Best Small Personal Loans in December 2023

Best for the smallest loan amounts

What to know

With a loan range of $250 – $50,000, Navy Federal Credit Union offers some of the most flexible loan amounts on our list.

Navy Federal offers personal expense loans (which can be used for expenses such as vehicle repairs, traveling and weddings), home improvement loans and debt consolidation loans.

While Navy Federal does not charge borrowers origination fees, it does charge a $29 late fee if you’re unable to keep up with payments.

Because Navy Federal offers credit union personal loans, its APR is capped at 18% since credit unions are prohibited from charging interest rates higher than 18%. This may be good news to consumers with lower credit scores as other lenders have interest rates as high as nearly 36%.

Eligibility requirements

If you want to get a personal loan through Navy Federal, you’ll have to become a member. Navy Federal only serves active duty or retired service members, veterans and their family and household members.

Best for applying with a co-borrower

What to know

PenFed Credit Union may be a good option for those looking to find lower interest rates (especially if their credit needs some work), since the interest rates at credit unions are capped at 18%.

PenFed does not charge an origination fee and also offers a short funding timeline, disbursing your funds within one to two business days after loan approval. In contrast, other lenders may take several days before you receive funds.

If you have a low credit score, PenFed also allows consumers to apply for a joint personal loan, which can increase your chances of getting approved. Keep in mind that your co-borrower will be on the hook for repaying the loan if you’re unable to keep up with payments.

Eligibility requirements

PenFed Credit Union requires that you become a member before you can receive your loan. Unlike Navy Federal Credit Union, however, you do not need to be a military member or be related to one. To become eligible, you’ll have to open a savings account with PenFed with a $5 deposit.

Best for in-person services

What to know

With more than 2,600 locations across the U.S., this lender offers small personal loans starting at $1,000.

Because PNC Bank is a brick-and-mortar business, however, you may have to visit a branch in person to get a loan.

PNC Bank offers fixed rates and charges no prepayment or origination fees. On top of that, if you have a checking account with this lender, you may receive a rate discount.

Keep in mind that the interest rates and terms you may be offered from PNC Bank may depend on where you live.

Eligibility requirements

To receive a PNC Bank loan, here’s what you’ll need to apply:

• Personal information (full name, Social Security number and date of birth)
• How much you’d like to borrow
• Government-issued identification (driver’s license, passport, etc.)
• Annual income
• Current and previous address (if you haven’t lived at your current address for at least two years)

Best for fast funding

What to know

LendingClub loans start at just $1,000, although this lender does charge origination fees — ranging from 3.00% - 8.00% of your entire balance — which is taken out of the lump sum you receive.

One of LendingClub’s highlights, however, is the option to apply for a personal loan with a co-borrower. This can make it easier for those with lower credit scores to qualify, since two people are taking responsibility for the loan instead of just one.

LendingClub loans can be used for just about any purpose, including debt consolidation, major purchases and home improvement projects. You cannot use a LendingClub unsecured loan for post-secondary education, investments or illegal activity.

Eligibility requirements

LendingClub requires that you are at least 18 years old and a U.S. citizen in order to be approved for a loan. This lender also takes the following factors into consideration:

• Credit score
• Your perceived ability to repay
• Debt-to-income ratio
• Credit history

Best for bad-credit borrowers

What to know

With its unsecured loans, Upgrade specifically focuses on credit card refinancing, debt consolidation, home improvement expenses and major purchases.

Borrowers may receive their funds from Upgrade as quickly as one business day after approval, and they can pay off their loan early without having to worry about prepayment penalties.

Keep in mind, however, that Upgrade charges an origination fee on each loan, which ranges from 1.85% - 9.99%. This fee will come out of the total balance that you receive, so you’ll want to factor that added cost into your budget.

Eligibility requirements

Aside from its minimum credit score criteria, Upgrade requires that have the following qualifications:

• Be a U.S. citizen, permanent resident or have a valid visa
• Be at least 18 years old (19 in some states)
• Have a valid bank account and email address

Best for prequalification services

What to know

While Upstart limits borrowers to offer two loan terms (36 or 60 months), applicants can prequalify for a loan and may receive their funds within one business day.

Upstart also charges an origination fee as high as 12%, which is a bit higher than what other competitors may charge for this type of fee.

While consumers can use their loans for a wide variety of purposes, Upstart prohibits borrowers from putting their unsecured loans toward:

• Post-secondary education expenses (if you live in California, Connecticut, Illinois, Washington or Washington, D.C.)
• Weapons (including firearms)
• Illegal activity

Eligibility requirements

To qualify for an unsecured loan with Upstart, you’ll need to meet the following criteria:

• You must be a U.S. citizen or a permanent resident living in the U.S.
• You cannot be a resident of Iowa or West Virginia
• You must have a full-time job or full-time job offer starting within six months
• If you don’t have a full-time job, you must have a part-time job or other source of income

Best for secured personal loans

What to know

Loans with OneMain Financial are smaller overall than most other lenders on our list, with a loan range of $1,500 – $20,000. However, this lender charges an origination fee that runs from 1% to 10%, one of the highest maximum rates on our list.

Unlike many lenders on the list, OneMain Financial offers secured loans in addition to its traditional unsecured loan. If you want to receive lower rates or don’t qualify for a loan otherwise, you can get a secured personal loan by putting down valuable collateral, such as a vehicle.

Personal loans with this lender can be used toward debt consolidation, home projects, major purchases or life events, like recreation or purchasing vehicles.

Eligibility requirements

OneMain Financial takes the following personal details into consideration when approving loans:

• Financial and credit history
• Income
• Monthly expenses
• Purpose of your loan
• Bankruptcy filings (if applicable)
• Residency

Best for prequalification services

What to know

LendingPoint has specific criteria to qualify for a personal loan (see below), but you can quickly prequalify (which won’t hurt your credit score). You will have to have an annual income of at least $40,000 to qualify.

LendingPoint also offers flexible loan lengths and no prepayment penalties, making it an attractive option.

However, keep in mind that if you take out a loan with LendingPoint, you may have to pay an origination fee (0.00% - 10.00%), and residents living in Nevada and West Virginia will not be eligible for loans.

Eligibility requirements

LendingPoint requires that you fall into the following categories in order to qualify for a loan:

• Be at least 18 years old
• Be able to verify your identification
• Have a Social Security number
• Have a $40,000 minimum annual income
• Have a valid personal banking account

Best for borrowers with good credit

What to know

Best Egg offers some of the most competitive interest rates on our list. However, if you want to access Best Egg’s lowest interest rates, you’ll need an income of at least $100,000 and a minimum credit score of 700.

This lender offers a flexible range of loan amounts, from $2,000, as well as quick funding. Best Egg customers can receive their loan funds within one to three business days.

Best Egg does not offer loans in Iowa, Vermont, West Virginia, the District of Columbia or any U.S. territories.

Eligibility requirements

To be eligible for a loan with Best Egg, you’ll need to meet the following requirements:

• Must be a U.S. citizen or permanent resident living in the U.S.
• Must be at least 18 years old or age of majority where you live
• Must have valid checking account
• Must have a physical address
• Must have a verifiable email address

Best for peer-to-peer lending

What to know

Instead of Prosper providing direct loan funding, this lender facilitates peer-to-peer investing, where private investors fund your loan through the Prosper platform.

While Prosper does charge an origination fee — ranging from 2.41% to 5% — it is much lower than some of its competitors. However, Prosper also has a high maximum APR and limited loan terms.

On the other hand, borrowers with low credit scores can apply for a loan through Prosper with a co-borrower and boost their chances of getting approved.

Prosper does not offer loans in Iowa or West Virginia.

Eligibility requirements

Prosper will take the following details into account when considering your loan application:

• Your credit score
• Your Prosper Rating
• The amount you borrow
• The length of your loan
• Your employment and income
• Your credit usage
• Your credit history