You can find a $10,000 personal loan through a traditional bank, credit union or online lender. Depending on where you apply, it’s possible to receive a quick decision and get funded in one to two business days. Some lenders also offer same-day funding to borrowers who need fast cash.

Still, there are other factors to keep in mind before applying. Consider the reason(s) for seeking a personal loan, how you plan to use it and if you’d be better off borrowing a smaller amount. It’s equally important to understand eligibility criteria and shop around to get a feel for borrowing costs and ensure you get the best deal.

How to determine if you need a $10,000 loan

The first question you should ask yourself is why you need a $10,000 loan. Before you answer, think about how you plan to use the funds if you haven’t already done so and note the cost of each expense. The total you come up with will give you an idea of how much you need.

If it’s slightly below $10,000, taking out a loan for this amount could be ideal, mainly if costs are higher than projected. However, a figure well below $10,000 signals that you may need to lower the amount you apply for.

Weigh the risks and benefits

Next, decide if the benefits you’ll receive outweigh the cost of borrowing. It’s a personal decision, but using the funds to consolidate debt, cover a medical emergency, pay for your wedding or upgrade your home to increase its value are all more compelling reasons than funding a leisurely trip with friends or going on a shopping spree.

Look at your spending

When deciding if you need a $10,000 loan, also evaluate your spending habits. If you’re not looking to cover a short-term need and could save up by being more disciplined or cutting back, it could be best to pass on a personal loan. Or, if money’s already tight, a loan payment would stretch your budget too thin, and you risk devastating your finances and credit rating by borrowing more than you can comfortably afford to pay back on time.

Requirements to receive a personal loan

Lenders focus on two key factors when evaluating personal loan applicants – their debt-to-income (DTI) ratio and creditworthiness. Not only is it important that the borrower earns enough to comfortably afford the monthly loan payments, but can they prove it? That’s where the DTI ratio and credit score come in.

The DTI ratio, or the percentage of gross monthly income used on monthly minimum debt payments, sheds light on the borrower’s current debt load in relation to how much they earn. The credit score demonstrates how they’ve handled credit in the past. Ideally, you want an acceptable DTI and good or excellent credit score to qualify for a personal loan with competitive terms.

A lower credit score isn’t necessarily a deal-breaker, though. However, you can expect the cost of borrowing to be substantially higher since your chances of defaulting on the loan payments are higher from the lender’s perspective.

The average personal loan interest rate was between 10.6 percent and 12.5 percent for borrowers with excellent credit as of January 25, 2023. These figures are significantly higher for borrowers with bad credit scores, with average interest rates ranging from 28.5 percent to 32 percent.

But if you can find a relative or friend with an excellent credit rating and verifiable source of income to co-sign the loan with you, it’s possible to secure a lower interest rate. Keep in mind that this individual will share equal responsibility for the loan, which means they’ll be on the hook for the loan if you fall behind on payments.

Documents you need to apply for a personal loan

When you’re ready to apply, gather the following to expedite the application process:

  • Proof of identity: two forms of identification, including your driver’s license, passport, state-issued identification card, birth certificate or certificate or citizenship
  • Proof of address: two of the following items from this list – a lease agreement or mortgage statement, property tax receipt, proof of insurance (i.e., auto, home or renters statement), utility bill, bank statement or voter registration card
  • Proof of income: recent pay stubs, W-2, 1099, income tax return or bank statements
  • Contact information for your employer: name and contact information for your immediate supervisor

Personal loan lenders that offer $10,000 loans

A quick online search will display several banks, credit unions and online lenders that offer $10,000 personal loans. Below are some top options that feature a streamlined application process, rapid funding times and competitive rates.

Lender APR range Loan amount range Minimum credit score requirement
LightStream  7.99% – 23.99% (with autopay) $5,000 – $100,000 Not Disclosed
Best Egg 8.99% – 35.99% $2,000 – $50,000 600
Happy Money 5.99% – 24.99% $5,000 – $40,000 600
PenFed  7.74% – 17.99% $600 – $50,000 Not specified


LightStream is a top online lender with some of the industry’s lowest rates and fastest funding times. There are no loan origination fees, and you can choose from an assortment of loan amounts and terms to best suit your needs, regardless of how you intend to use the funds. Plus, you’ll get an even better deal on financing if you enroll in autopay.

Some loans are funded the same day, or you can defer the funding time to align with when you plan to use the loan proceeds.

Best Egg

Best Egg’s personal loans are accessible to consumers with credit scores as low as 600. Rapid approvals and next-day funding are also available. But what really sets this lender apart from many others is its willingness to make direct payments to lenders and creditors on your behalf to facilitate the debt consolidation process.

Happy Money

Happy Money is a financial wellness company that prides itself on providing an exceptional customer experience. Beyond its flexible eligibility criteria and low starting interest rates, borrowers also get access to a suite of educational resources, tools and assessments to improve their financial health.

This lender should only be considered if you’re looking to consolidate high-interest debt since that’s what the loan products are intended for.


PenFed Credit Union is a top choice for personal loans if you want the opportunity to do business with a credit union committed to helping you improve your financial health. They offer customer service 7 days a week, and you’re free to visit a branch and receive in-person support if you live in an area with a banking center. You’ll need to apply for membership before inquiring about a personal loan.

Costs of a $10,000 personal loan in the long term

Borrowing costs depend on the interest rate you receive and the loan term. If you choose a shorter loan term, you’ll pay less interest, assuming the lender doesn’t charge prepayment penalties. The downside is the monthly loan payments could stretch your budget too thin.

You can also opt for an extended loan term to avoid financial challenges down the road. But be mindful that you could get stuck with a higher interest rate.

Here’s an example of how interest rates and loan terms impact borrowing costs on a $10,000 personal loan:

  • $10,000 personal loan with a 3-year term and 11 percent interest rate: You’ll pay $327 per month and $1,785.94 in interest, or a total of $11,785.94, over the life of the loan.
  • $10,000 personal loan with a 5-year term and 13 percent interest rate: Your monthly payment will drop to $228, but you’ll pay a total of $13,651.84 over five years.

Bottom line

Whether you want to cover a financial emergency, consolidate your debt, renovate a portion of your home or cover another expense, a $10,000 personal loan could be a viable option. But you should research lenders and understand the cost of borrowing before applying.

In some instances, the borrowing costs could outweigh the benefits. You could be better off saving up or focusing on other goals, instead.