5.96%–35.99%Happen Bank APR range (one of the widest)
10.00%Avg. rate, credit scores 800–850 (Credible, Aug 2025–Jul 2026)
28.67%Avg. rate, credit scores 580–669 (Credible)
11.86%Fed avg. 24-month bank personal loan rate (Q2 2026)
Key takeaway: In October 2026, major online lenders advertised personal loan APRs from about 6% to 36%. What you are offered depends mostly on your credit. Credible's data on closed loans shows average rates from 10% for scores of 800 or more to nearly 30% below 580. Origination fees of up to about 10% can add several points to the real cost, so compare APRs and total repayment, not just monthly payments.
How we put this guide together: We compiled lender terms from published comparisons (NerdWallet) and lender sites, average rates from Credible's loan data and the Federal Reserve, and borrower guidance from the CFPB and NCUA. All figures were checked in October 2026. Lenders change rates and fees often, and your offer depends on your credit, income and state, so confirm terms with the lender. See our advertiser disclosure.

Personal loan lenders compared: October 2026 snapshot

These are widely available online lenders. They are listed alphabetically, not ranked. The lowest APRs usually require excellent credit and autopay.

LenderAPR rangeOrigination feeAmountsTermsMin. credit score
Best Egg (unsecured)6.99%–35.99%0.99%–9.99%$2,000–$50,0003–5 years600
Discover6.99%–24.99%None$2,500–$40,0003–7 years660
Happen Bank (formerly LendingClub)5.96%–35.99%0%–8%$1,000–$75,0002–7 years600
LightStream9.99%–24.94% (with AutoPay)None$5,000–$100,0002–20 years (varies by purpose)660
SoFi6.99%–35.49%0%–7% (9.99% on loans made through Cross River Bank)$5,000–$100,0002–7 yearsNone stated
Upgrade7.74%–35.99%1.85%–9.99%$1,000–$75,0002–7 yearsAbout 580–600

Source: NerdWallet best personal loans and debt consolidation loans pages (October 2026; SoFi rates as of Oct. 2, 2026, Happen Bank as of July 6, 2026); Upgrade origination fee help page. Rates and fees change; check the lender's site.

What sets each lender apart

  • Best Egg also offers secured loans (backed by a vehicle or home fixtures) at 5.99%–29.99%. It can pay creditors directly for debt consolidation. It does not offer joint loans and is not available in Iowa, Vermont, West Virginia or Washington, D.C. Fees on terms of four years or more start at 4.99%.
  • Discover charges no origination fee and can pay creditors directly, but needs a 660 score and caps loans at $40,000.
  • Happen Bank allows joint applications and requires a debt-to-income ratio of 40% or less. It reported that 66% of approved loans were disbursed within 24 hours in April–June 2026.
  • LightStream charges no fees and offers terms of 2 to 20 years, though the longest terms depend on the loan purpose and amount. It targets strong credit. It offers only limited prequalification and does not pay creditors directly. Rates are 0.50 percentage point higher without AutoPay.
  • SoFi offers loans up to $100,000, joint loans, same-day funding and two 0.25-point discounts (autopay and direct deposit or membership). Its fee depends on which bank makes the loan.
  • Upgrade offers secured and co-signed loans, which can help if your credit is thin. Its fee is taken out of the loan before you receive the money.

Average personal loan rates by credit score

Credit tier (score)Average rateMonthly payment on $10,000 over 3 years
Excellent (800–850)10.00%$323
Very good (740–799)12.47%$334
Good (670–739)19.23%$368
Fair (580–669)28.67%$417
Poor (below 580)29.74%$423

Source: Credible, approved and closed loans August 2025–July 2026 (updated Aug. 12, 2026). Payments are MoneyVerge calculations assuming no fees.

Other benchmarks point the same way. The Federal Reserve's average for a 24-month personal loan at commercial banks was 11.86% in the second quarter of 2026. A NerdWallet estimate cited by LendEDU put online-loan averages at 11.81% for scores of 720 and up and 21.65% below 630. The jump between "very good" and "good" in Credible's data is large. Raising your score before you apply can be worth more than any lender choice. Our guide to credit score ranges explains the tiers.

Worked example: what a $10,000 loan really costs

Say you need $10,000 in cash. Here is what you would repay under different terms (MoneyVerge calculations, standard amortization):

ScenarioMonthly paymentTotal repaidTotal cost
10% APR, 3 years, no fee$322.67$11,616$1,616
10% APR, 5 years, no fee$212.47$12,748$2,748
19.23% rate, 3 years, no fee$367.72$13,238$3,238
19.23% rate, 3 years, 8% fee (borrow $10,870 to get $10,000)$399.72$14,390$4,390
19.23% rate, 5 years, no fee$260.67$15,640$5,640
28.67% rate, 3 years, no fee$417.26$15,022$5,022

Source: MoneyVerge calculations. Rates are illustrative and drawn from Credible's averages.

Three lessons stand out:

  • Fees are deducted up front. With an 8% origination fee, you must borrow $10,870 to receive $10,000. That raises the effective APR from 19.23% to about 25.4%. This is why the CFPB tells borrowers to compare APR, which includes origination charges, rather than the interest rate alone.
  • Longer terms cost more. Stretching the 19.23% loan from three to five years cuts the payment by about $107 but adds $2,402 in interest.
  • Credit matters most. A fair-credit borrower pays about $3,400 more than an excellent-credit borrower on the same three-year loan.

How prequalification works

Most online lenders let you see estimated rates before you apply. SoFi, for example, says its prequalification uses a soft credit pull that does not affect your credit score, while the full application requires a hard credit check that can. LightStream is an exception. It offers only limited prequalification, so applying usually means a hard inquiry.

  1. Prequalify with three or more lenders in the same week.
  2. Compare APR, origination fee, total repayment and any discounts you would actually use.
  3. Check for prepayment penalties and whether the lender can pay creditors directly if you are consolidating.
  4. Submit one full application. Prequalified rates are estimates, and the final offer can differ after the hard check.

The CFPB adds two checks: whether the rate is fixed or adjustable, and what other fees the loan carries. Lenders look at your credit reports, income, existing debts and the loan amount and term. Some also look at bank account activity.

When a personal loan is a bad idea

  • When it won't change your spending. The CFPB warns that consolidating debt won't help unless you also reduce spending or increase income. If you pay off cards with a loan and run them up again, you'll have both debts.
  • When the APR is close to what you already pay. The average card rate on accounts charged interest was 22.15% in the second quarter of 2026. A fair-credit loan at 28.67% would cost more than the cards. Our balance transfer vs. personal loan guide compares the options.
  • For small, short-term gaps. If you belong to a federal credit union, a payday alternative loan (PAL) caps the APR at 28% and the application fee at $20. PAL I loans run $200 to $1,000 for one to six months. PAL II loans go up to $2,000 for up to 12 months.
  • When the low payment hides a long term. The CFPB notes that a lower payment from a longer term may cost more overall.
  • When the "loan" is actually debt settlement. The CFPB warns that some consolidation offers are debt settlement programs that charge fees and tell you to stop paying creditors.

If you are struggling to keep up with debt, a nonprofit credit counselor accredited by the NFCC or the Financial Counseling Association of America can review your options, often for free. If you can't make a loan payment, the CFPB advises contacting the lender right away. Options may include deferment, forbearance or a payment plan, and missed payments can be reported to all three credit bureaus. See also our guide to debt consolidation companies.

Personal loan vs. home equity borrowing

If you own a home, a home equity loan or line of credit (HELOC) usually costs less. In a survey of 4,837 bank and credit union rates collected October 5, 2026, the average HELOC was 7.084% APR and the average home equity loan 6.872%. Only borrowers with the best credit get personal loan rates that low.

The trade-off is risk. A personal loan is unsecured, so missing payments damages your credit but does not put your house on the line. The CFPB warns that with a home equity loan, "if you don't pay back the loan, you could lose your home in foreclosure." Home equity loans can also carry closing costs of hundreds to thousands of dollars, and they use equity you might otherwise keep for emergencies or repairs. For a few thousand dollars repaid over two or three years, the speed and simplicity of a personal loan often outweigh the rate difference. For larger sums over many years, the lower home equity rate may matter more, as long as your income is stable.

How to choose

  • Excellent credit, large amount: lenders with no fees and high limits (LightStream, SoFi, Discover) tend to give the lowest total cost.
  • Fair credit: lenders with 580–600 minimums (Upgrade, Happen Bank, Best Egg) accept more applicants but often charge fees. Adding a co-borrower or offering collateral, where allowed, may lower your rate.
  • Debt consolidation: look for direct payment to creditors (Best Egg, Discover, Happen Bank, SoFi, Upgrade) so the money goes straight to the cards.
  • Every case: use the APR and the total repaid to compare offers, and choose the shortest term whose payment you can comfortably afford.

Frequently asked questions

What is a good personal loan rate right now?

It depends on your credit. Credible's data on loans closed from August 2025 to July 2026 shows average rates of 10.00% for scores of 800–850, 12.47% for 740–799, 19.23% for 670–739 and 28.67% for 580–669. The Federal Reserve's average 24-month bank personal loan rate was 11.86% in Q2 2026.

What credit score do I need for a personal loan?

Minimums vary. In October 2026, Best Egg and Happen Bank listed 600, Upgrade about 580–600, and Discover and LightStream 660. SoFi does not publish a minimum. A higher score usually means a much lower rate.

Does checking my rate hurt my credit?

Prequalification usually uses a soft credit pull, which does not affect your score. The full application uses a hard inquiry that can. LightStream offers only limited prequalification, so check before you apply.

What is an origination fee?

It is a one-time charge, often taken out of the loan before you receive the money. Upgrade charges 1.85%–9.99% and Best Egg 0.99%–9.99%. Discover and LightStream charge none. Because the fee is part of the APR, compare APRs rather than interest rates.

Is a personal loan better than a credit card for paying off debt?

Only if the APR is meaningfully lower and you stop adding new card debt. The average card rate on accounts charged interest was 22.15% in Q2 2026, so a loan at 10%–19% can save money, but a fair-credit loan near 29% may not. The CFPB warns consolidation won't help unless you cut spending or increase income.

What if I only need a few hundred dollars?

Many online lenders start at $1,000 or more. Federal credit unions offer payday alternative loans of $200 to $2,000 with APRs capped at 28% and application fees of no more than $20.

Sources

Rates, fees and terms change often. Figures were checked in October 2026; confirm current details with the provider before you apply.