The best unsecured personal loans and rates.
Plus, get custom offers from up to 5 lenders in minutes.
How Does LendingTree Get Paid?
LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.
How Does LendingTree Get Paid?
LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.
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Written by Lauren Nicholson | Edited by Jessica Sain-Baird | Reviewed May 29, 2024
Best unsecured loan options in 2024
An unsecured loan is a loan not backed by collateral like a car or house. Lenders use your credit history to decide whether you qualify for an unsecured loan and, if so, what interest rates you’ll get. We’ve pulled together the best unsecured loans to help you find the right loan for you.
How Does LendingTree Get Paid?
LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.
How Does LendingTree Get Paid?
LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.
| Lender | Lender ratings | Best for… | APR range | Loan amounts | Minimum credit score | |
|---|---|---|---|---|---|---|
(295) User Ratings & Reviews Ratings and reviews are from real consumers who have used the lending partner’s services. | Large unsecured loans | 6.99% - 25.49% (with autopay) | $5,000 - $100,000 | Not specified | See Personalized Results | |
(16,489) User Ratings & Reviews Ratings and reviews are from real consumers who have used the lending partner’s services. | Unsecured loans for bad credit | 7.80% - 35.99% | $1,000 - $50,000 | 300 | See Personalized Results | |
(14) User Ratings & Reviews Ratings and reviews are from real consumers who have used the lending partner’s services. | Unsecured loans from a credit union | 7.99% - 17.99% | $600 - $50,000 | 760 | See Personalized Results | |
(1,593) User Ratings & Reviews Ratings and reviews are from real consumers who have used the lending partner’s services. | Unsecured loans from a bank | 7.99% - 24.99% | $2,500 - $40,000 | 720 | See Personalized Results | |
(1,952) User Ratings & Reviews Ratings and reviews are from real consumers who have used the lending partner’s services. | Unsecured loans for fair credit | 7.99% - 35.99% | $2,000 - $36,500 | 660 | See Personalized Results | |
(2,209) User Ratings & Reviews Ratings and reviews are from real consumers who have used the lending partner’s services. | Small unsecured loans | 8.49% - 35.99% (with autopay) | $1,000 - $50,000 | 580 | See Personalized Results | |
(97) User Ratings & Reviews Ratings and reviews are from real consumers who have used the lending partner’s services. | Unsecured loans for good credit | 8.99% - 29.99% (with discounts) Pricing DisclosureFixed rates from 8.99% APR to 29.99% APR reflect the 0.25% autopay interest rate discount and a 0.25% direct deposit interest rate discount. SoFi rate ranges are current as of 02/06/2024 and are subject to change without notice. The average of SoFi Personal Loans funded in 2022 was around $30K. Not all applicants qualify for the lowest rate. Lowest rates reserved for the most creditworthy borrowers. Your actual rate will be within the range of rates listed and will depend on the term you select, evaluation of your creditworthiness, income, and a variety of other factors. Loan amounts range from $5,000– $100,000. The APR is the cost of credit as a yearly rate and reflects both your interest rate and an origination fee of 0%-7%, which will be deducted from any loan proceeds you receive. Autopay: The SoFi 0.25% autopay interest rate reduction requires you to agree to make monthly principal and interest payments by an automatic monthly deduction from a savings or checking account. The benefit will discontinue and be lost for periods in which you do not pay by automatic deduction from a savings or checking account. Autopay is not required to receive a loan from SoFi. Direct Deposit Discount: To be eligible to potentially receive an additional (0.25%) interest rate reduction for setting up direct deposit with a SoFi Checking and Savings account offered by SoFi Bank, N.A. or eligible cash management account offered by SoFi Securities, LLC (“Direct Deposit Account”), you must have an open Direct Deposit Account within 30 days of the funding of your Loan. Once eligible, you will receive this discount during periods in which you have enabled payroll direct deposits of at least $1,000/month to a Direct Deposit Account in accordance with SoFi’s reasonable procedures and requirements to be determined at SoFi’s sole discretion. This discount will be lost during periods in which SoFi determines you have turned off direct deposits to your Direct Deposit Account. You are not required to enroll in direct deposits to receive a Loan. | $5,000 - $100,000 | 680 | See Personalized Results | |
(2,530) User Ratings & Reviews Ratings and reviews are from real consumers who have used the lending partner’s services. | Unsecured loans for debt consolidation | 8.99% - 35.99% | $2,000 - $50,000 | 600 | See Personalized Results | |
(153) User Ratings & Reviews Ratings and reviews are from real consumers who have used the lending partner’s services. | Unsecured loans for credit card debt | 11.72% - 17.99% | $5,000 - $40,000 | 640 | See Personalized Results |
Read more about how we chose the best lenders for unsecured loans.
Unsecured loan lenders at a glance
LightStream: Best for large unsecured personal loans
| APR range | 6.99% - 25.49% (with autopay) |
| Minimum credit score | Not specified |
| Loan terms | 24 to 84 months |
| Loan amounts | $5,000 - $100,000 |
| Pros | Cons |
|---|---|
Offers loans up to $100,000 Low starting APR Offers joint loans No hidden fees | No prequalification or preapproval Must have good or excellent credit to qualify Not good for small amounts — loans start at $5,000 |
With some of the lowest annual percentage rates (APRs) on the market, there are many advantages to getting an unsecured loan through LightStream, including its high maximum loan amount of $100,000. (Keep in mind that the lowest rates are typically reserved for borrowers with excellent credit scores.)
This lender charges zero fees — that means no origination fees, prepayment fees or late fees. However, one downside of LightStream is that the company does not offer preapproval services, so you’ll have to go through a hard credit check to see what rates and terms you may qualify for.
Read our LightStream personal loan review.
- Good or excellent credit
- Long credit history
- Several different kinds of accounts, like credit cards, personal loans, car loans and mortgages
- Checking/savings accounts and investment/retirement accounts
- Low debt-to-income ratio
- No delinquent debt and a proven history of on-time payments
Upstart: Best unsecured personal loans for bad credit
| APR range | 7.80% - 35.99% |
| Minimum credit score | 300 |
| Loan terms | 36 and 60 months |
| Loan amounts | $1,000 - $50,000 |
| Pros | Cons |
|---|---|
Available to borrowers with bad credit Fast funding Check your rate without damaging credit | Origination fee High maximum APRs Late payment fee |
This lender provides a quick, easy online process for you to check whether you prequalify for an unsecured personal loan.
Like many companies, Upstart does not charge prepayment fees. However, borrowers may owe an origination fee (0.00% - 12.00%) that’s taken out of the total loan lump sum. Another positive to Upstart is that borrowers can receive their funds within one business day after they’re approved.
Read our Upstart personal loan review.
- Credit score of 300+
- Be 18 years or older
- Have U.S. address, email account and a personal banking account at a bank in the U.S.
- Have a job, job offer that starts within six months or another source of income
- If you don’t have a credit score, you must be enrolled in or have graduated from an accredited institution with an associate’s, bachelor’s or advanced degree
PenFed Credit Union: Best unsecured personal loans from a credit union
| APR range | 7.99% - 17.99% |
| Minimum credit score | 760 |
| Loan terms | 12 to 60 months |
| Loan amounts | $600 - $50,000 |
| Pros | Cons |
|---|---|
Loans starting at $600 Low interest rates No prepayment or origination fees | Must become a member to get loan Late payment fee Need good or excellent credit to qualify |
While PenFed Credit Union lets borrowers avoid prepayment, application and origination fees, the company does charge a $29 late payment fee.
Once you’re approved for an unsecured personal loan, you can expect to receive your funds within one to two business days via direct deposit. While you don’t have to become a PenFed member to apply for a loan, you will have to join if you accept a loan.
Read our PenFed Credit Union review.
- Credit score of 760+
- PenFed membership (anyone can join)
- PenFed savings account with $5 deposit
- May need to submit documents to verify your identity and income
Discover: Best unsecured personal loans from a bank
| APR range | 7.99% - 24.99% |
| Minimum credit score | 720 |
| Loan terms | 36 to 84 months |
| Loan amounts | $2,500 - $40,000 |
| Pros | Cons |
|---|---|
No application, origination or prepayment fees Check rates without damaging credit score Fast funding | Need good to excellent credit to qualify Maximum loan amount is $40,000 Late payment fee |
Discover loans come with few fees and several perks, including a prequalification process that allows you to check your rates without hurting your credit in the process. Once you’re approved, you’ll get your money as quickly as the next business day.
If you have fair or bad credit, look elsewhere. Discover loans require a credit score of 720 or higher for approval. You’ll also need to stay on top of your payments because Discover charges a $39 late fee.
Read our Discover personal loan review.
- Credit score of 720+
- Be 18 years or older
- Minimum income: $2,500
- Have a Social Security number, physical address and active email address
LendingPoint: Best unsecured personal loans for fair credit
| APR range | 7.99% - 35.99% |
| Minimum credit score | 660 |
| Loan terms | 24 to 72 months |
| Loan amounts | $2,000 - $36,500 |
| Pros | Cons |
|---|---|
No fee for paying off loan early Low starting APR Fast funding | Origination fee High maximum APR No joint loans |
LendingPoint is an online lender with a unique AI model that helps it see beyond your credit score when deciding whether to offer you a loan. This makes it a solid choice for borrowers with fair credit who want access to a loan with no prepayment fees and a fast funding timeline.
Though LendingPoint may approve you with a credit score as low as 660, you’ll likely only qualify for its highest interest rates.
Read our LendingPoint personal loan review.
- Credit score of 660+
- Minimum annual income: $35,000
- Be at least 18 years old
- Provide government-issued photo ID
- Have a Social Security number
- Have a banking account
- Not be a resident of West Virginia or Nevada
Upgrade: Best for small unsecured personal loans
| APR range | 8.49% - 35.99% (with autopay) |
| Minimum credit score | 580 |
| Loan terms | 24 to 84 months |
| Loan amounts | $1,000 - $50,000 |
| Pros | Cons |
|---|---|
No fees for paying off loan early Available to borrowers with fair credit Fast funding | Origination fee Fees for late payments High maximum APR |
Not only does Upgrade have loan repayment terms of up to 84 months, but borrowers can also receive funding in as little as one day.
While this lender doesn’t charge any prepayment fees, Upgrade borrowers will have to shell out for an origination fee (1.85% - 9.99%) as well as late payment penalties. Upgrade offers loans for credit card refinancing, debt consolidation, home improvement projects and other large purchases.
Read our Upgrade personal loan review.
- Credit score of 580+
- U.S. citizenship, residency or valid U.S. visa
- Be at least 18 years old (19 in Alabama and certain other states)
- Provide verifiable bank account
- Have a valid email address
SoFi: Best unsecured personal loans for good credit
| APR range | 8.99% - 29.99% (with discounts) Pricing DisclosureFixed rates from 8.99% APR to 29.99% APR reflect the 0.25% autopay interest rate discount and a 0.25% direct deposit interest rate discount. SoFi rate ranges are current as of 02/06/2024 and are subject to change without notice. The average of SoFi Personal Loans funded in 2022 was around $30K. Not all applicants qualify for the lowest rate. Lowest rates reserved for the most creditworthy borrowers. Your actual rate will be within the range of rates listed and will depend on the term you select, evaluation of your creditworthiness, income, and a variety of other factors. Loan amounts range from $5,000– $100,000. The APR is the cost of credit as a yearly rate and reflects both your interest rate and an origination fee of 0%-7%, which will be deducted from any loan proceeds you receive. Autopay: The SoFi 0.25% autopay interest rate reduction requires you to agree to make monthly principal and interest payments by an automatic monthly deduction from a savings or checking account. The benefit will discontinue and be lost for periods in which you do not pay by automatic deduction from a savings or checking account. Autopay is not required to receive a loan from SoFi. Direct Deposit Discount: To be eligible to potentially receive an additional (0.25%) interest rate reduction for setting up direct deposit with a SoFi Checking and Savings account offered by SoFi Bank, N.A. or eligible cash management account offered by SoFi Securities, LLC (“Direct Deposit Account”), you must have an open Direct Deposit Account within 30 days of the funding of your Loan. Once eligible, you will receive this discount during periods in which you have enabled payroll direct deposits of at least $1,000/month to a Direct Deposit Account in accordance with SoFi’s reasonable procedures and requirements to be determined at SoFi’s sole discretion. This discount will be lost during periods in which SoFi determines you have turned off direct deposits to your Direct Deposit Account. You are not required to enroll in direct deposits to receive a Loan. |
| Minimum credit score | 680 |
| Loan terms | 24 to 84 months |
| Loan amounts | $5,000 - $100,000 |
| Pros | Cons |
|---|---|
No fees Fast funding Interest rate discounts for autopay and direct deposit | Must have good or excellent credit to qualify Loans start at $5,000 High maximum APR |
SoFi is another lender that charges no required fees. However, unlike LightStream, SoFi does offer soft credit inquiries so you can see what rates and terms you qualify for without putting a dent in your credit score. And if you need a quick loan, SoFi might fit the bill — it often offers same-day funding once you’re approved for a loan.
Read our SoFi personal loan review.
- Credit score of 680+
- Must be the age of majority in your state (typically over 18) or older
- Must be U.S. citizen, permanent resident or non-permanent resident (DACA and asylum seekers), with documentation to prove your status
- Must be employed, have an offer of employment that starts in 90 days or have regular income
Best Egg: Best unsecured personal loans for debt consolidation
| APR range | 8.99% - 35.99% |
| Minimum credit score | 600 |
| Loan terms | 36 to 60 months |
| Loan amounts | $2,000 - $50,000 |
| Pros | Cons |
|---|---|
No fee for paying off loan early See rates without damaging credit score Competitive starting interest rates | Must pay origination fee Loans not available in IA, VT, WV or Washington, D.C. No joint loans |
If you have a credit score of at least 700 and a personal annual income of more than $100,000, you may qualify for Best Egg’s lowest APRs. This lender charges an origination fee of 0.99% - 8.99% and won’t penalize you with a fee if you prepay your loan. With Best Egg, you can also get quick results by finding out whether you qualify for a loan within just a few minutes and receive your funds in one to three days.
Read our Best Egg personal loan review.
- Credit score of 600+
- Cannot live in Iowa, Vermont, West Virginia or Washington, D.C.
- May need to connect to bank account
- May need to submit documentation to verify identity, address, income, credit score and debt-to-income ratio
Happy Money: Best unsecured personal loans for credit card repayment
| APR range | 11.72% - 17.99% |
| Minimum credit score | 640 |
| Loan terms | 24 to 60 months |
| Loan amounts | $5,000 - $40,000 |
| Pros | Cons |
|---|---|
See rates without impacting credit score No fee for late payments or paying off loan early One monthly payment for your credit card debt | Must pay origination fee Only for credit card debt Loans not offered in NV or MA |
Happy Money offers loans specifically to help borrowers pay off credit card debt. While Happy Money does charge borrowers an origination fee (1.50%-5.50%) for its unsecured personal loans, the company does not charge application or late payment fees.
Happy Money may help you consolidate your debt and substantially lower your interest rates. But if you need a loan to cover something else, look elsewhere — you won’t be able to use a Happy Money loan for any other purpose.
Read our Happy Money personal loan review.
- Credit score of 640+
- No delinquent debt
- May also consider your debt-to-income ratio, age of credit history and credit utilization
Trustpilot
What is an unsecured loan?
Unsecured loans don’t require collateral, such as a home, vehicle or savings account, to back the loan. Instead, they are backed only by the borrower’s creditworthiness and promise to repay the loan. A common type of unsecured loan is a personal loan.
Unsecured personal loans generally range from about $1,000 to $50,000. They’re typically repaid in fixed monthly payments over a set period of time, such as two to five years. They’re offered by banks, credit unions and online personal loan lenders.
On this page
- Pros and cons of no-collateral loans
- How to get an unsecured loan
- How to get low interest rates
- Who is an unsecured loan best for?
- Alternatives to unsecured loans
- How we chose the best unsecured loans
- Frequently asked questions
How do unsecured loans work?
To get an unsecured loan, you’ll have to start with a loan application. Lenders often allow you to prequalify for an unsecured loan, so you can see your rates without having to go through a hard credit pull that would impact your credit score. Because you don’t need collateral for an unsecured loan, your approval will depend on your creditworthiness — that is, a lender’s trust in your ability to pay back your debts.
If you choose to proceed with the loan, you’ll have to verify the information you provided, including your identity, income and residency.
Once you’re approved for a loan, you’ll pay it off in monthly installments with fixed interest rates. Unsecured loans typically don’t have prepayment penalties, so you may be able to pay off the loan early without being charged extra, if you choose.
Common uses of unsecured personal loans:
- Debt consolidation
- Credit card refinancing
- Small business expenses
- Home improvements
- Moving expenses
- Vacations and travel
- Medical bills and procedures
- Wedding expenses
- Holiday expenses
Types of unsecured loans
Some of the most common forms of unsecured loans are:
- Personal loans
- Student loans
- Credit cards
Personal loans are lump sums provided by lenders that can be used for a variety of purposes. They carry fixed rates, may come with origination fees and are commonly repaid on a monthly basis.
While personal loans cannot be used for educational or business expenses, student loans are specifically offered to help cover post-secondary education expenses such as tuition, room and board and books. Credit cards, on the other hand, work like a line of credit and are a way for individuals to cover various costs and even earn rewards.
Unsecured loans with guaranteed approval
Some payday lenders will advertise unsecured loans with guaranteed approval. This is a risky path to take because these loans come with short terms and often incredibly high interest rates. It’s best to avoid unsecured loans with no credit check or guaranteed approval.
Pros and cons of no-collateral loans
Pros
- You don’t need to appraise or offer up an asset like your home or car.
- Your application may be approved in minutes, and the quick loan funds may be deposited into your account as soon as the same day or the following business day.
- If you don’t finish repaying the loan, your property will not be repossessed.
- Unsecured personal loans usually have fixed interest rates that don’t change for the life of the loan.
Cons
- Higher credit scores are often required to qualify, since there is no collateral to offset risk for lenders.
- Unsecured loans may come with higher interest rates than secured loans.
- Approval process largely leans on borrowers’ credit profiles, such as score and history.
- Not paying and defaulting on a loan will affect your credit, and your lender may send your bills to a debt collection agency.
How to get an unsecured loan
Every lender will have its own qualifications you’ll be required to meet in order to be approved for a loan. However, there are several common threads that lenders typically follow.
- If you have a higher credit score, you will have a better chance of being approved and qualifying for a lender’s lowest APRs.
- Shop around and compare the rates of several lenders before agreeing to go with a particular loan. Lenders will offer you rates, terms and amounts based on factors such as your credit score, debt-to-income ratio and annual income.
- See if you can find a lender that will allow you to prequalify for an unsecured loan. Many lenders offer prequalification services as a way to find out if you qualify for a loan without doing a hard credit check.
How to get low interest rates
Interest rates on unsecured personal loans can vary widely depending on the credit rating of the borrower as well as the loan terms, such as loan amount and length.
Most unsecured personal loan lenders require borrowers to have good or excellent credit (defined as a FICO Score of 670 or above, or a VantageScore of 661 or higher). Your chances of qualifying for a loan will be much lower if you have fair or poor credit, a history of missed payments, debt collections or charge-offs by lenders for debt you were unable to pay.
It’s possible for consumers with good or excellent credit to get a personal loan with a low interest rate, but bad-credit applicants will have a hard time qualifying for an affordable personal loan — if they receive any offers at all. That said, you still may be able to find a reputable provider for a personal loan with bad credit.
Be on the lookout for lenders advertising unsecured loans for bad credit or unsecured loans with no credit check — these often aren’t standard personal loans. Most likely, they are payday loans, which are often predatory and come with short repayment terms and high interest rates.
- Enlist the help of a cosigner. If you have less-than-ideal credit, lenders might be more willing to work with you (as well as offer better loan terms) if you have a cosigner for your loan.
- Opt for a secured loan instead. Secured personal loans require you to put up an asset you own, such as a vehicle, as collateral.
- Raise your credit and reapply. You can check and monitor your credit score for free with LendingTree.
Average APRs by credit score
LendingTree customers can receive loan offers from our partners. Here’s the average APR offered to customers in the following credit bands:
| Credit score range | Average APR |
|---|---|
| 720+ | 16.01% |
| 680-719 | 25.78% |
| 660-679 | 37.57% |
| 640-659 | 51.61% |
| 620-639 | 71.55% |
| 580-619 | 112.28% |
| 560-579 | 152.35% |
| Less than 560 | 175.16% |
Source: LendingTree user data on closed personal loans for the fourth quarter of 2023.
Who is an unsecured loan best for?
An unsecured loan can be a good option for many consumers, but they may be best for the following types of borrowers:
- Borrowers with good credit: Because lenders rely on your credit score and history to decide whether to approve you for an unsecured loan, you’ll have a better chance of being accepted and qualifying for a lower APR if you have solid credit.
- Borrowers with a steady income: If you’re going to apply for an unsecured loan, you’ll want to make sure you have the funds available to repay it. Defaulting on an unsecured loan can lead to getting sued by a lender, bankruptcy and a decreased credit score.
- Borrowers who are planning to make a large purchase: Paying off medical bills or taking on a home improvement project can be expensive. An unsecured loan can help make those costs more manageable so you can pay those bills in smaller monthly chunks.
- Borrowers who are consolidating debt: According to a LendingTree study, the most popular way to use an unsecured loan is to consolidate debt. Debt consolidation can be a way for consumers to get their current debts under control and roll them into a single loan.
Alternatives to unsecured loans
While an unsecured loan may offer some borrowers financial relief, it’s not a one-size-fits-all solution. If you’re unsure whether an unsecured loan is the best financial choice for you, you may want to consider a few alternative options.
Personal line of credit
A personal line of credit is a type of revolving credit account that allows you to borrow a sum of money (up to a certain amount) and pay it off over time.
Unlike a loan, you do not have to borrow the entire lump sum all at once. You can choose how much you want to borrow at a given time, and interest will only be charged on the amount of money you borrow. A personal line of credit does not come with fixed rates like personal loans do, so your payments may vary month to month.
0% intro APR credit cards
When you use a credit card, you’ll typically have to pay interest if you don’t pay off the balance before the payment due date arrives. However, some companies offer 0% intro credit card promotions to help borrowers avoid interest charges.
With this approach, customers can avoid paying interest on their purchases even when the payment due date arrives. However, the 0% APR generally only lasts for a certain period of time, often 12 to 21 months.
Home equity line of credit
Like a personal line of credit, a home equity line of credit (HELOC) is also a type of credit account that revolves. The difference is that a HELOC is dependent on the borrower’s home equity.
When you buy a house, you’ll gain equity as you pay it off (or if the value of your home increases). With a HELOC, you can borrow against that equity up to a determined amount. Like a personal line of credit, a HELOC typically does not come with fixed rates. Instead, these rates tend to rise and fall with the financial market.
How we chose the best unsecured loans
In order to find the best unsecured loans, we reviewed more than 30 lenders. We rated lenders on 19 individual criteria related to the following categories:
- Rates and terms: We prioritize lenders that offer competitive interest rates, valuable discounts and flexible loan terms and amounts.
- Accessibility: We favor lenders who make their loans available to a wide range of people by having low credit score requirements or offering joint loans. Lenders also get points for making the application process as seamless as possible and for an easy (and quick) money transfer once you’re approved.
- Repayment experience: We evaluate each lender’s reputation, awarding points for high consumer reviews and penalizing lenders with recent sanctions from the Consumer Financial Protection Bureau. Lenders with easy-to-use mobile apps and good customer service get additional points.
We review and fact check our picks regularly to ensure that you’re getting solid financial advice to make your next money move.
Frequently asked questions
Unsecured debt isn’t backed by a form of collateral. For example, your typical credit card debt is unsecured — if you default, nothing is seized. Mortgage debt, on the other hand, is secured debt. If you default, you could lose your home.
Personal loans can be secured or unsecured, but they’re typically unsecured. Secured personal loans require some kind of collateral, such as a car or savings account.
Unsecured personal loans offered by banks, credit unions and other lenders can help your short-term cash needs, but make sure you’re able to budget for the monthly payments. These loans are safe as long as you are able to make payments and understand that you could be paying a significant amount in interest, depending on your loan size and APR.
