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Best low-interest personal loans for May 2025

Updated May 21, 2025

What to know first: Borrowers with excellent credit may qualify for rates below 7 percent. The lowest rates are typically offered for shorter terms if you can afford the higher monthly payment.

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Best for large loan amounts
PERSONAL LOAN
LightStream
4.5
6.49- 25.29%
* with AutoPay
Min credit score
695
$460
Loan amount
$5k-$100k
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See details
Best for borrowers with bad credit
PERSONAL LOAN
Upstart
4.7
6.60- 35.99%
Min credit score
300
$461
Loan amount
$1k-$50k
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See details
|
Best for debt consolidation
PERSONAL LOAN
Upgrade
4.6
7.99- 35.99%
with AutoPay
Min credit score
580
$470
Loan amount
$1k-$50k
See offersArrow Right
See details
Best for peer-to-peer loans
PERSONAL LOAN
Prosper
4.5
8.99- 35.99%
Min credit score
600
$477
Loan amount
$2k-$50k
See offersArrow Right
on Bankrate
See details
|
Best online lender
PERSONAL LOAN
SoFi
4.7
8.99- 29.49%
with all discounts
Min credit score
650
$477
Loan amount
$5k-$100k
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See details
|
Best for low maximum rates
PERSONAL LOAN
Discover
4.8
7.99- 24.99%
Min credit score
660
$470
Loan amount
$2.5k-$40k
See offersArrow Right
See details
Best for secured personal loans
PERSONAL LOAN
Best Egg
4.6
6.99- 35.99%
Min credit score
600
$464
Loan amount
$2k-$50k
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See details
Best for co-borrowers
PERSONAL LOAN
Achieve
4.5
8.99- 29.99%
Min credit score
620
$477
Loan amount
$5k-$50k
Read our reviewArrow Right
on Bankrate
See details
|
Best bank loan
PERSONAL LOAN
TD Bank
4.8
8.99- 23.99%
Min credit score
700
$477
Loan amount
$2k-$50k
Read our reviewArrow Right
on Bankrate
See details
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A closer look at our top low-interest loans

Here's a deep dive into each lender, why they're the best in each category and specifically who would benefit most from borrowing from the lender.

Rating: 4.5 stars out of 5
4.5

Overview: LightStream is one of the most competitive online lenders in the personal loan space, offering a quick application process and fast funding. They also offer a maximum loan amount of $100,000 — much higher than many other lenders. 

Est. APR
6.49%–25.29%
Loan amount
$5k–$100k
Min credit score
695
Loan term
2-7 yrs
Origination fee
None
Pros
  • Winner of Bankrate Award for best home improvement loan
  • High loan amount maximum and no fees
  • Offers a rate-matching program
Cons
  • High credit score minimum
  • No online prequalification
  • High minimum loan amount
WHO'S IT FOR:

LightStream loans are best for borrowers with excellent credit scores who need larger loan amounts and longer to pay the loan off.

Rating: 4.7 stars out of 5
4.7

Overview: Founded in 2012 by ex-Googlers, Upstart is headquartered in San Mateo, California and has originated more than $34 billion in personal loans. If you’re looking to consolidate debt to boost your score for a low-interest rate loan in the future, make a large purchase or cover some personal expenses, an Upstart personal loan may be able to help you do it.

Est. APR
6.60%–35.99%
Loan amount
$1k–$50k
Min credit score
300
Loan term
3-5 yrs
Origination fee
Up to 12%
Pros
  • May approve borrowers with no or low credit
  • Option to change payment dates
  • Low start rates for qualified borrowers
Cons
  • High origination fees
  • No joint applications
  • Limited repayment term options
WHO'S IT FOR:

Borrowers with little or no credit history can benefit from an Upstart loan, but so can borrowers with excellent credit who can qualify for the lowest APR.

Rating: 4.6 stars out of 5
4.6

Overview: Upgrade personal loans are a good fit for smaller loan amounts or longer repayment terms of up to seven years. The low minimum loan limit comes in handy for an emergency expense, but can also be used to refinance credit cards, consolidate debt, take on home improvement projects or finance major purchases.

Est. APR
7.99%–35.99%
Loan amount
$1k–$50k
Min credit score
580
Loan term
2-7 yrs
Origination fee
1.85%-9.99%
Pros
  • Option to add a co-borrower
  • Perks like credit monitoring and seven-day-a-week customer service
  • Low credit score minimum and flexible repayment terms
Cons
  • Fees up to almost 10 percent
  • Qualifying requirements not disclosed on website
  • High APR maximum
WHO'S IT FOR:

Upgrade loans are best for bad credit borrowers who want to consolidate debt and work toward a higher credit score and lower rate in the future.

Rating: 4.5 stars out of 5
4.5

Overview: Prosper is a marketplace pioneer with access to loans for fair credit borrowers. When it launched in 2005, the company became the first peer-to-peer firm to enter the personal loan lending space. 

Est. APR
8.99%–35.99%
Loan amount
$2k–$50k
Min credit score
600
Loan term
2-5 yrs
Origination fee
1%-9.99%
Pros
  • Low minimum credit requirement
  • Joint applications available
  • Quick approval and funding
Cons
  • No autopay discount
  • Origination fee
  • High maximum rate
WHO'S IT FOR:

Prosper is best for borrowers with fair to excellent credit who want the flexibility to have their profile reviewed by multiple investors. It’s also one of the few lenders that allows joint applications if you need help qualifying. 

Rating: 4.7 stars out of 5
4.7

Overview: A SoFi personal loan is a good choice for borrowers who need a large sum of money but have slightly lower scores than most high-loan amount personal loan lenders allow. SoFi offers a wide range of repayment terms and accepts joint applications. Referral bonus programs and automatic payment discounts could also get you a lower rate.

Est. APR
8.99%–29.49%
Loan amount
$5k–$100k
Min credit score
650
Loan term
2-7 yrs
Origination fee
Optional fee up to 7%
Pros
  • Mobile app and seven-day-a-week customer service
  • Loan amounts as high as $100k
  • Joint applications allowed
Cons
  • High minimum loan amount
  • Minimum credit score not disclosed
  • Optional fees up to 7 percent
WHO'S IT FOR:

Borrowers who need larger loan amounts or longer repayment terms and want to take advantage of SoFi's unique member perks.

Rating: 4.8 stars out of 5
4.8

Overview: Discover charges no origination fee and its starting APR is one of the lowest among lenders we reviewed. These factors make it a good match for good credit borrowers. The lender is also one of very few that offer customer service every day of the week.

Est. APR
7.99%–24.99%
Loan amount
$2.5k–$40k
Min credit score
660
Loan term
3-7 yrs
Origination fee
None
Pros
  • Option to pay creditors directly
  • Low fees
  • Prequalification offered
Cons
  • Can't be used on a Discover card
  • No discounts
  • No joint applications
WHO'S IT FOR:

Discover personal loans are best for borrowers who want to avoid the 25+ percent maximum rates at most lenders and don't want to pay origination fees.

Rating: 4.6 stars out of 5
4.6

Overview: Since 2014, Best Egg has funded over 1 million loans, provided financial tools to consumers and supported local charities. It’s also one of the few lenders to offer secured loans, which may help borrowers qualify and save.

Est. APR
6.99%–35.99%
Loan amount
$2k–$50k
Min credit score
600
Loan term
3-5 yrs
Origination fee
0.99%-9.99%
Pros
  • Lower rates for loans secured by home fixtures or your vehicle
  • Low minimum rates for qualified borrowers
  • Low minimum credit score
Cons
  • High origination fees
  • Fewer repayment options
  • Higher minimum loan amount
WHO'S IT FOR:

Borrowers with excellent credit who are seeking loan amounts up to $50,000. Home and vehicle owners may also benefit from checking out Best Egg's unique secured loan options.

Rating: 4.5 stars out of 5
4.5

Overview: Whether you need money to consolidate credit card debt, make some home improvements or make a large purchase, an Achieve (formerly known as FreedomPlus) personal loan can help you do it. And if you need a little help from a friend to get a lower rate or higher loan amount, Achieve is one of the few lenders that allows both co-signers and co-borrowers.

Est. APR
8.99%–29.99%
Loan amount
$5k–$50k
Min credit score
620
Loan term
2-5 yrs
Origination fee
1.99%-8.99%
Pros
  • Poor credit debt consolidation options
  • Fast funding
  • Debt management and financial health resources
Cons
  • Not available in every state
  • High minimum loan amount
  • Expensive origination fees
WHO'S IT FOR:

Borrowers who need quick cash and have fair-to-excellent credit or a creditworthy cosigner. Achieve is also a good option for borrowers with lower credit scores due to its low maximum APR.

Rating: 4.8 stars out of 5
4.8

Overview: TD Bank offers personal loans in 16 states, where it also features brick-and-mortar locations for in-person customer service. Borrowers who prefer to complete the loan process virtually can prequalify, apply and manage their account online, as well. 

Est. APR
8.99%–23.99%
Loan amount
$2k–$50k
Min credit score
700
Loan term
3-5 yrs
Origination fee
None
Pros
  • Quick funding
  • Low starting APR
  • Low maximum APR
Cons
  • Late fee
  • Not available in all states
  • Stronger credit required
WHO'S IT FOR:

TD Bank works primarily with people who have good credit. It has a limited footprint, but those who live within the service area can take advantage of in-person service at one of its branch locations.

Calculate your low-interest personal loan payment

Use Bankrate's loan calculator to compare interest rates and repayment terms to find the best repayment plan for your budget. Check what factors provide the most affordable estimated monthly payment and see how much total interest you may need to pay.

How to compare low-interest personal loans

Every lender and product is different. When it comes to comparing personal loans, there are several factors to consider, not just which product has the lowest annual percentage rate (APR). When shopping for a low-interest personal loan, keep the following factors in mind to determine the best options for your situation.

  • Lender requirements: Review each lender's income, credit score and debt-to-income (DTI) requirements to make sure you qualify for the loan. You'll also want to make sure the lender's minimum or maximum loan amounts meet your needs.
  • Interest rates and fees: The APR you are offered will vary widely by lender and your financial situation. Some lenders also charge certain fees — like origination fees, prepayment penalties and late fees — that other lenders do not.
  • Repayment terms: Each lender may offer different repayment terms, typically ranging from one to seven years. Consider the monthly payment you can afford and how long you want to pay for a loan.
  • Approval and funding timeline: Think about how quickly you need a personal loan and match that timeline with lenders that are able to process and fund loans as quickly as you need them to.
  • Discounts and perks: Some lenders offer perks and discounts to certain borrowers, including those who may already have accounts with the lender or those who sign up for autopay.
  • Lender reviews: Read through lender reviews to learn more about customer service and what to expect when working with the lender.

Low-interest personal loan rates

There are many factors that go into each person's interest rate, including your credit profile, the amount you need to borrow, type of loan you want and the current federal funds rate. The Federal Reserve impacts personal loan rates by raising or lowering this rate, which impacts the cost of borrowing money. 

Average rates as of May 21, 2025

Personal loans 12.58%

Lenders offer a range of rates, including a minimum and maximum rate. Depending on your credit, your rate will fall somewhere in between. The higher your credit score, the lower your rate may be, though other factors are considered as well. For example, shorter terms may receive a lower rate, and you may be able to lower your rate by signing up for autopay.

What are low-interest personal loans?

Generally, a low-interest personal loan has a rate far below the national average. As of May 21, 2025, the average personal loan rate was 12.58 percent. That’s much higher than the lowest single-digit rates advertised on many lenders’ websites.

Personal loans have a wide range of rates, and the APR you qualify for depends on your credit score. A low interest rate for an excellent credit borrower may be as low as 6.49 percent, while a low rate for a bad credit loan might start at 28.5 percent.

Although the lowest rates go to excellent borrowers, you should still shop for the lowest rate even if you have bad, fair or good credit. Bad credit lenders may offer special discounts if you make payments on time or set up automatic payments.

Pros and cons of low-interest personal loans

Green circle with a checkmark inside

Pros

  • A lower monthly payment gives you more room in your budget.
  • You'll save more money on interest than you'd pay with other types of debt, such as credit cards.
  • No risk of losing an asset like a home or car, since most low-interest personal loans are unsecured.
Red circle with an X inside

Cons

  • Harder to qualify for if you have an unstable income or credit issues.
  • The lowest APRs are typically offered for shorter repayment terms with higher monthly payments.
  • May require more paperwork to prove creditworthiness.
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How to qualify for competitive rates on low-interest personal loans

Learn what steps you need to take to qualify for a low-interest personal loan.

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How to get a low-interest personal loan

Even though personal loan rates and eligibility criteria vary widely from lender to lender, certain steps can increase your chances of qualifying for the lowest rate offered. 

  • Spruce up your credit score: Lenders use your credit score to predict how likely you are to repay your debt. Consider paying off your credit card balances and avoid applying for new credit to keep your score in the best shape. If you've been late on any payments, you may need to wait several months for your score to recover.
  • Pay off revolving debt: Besides payment history, your credit utilization ratio has the biggest impact on your score. The less available credit you use, the higher your score will be. If you can’t pay off your balances, get them as low as possible.
  • Learn lender requirements: Check to see what the lender requires for the lowest rates. You might need a certain income or choose a secured loan option to get the best rates.
  • Ask about discounts: Rate discounts for automatic payments could knock 0.25 to 0.50 percent off your APR. They are uncommon, so if you don’t see any advertised rate discounts on a lender’s website, ask about discounts when you apply.
  • Pay off other debt: Lenders compare how much monthly debt you pay to how much you earn. This is called your debt-to-income (DTI) ratio. If it's too high, the lender is more likely to offer you a higher APR. Typically, the sweet spot for the best rates is below 36 percent.
  • Consider credit unions: If you qualify for membership with a credit union, you may find lower rates than you would with a traditional bank. Federal credit unions are required to cap loan rates at 18 percent, which is much lower than banks and online lenders.

How much a low-interest personal loan can save you

You could be saving thousands of dollars in interest accrual with a low-interest personal loan. Let's look at how much you could save on a $15,000 loan with a low interest rate compared to the same loan with a rate that is close to average and one with a higher rate.

Interest rate Loan term Monthly payment Interest paid Total amount paid
5% 24 months $658.07 $793.70 $15,793.70
10% 24 months $692.17 $1,612.17 $16,612.17
13% 24 months $713.13 $2,115.06 $17,115.06
25% 24 months $800.57 $4,213.75 $19,213.75

FAQs

How we choose our best low-interest personal loan lenders 

Bankrate's trusted personal loans industry expertise

48

years in business

45

lenders reviewed

20

loan features weighed

900

data points collected

To select the best low-interest personal loans, Bankrate’s team of experts evaluated over 30 lenders. Each lender was ranked using a meticulous 20-point system, focusing on four main categories: