Personal Loans
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LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.

Best Personal Loans for Students in 2023

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Personal loans can help students cover expenses beyond their financial aid or student loan budget. The best personal loans for students come with low interest rates, minimal fees and either reasonable credit score requirements or cosigner eligibility.

Unlike student loans, which must go toward qualified educational costs, you can use a personal loan to cover a wide range of expenses.

Best personal loans for students

Here’s a look at our top lenders offering personal loans suitable for students.

How Does LendingTree Get Paid?
LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.

How Does LendingTree Get Paid?

LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.
LenderBest for…APRLoan amountsTerms
Discover Personal Loans logoQuick funding7.99% to 24.99%$2,500 to $40,00036 to 84 months
LightStream logoNo fees7.99% to 25.49% * with autopay$5,000 to $100,00024 to 144 months
Cosigned loans8.99% to 25.81%*$5,000 to $100,00024 to 84 months
International studentsStarting at 7.99%$1,000 to $35,00012 to 36 months
Small amounts8.49% to 35.99%$1,000 to $50,00024 to 84 months
Bad credit5.20% to 35.99%$1,000 to $50,00036 and 60 months

*Rate includes autopay discount

How to apply for a personal loan

While the application process varies by lender, here are a few common steps you’ll take when applying for a personal loan.

Estimate how much you need

You should only borrow what you think you can repay. Use our personal loan calculator to estimate monthly payments and the total interest for the loan to see whether it’s within your budget.

Check your credit score

Having a good credit score can help you qualify for competitive rates on a personal loan. However, certain lenders are more lenient for students, especially if you can add a cosigner. Check your credit score for free to see where you stand.

Improve chances of approval

If you’re not in immediate need of funds, try to boost your credit score before applying for a personal loan. You can also increase your income or consider adding a cosigner to increase your odds of approval.

Prequalify with multiple lenders

Many lenders let you prequalify for a personal loan by entering basic details. This won’t result in a hard credit check and can give you an idea of your eligibility.

Compare offers

Scrutinize potential loan offers to find the best deal. Pay attention to estimated APR, fees and penalties, terms and your potential monthly payment.

Gather documents

Every lender will differ, but you’ll likely need to provide proof of income, address and a valid ID.

Submit official application(s)

Once you’ve narrowed down your choices, you can apply to your top picks. Make sure to submit all applications within a 14-day window to limit the effect on your credit score, which is referred to as “rate shopping.”

Review offer and accept

Read the fine print to ensure that the final offer will work for your needs and that you understand the repayment schedule.

Student loans vs. personal loans

Student and personal loans share many similarities, including receiving a lump sum up front and repaying the debt in installments. Student loans and personal loans are typically unsecured debt, meaning you don’t need to provide collateral.

The biggest difference between personal loans and student loans is how borrowers are permitted to use the funds:

  • Student loans: Generally, you can only use student loans for tuition and school-related expenses, which typically include room and board, food, textbooks and supplies, transportation and more.
  • Personal loans: While you can use personal loans for almost anything, most lenders don’t allow borrowers to use funds toward college expenses. Your lender might have a list of additional excluded purposes, such as real estate or investing.

Talk to your lender about approved expenses before obtaining a personal loan. If you need more money for school costs, consider applying for a private student loan. Otherwise, a personal loan could help if your most significant expenses aren’t school-related.

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Alternatives to personal loans for students

If a personal loan doesn’t meet your needs or you’ve been denied, here are other options to explore.

Emergency school funds

Many colleges have emergency funds set aside for students in need. Some schools might offer emergency grants, while others provide emergency student loans. Reach out to your school to learn about what’s available.

Student loans

Often, students don’t fully exhaust their available federal financial aid. Contact the financial aid office at your institution to see if you’re eligible for additional federal student loans. If you’ve exhausted your available federal aid, you may consider exploring private student loan options. You can also ask your parents about applying for a parent PLUS loan.

Secured loans

The personal loans discussed above are unsecured, which means you won’t lose your car or home if you default. However, if you’ve been rejected or have poor credit, you might consider a secured loan. Keep in mind that if you’re unable to repay your debt, you could lose the collateral securing the loan.

Credit cards

If you haven’t already built a credit history, consider applying for a student credit card to start building a more robust credit profile. Some student credit cards begin with a smaller credit amount — say, under $1,000 — to keep your debt more manageable as you learn to handle credit responsibly.

Friends and family

Borrowing money from your parents, relatives or a good friend could be more affordable than a personal loan since you won’t need to pay origination fees and your credit isn’t a factor. However, you should get the terms of the arrangement in writing — and stick to them. You don’t want to spoil a relationship over missed payments.

Part-time job

Juggling classes and a job might seem impossible. However, even 10 to 20 hours a week can significantly impact your budget. Plus, having a steady job can improve your odds of qualifying for credit or loans.

How we chose the best personal loans for students

We reviewed 11 lenders that offer personal loans suitable for students to determine the six best lenders for student borrowers. By compiling detailed information on rates, terms, loan amounts and basic eligibility requirements, we hope you can make a sound decision to address your immediate financial needs.

Here’s the criteria we assessed to choose the best personal loan lenders for students:

  • Eligibility with a credit score as low as 600
  • Flexible loan amounts
  • Little or no extra fees

Frequently asked questions

Stipulations for spending your personal loan funds will vary from lender to lender. Most lenders do not allow borrowers to use funds toward school-related expenses, including repaying student loan debt. Upstart is an online lender that allows you to pay student debt with a personal loan, although this allowance isn’t available in every state.

Although most lenders want to see a reliable source of income, certain lenders are lenient with this requirement. For example, Upstart will accept borrowers with a job offer starting within six months.

If you’re in desperate need of funds, reach out to your school first. They can help you check your financial aid award package — there may be extra aid available, such as a work-study opportunity you overlooked. Your school may also have emergency loans for students experiencing financial hardship. Although applying for a private student loan is an excellent option, a personal loan can be one of the fastest ways to get funds.

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