12 Best Personal Loans for Good Credit of 2022

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A personal loan can be used for many things in life, from home improvements to debt consolidation.

When you have good credit, doors open even more widely compared to those with bad credit. For example, you’ll have access to unsecured loans, meaning you don’t have to put up collateral to qualify for a loan.

You’ll also get offered the best interest rates so you’ll have a lower monthly payment. Another bonus? You could qualify for the highest loan amounts. After all, just because a lender offers a particular loan maximum doesn’t mean every borrower gets that deal. Finding the best loan terms is easier than ever, with many online lenders competing for your business.

Selecting an online lender is convenient, too. Most lenders provide a funding decision the same day you apply, and your money could be available in your bank account in as little as one or two business days.

So, what is the definition of good credit? You’ll need to have a credit score between 690 and 720. Anything above 720 is considered excellent credit.

Top 12 Personal Loans for Good Credit

We’ve pulled together the best personal loans, along with how the loan process typically works from start to finish to help get you started.

Each one has a slightly different approach to lending. So, you’ll see a bit of each company’s personality along with their loan rates and borrower requirements. There’s a little something for everyone, so don’t forget to compare offers to see which one fits you best.

Credible

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​​Loan Amount: $1,000 to $100,000
Term Length: 2 to 7 years
Min. Credit Score: varies

Credible is an online personal loans marketplace that provides simple, transparent, real offers from up to 8 different lenders.

Credible gets qualified borrowers offers in less than 2 minutes without impacting their credit score through a soft credit inquiry. (Only hard credit inquiries will affect your credit score).

Furthermore, your information is not shared with lenders for marketing purposes when evaluating offers, thanks to their matching technology. This means you can shop for a personal loan without the fear of multiple lenders following up with annoying calls and emails!

Credible is an ideal solution when you’re looking to find the best interest rate among the top lenders in the industry.

Read our full review of Credible

Prosper

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Loan Amount: $2,000 to $40,000
Term Length: 3 or 5 years
Min. Credit Score: 640

Prosper is a top choice for borrowers with good credit, especially if you’re interested in peer-to-peer loans.

Loan proceeds can be used for various purposes, such as debt consolidation, home renovations, or significant life events like a wedding or adoption.

Funding may depend on investors committing to your loan. However, you’re guaranteed total funding as long as you reach 70% of your goal.

Before you commit, feel free to compare your loan terms to make sure they’re suitable. You can do this without impacting your credit score in the early stages of applying.

If you have above-average credit and a debt-to-income ratio under 50%, you could very well qualify for a personal loan.

Read our full review of Prosper

Payoff

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Loan Amount: $5,000 to $35,000
Term Length: 2 to 5 years
Min. Credit Score: 660

Ready to finally get rid of that high-interest credit card debt? Take a look at Payoff, a lender designed specifically to help you save money over time with a debt consolidation loan.

In the process, you might just raise your credit score by 40 points if you’re like the majority of Payoff’s other borrowers. You can also keep an eye on your credit with a free monthly FICO score, just for being a borrower.

With a fair credit score and a solid payment history over the last year, you could very well meet Payoff’s application criteria.

Plus, you can take advantage of their stellar customer service team during and after the application process. Should you lose your job during your loan term, they’re happy to help with job loss support to keep your loan on track.

Read our full review of Payoff

LendingPoint

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Loan Amount: $3,500 to $20,000
Term Length: 24 to 48 months
Min. Credit Score: 600

LendingPoint boasts that it is a lender for “fair” credit borrowers. Specifically, this refers to borrowers in the 600 to 680 FICO score range.

LendingPoint factors in several criteria during the loan application process.

You must be at your current job for at least 12 months with the ability to verify your income. You should also have a reliable track record for both your banking and credit behavior.

The online application is quick and easy, especially if you pull together a few necessary documents. They include proof of employment and income (think pay stubs), recent bank statements, a voided check, and your ID.

Once you’ve received your loan funds, you can make bi-weekly payments to help you stay on top of your budget. For “near-prime” borrowers, They offer competitive terms and an easy-to-use customer interface.

The origination fee varies by state but is usually 0% – 6%.

Read our full review of LendingPoint

Best Egg

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Loan Amount: $2,000 to $50,000
Term Length: 3 to 5 years
Min. Credit Score: 640

Best Egg offers competitive interest rates, but you’ll need more than a good credit score to get them. You’ll need to have a relatively high annual income, needing to earn at least $100,000 to qualify for the best rates.

You’ll need at least a 700 FICO score to earn those lowest rates. The application is risk-free and only entails a soft inquiry until you’re ready to commit to a personal loan.

So, what can you do with your Best Egg funds? The most popular option is to consolidate debt, whether it’s multiple expensive credit cards or a single high-interest loan (or a combination of both!).

But don’t mistake Best Egg as a debt consolidation company. This direct lender provides personal loans for many purposes, including household expenses, relocating, and vacations.

The origination fee on a loan term of 4 years or longer will be at least 4.99%.

Read our full review of Best Egg

Avant

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Loan Amount: $1,000 to $35,000
Term Length: 2 to 5 years
Min. Credit Score: 600

Avant is a great choice if you want a loan to consolidate several high-interest credit cards. In fact, about half of all their personal loans are used as debt consolidation loans.

There’s a reason why: they offer various tools to help you manage your finances. For instance, it provides you with your VantageScore each month so you can actively work on improving your credit score.

Borrowers usually see an average 12 point increase over the first six months of taking out a personal loan. The origination fee is up to 4.75%.

The lower end of credit scores falls around 600, so you don’t need excellent credit to qualify.

Read our full review of Avant

SoFi

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Loan Amount: $5,000 to $100,000
Term Length: 3, 5, or 7 years
Min. Credit Score: None (average is above 700)

Starting as a student loan company, SoFi now offers personal loans and even mortgages.

They are a unique online lender that uses its own underwriting process to offer competitive fixed and variable rate loans.

Instead of focusing strictly on your credit score, SoFi also looks at your education, current career, income, expenses, and financial history.

A long credit history is stressed less than having a high-income potential in a growing job market sector.

As long as your existing payment history is positive, and you make enough money to meet your monthly expenses, you could qualify for a low-interest personal loan. And everyone gets an automatic 0.25% discount on their interest rate when they sign up for autopay.

Read our full review of SoFi

Marcus by Goldman Sachs

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Loan Amount: $3,500 to $40,000
Term Length: 3 to 6 years
Min. Credit Score: 660

Marcus by Goldman Sachs strives to provide transparent personal loans. Unlike other lenders, you won’t find origination fees or additional upfront costs when you get a personal loan.

How can you qualify?

You’ll likely need a debt-to-income ratio of around 40%. There are no set income requirements. However, Marcus by Goldman Sachs analyzes how much loan you can pay off within the term length.

You can change your payment due date three times throughout the repayment term. So, if your job changes, and you get paid on different days, you can adjust your monthly payment schedule to reflect that.

Read our full review of Marcus by Goldman Sachs

FreedomPlus

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Loan Amount: $10,000 to $35,000
Term Length: 2 to 5 years
Min. Credit Score: 640

Borrowers could have a lot to appreciate with a personal loan from FreedomPlus. Interest rates start relatively low, and you can also pick a loan term that meets your financial goals. But what makes this lender stand out is the ability to lower your APR through multiple qualifiers.

There are three bonus ways to qualify for a lower APR. First, you can use a cosigner, assuming they have a higher credit score than you. That can automatically save you a few points. Next, for those using the personal loan funds to consolidate debt, you can have FreedomPlus directly pay your creditors in exchange for an APR discount.

Finally, you can see some savings in interest if you have retirement savings that have accrued $40,000 or more. With a personal phone call as part of the application process, you can easily max out your savings with them.

Read our full review of FreedomPlus

Upstart

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Loan Amount: $1,000 to $50,000
Term Length: 3 or 5 years
Min. Credit Score: 620

For a more holistic loan application approach, consider Upstart. Rather than focusing almost entirely on your credit score and income, Upstart also considers several other factors, like your education, area of study, and job history.

These factors often make up for a short credit history, making it an excellent pick for younger borrowers. Upstart borrowers report an average 25% savings on their APR compared to their credit cards when they use the personal loan instead.

Founded by a team of former Google employees, it’s no surprise that Upstart views technology as essential.

Appropriately, then, you can use an Upstart loan to pay for your tuition at a partnering bootcamp for coding. It’s an easy way to get some new career training without having to shell out for an entire degree program.

Read our full review of Upstart

LendingClub

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Loan Amount: $1,000 to $40,000
Term Length: 3 or 5 years
Min. Credit Score: 600

LendingClub is a P2P lender and one of the first in the country. However, the loan funding process is a bit slower than other lenders because of how personal loans are financed.

Once your application is approved, you still have to get investors to back your loan with funds. They’ll review your profile and credit grading (created by LendingClub) to determine whether they want to invest in you.

Don’t worry about whether you’re going to get picked. Most investors automatically invest in a diverse portfolio of different graded loans without actually reviewing the specifics. And while they offer bad credit loans, most borrowers maintain a credit score of 699.

Read our full review of LendingClub

OneMain

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Loan Amount: $1,500 to $25,000
Term Length: Up to 60 months
Min. Credit Score: varies

OneMain provides both secured and unsecured loans to borrowers. Their lending process is a bit unusual in that they require applicants who have been approved for a personal loan to meet a loan officer at a local branch.

It’s not the most convenient way to get a personal loan these days, but five out of six Americans live within 25 miles of a OneMain office. And, believe it or not, reviewers found the process to be helpful, giving the lender an average of 4 out of 5 stars — so they must be doing something right.

Once you meet with a loan officer and discuss your situation, it’s quite possible you’ll walk out with a check in your hand — yes, they’re that fast.

They prefer to meet in person to determine why you need the personal loan and to make sure you understand the repayment terms, such as APR and term length. All in all, OneMain offers some stiff competition for fast, unsecured loans.

Read our full review of OneMain

The Different Types of Online Personal Loans

When looking for the best personal loan online, you need to know that there are a few different types of lenders out there. Understanding which type you’re working with helps clarify much of the process, from how your personal loan is funded to how you’ll repay it.

Traditional Lenders

Many traditional financial institutions are making their way into the online loan market as well.

You might be familiar with some of the names. However, many banks with brick-and-mortar locations can’t offer interest rates as competitive as strictly online lenders because they have much higher expenses to cover. Some banks are better at this than others, so always be sure to shop around.

Alternative Lenders

Another burgeoning type of lender is the alternative lender. Many of these companies are startups seeking to fill a gap in the need for different loan requirements than traditional banks offer.

Several of the top personal loan lenders use algorithms to determine what kind of loan terms borrowers qualify for based on financial and other types of data. They typically don’t have branch locations so they can keep their overhead costs low. That allows them to focus on passing savings to borrowers in the form of low interest rates.

P2P Lenders

Finally, one of the oldest types of lenders is the peer-to-peer or P2P lender. P2P loans originated in England and worked their way to the U.S. in the early 2,000s. P2P lending allows individual investors to fund personal loans and collect the interest as their return.

There is still a formal application process. However, these lenders have opened the doors to greater access to credit for those with lower credit scores. And if you have good credit, you get to take advantage of low interest rates and flexible repayment terms.

Applying for Personal Loans Online

Lenders who operate online make it easy for borrowers to get offers within minutes of entering a few pieces of basic information. There are typically two types of online applications: the pre-approval process and the formal application.

Pre-Approval

Many lenders allow you to check your personal loan offer through the pre-approval process without performing a hard inquiry. This lets you find out what kind of interest rates and monthly payments you can expect. That way you can compare offers without getting a hard credit inquiry on your credit report.

Application Process

Once you find loan terms you approve of, it’s time to fill out the loan application form. During this time, you’ll enter your personal and financial information to verify your ability to repay, and they’ll usually perform a hard pull at this point.

Typically, you’ll also need to upload your driver’s license and pay stub as proof of identity and financial information. The exact requirements vary depending on each lender.

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What Lenders Look For

Traditionally, lenders place the greatest importance on two factors: your credit history and your current financial ability to repay the loan.

They’ll look at your credit score to determine how well you’ve paid your current and past obligations. But if you have good credit, you most likely won’t have any issues.

Debt-to-Income Ratio

Lenders also review your current outstanding debt payment obligations, as well as your income. They compare the two using a formula called the debt-to-income ratio, or DTI. If you carry too much debt for the amount of money you earn each month, they might not view you as very creditworthy. Even if you have excellent credit history, it’s worth taking a look to see how your DTI stacks up.

Those are historically the most important criteria for traditional lenders. However, remember that many online lenders began explicitly replacing the old underwriting standards.

Many place greater importance on other factors besides your credit score and debt. For example, they consider your education, earning potential, and the types of debt you owe. Depending on your situation, you might be better suited with a lender that takes the bigger picture into account.

Do personal loans affect your credit score?

You want to make sure you keep your good credit score intact. So, what changes can you expect after taking out a personal loan?

You may see a slight dip after submitting your application, but this typically only amounts to 5 to 10 points. The good news is that credit scoring models typically group similar loan inquiries together as long as you complete them within a few weeks of each other. This allows you to price shop without worrying about a big drop in your credit scores.

Once a personal loan is funded, you may see another dip in your credit score because you’ll have a higher debt balance. The exception to this is if you’re consolidating credit card debt into a debt consolidation loan. Generally, installment loans are viewed more favorably than revolving credit, so you might actually see an increase in this situation.

Why Take Out a Personal Loan

Once you find the right lender, getting a personal loan can help you in many ways.

Debt consolidation loans are a very popular option these days. The reason is that personal loan rates are much lower than credit card interest rates, especially if you have good credit history. Other people use personal loans for home improvement, major life events like weddings and vacations.

Before Applying

Before you apply for any loan, make sure the lender offers personal loans for your intended use. Most want to know exactly what you will use the loan proceeds for before making the loan. And because that information is in your legal loan agreement, you’ll want to stick to your word.

No loan decision should ever be made lightly, so make sure you do your research before reaching a conclusion.

Repayment Terms

You’ll want to know that you can make your monthly payments even if something major comes up, like a job loss or medical emergency. So keep that good credit intact by keeping a padded monthly budget and a healthy rainy day fund.

With the right personal loan, you can build your credit history by consistently making on-time payments. And that, along with funding a significant purchase or life event, can feel like a great accomplishment.

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