pentagon Federal Credit Union (PenFed) offers personal loans with terms up to five years and maximum loan amounts of $25,000.... Read More

PenFed personal loans are offered from $500 to $25,000. There’s no hidden costs of borrowing and funds are available immediately. Personal loans are exclusive to PenFed members, but you could be eligible to join through your employer, association membership, volunteerism or military affiliation. PenFed’s baseline APR is slightly lower than the starting 6.49% APR offered by Citizens Bank, so taking this route could allow you to score a better rate.

USAA

USAA Bank
APR

As low as 9.49%

Credit Req.

700

Minimum Credit Score

Terms

12 to 84

months

Origination Fee

No origination fee

APPLY NOW Secured

on USAA Bank’s secure website

USAA offers personal loans for members with low, fixed interest and protections to fall back on if you get behind in payments.... Read More

If you’re a member of the U.S. military — or an eligible family member — you might qualify for a USAA personal loan. Borrowing starts at $2,500 and you must be a member to apply for a personal loan. Decisions are typically made immediately and loans are funded the next day. Assuming you qualify for USAA membership, this could be a good fit if your borrowing needs are less than $5,000 minimum for a Citizens Bank personal loan.

Advertiser Disclosure: The products that appear on this site may be from companies from which MagnifyMoney receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MagnifyMoney does not include all financial institutions or all products offered available in the marketplace.

Laura Woods
Laura Woods |

Laura Woods is a writer at MagnifyMoney. You can email Laura here

Yael Bizouati
Yael Bizouati |

Yael Bizouati is a writer at MagnifyMoney. You can email Yael here

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Personal Loans

OppLoans Personal Loan Review

Editorial Note: The editorial content on this page is not provided or commissioned by any financial institution. Any opinions, analyses, reviews, statements or recommendations expressed in this article are those of the author’s alone, and may not have been reviewed, approved or otherwise endorsed by any of these entities prior to publication.

Disclosure : By clicking “See Offers” you’ll be directed to our parent company, LendingTree. You may or may not be matched with the specific lender you clicked on, but up to five different lenders based on your creditworthiness.

APR

99.00%
To
199.00%

Credit Req.

Varies

Minimum Credit Score

Terms

9 to 24

months

Origination Fee

Varies

SEE OFFERS Secured

on LendingTree’s secure website

OppLoans personal loan details
 

Fees and penalties

  • Terms: 9 to 24 months
  • APR range: 99.00%-199.00% APR
  • Loan amounts: $1,000-$4,000
  • Time to funding: You can get access to your funds as soon as the business day after approval.
  • Hard pull/soft pull: Soft Pull
  • Origination fee: Varies
  • Prepayment fee: None
  • Late payment fee: Fees may vary by state, but if your payment is more than 15 days late, you will be charged $15.
  • Other fees: These may also vary by state, but you will be charged $15 each time you write OppLoans a bad check. California applicants will also have to pay a $75 administrative fee.

OppLoans’ rates are oppressively high, but there’s a reason they exist. When you find yourself with little money, a mountain of bills and bad credit, it becomes extremely difficult to gain access to low-interest borrowing products.

In these cases, many people turn to payday loans, which can have interest rates of around 400%. Going with a personal loan from OppLoans is a preferable path.

OppLoans makes efforts to help their clientele understand how they can boost their credit scores so they can get back into the traditional marketplace where lower rates can be obtained. They do this through OppU — a collection of free, educational courses that teach you about spending, saving, budgeting, credit and debt. Unless you live in Texas or Ohio, OppLoans also reports your loan activity to the three major credit bureaus, so making on-time payments can help you strengthen your traditional credit file.

Eligibility requirements

Clarity Services, Inc. is a subsidiary of Experian, but is not technically one of the big three credit reporting agencies (Equifax, Experian and TransUnion). Instead, Clarity Services deals with what is known as “alternative credit data.” This data is built by obtaining your credit report from one of the three major credit bureaus and supplementing it with information about recent credit inquiries, potential fraud attempts and your overall financial stability, including income and employment data.

When a lender like OppLoans uses Clarity Services, it’s doing so because it knows that, by traditional credit standards, you might look like a repayment risk, but it also knows that reliable people sometimes go through hard financial times. Clarity’s supplemental information allows OppLoans to make a lending decision on more than just traditional credit data.

If your alternative credit data qualifies you, you will also have to have a steady source of income. If your income is from employment, you have to have been with your employer for at least three months. You must also have a bank account that is at least three months old, where your paychecks are deposited using direct deposit. If you live in New Mexico, you are exempt from the direct deposit requirement.

If you’re active-duty military, you won’t qualify for a loan with OppLoans. That’s because the Military Lending Act protects servicemembers, their spouses and dependents from potentially predatory lenders, and the rates offered by OppLoans are far too high to meet this law’s standards.

Finally, you must be at least 19 years of age to qualify for an OppLoans personal loan if you live in Alabama or Nebraska. Otherwise, you must be 18 and live in one of these states:

  • Alaska
  • Arizona
  • California
  • Delaware
  • District of Columbia
  • Florida
  • Georgia
  • Hawaii
  • Idaho
  • Illinois
  • Indiana
  • Kansas
  • Kentucky
  • Louisiana
  • Maine
  • Michigan
  • Minnesota
  • Mississippi
  • Missouri
  • Montana
  • Nevada
  • New Mexico
  • Ohio
  • Oklahoma
  • Oregon
  • Rhode Island
  • South Carolina
  • South Dakota
  • Tennessee
  • Texas
  • Utah
  • Virginia
  • Washington
  • Wisconsin
  • Wyoming

Applying for a personal loan from OppLoans

The only way to apply for an OppLoans personal loan is through its online application. Be prepared to enter identifying information such as your name, address and Social Security number, as well as your bank account info and data about your employer or any other way that you bring in income.

At this point in the process, OppLoans will pull your alternative credit data via Clarity Services. If you are approved, you may have to provide supplemental documentation proving you are who you say you are and what you earn.

After approval, many see the money deposited into their bank accounts as soon as the next business day.

Pros and cons of an OppLoans personal loan

Pros:

Cons:

  • Quick funding. With funding available as soon as the first business day following approval, OppLoans often gets its borrowers money fast.
  • Educational initiatives. OppLoans’ OppU educational program is free and online, meaning anyone can access it from anywhere within the confines of their schedule. The effort was launched as a form of advocacy to help consumers improve their financial situation so they don’t have to take out loans with ridiculously high interest rates in the future.
  • Better than payday loans. People who can’t get traditional credit often turn to payday loans to get by. OppLoans can be a good alternative to those payday loans, but it’s not necessarily the best option for getting cash fast.
  • High interest rates. Paying 99.00% to 199.00% interest on your loan is akin to paying over 2-3 times the amount you initially borrowed. For example, if you took out a $3,000 loan at 199.00%, which you needed to repay in three years with monthly payments of $499, you’d end up paying $17,964 total by the time all was said and done.
  • Doesn’t help if you’re in ChexSystems. If your money situation is tumultuous, there’s a chance you may have been put in ChexSystems, a credit reporting agency for checking and savings accounts. When this happens, you won’t be able to open a bank account, and without a bank account which is at least three months old, you’re not going to qualify for an OppLoans personal loan.
  • Direct deposit required. Many employers set direct deposit as the default way to pay employees, and many will oblige if you request this method of payment. If you don’t already have direct deposit set up for your paycheck, you’re not going to be able to get your hands on an OppLoans personal loan quickly until you get that resolved. If your employer doesn’t offer direct deposit, you can’t borrow from OppLoans.

Who’s the best fit for an OppLoans personal loan?

OppLoans is not the best option for a lot of people because of its high interest rates. However, if you have poor credit but have a bank account, have recently been denied by other lenders who offer lower interest rates and need money right now, OppLoans may be your most viable solution. Consider OppLoans before you turn to payday loans.

OppLoans consumer reviews

Despite its staggeringly high interest rates, OppLoans receives mostly positive feedback from its customers. Those who have reviewed the company on LendingTree (MagnifyMoney’s parent company) say the application and funding process is quick and easy, and many note that the customer service is very good.

For example, reviewers praise OppLoans for being “professional, secure, and speedy,” as well as “upfront with fees and payment terms,” and “very helpful if you have any questions.” Ninety-six percent say they would recommend OppLoans — plus, the company has an A+ rating from the Better Business Bureau.

Negative reviews for OppLoans are few and far between, but those that did rate their experience poorly say they weren’t approved by the lender or were unhappy with the high rates and fees.

OppLoans FAQ

OppLoans offers both installment loans (what we’ve covered in this piece) and lines of credit. The latter is only available in a few states.

If you’re approved, OppLoans will deposit your funds directly into the account you provided. You could see the money come through as soon as the next business day, though this depends on what time of day (and day of the week) your application is processed and finalized.

OppLoans accepts electronic funds transfers (EFT), which is basically a debit from your checking account to the lender. You can also use your debit card for one-time payments.

You can use your personal loan for nearly anything. Some of the most common uses include debt consolidation, paying off medical bills, and financing a big purchase.

Yes. OppLoans doesn’t charge a prepayment penalty — if you are able to pay off your loan faster, you’ll save on interest.

OppLoans advises customers who expect to pay late or miss a payment to call the company directly at 855-408-5000. Note that there is a late payment fee that varies depending on where you live.

OppLoans specializes in working with bad credit borrowers but has a number of additional eligibility requirements for its personal loans. If you don’t qualify, take a look at alternatives on MagnifyMoney’s personal loan marketplace. You may find other offers that work for you.

Alternative personal loan options

NetCredit

APR

34.00%
To
155.00%

Credit Req.

Varies

Minimum Credit Score

Terms

6 to 60

months

Origination Fee

1.00% - 5.00%

SEE OFFERS Secured

on LendingTree’s secure website

NetCredit issues personal loans with interest rates up to 155.00%. That’s not great, though it is a bit better than OppLoans’ ceiling of 199.00%. It also has far lower starting rates at 34.00% compared with OppLoans’ 99.00%. You may be able to qualify for a NetCredit personal loan with a credit score as low as 500.

LendingPoint

APR

9.99%
To
35.99%

Credit Req.

585

Minimum Credit Score

Terms

24 to 48

months

Origination Fee

0.00% - 6.00%

SEE OFFERS Secured

on LendingTree’s secure website

LendingPoint is an online lender that targets borrowers with fair credit, and allows borrowing up to $25,000.... Read More

If you have a credit history strong enough to merit more traditional interest rates, take advantage of it. LendingPoint works with individuals with credit scores as low as 585 according to CEO Mark Lorimer. Interest rates are far lower than OppLoans, at 9.99%–35.99%.

Finova Financial

Finova Financial
APR

18.00%
To
204.00%

Credit Req.

Varies

Minimum Credit Score

Terms

12 to 24

months

Origination Fee

$30

SEE OFFERS Secured

on Finova Financial ’s secure website

Without a traditional bank account, you’re going to have a hard time getting an unsecured loan. You can instead look at title loans. To get these loans, you have to put up some collateral, like your car, which the lender could repossess should you fail to repay your debt. This is very risky, as losing your car could further complicate an already dire situation, but if you find yourself needing to us this type of financial product, consider Finova Financial, which has personal loan-like interest rates on its title loans, currently sitting at 18.00%–204.00%.

Advertiser Disclosure: The products that appear on this site may be from companies from which MagnifyMoney receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MagnifyMoney does not include all financial institutions or all products offered available in the marketplace.

Brynne Conroy
Brynne Conroy |

Brynne Conroy is a writer at MagnifyMoney. You can email Brynne here

Emily Long
Emily Long |

Emily Long is a writer at MagnifyMoney. You can email Emily here

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