Best Installment Loans in January 2026
An installment loan comes as a lump sum that you’ll pay back in equal monthly payments
Best installment loan lenders
| Lender | User rating | APR | Term | Amount | |
|---|---|---|---|---|---|
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8.99% – 29.99% | 24 to 60 months |
$5k – $50k |
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7.99% – 24.99% | 36 to 84 months |
$2.5k – $40k |
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7.95% – 29.99% | 24 to 60 months |
$5k – $50k |
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6.49% – 24.89% (with autopay) | 24 to 84 months |
$5k – $100k |
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6.74% – 17.99% (with autopay) | 12 to 60 months |
$600 – $50k |
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8.99% – 35.99% | 24 to 60 months |
$2k – $50k |
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8.74% – 35.49% (with discounts) | 24 to 84 months |
$5k – $100k |
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7.74% – 35.99% (with discounts) | 24 to 84 months |
$1k – $50k |
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6.50% – 35.99% | 36 to 60 months |
$1k – $75k |
| Lender |
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|---|---|---|---|---|---|---|---|---|---|
| User rating | |||||||||
| APR | |||||||||
| Term | 24 to 60 months | 36 to 84 months | 24 to 60 months | 24 to 84 months | 12 to 60 months | 24 to 60 months | 24 to 84 months | 24 to 84 months | 36 to 60 months |
| Amount | $5k – $50k | $2.5k – $40k | $5k – $50k | $5k – $100k | $600 – $50k | $2k – $50k | $5k – $100k | $1k – $50k | $1k – $75k |
Read more about how we made our picks for the best installment loans.
Best installment loan lenders at a glance
Best for: Interest rate discounts – Achieve
- APR
- 8.99% – 29.99%
- Multiple rate discounts available
- Don’t need perfect credit to qualify
- Every loan has an upfront fee between 1.99% – 9.99%
- Must borrow at least $5,000
- Not available in all states
Achieve offers installment loans online, with three available discounts. You might get a lower annual percentage rate (APR) by adding a co-borrower with sufficient income. Using at least 85% of your loan for debt consolidation is another discount opportunity. And if you can prove you have sufficient savings in a retirement account, you could get a rate reduction.
Still, Achieve charges a mandatory origination fee. This is an upfront fee that Achieve will deduct from your loan funds. Do the math to make sure that this fee doesn’t negate your APR discount (if you qualify for one).
Other than a credit score of at least 640, Achieve will typically ask you to provide the following documents and information:
- Proof of income
- Social Security number
- Government-issued ID
- Employment status
You must also live in an eligible U.S. state (Achieve operates in most states, with a small number excluded).
Best for: Superior customer service – Discover
- APR
- 7.99% – 24.99%
- Repayment assistance options to help get you back on track if you fall behind
- 4.9 out of 5.0 stars from LendingTree users
- Customer service is based in the U.S.
- Can’t add a second person to your loan
- Can be hard to qualify for
You might know Discover for its credit cards, but it also offers unsecured installment loans. What helps Discover stand apart are its repayment assistance options.
But qualifying for a Discover loan can be hard. You can’t add a second person to your loan to help your approval odds and you must have good to excellent credit.
You’ll need to meet these eligibility criteria to get a Discover loan:
- Age: Be at least 18
- Citizenship: Have a Social Security number
- Administrative: Have a physical address, email address and internet access
- Income: Minimum income of $40,000 (individually or as a household)
- Credit score: 720+
Best for: Credit card refinancing – Happy Money
- APR
- 7.95% – 29.99%
- Loans specifically designed for credit card refinancing and consolidation
- Low rates for fair credit
- Can’t use the loan for anything other than credit card refinancing
- Not available to those with bad credit
- Can take up to seven days for an approval decision
Since Happy Money only offers loans for credit card refinancing, it won’t work for everyone. Still, if you’re looking for this type of installment loan, this lender is worth considering. Happy Money is a lending platform that connects borrowers with lenders. Namely, credit unions.
By law, federal credit union loans can have a maximum APR of just 18%. That means the most creditworthy of Happy Money borrowers could get an ultra-competitive rate. But you must have at least fair credit to qualify.
Happy Money provides clear eligibility requirements as to how you can qualify for a loan:
- Age: Must be 18 years or older
- Administrative: Must have a valid Social Security number and checking account
- Residency: Not live in Iowa, Massachusetts or Nevada
- Credit score: 640+
- Payment history: Zero current delinquencies on your credit profile
Best for: No fees and low rates – LightStream
- APR (with autopay)
- 6.49% – 24.89%
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 $25,000 loan at 6.49% APR with a term of 3 years would result in 36 monthly payments of $766.11. © 2024 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.
- Low starting APR for those who qualify
- No fees
- Offers Rate Beat, a rate-matching program
- Must have at least good credit to qualify
- Can’t check rates without hurting your credit
- Must borrow at least $5,000
LightStream (an arm of Truist Bank) offers online loans for borrowers with good to excellent credit. This lender is so confident in its competitive APRs that it has a rate-matching program. If you get a similar loan offer with a lower APR and meet other stipulations, LightStream could beat it by 0.10 percentage points.
Unfortunately, you cannot prequalify for LightStream. That means you’ll take a hard credit hit to check your eligibility.
LightStream doesn’t specify its exact credit score requirements, but you must have good to excellent credit to qualify. Most of the applicants that LightStream approves have the following in common:
- At least five years of on-time payments under a variety of accounts (credit cards, auto loans, etc.)
- Stable income and can handle paying their current debt obligations
- Savings, whether in a bank account, investment account or retirement account
Best for: Small installment loans – PenFed Credit Union
- APR (with autopay)
- 6.74% – 17.99%
- Offers a wide range of loan amounts
- Competitive rates
- Doesn’t charge any upfront fees
- Must join the credit union to borrow
As a credit union, you can find lower-than-average interest rates with PenFed. It also offers small loans. Most lenders start their loans at $1,000 (or higher). In contrast, PenFed’s smallest installment loan is $600.
However, PenFed loans are only available to members.
You can prequalify before you’re a member, but you’ll need to join to accept your loan. All you have to do to join is open a savings account with a minimum deposit of $5.
PenFed doesn’t shed much light on its loan eligibility criteria. It may ask for bank statements, retirement statements, pay stubs or tax returns to verify your income.
Best for: Borrowers with fair and bad credit – Prosper
- APR
- 8.99% – 35.99%
- May still qualify even if your credit isn’t the best
- Get money as soon as one business day
- Can apply for a loan with another person
- Could take up to 14 days for investors to fund a loan, though this isn’t typical
- Charges origination fees on every loan
- Customer support unavailable on weekends
Prosper is a peer-to-peer lender. That means individual investors, rather than financial institutions, fund its loans. Once investors pick up your loan, Prosper will send you the money, originated through WebBank. Although credit requirements are a bit more lax under this model, it could be days before Prosper approves you and an investor funds your installment loan.
Still, Prosper may be worth the wait. As long as your credit score is at least 560, you could qualify for a Prosper loan.
To get a loan with Prosper, you must meet the following requirements:
- Age: Be 18 or older
- Administrative: Have a U.S. bank account and Social Security number
- Residency: Must live in an eligible U.S. state (Prosper operates in most states, with only a small number of states excluded)
- Credit score: 560+
Best for: Quick installment loans – SoFi
- APR (with discounts)
- 8.74% – 35.49%
Fixed rates from 8.74% APR to 35.49% APR. APR reflect the 0.25% autopay interest rate discount and a 0.25% SoFi Plus interest rate discount. SoFi Platform personal loans are made either by SoFi Bank, N.A. or , Cross River Bank, a New Jersey State Chartered Commercial Bank, Member FDIC, Equal Housing Lender. SoFi may receive compensation if you take out a loan originated by Cross River Bank. These rate ranges are current as of 11/03/25 and are subject to change without notice. Not all rates and amounts available in all states. See SoFi Personal Loan eligibility details at https://www.sofi.com/eligibility-criteria/#eligibility-personal. Not all applicants qualify for the lowest rate. Lowest rates reserved for the most creditworthy borrowers. Your actual rate will be within the range of rates listed above and will depend on a variety of factors, including evaluation of your credit worthiness, income, and other factors. Loan amounts range from $5,000– $100,000. The APR is the cost of credit as a yearly rate and reflects both your interest rate and an origination fee of 9.99% of your loan amount for Cross River Bank originated loans which will be deducted from any loan proceeds you receive and for SoFi Bank originated loans have an origination fee of 0%-7%, will be deducted from any loan proceeds you receive. Autopay: The SoFi 0.25% autopay interest rate reduction requires you to agree to make monthly principal and interest payments by an automatic monthly deduction from a savings or checking account. The benefit will discontinue and be lost for periods in which you do not pay by automatic deduction from a savings or checking account. Autopay is not required to receive a loan from SoFi. SoFi Plus Discount: SoFi Plus members are eligible for an interest rate reduction of 0.25% on a Personal Loan. To be eligible for the discount, you must meet the SoFi Plus eligibility criteria within 31 days of the funding of your loan. For complete SoFi Plus eligibility, please see the SoFi Plus terms. When you enroll in SoFi Plus, the discount will lower the interest rate that applies to your loan only during periods in which you are enrolled in SoFi Plus. The discount will be removed during periods in which SoFi determines you are not enrolled in SoFi Plus. Each time your loan is re-amortized, your monthly payment amount will change based upon the interest rate that was in place. SoFi reserves the right to change or terminate this offer for unenrolled participants at any time. You are not required to enroll in SoFi Plus to be eligible for Loan approval. Terms and conditions apply. SOFI RESERVES THE RIGHT TO MODIFY OR DISCONTINUE PRODUCTS AND BENEFITS AT ANY TIME WITHOUT NOTICE. To qualify, a borrower must be a U.S. citizen or other eligible status, be residing in the U.S., and meet SoFi’s underwriting requirements. Not all borrowers receive the lowest rate. Lowest rates reserved for the most creditworthy borrowers. If approved, your actual rate will be within the range of rates at the time of application and will depend on a variety of factors, including term of loan, evaluation of your creditworthiness, income, and other factors. If SoFi is unable to offer you a loan but matches you for a loan with a participating bank, then your rate may be outside the range of rates listed above. Rates and Terms are subject to change at any time without notice. SoFi Personal Loans can be used for any lawful personal, family, or household purposes and may not be used for post-secondary education expenses. Minimum loan amount is $5,000. The average of SoFi Personal Loans funded in 2024 was around $33K. Information current as of 11/03/25. SoFi Personal Loans originated by SoFi Bank, N.A. Member FDIC. NMLS #696891 (www.nmlsconsumeraccess.org). See SoFi.com/legal for state-specific license details. See SoFi.com/eligibility for details and state restrictions.
- Same-day funds possible
- Has a highly rated mobile app for iPhone
- Discounts for autopay and direct deposit
- Applicants may need to pay origination fee to get the lowest rates
- Bad-credit applicants won’t qualify
- Must borrow at least $5,000
If you’re looking for a fast installment loan, SoFi should be on your radar. The majority of SoFi applicants who apply before 5:30 p.m. Eastern time on a weekday receive same-day funding.
SoFi doesn’t charge any required fees. It may offer an optional origination fee in exchange for a lower APR.
You must meet the requirements below in order to get a loan from SoFi:
- Age: Be the age of majority in your state (typically 18)
- Citizenship: Be a U.S. citizen, an eligible permanent resident or a non-permanent resident (a DACA recipient or asylum-seeker, for instance)
- Employment: Have a job or job offer with a start date within 90 days, or have regular income from another source
- Credit score: 620+
Best for: Combining banking with borrowing – Upgrade
- APR (with discounts)
- 7.74% – 35.99%
- Opening a checking account could get you a lower installment loan rate
- Some checking accounts come with up to 2.00% cash back on everyday purchases
- Can be easier to qualify for than other lenders
- Charges an origination fee
- Thanks to higher rates, may want to look elsewhere if you have strong credit
Upgrade isn’t just a loan marketplace. It also offers online savings and checking accounts through Cross River Bank. Upgrade’s Rewards Checking accounts are especially enticing. If you get at least $1,000 in monthly direct deposits, you can earn benefits like cash back and lower loan rates.
Upgrade makes more sense if you’re working on your credit. Excellent credit borrowers will probably find lower rates with a company like LightStream.
To qualify for a loan through Upgrade, you must meet the requirements below:
- Age: Be at least 18 years old (19 in some states)
- Citizenship: Be a U.S. citizen, permanent resident or live in the U.S. with a valid visa
- Administrative: Have a valid bank account and email address
- Credit score: {credit_score_min}+[/partner-data]
Best for: Bad or no credit – Upstart
- APR
- 6.50% – 35.99%
- Accepts bad credit
- May still qualify with little to no credit
- Next-day loans possible
- Could have an origination fee
- Only offers two loan repayment terms
- Although you may be approved with bad credit, your interest rate could be high
Getting an installment loan when your credit isn’t great can be tricky. You might have luck with Upstart.
This loan marketplace, which works with partner banks and credit unions, considers more than just your credit score. In some cases, your education can help you get approved, even if you have no credit.
However, if you do have bad credit, you’ll likely pay a high APR, an origination fee or both.
Upstart has transparent eligibility requirements, including:
- Age: Be 18 or older
- Administrative: Have a U.S. address, personal banking account, email address and Social Security number
- Income: Have a valid source of income, including a job, job offer or another regular income source
- Credit-related factors: No bankruptcies within the last three years, reasonable number of recent inquiries on your credit report and no current delinquencies
- Credit score: None
An installment loan is a loan that you get as a lump sum and then pay back in fixed monthly payments, plus interest. Personal loans, mortgages, auto loans and student loans are all types of installment loans. We’re focusing on personal loans in this article.
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It’s not impossible to get an installment loan with bad credit. Shop with lenders known to offer bad credit installment loans. Consider taking out a joint loan with someone who has good credit to improve your odds. Offering collateral on a secured loan might also help.
Terms to know when comparing installment loans
When you’re in the market for a big-ticket item, you shop around, right? The same logic applies to personal installment loans. You can’t know if you’re getting the most competitive rate if you don’t compare offers. The definitions below might help while you review your options.
APR: An APR measures the total cost of your loan, including interest and fees. The higher the percentage, the more expensive the loan.
Repayment term: This is the length of time you’ll have to pay off your loan. Since you’ll have more time to spread your balance across, a longer loan term can give you lower monthly payments. On the flip side, a short term means you could pay less overall interest.
Loan amount: Double-check your loan amount before accepting an offer. An installment loan is a lump sum of money. If your loan doesn’t cover what you intended, you’re out of luck unless you get another loan.
Fees: Many installment loans come with fees, the most common being an origination fee. This is an upfront fee that the lender will deduct from your loan amount. Some lenders only charge this fee to bad-credit borrowers. Others apply one to every loan or skip them altogether.
Funding timeline: Lenders have two funding timelines — one for loan approval and one for how quickly it can release your funds (called loan disbursal). You may want to ask the lender if it can send your loan via direct deposit as this is typically the fastest method.
Where to find an installment loan
Knowing where to shop is the first step in finding an installment loan that works for you.
Banks
Your bank can be a great place to get an installment loan. Although eligibility requirements with banks can be strict, you could get a relationship discount if you qualify.
Note that some banks have discontinued their personal loan options in recent years. These include Bank of America, Chase and Capital One.
Below you’ll find some of the most popular banks that offer installment loans with APR discounts. This list isn’t all-inclusive, so contact your bank for more information.
| Bank | APR discount |
|---|---|
| Wells Fargo Bank | 0.25% to 0.50% for autopay from a Wells Fargo checking account |
| Citibank | 0.50% for autopay, 0.25% for existing Relationship Tier customers |
| U.S. Bank | 0.50% for autopay from a U.S. Bank account |
| PNC Bank | 0.25% for autopay from a PNC checking account |
| Fifth Third Bank | 0.25% for autopay from a Fifth Third checking account |
| M&T Bank | 0.15% to 0.50% for existing customers and/or autopay through an M&T checking account |
Credit unions
Credit union membership comes with perks. Like banks, they often offer APR discounts for autopay. But unlike banks, APRs on federal credit union personal loans cannot exceed 18% per federal law.
Additionally, credit unions are nonprofits and frequently follow a mission to help their members achieve their financial goals. Your credit union may be willing to look past an imperfect borrowing history.
Online lenders
One of the easiest ways to get an installment loan is through an online lender. You apply from the comfort of your own home, and many do business with borrowers of all credit scores. But while getting an online loan can be easier than getting a bank loan, online loans tend to come with higher rates and more fees.
Installment loan alternatives
A loan can be a tool that helps you reach your financial goals. For some, an installment loan might not be the right tool for the job.
Credit card
Since a loan provides a lump sum of cash, a credit card makes more sense if you need money on an ongoing basis.
Paycheck advance app
Paycheck advance apps can be easy to use, which makes them risky. Still, they can get you out of a bind if you need cash between paychecks.
Loan from friend or family
Borrowing from a friend or family member can be a better alternative to a bad credit installment loan (since these come with high APRs). If you take this path, write up a personal loan agreement and stick to it to avoid damaging your relationship.
How we chose the best installment loans
We reviewed more than 40 lenders and loan marketplaces to determine the overall best nine installment loans. To make our list, lenders must offer installment loans with competitive APRs.
From there, we assessed each lender or marketplace across four categories: eligibility and access; cost to borrow; loan terms and options; repayment support and tools.
According to our standardized rating system, the best installment loans come from Achieve, Discover, Happy Money, LightStream, PenFed Credit Union, Prosper, SoFi, Upgrade and Upstart.
Our categories
We assess how easy it is for people to qualify and apply. This includes state availability, soft-credit prequalification, membership requirements, funding speed and whether borrowers with less-than-excellent credit can get a loan.
We evaluate how affordable the loans are based on minimum and maximum APRs, loan fees and rate discounts. Lenders with unclear or potentially predatory costs receive lower scores.
We consider repayment term flexibility, loan amount ranges and whether options like secured loans, joint loans or direct-to-creditor payments are offered — plus whether the lender clearly communicates these options.
We evaluate borrower experience after funding: customer service access, hardship or forbearance programs, payment flexibility and digital tools like mobile apps or credit monitoring.
Our process
We gather data directly from companies through their websites, disclosures and direct communication with company representatives. Our editorial team verifies and updates information regularly. We value transparency and award less favorable scores when lenders obscure or omit details.
Our editorial team applies the same scoring model and standards to every lender. Lenders cannot pay to influence our ratings.
Why trust our methodology?
LendingTree’s writers and editors diligently vet dozens of lenders to narrow down which ones offer the most affordable rates and a customer-centered experience. We have ongoing conversations with loan companies to ensure accuracy and collect first-person feedback to understand the holistic process of getting and repaying a loan.
Using my financial health counseling certification, I’m here to walk you through the important — and sometimes stressful — process of understanding your personal finances and credit.
Amanda’s experience in editing and financial education helps shape LendingTree articles that are clear, accurate and truly useful to readers. Her certification means our recommendations are built on a foundation of consumer-first financial knowledge — not just numbers.
Frequently asked questions
It can. Unless you get a no-credit-check loan, your lender will pull your credit report when you apply. This can negatively affect your credit scores, albeit temporarily. Making your payments on time (every time) could improve your score down the line.
The easiest installment loans are typically the most expensive ones. These include no-credit-check loans, payday loans, title loans and pawn shop loans. If you have bad credit, consider online lender Upstart or a paycheck advance app instead.
Installment loans can be handy, but they’re just another form of debt. You’ll pay to borrow through interest and fees. That’s not to say that an installment loan is always a bad idea. Just know what you’re getting into before signing on the dotted line.
Not always. Even if you have fair credit (or worse), you might qualify for installment loans online from lenders like Upstart or Upgrade. However, the most competitive rates generally go to borrowers with good credit or better. If you have rocky credit, expect to pay high APRs.