Discover Personal Loan Review
- APR
- 6.99% to 24.99%
- Eligibility and access: 4.5/5
- Cost to borrow: 4.5/5
- Loan terms and options: 4.2/5
- Repayment support and tools: 4/5
From credit cards to online banking, Discover offers a wide variety of financial products — including personal loans. Here’s a quick overview to help you decide if a Discover personal loan is right for you:
- No upfront fees: Unlike some lenders, Discover charges no origination fee. An origination fee is an amount of money (usually a percentage of your loan) that some lenders charge to cover processing and other overhead costs.
- Superior customer service: Discover has a highly-rated mobile app, U.S.-based loan specialists and extended customer service hours.
- Repayment assistance: If you’re having a hard time making payments and you’ve held your loan for at least six months, Discover has a financial hardship program that may help. Options may include deferring payments or temporarily altering the terms of your loan with short- or long-term repayment plans.
- Fast funding (but no same-day loans): You could get approved for a loan the same day that you apply, but you will have to wait until at least the next business day for your money.
- Pays creditors directly: If you get a Discover debt consolidation loan, you can choose to have Discover pay your creditors directly with the funds.
- Harder to qualify for: Discover only approves borrowers with 720+ credit scores, and you have to earn at least $40,000 a year. These steep eligibility requirements mean that Discover won’t be an option for everyone.
- Best for good-credit borrowers that value customer service: Between Discover’s repayment assistance options and onshore customer service, Discover could be a great lender if you have strong enough credit to qualify.
Discover personal loan pros and cons
Taking out a personal loan isn’t a decision to take lightly, and neither is choosing a lender. Consider the pros and cons of Discover before going all in.
Pros
- Can have up to 84 months to pay off your loan
- Financial safety nets available if you’re having trouble paying
- Excellent customer satisfaction scores
- No origination fee
- Competitive rates
Cons
- Can only borrow up to $40,000 (many lenders offer up to $50,000 or more)
- Harder to qualify for than some other lenders
- Can’t add a co-borrower to your loan to boost your chances of approval
An aspect of Discover’s reputation for strong customer service is the lender’s willingness to work with borrowers struggling financially with its repayment assistance options. If you can’t make your monthly installment payment, you might be able to delay your payment, temporarily lower your payments or extend your loan term.
Another positive is that Discover doesn’t charge an origination fee. Its 84-month loan term could also provide breathing room when it’s time to repay. A longer loan term usually results in lower monthly payments (but more overall interest to pay, so be careful).
On the other hand, Discover’s maximum loan amount is $40,000, which is rather low compared to some other lenders. Additionally, not all borrowers will qualify since Discover requires a minimum credit score of 720, and it doesn’t offer joint loans. That means you can’t add a co-borrower to improve your chances of approval.
Discover personal loan requirements
Before you pursue a Discover personal loan, you might want to make sure you meet its qualifications first.
| Minimum credit score | 720 |
| Minimum annual income | $40,000 (can be individual or household) |
| Residency requirements | Must have a valid U.S. Social Security number and be at least 18 years old |
| Required documents |
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| Other notable requirements |
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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… |
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If Discover’s loan options won’t work for your borrowing needs, be sure to shop around for a lender that helps you meet your financial goals and can offer you the best-fitting rates, terms and amounts.
How to get a personal loan with Discover
Discover’s application process for a personal loan is easy — just follow the steps below.
Prequalify for a loan
Prequalifying for a personal loan doesn’t guarantee that Discover will approve you, but it may give you an idea of the rates you could qualify for if you’re approved. To prequalify for a loan, you only need a soft credit check, which does not impact your credit score.
During the process, you’ll need to specify how much money you’d like to borrow, what you need it for and your desired loan term. If you need help with these details, use our personal loan calculator to see how a personal loan may impact your monthly budget.
Then, you’ll need to provide additional basic information such as:
- Name
- Social Security number
- Address
- Phone and email
- Date of birth
- Citizenship status
- Employment information
- Household income
- Housing expenses
Formally apply
If you like what you see in your Discover prequalification, it’s time to officially apply for a Discover personal loan. In addition to the information above, you may need to provide supporting documents such as pay stubs, bank statements, tax documents or your employer’s contact information.
At this point, Discover will run a hard inquiry on your credit to determine if you are truly eligible for the loan. A hard credit check may decrease your credit score by up to five points, but if you take out the loan and make on-time payments, your score is likely to improve again fairly quickly.
Accept your loan offer
To finalize your loan, you will need to sign your loan contract electronically. This is why Discover requires you to have internet access to apply. You must also consent to receive electronic notifications regarding your loan. If you don’t complete these final steps, Discover will not send you your funds.
After the paperwork is signed, Discover will either deposit funds into your bank account or pay your creditors directly.
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.
| Discover | Prosper | LightStream | |
|---|---|---|---|
| LendingTree’s rating | 4.6/5 | 4.5/5 | 4.4/5 |
| Minimum credit score | 720 | 560 | Not specified |
| APRs | 6.99% – 24.99% | 8.99% – 35.99% | 7.24% – 24.89% (with autopay) |
| Loan amounts | $2,500 – $40,000 | $2,000 – $50,000 | $5,000 – $100,000 |
| Repayment terms | 36 to 84 months | 24 to 72 months | 24 to 84 months |
| Origination fee | None | 1.00% – 9.99% | None |
| Funding timeline | May receive funds as soon as the next business day | May receive funds within one business day | May receive same-day funding |
| Bottom line | If customer service and convenience are your top priorities, Discover could be a good fit. The company provides a mobile app to manage your loan and daily customer service availability. | Maximum APR with Prosper is rather high. However, it may be easier to qualify due to its lower credit score requirement. | LightStream offers larger loans than Discover, but you have to borrow at least $5,000. That means this lender might not work if you need a small loan, but is better suited if you need a large one. |
How we rated Discover
We evaluate personal loan lenders on more than just interest rates. Our goal is to show how accessible, affordable, transparent and supportive each lender really is.
Our categories
Every lender is scored out of 5 stars, with 5 stars being the highest rating. LendingTree loan experts determine this score using dozens of underlying data points across four weighted categories covering the full borrowing journey.
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 lenders 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.
In some cases, our editors may apply a small adjustment (no more than 4% of the overall score) to account for factors not captured by the methodology. This could include J.D. Power customer satisfaction surveys, recent regulatory actions or features that stand out in ways our rubric doesn’t measure directly.
Our editorial team applies the same scoring model and standards to every lender. Lenders cannot pay to influence our ratings.
Frequently asked questions
Discover has a higher minimum credit score requirement than some lenders. Your score must be at least 720 to qualify for a loan and you also can’t add a co-signer to your application, which is a common strategy that can help make it easier to qualify for a loan.
A Discover personal loan can be helpful as long as you have a full understanding of how it works and how much it will cost. If you qualify, Discover tends to be easy to work with, but one missed payment on any personal loan could damage your credit score. Ensure you can afford the payments.
Many applicants get an approval decision on their Discover personal loan on the day they apply. After Discover approves you, it may send your funds as soon as the next business day.
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