Written by Amanda Push | Edited by Katie Lowery | Updated October 27, 2023
| Lender | User ratings | Best for... | APR range | Loan amount | Credit required | Repayment terms | |
|---|---|---|---|---|---|---|---|
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User Ratings & Reviews
Ratings and reviews are from real consumers who have used the lending partner’s services. | Borrowers with bad credit | 6.40% - 35.99% | $1,000 - $50,000 | 300 | 36 and 60 months | See Personalized Results |
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User Ratings & Reviews
Ratings and reviews are from real consumers who have used the lending partner’s services. | Peer-to-peer loans | 6.99% - 35.99% | $2,000 - $50,000 | 560 | 24 to 60 months | See Personalized Results |
 | User ratings coming soon | Current Wells Fargo customers | 8.49% - 24.49% (with discounts) | $3,000 - $100,000 | Not specified | 12 to 84 months | See Personalized Results |
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User Ratings & Reviews
Ratings and reviews are from real consumers who have used the lending partner’s services. | No origination fees | 7.49% - 25.49% (with autopay) | $5,000 - $100,000 | Not specified | 24 to 144* months | See Personalized Results |
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User Ratings & Reviews
Ratings and reviews are from real consumers who have used the lending partner’s services. | Interest rate discounts | 8.99% - 35.99% | $5,000 - $50,000 | 620 | 24 to 60 months | See Personalized Results |
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User Ratings & Reviews
Ratings and reviews are from real consumers who have used the lending partner’s services. | Small loan amounts | 8.49% - 35.99% (with autopay) | $1,000 - $50,000 | 580 | 24 to 84 months | See Personalized Results |
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User Ratings & Reviews
Ratings and reviews are from real consumers who have used the lending partner’s services. | Avoiding fees | 8.99% - 25.81% (with autopay) | $5,000 - $100,000 | 680 | 24 to 84 months | See Personalized Results |
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User Ratings & Reviews
Ratings and reviews are from real consumers who have used the lending partner’s services. | Borrowers with excellent credit | 8.99% - 35.99% | $2,000 - $50,000 | 600 | 36 to 60 months | See Personalized Results |
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User Ratings & Reviews
Ratings and reviews are from real consumers who have used the lending partner’s services. | Short repayment terms | 9.95% - 35.95% | $2,000 - $35,000 | 580 | 12 to 60 months | See Personalized Results |
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User Ratings & Reviews
Ratings and reviews are from real consumers who have used the lending partner’s services. | Borrowers with good credit | 11.72% - 24.67% | $5,000 - $40,000 | 640 | 24 to 60 months | See Personalized Results |
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User Ratings & Reviews
Ratings and reviews are from real consumers who have used the lending partner’s services. | Quick funding | 14.10% - 35.99% | $3,500 - $40,000 | 680 | 24 to 60 months | See Personalized Results |
Read more about how we chose our picks for best debt consolidation lenders.
| User ratings |
User Ratings & Reviews
Ratings and reviews are from real consumers who have used the lending partner’s services. |
| APR range | 6.40% - 35.99% |
| Loan amounts | $1,000 - $50,000 |
| Term (months) | 36 and 60 |
| Origination fee | 0.00% - 12.00% |
| Min. credit score | 300 |
| Pros | Cons |
|---|---|
Flexible loan ranges Able to use loan funds to cover student debt May receive funds as quickly as one business day | Doesn’t offer joint applications or secured loans Limited loan repayment terms Charges an origination fee (0.00% - 12.00%) |
To get a loan from Upstart, you must be a citizen or permanent resident living in the U.S. You must have a current full-time job, a full-time job that starts within six months or another source of income.
| User ratings |
User Ratings & Reviews
Ratings and reviews are from real consumers who have used the lending partner’s services. |
| APR range | 6.99% - 35.99% |
| Loan amounts | $2,000 - $50,000 |
| Term (months) | 24 to 60 |
| Origination fee | 1.00% - 7.99% |
| Min. credit score | 560 |
| Pros | Cons |
|---|---|
Offers quick funding Flexible loan amount options Peer-to-peer lending alternative to traditional lenders | Limited options for loan terms Charges an origination fee Charges late fees |
Prosper is a peer-to-peer lender that connects borrowers with investors. It offers a fast, easy, online process that lets you prequalify for offers before you submit a full application. You’ll get a fixed interest rate that won’t change over the life of your loan, but you may have to pay an origination fee ranging from 1.00% - 7.99%. Read our full Prosper review.
To receive a personal loan from Prosper, you’ll need to meet the following eligibility requirements:
| User ratings | User ratings coming soon |
| APR range | 8.49% - 24.49% |
| Loan amounts | $3,000 - $100,000 |
| Term (months) | 12 to 84 |
| Origination fee | No origination fees |
| Min. credit score | Not specified |
| Pros | Cons |
|---|---|
High maximum loan amount of $100,000 Charges no origination, closing or prepayment fees May be approved within one business day | High minimum loan amount of $3,000 May charge late fees Only offers personal loans to Wells Fargo customers |
If you’re looking for a large debt consolidation loan, Wells Fargo might be able to help. It offers loans up to $100,000 and repayment terms as long as 12 to 84 months.
Wells Fargo loans don’t include any types of fees, such as origination fees, late fees and prepayment penalties. You can use its online calculator to get an idea of what repayment would look like. On top of that, consumers may receive a loan approval as quickly as one business day. Read our full Wells Fargo review.
In order to be eligible for a personal loan with Wells Fargo, you’ll need to be a current customer with this bank.
| User ratings |
User Ratings & Reviews
Ratings and reviews are from real consumers who have used the lending partner’s services. |
| APR range | 7.49% - 25.49%* with autopay |
| Loan amounts | $5,000 - $100,000** |
| Term (months) | 24 to 144* |
| Origination fee | No origination fee |
| Min. credit score | Not specified |
| Pros | Cons |
|---|---|
Low APR (7.49%*) Charges zero fees High maximum loan amount of $100,000) | No prequalification services High minimum loan amount of $5,000 |
LightStream emerges as the winner in several important categories. It offers one of the lowest APRs at the time of writing, with rates starting at just 7.49%. Plus, it offers large-amount loans up to $100,000 and gives you a maximum of 144 months to pay them off. However, LightStream does not offer the opportunity to get preapproved for a loan. Read our full LightStream review.
Because LightStream only approves consumers with good to excellent credit, here’s what qualities they believe fall under the “excellent credit” category:
*Your loan terms, including APR, may differ based on loan purpose, amount, term length, and your credit profile. Excellent credit is required to qualify for lowest rates. Rate is quoted with AutoPay discount. AutoPay discount is only available prior to loan funding. Rates without AutoPay are 0.50% points higher. Subject to credit approval. Conditions and limitations apply. Advertised rates and terms are subject to change without notice. Payment example: Monthly payments for a $10,000 loan at 5.99% APR with a term of 3 years would result in 36 monthly payments of $304.17. © 2023 Truist Financial Corporation. Truist, LightStream, and the LightStream logo are service marks of Truist Financial Corporation. All other trademarks are the property of their respective owners. Lending services provided by Truist Bank.
| User ratings |
User Ratings & Reviews
Ratings and reviews are from real consumers who have used the lending partner’s services. |
| APR range | 8.99% - 35.99% |
| Loan amounts | $5,000 - $50,000 |
| Term (months) | 24 to 60 |
| Origination fee | 1.99% - 6.99% |
| Min. credit score | 620 |
| Pros | Cons |
|---|---|
May receive loans within 48 hours of approval Can choose your payment due date Allows for co-applicants | Loans are not offered in all 50 states Charges an origination fee of 1.99% - 6.99% High minimum borrowing amount of ($5,000) |
Achieve is another lender worth exploring if you’re looking to borrow more than $5,000. Its loans come with an origination fee between 1.99% - 6.99%, and you can choose a repayment term of 24 to 60 months. Achieve also offers a quick funding timeline with consumers receiving their personal loan funds in as little as 48 hours after they are approved.
There are many ways to receive interest rate discounts from Achieve. You can add a qualified co-borrower with sufficient income, pay off qualifying existing debt with at least 50% of your Achieve debt consolidation loan, and prove you have significant retirement savings to earn a lower APR. Read our full Achieve review.
While Achieve isn’t exactly clear on the specifics, this lender takes the following factors into consideration when deciding whether to approve you for a loan:
| User ratings |
User Ratings & Reviews
Ratings and reviews are from real consumers who have used the lending partner’s services. |
| APR range | 8.49% - 35.99%* with autopay |
| Loan amounts | $1,000 - $50,000 |
| Term (months) | 24 to 84 |
| Origination fee | 1.85% - 9.99% |
| Min. credit score | 580 |
| Pros | Cons |
|---|---|
Flexible loan terms of 24 to 84 months Potential autopay discount May receive funds as soon as one business day | Charges an origination fee (1.85% - 9.99%) Isn’t clear on some eligibility requirements May have to pay late fees |
Upgrade is another online lender that provides debt consolidation loans up to $50,000. It also offers a relatively long repayment term of up to 84 months, but there’s no penalty for paying off your loan earlier. However, you may have to pay an origination fee (1.85% - 9.99%), and you may have to pay a late fee if you’re more than 15 days behind. Read our full Upgrade review.
Aside from its 580 credit score requirement, Upgrade also specifies that consumers will need to meet the following criteria:
| User ratings |
User Ratings & Reviews
Ratings and reviews are from real consumers who have used the lending partner’s services. |
| APR range | 8.99% - 25.81%* with autopay |
| Loan amounts | $5,000 - $100,000* |
| Term (months) | 24 to 84 |
| Origination fee | 0.00% - 6.00% |
| Min. credit score | 680 |
| Pros | Cons |
|---|---|
Same-day funding available Doesn’t charge any fees Allows for co-applicants | High minimum borrowing amount of $5,000 High minimum credit score requirement Not available to LendingTree customers in Vermont |
SoFi offers some of the largest loan amounts and longest repayment terms on this list of debt consolidation loan companies. You may be able to borrow up to $100,000 and choose a repayment term of up to 24 to 84 months. Plus, you don’t have to worry about being required to pay fees, including an origination fee, on your loan. Read our full SoFi review.
Other than its credit score requirement, SoFi also has requirements around employment. To be eligible, borrowers must either be:
Or:
| User ratings |
User Ratings & Reviews
Ratings and reviews are from real consumers who have used the lending partner’s services. |
| APR range | 8.99% - 35.99% |
| Loan amounts | $2,000 - $50,000 |
| Term (months) | 36 to 60 |
| Origination fee | 0.99% - 8.99% |
| Min. credit score | 600 |
| Pros | Cons |
|---|---|
May receive funds as soon as the next business day Option to change your due date No prepayment penalties for paying your loan off early | Charges an origination fee of 0.99% - 8.99% High credit score requirement (600) High income requirement to receive lowest APR |
Unlike some other loan companies, Best Egg makes its credit score requirements explicit: You must have a score of at least 600 to take out a loan. Assuming you can meet this and other requirements, you could score an APR as low as 8.99% and may be able to borrow up to $50,000. Best Egg says borrowers with a credit score of at least 700 and a minimum individual annual income of $100,000 can get their lowest APR. Read our full Best Egg review.
Other than a minimum credit score of 600, Best Egg does not specify other qualification criteria, such as debt-to-income ratio or credit history. However, you will need to provide the following information during the application process:
| User ratings |
User Ratings & Reviews
Ratings and reviews are from real consumers who have used the lending partner’s services. |
| APR range | 9.95% - 35.95% |
| Loan amounts | $2,000 - $35,000 |
| Term (months) | 12 to 60 |
| Origination fee | Up to 4.75% |
| Min. credit score | 580 |
| Pros | Cons |
|---|---|
Funding as soon as the next business day Low credit score requirements (most Avant borrowers have scores between 600 and 700) No prepayment penalty | Must pay an origination fee (Up to 4.75%) Does not allow for co-applicants Unclear about specific eligibility requirements for personal loans |
Avant offers personal loans for debt consolidation between $2,000 and $35,000, which you can pay off over the course of 12 to 60 months. Two potential downsides to consider: You might have to pay an origination fee of Up to 4.75%, and you likely can’t apply with a cosigner, which could make it difficult for some consumers with low credit scores to qualify. Read our full Avant review.
| User ratings |
User Ratings & Reviews
Ratings and reviews are from real consumers who have used the lending partner’s services. |
| APR range | 11.72% - 24.67% |
| Loan amounts | $5,000 - $40,000 |
| Term (months) | 24 to 60 |
| Origination fee | 0.00% - 5.00% |
| Min. credit score | 640 |
| Pros | Cons |
|---|---|
Eligibility requirements are clear No prepayment penalties or late fees Rates may be lower than credit card interest rates | Loans can only be used to consolidate credit card debt May charge an origination fee (0.00% - 5.00%) No joint applications |
Happy Money is a solid option for borrowers with less-than-perfect credit since it specifies a relatively low credit score requirement of 640. With this lender, you can borrow up to $40,000 and pay it off over a maximum period of 60 months. Note that a personal loan through Happy Money can only be used to consolidate your credit card debt. Read our full Happy Money review.
To qualify with Happy Money, you’ll need to meet the following criteria:
| User ratings |
User Ratings & Reviews
Ratings and reviews are from real consumers who have used the lending partner’s services. |
| APR range | 14.10% - 35.99% |
| Loan amounts | $3,500 - $40,000 |
| Term (months) | 24 to 60 |
| Origination fee | 0.00% - 8.00% |
| Min. credit score | 680 |
| Pros | Cons |
|---|---|
Access to free monthly credit score Flexible loan amounts and terms Ability to change due date | May charge an origination fee Limited loan use High maximum APR |
Reach Financial offers personal loans specifically for debt consolidation and credit card refinancing. This lender’s 24-hour funding timeline and perk of supplying free access to your monthly credit score makes it a strong contender for consumers looking to pay off their current debts.
If you take out a Reach Financial personal loan, you may have to pay an origination fee (0% to 8%) of your loan amount. This lender’s rates can also get as high as 35.99%. Reach’s limited loan use may not be a good fit for some consumers. Read our full Reach Financial review.
If you want to apply for a Reach Financial personal loan, you’ll need to meet the following criteria:
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Debt consolidation is a debt management strategy that involves rolling one or multiple debts into another form of financing. For instance, you may take out a debt consolidation loan or balance transfer credit card and use it to pay off existing debts with better terms.
Ideally, you’ll want to consolidate your debt to a lower APR than what you’re currently paying. This can help you save money on interest, lower your monthly payments and pay off debt faster.
Although there are many ways to consolidate debt, it generally works the same way: You pay off one or more debts using a new debt. Some popular debt consolidation methods include personal loans and balance transfer credit cards.
Depending on your unique situation — how much debt you have to consolidate, your credit score, how soon you need the funds, what type of debt you have and other factors — one method may work better for you than another.
→ Personal loans:
Combine many types of debt into one fixed monthly payment with a debt consolidation loan.
→ Balance transfer credit cards with 0% APR:
Consolidate credit card debt onto a balance transfer credit card with a 0% intro APR period.
→ Home equity loans:
Tap your home’s equity to pay off debt by using your home as collateral.
→ Debt management plans:
Enroll in a DMP through a certified nonprofit credit counseling agency to repay your debt in three to five years.
1. Simplifies your budget
Managing multiple due dates and accounts can add stress to your life and budget. Debt consolidation combines some, if not all, of your debt into one payment. You’ll only have to track a single account instead of multiple accounts and debt payments.
2. Saves you money on interest
If you’re able to secure a lower APR, you could save yourself hundreds (if not thousands) of dollars over the life of your loan. Your APR is the measure of how much interest and fees you’re paying on the loan.
3. Improves your credit score
As you pay off your debt consolidation loan, your credit utilization ratio will gradually decline, helping boost your credit. On top of that, your on-time payments will be reported to the credit bureaus, further increasing your credit score.
Debt consolidation vs. credit counseling
Credit counseling is a nonprofit service to help you manage expenses and debt payments more effectively. A credit counselor may set you up on a debt management plan and even negotiate debts and monthly payments on your behalf.
Debt consolidation vs. debt settlement
Debt settlement involves negotiating with your creditors to lower the amount of debt you owe and reduce fees charged to your account. Some companies offer this service, but these programs may come with high fees and can severely damage your credit.
Debt consolidation vs. bankruptcy
Bankruptcy is a legal process offering debt relief for an individual or business. When you file for bankruptcy, your assets may be sold to repay your creditors, or you may be enrolled in a court-ordered debt repayment plan.
Debt consolidation can help you keep track of payments, get a lower interest rate and pay off your debt faster. It’s a smart move under the right circumstances, but you’ll want to weigh your options to see if this is a good idea for your situation.
For example, it’s not worth consolidating if you can’t get a lower APR on the new form of financing than what you’re currently paying on your debts. But when you consolidate debt for a lower APR, you’ll save money in the long run, and you may be able to save money on monthly payments, too.
Debt consolidation can affect your credit score. There might be a small drop in your credit score after consolidating debt, since you are taking out a new credit product or loan. You might also see a dip in your credit score if you settle a debt or work with a debt management service.
Some borrowers see their credit score increase by consolidating debt, particularly credit card balances. Paying off credit card balances lowers your credit utilization ratio, which can give your credit score a boost.
Whatever the initial effect on your credit score, debt consolidation can help you increase your credit score over the long term. If you choose an option with affordable payments, you can build up a healthy payment history, which is central to a good credit score.
Applicants with good credit will have a wider range of debt consolidation options. They can get approved more easily for balance transfer credit cards with introductory 0% APR periods and personal loans with lower APRs.
Still, there may be options for consolidating debt if you have bad credit. You could try a secured loan, such as a home equity loan, which may come with a lower APR. There are also 401(k) loans, which let you borrow money from your own retirement fund without a credit check.
That will depend on your financial situation. There are a few primary methods of debt consolidation, including personal loans, balance transfer credit cards and home equity loans. You may also consider a 401(k) loan or debt management plan to consolidate debt. To learn about your credit card debt consolidation options, talk to a credit counselor who can provide free or low-cost guidance on your debt relief options.
It always costs money to borrow money, which is why you want to find the debt consolidation option with the lowest APR to save yourself the most money in the long run.
Different debt consolidation options come with their own set of interest rates and fees. For example, some personal loan lenders charge origination fees (upfront, administrative charges) or prepayment penalty fees (for paying off a loan before the term ends). If you go with a balance transfer card, it can come with a balance transfer fee.
Debt consolidation has the potential to save you money, but it’s not guaranteed. To save money, you’ll have to consolidate your debt into another form of financing that has a lower APR than what you’re currently paying on your debts. Before you consolidate debt, it’s important to take a look at your current credit card and loan agreements to determine the APR you’re paying, so you can shop around for financial products that will save you money.
If your goal is to get out of debt faster, consolidating your debts can be a smart move. Consolidating with a personal loan, for example, can give you the option to choose a short loan term, so your debt will be paid off sooner. And if you get a lower APR than what you’re currently paying on your debts, then you can pay off your debt faster even if you pay the same amount of money toward your debt each month.
There are several places to seek a consolidation loan, including banks, credit unions and online lenders. You can also see if you prequalify for a loan through LendingTree’s network of lenders using our personal loan marketplace. Just fill out a single form, and you’ll know if you’re eligible within minutes.
Secured debt is tied to an asset you own, called collateral. Some borrowers can more easily qualify for a secured loan and even pay less in interest. But if you stop repaying the loan, the lender has the right to claim that collateral and sell it to settle the debt. Home equity loans are a type of secured debt that can be used for consolidation.
Unsecured debt doesn’t require that you have or put up collateral for the loan. Personal loans and credit cards are examples of unsecured debt. With no collateral on the line, lenders will rely more on an applicant’s credit score to decide whether to extend a loan and how to determine your APR.
We reviewed more than a dozen lenders that offer debt consolidation loans to determine the overall best 11 lenders. To make our list, lenders must offer competitive annual percentage rates (APRs). From there, we prioritize lenders based on the following factors:
LendingTree reviews and fact-checks our top lender picks on a monthly basis.