Average personal loan rates: October 18, 2022

[ad_1]

Insider’s experts choose the best products and services to help you make informed decisions with your money (here’s how). In some cases, we receive a commission from our partners, however, our opinions are our own. Terms apply to offers listed on this page.

The overall average personal loan rate was up about five basis points from last week, and the lowest rate we track was up about 36 basis points. You can take out a personal loan for a variety of purposes, such as covering the cost of a medical bill or financing a home improvement project.

Average Personal Loan Rates

We’ve compiled a database of 28 personal loan products and averaged their current rates so you know the current landscape. The higher your credit score, the more likely you are to qualify for a better rate.

The lowest rate of the companies we track is Upstart, which has a minimum APR of 5.60%. The highest rate of the companies we track is NetCredit Personal Loans, which has a maximum APR of 99.99%.

The actual rate you can get is based on your creditworthiness and other aspects of your financial situation. Check your rates with the lenders you are interested in to see what you qualify for.

Compare personal loan rates

Average personal loan rates by credit score

These rates are based on data from 179 borrowers who applied for loans and received rates.

Average loan amount and term length by credit score

These loan amounts and terms are based on data from 170 borrowers who applied for loans and received rates.

Percentage of Borrowers by Lending Purpose

These lending goals are based on data from approximately 193 borrowers who applied for loans and received rates. A borrower used the loan funds to pay his taxes this week.

Frequently Asked Questions

Different lenders require different minimum credit scores for borrowers to qualify for a personal loan. Some lenders have no minimums, while others only offer low rates to borrowers with excellent credit histories.

Most lenders allow you to use a personal loan for almost any purpose you can think of, although it depends on the company. Some common uses include:

Not all available reasons are listed here, and you should contact your individual lender to ask what choices they offer.

Personal loans are not suitable for all situations or for all people. They can sometimes be difficult to qualify, with strict credit score requirements. Personal loans can also carry high interest rates, which could mean there are better options.

For larger purchases that don’t fit within a credit limit, a personal loan might be the right option. It’s worth calculating the interest you’ll pay and carefully considering options like a secured loan to lower the interest rate.

[ad_2]
Source link