A personal loan can provide funds in a pinch, whether you’re looking to consolidate high-interest debt, need to cover an emergency expense, or perhaps want to tackle a home improvement project. They often provide a competitive rate compared to other common financing options—such as credit cards. And unlike credit card debt, a personal loan has the benefit of a fixed repayment timeline.
But with so many lenders in the marketplace, how can you quickly find the best personal loan for your situation? Fortune examined a lineup of top lenders to rank each based on factors such as interest rates, loan amounts, terms, fees, and more to make our selections for the five best options.
Read on and we’ll help you identify the best lender for a personal loan that fits your financial situation.
Rates, fees, and loan amounts checked March 10, 2026 and are subject to change.
Best personal loans of April 2026
Lender details checked March 10, 2026.
Best for longer repayment terms
LightStream
| Loan amount | $5,000-$100,000 |
| APR | 6.49%-24.89% |
| Max loan term | 240 months |
at MoneyLion
- Year Founded: 2012
- Company Headquarters: San Diego, CA
- CEO: William H. Rogers
LightStream is an online arm of Truist, offering myriad personal loans, including for debt consolidation, home improvements, a wedding, and more. Its loans offer a lower potential APR than many of our other picks. It also publishes a policy stating that it will beat eligible competitor unsecured loans by 0.10% if you’re approved for a lower rate. It also offers incredibly lengthy loan terms of up to 240 months for some loan types.
LightStream does not charge any origination or late fees.
Lender details checked March 10, 2026.
Best for fee-sensitive borrowers
Wells Fargo
| Loan amount | $3,000-$100,000 |
| APR | 6.74%-25.99% |
| Max loan term | 84 months |
at MoneyLion
- Year Founded: 1852
- Company Headquarters: San Francisco, CA
- CEO: Charles W. Scharf
Wells Fargo is a strong pick for those hoping to avoid fees, as it doesn’t tack on an origination fee, a closing fee, or a prepayment fee. Plus, its minimum APR on personal loans is extremely competitive—especially when you factor in its 0.25% relationship discount.
The bank notes that most customers get a same-day decision on their loan application—and you’ll get the convenience of up to 84 months to repay what you borrow.
Wells Fargo boasts a highly rated mobile app, and more than 4,000 bank branches, making it convenient for those who want more than just a personal loan. Just note that only those who have an open Wells Fargo account for at least 12 months are eligible to open a personal loan.
Lender details checked March, 2026.
Best for low maximum APR
PenFed Credit Union
| Loan amount | $600-$50,000 |
| APR | 6.09%-17.99% |
| Max loan term | 60 months |
at MoneyLion
- Year Founded: 1935
- Company Headquarters: McLean, VA
- CEO: James Schenck
Pentagon Federal Credit Union (better known as PenFed) is a credit union based in Virginia that operates nationwide via its online banking products and massive ATM network.
It’s got an extremely customer-friendly maximum APR of just 17.99%, which is notably lower than most of its competitors. That’s handy for those with less-than-perfect credit profiles that are worried about the possibility of getting stuck with a sky-high interest rate. (In general, credit unions may have friendlier maximum loan rates than banks, because as of this writing credit union loans have a ceiling of 18%).
You’ll get up to 60 months to repay your loan and can borrow up to $50,000. PenFed does not charge any origination fees or early payoff penalties.
And while some credit unions have restrictive membership requirements, PenFed makes it possible for virtually anyone to join.
Lender details checked March 10, 2026.
Best for preapproval
American Express
| Loan amount | $3,500-$50,000 |
| APR | 6.99%-19.99% |
| Max loan term | 60 months |
at MoneyLion
- Year Founded: 1850
- Company Headquarters: New York City, NY
- CEO: Stephen Squeri
American Express may be known for its credit cards, but with low rates and no origination fees or prepayment penalties, Amex ranks as one of our choices for the best personal loan options.
You can borrow up to $50,000 and have up to 60 months to repay. American Express allows you to check for a personalized offer, and it proactively notifies you if you’re preapproved for a loan. Essentially, all you have to do is accept the offer (unless something has changed with your financial profile since you were preapproved).
Personal loans from American Express are only available to eligible cardholders. Amex also states that you can’t use its personal loans to pay American Express card debt.
Lender details checked March 10, 2026.
Best for a small loan amount
TD Bank
| Loan amount | $2,000-$50,000 |
| APR | 7.99%-23.99% |
| Max loan term | 60 months |
at MoneyLion
- Year Founded: 1955
- Company Headquarters: Cherry Hill, NJ
- CEO: Leo Salom
TD Bank offers one of the lowest loan amounts among top lenders starting at just $2,000. Contrast this with some financial institutions that start at $5,000, and TD Bank is great for those who aren’t looking to finance a huge project. Its loan terms range from 36 months to 60 months. Plus, it skips the pesky suite of fees you’ll find with some lenders, including origination, application, and prepayment penalties.
Lender details checked March 10, 2026.
What to know about personal loans
Most personal loans are “unsecured”
There are two types of personal loans: secured and unsecured.
A secured loan requires you to provide collateral as a security deposit for approval. This may be valuables, investments, even your car. They’re easier to be approved for than an unsecured loan, but they are high-stakes.
Unsecured loans do not require collateral but may come with higher approval standards—and sometimes even higher interest rates.
Personal loans aren’t always a no-brainer
A personal loan can be a convenient option for funding a necessary purchase in a pinch or to consolidate debt, but it doesn’t come without its risks. It’s a monthly responsibility that, if you don’t plan for properly, can be detrimental to your financial situation.
For example, missing a monthly payment or two can devastate your credit score and result in hefty fees.
It’s typically unwise to get a personal loan for recreation
If you can’t currently afford a purchase that isn’t a necessity, taking out a loan isn’t the wisest choice. It’ll add monthly interest charges and further constrain your budget. Instead of borrowing, we recommend creating a recurring monthly transfer to your savings account and saving until you can afford to cover the purchase with cash.
Your credit score may dip temporarily (but increase with responsible use)
When you apply for a personal loan, the lender will perform a hard credit inquiry on your credit report to decide if you’re a good candidate for approval. This temporarily dings your credit score by a few points.
However, by making on-time monthly payments, your credit score may well increase higher than ever. Plus, if you use your personal loan to consolidate credit card debt, your amounts owed will decrease—which can do wonders for your credit score. Installment loans don’t count toward your credit utilization.
Many lenders also allow you to get a quote online without pulling your credit to determine if you’re likely to be approved if you submit a full application. This isn’t a formal approval, but it gives you a sense of whether you’re likely to be approved.
Pros and cons of personal loans
Pros
- Fast access to funds: Many lenders state that you may receive funds within a few days (even potentially the same day) from approval.
- Fixed rates and predictable repayment schedule: Personal loans charge a fixed interest rate that won’t change over the life of the loan—meaning your payment amount won’t change over time.
- No collateral required: Fortune’s recommended personal loans don’t require a security deposit of any kind.
Cons
- Potentially high costs: In addition to interest payments, some personal loans carry additional fees like application fees or origination charges.
- May be difficult to qualify for: Personal loans with reasonable APR are generally only available to those with good credit.
- Adds another monthly payment: If you’re already on a tight budget, a personal loan means adding an additional payment to your monthly bills. This may place additional stress on your finances.
How to choose a personal loan
If you’re considering applying for a personal loan, consider the following features to help you narrow down your options.
Loan amount
Each lender has a unique range for how much you can borrow. The amount you’re approved for depends on your credit profile, income, debt-to-income ratio (DTI), and more. All to say, a lender may not offer a loan large enough (or small enough) for your purposes.
Loan term
Your loan term is the length of time you have to repay the money you’ve borrowed. Terms vary by lender, but many offer up to five years (or more) to pay back your loan.
Extending the term helps keep the monthly payment lower, but it also results in paying more interest over time—and can ultimately make your loan more expensive. Find a loan term that results in reasonable monthly payments for which you have supreme confidence you can maintain.
Annual percentage rate (APR)
A personal loan’s APR dictates your borrowing costs. APR represents the interest you’ll pay each year for your loan. Obviously, the lower your APR the better. Even a percentage point or two could result in thousands of dollars in savings over the life of your loan.
Note that APR and interest rate differ slightly when it comes to loans. Your APR will typically be higher because it factors in fees as well as interest.
Loan fees
Some financial institutions take the nickel-and-dime approach to lending and some do not. No matter which lender you choose, make sure to factor all fees into your proposed maximum out-of-pocket. Read your bank’s loan disclosures to determine the fees you may encounter.
Common charges include origination or administrative fees for processing your loan, prepayment fees for paying off your loan early and late fees for making a payment after your due date.
Funding time
Again, many personal loans are disbursed within days—some offering the potential to give you money the same day you’re approved. Before applying, confirm that your chosen lender can get you the funds in a timeframe that meets your needs.
How to get a good rate on a personal loan
The most favorable rates on a personal loan are based on how risky you look to a potential lender. The factors that will generally most affect the rate you receive include your overall credit score, your income, and your debt-to-income ratio. To get a good rate, do what you can to make sure your credit profile is strong.
You can work on this by cultivating your credit score with:
- On-time payments: Meet at least the minimum payment for your current loans to continue improving your credit.
- Low credit utilization: If you’ve got high credit card balances, work to pay them down. Dropping your amounts owed is perhaps the quickest way to see an increase in your credit score.
- Don’t apply for lots of other accounts: If you’ve got your eye on a personal loan, the best practice is not to open, say, several credit cards first. This can make you look desperate for money which lenders may consider a red flag.
Many bank and credit card apps offer you a free version of your credit score. If your score isn’t in great shape, it might be worth holding off on applying for a personal loan until you can improve your score. The difference between fair and good credit could be a meaningful difference in the rates you’re offered.
It’s worthwhile to “rate shop” for the best rates available to you. There’s a wide spectrum of loans, each with their own terms and rates and a little due diligence on your end can lead to the best value for your needs.
Alternatives to personal loans
Personal loans typically come with more favorable interest rates and terms than other financing options, especially for borrowers with good credit. However, other types of credit may be better depending on your credit profile and financial situation. Some alternatives to personal loans include:
- Credit cards: Credit cards allow you to borrow against a line of credit and pay it down as needed. The average APR for credit cards as of this writing hovers at just over 22%, according to the most recent figures from the Fed. This is nearly twice the average rate of 11.57% for a two-year personal loan.
- Personal line of credit: A personal line of credit works similarly to a credit card. You can borrow against your credit limit for a set term, known as the draw period. After this period is up, you must begin paying down the balance plus interest.
- Home equity loan: A home equity loan allows you to borrow against the equity in your home in the form of an installment loan. They can be riskier than personal loans since your home serves as collateral.
- Loan from a friend or family member: If you have a friend or family member willing to lend you the money interest-free or at a lower rate, with flexible terms, this may be the most cost-effective option. Of course, it’s important to set clear terms and adhere to them to avoid any potential fallout.
Our methodology
Fortune compared the top financial institutions offering personal loans to give you the best options for multiple financial situations. We ranked the personal loans according to the following factors:
- Minimum loan amount (17%): Many financial institutions set a minimum amount you can borrow. We favored personal loans with lower minimum loan requirements.
- Maximum loan amount (18%): Your bank or credit union sets limits for how much you can borrow. We favored banks with higher maximum loan amounts.
- Minimum APR (13%): This is the lowest advertised rate by the lender. The APR you qualify for will depend on your unique financial profile.
- Maximum APR (17%): This is the highest advertised rate by the lender. The APR you qualify for will depend on your unique financial profile.
- Maximum loan term (20%): This is the longest repayment timeline the lender offers. We prioritized lenders that offer longer repayment terms.
- Origination or administrative fees (10%): Any financial institutions that charged for things like loan origination or account setup fees were docked points.
- Customer support (5%): Top picks offer customers various ways to get in contact: chat support, phone, and/or email.
Frequently asked questions
How long does it take to get a personal loan?
Some lenders advertise funding as fast as the same day, and some claim you’ll see the funds within a business day or two. Typically, it takes at least a few days for the lender to review your application, check your credit, determine approval and (if approved) deposit the funds into your account.
What can I use a personal loan for?
There are generally no restrictions on how you can use the funds from a personal loan—as long as it’s lawful. Common uses include emergency repairs, debt consolidation, and home improvements. It’s worth noting that some banks don’t allow you to use a personal loan to pay off debt you have with them (you can only pay off debts with other banks).
Can a personal loan hurt my credit score?
A personal loan will immediately impact your credit score negatively. However, this is temporary; as long as you make your payments on time and in full, a personal loan can help to improve your credit over time.
Where can you get a personal loan?
Most banks and credit unions offer personal loans. You can start by asking your primary banking institution what it offers. Some institutions offer special relationship rates or terms for existing customers. But it’s worthwhile to shop around for the best terms and rates that fit your needs.
What information do I need to apply for a personal loan?
To apply for a personal loan, you’ll need your completed loan application, proof of identity, proof of income, verification of employment, and proof of address. Your bank may have additional requirements outside of these documents.
Can I get a personal loan if I have poor or fair credit?
It’s possible to get approved for a personal loan without good credit, but it’s also likely that those loans will come with higher interest rates. If you’re looking for a personal loan and your credit doesn’t fit in the “good” or better category (670+, per FICO), you may want to seek out online lenders or credit unions, both of which tend to offer better rates than traditional banks.
