Personal Loan Calculator
Calculate personal loan payments, analyze qualification requirements, and compare loan terms
Personal Loan Calculator
Calculate personal loan payments and analyze qualification requirements
Loan Details
Personal Information
Understanding Personal Loans
Personal loans are unsecured loans that can be used for various purposes including debt consolidation, home improvements, major purchases, or unexpected expenses. They typically offer fixed interest rates and monthly payments over a set term.
Types of Personal Loans
- Unsecured Loans: No collateral required, based on creditworthiness
- Secured Loans: Backed by collateral, typically lower rates
- Debt Consolidation Loans: Specifically for combining multiple debts
- Fixed-Rate Loans: Interest rate stays the same throughout the term
- Variable-Rate Loans: Interest rate can change over time
Common Uses for Personal Loans
- Debt consolidation (most common)
- Home improvement projects
- Major purchases (appliances, furniture)
- Medical expenses
- Wedding or vacation expenses
- Emergency expenses
Personal Loan Qualification
Credit Score Requirements
- • 750+: Best rates (6.99% - 12.99%)
- • 700-749: Good rates (9.99% - 15.99%)
- • 650-699: Fair rates (13.99% - 20.99%)
- • 600-649: Higher rates (17.99% - 25.99%)
- • Below 600: Limited options (24.99%+)
Other Requirements
- • Income: Steady employment income
- • Debt-to-Income: Typically under 40%
- • Employment: 2+ years employment history
- • Age: Must be 18+ years old
- • Residency: U.S. citizen or resident
Loan Comparison Tips
What to Compare
- • Annual Percentage Rate (APR)
- • Monthly payment amount
- • Loan terms (2-7 years typical)
- • Origination fees and costs
- • Prepayment penalties
- • Customer service ratings
How to Get Better Rates
- • Improve your credit score before applying
- • Pay down existing debts
- • Add a co-signer with good credit
- • Shop around with multiple lenders
- • Consider shorter loan terms
- • Apply for the amount you actually need
Frequently Asked Questions
What credit score do I need for a personal loan?
Most lenders prefer a credit score of 670 or higher for competitive rates. However, some lenders work with borrowers who have scores as low as 580, though at higher interest rates.
How much can I borrow with a personal loan?
Personal loan amounts typically range from $1,000 to $100,000, depending on your income, credit score, and debt-to-income ratio. Most lenders cap the loan amount at 20-40% of your annual income.
Should I use a personal loan for debt consolidation?
Personal loans can be effective for debt consolidation if you qualify for a lower interest rate than your current debts. This works best for credit card debt with high interest rates.
How fast can I get a personal loan?
Online lenders often provide funding within 1-2 business days after approval. Traditional banks may take 3-7 business days. Credit unions typically take 1-3 business days.