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2022 Discover Personal Loan Review

Editorial Note: The content of this article is based on the author’s opinions and recommendations alone. It may not have been reviewed, commissioned or otherwise endorsed by any of our network partners.

Personal loan rating: 4.5/5
  • Accessibility: 4.8/5
  • Rates and terms: 3.9/5
  • Repayment experience: 4.8/5

Read our full rating methodology here

Personal loan details
  • APR range: 6.99% to 24.99%
  • Loan terms: 36 to 84 months
  • Loan amount: $2,500 to $35,000
  • Minimum credit score: Not specified
Our verdict: With no origination fees, competitive interest rates and quick funding, Discover may be a good candidate as a lender for consumers with strong credit profiles looking for a personal loan.

Discover doesn’t just offer credit cards and banking services — this financial corporation also offers personal loans ranging from $2,500 to $35,000. Here’s a quick look at some of Discover’s highlights:

  • No origination fees: Unlike some other competitors, those who qualify for a Discover personal loan can skip paying an origination fee. These types of fees come out of your loan balance, so borrowers that are charged an origination fee won’t receive the full amount of funds they applied for.
  • Quick funding turnaround: Discover borrowers typically find out whether they are approved for a loan on the same day they submit their application. They may receive funds within one business day.
  • Competitive interest rates: With interest rates ranging from 6.99% to 24.99%, Discover has some of the most competitive rates on the market. Keep in mind that the lowest rates will go to consumers with excellent credit scores and robust credit profiles.
  • Low-credit consumers may not qualify: To qualify for a personal loan with Discover, you’ll need to have a solid credit score and history. Bad-credit borrowers may not qualify.
  • Low maximum borrowing amount: Compared to some other personal loan lenders on the market, Discover’s maximum borrowing amount is relatively low. While consumers can only apply for up to $35,000, other lenders that cater to borrowers with high credit scores offer up to $100,000.
  • Best for borrowers with good to excellent credit: If you want a shot at qualifying for a personal loan through Discover, you’ll likely need an impressive credit profile and a high credit score. Those with excellent credit scores may be offered Discover’s lowest rates.


Discover pros and cons

Discover offers a lot of competition when it comes to interest rates and other perks, but it’s not without a few downsides to consider.


  No origination fees

  Competitive interest rates (6.99% to 24.99%)

  Flexible loan terms (36 to 84 months)

  Low income requirement 

  Low maximum borrowing amount ($35,000)

  Doesn’t allow for co-applicants

  Low-credit borrowers may not qualify

  Charges late fee of $39

Discover doesn’t charge an origination fee for its personal loans, which is good news for borrowers looking to pay as little in fees as possible. Low interest rates and loan repayment terms ranging from 36 to 84 months also make this lender a strong competitor. Aside from that, consumers only need a minimum income of $25,000 to qualify for a Discover loan.

On the other hand, if you’re looking for a large loan, you may want to look elsewhere as Discover only provides personal loans up to $35,000. Also, while Discover doesn’t charge origination fees, it still may charge you a $39 if payment is not received in full by the due date. Consumers with low credit may find themselves unable to qualify for a Discover loan, especially in light of the fact that this lender doesn’t allow for co-applicants.

Discover requirements

In addition to being at least 18 years old, you’ll need to meet the following qualifications in order to be considered for a Discover personal loan:

Minimum credit score Not specified
Debt-to-income ratio Not specified
Minimum income $25,000
Residency requirements Must be a U.S. citizen or permanent resident
Required documents
  • Personal invitation identification number (if you received a mail offer)
  • Proof of household income
  • Employment history
  • Verifiable bank account number and routing number
  • Creditor information such as balances and account numbers if you’re getting a debt consolidation loan

If you meet the basic requirements listed above, you may need to disclose how you plan to use your personal loan. While Discover does allow borrowers to use its funding for a variety of purposes, there are certain expenses you cannot put the money toward.

Discover loans CAN be used for…Discover loans CANNOT be used for…

  Debt consolidation

  Home remodel projects

  Medical bills

  Wedding costs

  Vacation expenses

  Post-secondary education expenses

  Paying off secured loans

  Paying off a Discover credit card

If Discover’s loan options won’t work for your borrowing needs, be sure to shop around for a lender that can help you meet your financial goals and can offer you the best-fitting rates, terms and amounts.

How to get a loan with Discover

Applying for a Discover personal loan is an easy, short and straightforward process, but it doesn’t hurt to prepare ahead of time. Here’s what you can expect during the application process:

Prequalify for a loan

You can prequalify for a personal loan with Discover, meaning you can check your rates without impacting your credit score. To do this, you’ll need to fill out an application and indicate how much you’d like to borrow, the purpose of your loan and the loan repayment terms. Once you submit that information, you can find out whether you prequalify and can then choose your loan details, such as repayment terms and monthly payment amounts.

Verify your information

If you prequalify for a Discover loan and wish to move forward, you’ll have to fill out a formal application and provide documentation to verify your information, such as pay stubs, W-2s and a government-issued identification. Discover will then perform a hard-credit pull, which can temporarily cause your credit score to go down by a few points.

Sign your loan agreement

After your hard-credit pull, Discover will let you know whether you’ve been officially approved for a loan. Once you sign your personal loan contract, you may receive your funds within one business day.

If you don’t have a good credit score and a strong credit profile, it may be challenging to get approved for a personal loan through Discover. If you find yourself in this situation, consider improving your odds of getting approved by working on your credit score and practicing financially healthy habits.

How Discover compares to other personal loan companies

Even if you believe Discover aligns with what you’re looking for in a personal loan, it never hurts to shop around and compare other lenders. Here’s how Discover stacks up against similar personal loan lenders.

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.

LenderDiscoverMarcus by Goldman SachsSoFi
LendingTree’s Rating4.5/54.4/54.6/5
Minimum credit scoreNot specified720680
APRs6.99% to 24.99%6.99% to 24.99%7.99% to 23.43%
Loan Amount$2,500 to $35,000$3,500 to $40,000$5,000 to $100,000
Repayment term36 to 84 months36 to 72 months24 to 84 months
Origination feeNo origination fee No origination fee No origination fee
Funding timelineReceive funds as soon as one business dayReceive funds as soon as one to four business daysReceive funds same business day as approval
Bottom LineWhile Discover doesn’t charge an origination fee, it’s not totally fee-free like other competitors that also target good-credit borrowers. Discover also may not work for consumers looking for large loan amounts.Marcus by Goldman Sachs® doesn’t charge borrowers any fees. This lender also has a unique perk that allows borrowers to skip a payment after they’ve made 12 complete, on-time payments.Not only does SoFi not charge an origination fee, but it avoids fees of any kind. This lender may be a good fit for excellent-credit borrowers looking for large loans and flexible loan terms.

How we rated Discover

To come up with our star rating for personal loan companies, LendingTree considered 22 data points across three categories:

  • Accessibility: We paid attention to whether lenders offered loans to nontraditional borrowers, as well as those without excellent credit scores. We also checked if lenders offered soft-credit pulls, and whether they were transparent about eligibility criteria other than credit scores.
  • Rates and terms: We wanted to know if lender rates, terms, amounts and fees were not only transparent, but competitive.
  • Repayment experience: We based this category on lenders’ reputations, customer support availability and unique benefits.

The data points reflect every step of the process to shop and apply for, borrow and repay personal loans. A five-star lender, for instance, has flexible eligibility requirements, offers you the chance to prequalify without commitment and supports you in zeroing your balance.

The 22 data points, culled from the lenders themselves, determine the overall rating. We score lenders consistently, sometimes awarding partial points, so that you can make apples-to-apples comparisons when shopping around.

LendingTree isn’t paid for conducting these reviews, and lenders don’t have control over their content. With our reviews and ratings, we aim to give our users the objective and exhaustive information they need to make the best possible decisions.

Frequently asked questions

After submitting your information and documentation to Discover, you may find out whether you’re approved that same day. If you’re approved, you may receive your personal loan within one business day.

During the application process, you will need to provide proof of income to Discover. This lender requires that you have an income of at least $25,000. You may need to submit pay stubs or W-2s for your loan application to be considered.

Like most lenders, Discover provides fixed interest rates on their personal loans. What this means for borrowers is that, unlike credit cards or lines of credit, your interest rates are locked in and will not change throughout the life of the loan.


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