A personal loan can be a powerful financial tool. Whether you’re consolidating high-interest debt, funding a home renovation, or covering an unexpected expense, the right loan can provide the cash you need with a predictable repayment schedule. But with countless lenders and loan products on the market, finding the best option can feel overwhelming.
This guide is designed to simplify your search. We’ll walk you through the key factors to consider when choosing a personal loan and provide a clear overview of the top lenders for 2025. We’ve evaluated dozens of options to bring you a curated list that balances competitive rates, flexible terms, and positive customer experiences. By the end of this post, you’ll have the knowledge and confidence to select a loan that aligns with your financial goals.
How We Evaluated the Best Personal Loans
Choosing a personal loan involves more than just finding the lowest interest rate. A great loan offers a combination of favorable terms and borrower-friendly features. Here are the criteria we used to rank our top picks:
- Interest Rates (APR): The annual percentage rate (APR) is the total cost of borrowing, including interest and fees. We prioritized lenders offering competitive, low APRs.
- Loan Amounts: We looked for lenders that provide a wide range of loan amounts to suit various needs, from small expenses to major projects.
- Repayment Terms: Flexible repayment periods allow you to choose a monthly payment that fits your budget. We favored lenders with multiple term options.
- Fees: Hidden fees can significantly increase the cost of a loan. We highlighted lenders with transparent fee structures, especially those with no origination fees, late fees, or prepayment penalties.
- Credit Score Requirements: We included options for borrowers across the credit spectrum, from excellent to fair credit.
- Funding Speed: When you need cash quickly, the time it takes to get funded matters. Many of our top choices offer funding within one or two business days.
Top 10 Personal Loan Lenders of 2025
Here is a quick look at the best personal loan providers for the upcoming year. Each offers a unique set of benefits, catering to different borrower needs.
- SoFi: Best Overall
- LightStream: Best for Excellent Credit
- Upstart: Best for Fair Credit
- PenFed: Best Credit Union
- Happy Money: Best for Debt Consolidation
- Upgrade: Best for Bad Credit
- Best Egg: Best for Fast Funding
- Discover Personal Loans: Best for Fee-Conscious Borrowers
- Prosper: Best Peer-to-Peer Lender
- Avant: Best for Smaller Loan Amounts
A Detailed Look at Each Lender
1. SoFi
Best Overall
SoFi stands out for its combination of low rates, high loan amounts, and an impressive suite of member perks. They charge no origination fees, late fees, or prepayment penalties, making their loans transparent and cost-effective. SoFi also offers unemployment protection, which temporarily pauses payments if you lose your job.
- Pros: No fees, member benefits (including financial planning), high loan limits up to $100,000.
- Cons: Requires a good credit score (typically 680+), no co-signer option.
2. LightStream
Best for Excellent Credit
For borrowers with strong credit, LightStream offers some of the lowest rates on the market. They also feature a “Rate Beat Program,” where they’ll beat a competitor’s offer by 0.10 percentage points. LightStream provides loans for almost any purpose and has a simple online application process with fast funding.
- Pros: Very low APRs for excellent credit, no fees, loans up to $100,000.
- Cons: Strict credit requirements (minimum 660 score), no pre-qualification available.
3. Upstart
Best for Fair Credit
Upstart uses an AI-powered model that looks beyond just a credit score, considering factors like education and employment history. This makes it an excellent choice for individuals with fair credit or a limited credit history. While their rates can be higher than those for top-tier credit, their inclusive model provides access to funding for many who might be declined elsewhere.
- Pros: Considers factors beyond credit score, fast funding, low minimum credit score.
- Cons: May have an origination fee, APRs can be high for some borrowers.
4. PenFed Credit Union
Best Credit Union
PenFed offers competitive personal loans with no origination fees and small loan amounts starting at just $600. While you must be a member to get a loan, joining is easy and open to everyone. Their rates are often lower than traditional banks, making them a great option for those who prefer banking with a credit union.
- Pros: Competitive rates, no origination fees, co-signer option available.
- Cons: Requires credit union membership, funding can be slower than online lenders.
5. Happy Money
Best for Debt Consolidation
Happy Money specializes in “Payoff Loans” designed specifically to consolidate credit card debt. Their focus is on helping customers improve their financial wellness by eliminating high-interest debt. They send payments directly to your creditors, simplifying the consolidation process.
- Pros: Directly pays off creditors, focuses on improving financial health, soft credit check for pre-qualification.
- Cons: Loans are only for credit card consolidation, origination fees apply.
6. Upgrade
Best for Bad Credit
Upgrade is accessible to borrowers with lower credit scores, making it a valuable resource for those rebuilding their credit. They offer secured and joint loan options, which can help applicants qualify or secure a lower rate. While origination fees are common, their flexibility is a major advantage.
- Pros: Accepts low credit scores (down to 560), offers secured loans, direct payment to creditors.
- Cons: Origination fees up to 9.99%, potentially high APRs.
7. Best Egg
Best for Fast Funding
When speed is a priority, Best Egg delivers. Most customers can get their funds deposited as soon as the next business day after approval. They cater to borrowers with good credit and offer a straightforward application process.
- Pros: Very fast funding, good customer service ratings, clear and simple process.
- Cons: Origination fees apply, requires a FICO score of at least 600.
8. Discover Personal Loans
Best for Fee-Conscious Borrowers
Discover is well-known for its credit cards, but its personal loans are just as competitive. They charge no origination fees and offer flexible repayment assistance options. A unique feature is the ability to return the loan funds within 30 days with no interest if you change your mind.
- Pros: No origination fees, 30-day money-back guarantee, direct payment to creditors.
- Cons: Requires a minimum credit score of 660, no co-signer option.
9. Prosper
Best Peer-to-Peer Lender
Prosper is a peer-to-peer (P2P) lending platform, meaning your loan is funded by individual investors rather than a bank. This model can sometimes result in more flexible lending criteria. Prosper has been in the business for a long time and has a solid track record.
- Pros: Accessible to those with fair credit, joint loan applications accepted.
- Cons: Charges an origination fee, funding can take up to five days.
10. Avant
Best for Smaller Loan Amounts
Avant focuses on borrowers in the fair-to-good credit range and offers loan amounts starting at just $2,000. Their process is quick and entirely online, making it a convenient option for those who need a smaller amount of cash without a lengthy application.
- Pros: Lower credit score requirements, fast and easy online process.
- Cons: High administrative fees (up to 4.75%), higher APRs than some competitors.
Personal Loan Comparison for 2025
| Lender | Best For | Est. APR Range | Loan Amount | Min. Credit Score |
|---|---|---|---|---|
| SoFi | Overall | 8.99%–29.49% | $5k–$100k | 680 |
| LightStream | Excellent Credit | 6.99%–25.49% | $5k–$100k | 660 |
| Upstart | Fair Credit | 7.80%–35.99% | $1k–$50k | 300 |
| PenFed | Credit Union | 7.99%–17.99% | $600–$50k | 660 |
| Happy Money | Debt Consolidation | 11.72%–17.99% | $5k–$40k | 640 |
| Upgrade | Bad Credit | 8.49%–35.99% | $1k–$50k | 560 |
| Best Egg | Fast Funding | 8.99%–35.99% | $2k–$50k | 600 |
| Discover | No Fees | 7.99%–24.99% | $2.5k–$40k | 660 |
| Prosper | P2P Lending | 8.99%–35.99% | $2k–$50k | 640 |
| Avant | Smaller Loans | 9.95%–35.99% | $2k–$35k | 580 |
How to Choose and Apply for the Right Loan
Choosing the right loan starts with understanding your needs. Ask yourself:
- How much do I need to borrow? Only borrow what you need to avoid unnecessary debt.
- What can I afford for monthly payments? Use a loan calculator to estimate payments and ensure they fit your budget.
- What is my credit score? Knowing your score will help you narrow down lenders you’re likely to qualify for.
Once you have a shortlist of lenders, get pre-qualified with a few of them. Pre-qualification uses a soft credit inquiry, which won’t affect your credit score, and gives you a real-world look at the rates and terms you can expect.
When you’re ready to apply, you’ll generally need to provide personal information, proof of income (like pay stubs or tax returns), and details about your employment.
Take the Next Step
Finding the best personal loan for 2025 is about matching your financial profile with the right lender. Whether you have excellent credit and want the lowest possible rate from LightStream or need the flexibility offered by Upstart for a fair credit score, there is an option available. By comparing APRs, fees, and terms, you can confidently choose a loan that helps you achieve your goals without straining your budget.
Start by getting pre-qualified with a few of our top picks. It’s a no-risk way to see your personalized offers and take the first step toward securing the funds you need.
