Personal loan interest rates for February 23, 2022: Interest rates remain stable

Personal loan interest rates remain unchanged from last week, Wednesday, February 23, at 10.28%. The national average of personal loan interest rates remained stable at the beginning of February at 10.28%. This percentage has not changed since it increased slightly from 10.27 percent at the end of 2021.

Bankrate conducts a weekly survey of personal lenders and monitors interest rates each week to monitor any changes. The average personal loan interest rate remained stable throughout December 2021, increasing from 10.27% to 10.28% in the first two weeks of 2022.

Comparing the top personal loan interest rates

While personal loan interest rates have remained stable on average, different lenders offer different interest rates and general experiences. Below are the interest rates of some of the best personal lenders in 2022. These lenders scored well at the Bankrate 2022 Awards, each earning a top class rating.

Lender ΑΠΡ Loan amount Minimum credit score Banking superlative
LightStream 4.98% $ 5,000-$ 100,000 700 The best for home improvement and debt consolidation
Marcus of Goldman Sachs 6.99% $ 3,500- $ 40,000 660 The best online lender
TD Bank 6.99% $ 2,000- $ 50,000 660 The best from a bank
Upstart 8.94% $ 1,000- $ 50,000 No one The best for borrowers with bad credit
The best egg 5.99% $ 2,000- $ 50,000 640 The best for borrowers with fair credit
Figure 5.75% $ 5,000-$ 50,000 670 The best for borrowers with good credit
Axis 6.49% $ 5,000-$ 50,000 720 The best for borrowers with excellent credit

Personal loan interest rates per credit score

The interest rates you are entitled to receive depend on your overall credit situation. Below are the average interest rates for borrowers ranging from excellent to bad credit, based on Bankrate data.

Credit rating Average loan interest rate
Excellent (720-850) 10.3% -12.5%
Good (690-719) 13.5% -15.5%
Good (690-719) 13.5% -15.5%
Fair (630-689) 17.8% -19.9%
Bad (300-629) 28.5% -32.0%

How To Compare Personal Loan Rates

When applying for a personal loan, prospective borrowers should consider a few things to help them get the best interest rates and the best personal loan lender for their situation:

  • Compare interest rates and commissions: You may want to compare the range of APRs from some lenders, but you may not qualify for the lowest interest rate advertised. The interest rate you qualify for depends on your credit status and other approval requirements. If you can, qualify for more specific prices. You should also consider any commissions that will affect the total cost of your loan.
  • Qualify if possibleMany lenders allow borrowers to qualify for loans, allowing you to submit your financial statements and find out the exact interest rates you qualify for. Knowing your exact offer from a lender will help you decide if it is best for you and you will be able to compare interest rates more accurately.
  • Think about the purpose of your loanEvery lender is different and the lender that is right for you depends on the purpose of your loan and your specific needs. Personal loans have a wide range of purposes, from debt consolidation to financing large markets such as weddings and vacations. The way you plan to use your loan will affect which lender is right for you.
  • Examine loan amounts and repayment options: The amount of money you need to borrow could limit your options to lenders, as different lenders allow different lending ranges and repayment options. If you need to borrow a large amount of money, you may want to find a lender with long-term repayment terms and a wide range of loan amounts.

How to get a lower personal loan interest rate

You can use some strategies to improve your chances of finding a more favorable loan interest rate:

  • Sign up for automatic paymentSome lenders offer interest rate discounts for borrowers using automatic payment.
  • Choose a shorter repayment period: The longer your repayment period, the higher the interest rate is likely to be. If you are financially able to repay the loan in a shorter period of time, the interest rate will probably be lower.
  • Improve your credit score before you apply: The better your credit score, the lower your personal loan interest rate is likely to be. You can take steps to improve your credit score over time.
  • Get a co-signer with strong credit: Some lenders allow you to borrow loans with a co-signer. If you take out a loan with someone who has good credit, you are more likely to get lower interest rates.

Comparing the top personal loan interest rates

While personal loan interest rates have remained stable on average, different lenders offer different interest rates and general experiences. Below are the interest rates of some of the best personal lenders in 2022. These lenders scored well at the Bankrate 2022 Awards, each earning a top class rating.

Lender ΑΠΡ Loan amount Minimum credit score Banking superlative
LightStream 4.98% $ 5,000-$ 100,000 700 The best for home improvement and debt consolidation
Marcus of Goldman Sachs 6.99% $ 3,500- $ 40,000 660 The best online lender
TD Bank 6.99% $ 2,000- $ 50,000 660 The best from a bank
Upstart 8.94% $ 1,000- $ 50,000 No one The best for borrowers with bad credit
The best egg 5.99% $ 2,000- $ 50,000 640 The best for borrowers with fair credit
Figure 5.75% $ 5,000-$ 50,000 670 The best for borrowers with good credit
Axis 6.49% $ 5,000-$ 50,000 720 The best for borrowers with excellent credit

Personal loan interest rates per credit score

The interest rates you are entitled to receive depend on your overall credit situation. Below are the average interest rates for borrowers ranging from excellent to bad credit, based on Bankrate data.

Credit rating Average loan interest rate
Excellent (720-850) 10.3% -12.5%
Good (690-719) 13.5% -15.5%
Good (690-719) 13.5% -15.5%
Fair (630-689) 17.8% -19.9%
Bad (300-629) 28.5% -32.0%

How To Compare Personal Loan Rates

When applying for a personal loan, there are many factors to consider. Here are some things to consider before choosing a personal lender:

  • Compare interest rates and commissions: You may want to compare the range of APRs from some lenders, but you may not qualify for the lowest interest rate advertised. The interest rate you qualify for depends on your credit status and other approval requirements. If you can, qualify for more specific prices. You should also consider any commissions that will affect the total cost of your loan.
  • Qualify if possible: Many lenders have a default option. This generally creates a mild credit crunch, so it does not affect your credit score if you qualify with some lenders to see what your interest rate and loan details will be. The default will help you compare interest rates more accurately when shopping.
  • Think about the purpose of your loanEvery lender is different and the lender that is right for you depends on the purpose of your loan and your specific needs. Personal loans have a wide range of purposes, from debt consolidation to financing large markets such as weddings and vacations. The way you plan to use your loan will affect which lender is right for you.
  • Examine loan amounts and repayment options: The amount of money you need to borrow could limit your options to lenders, as different lenders allow different lending ranges and repayment options. If you need to borrow a large amount of money, you may want to find a lender with long-term repayment terms and a wide range of loan amounts.

How to get a lower personal loan interest rate

You can use some strategies to improve your chances of finding a more favorable loan interest rate:

  • Sign up for automatic paymentSome lenders offer interest rate discounts for borrowers using automatic payment.
  • Choose a shorter repayment period: The longer your repayment period, the higher the interest rate is likely to be. If you are financially able to repay the loan in a shorter period of time, the interest rate will probably be lower.
  • Improve your credit score before you apply: The better your credit score, the lower your personal loan interest rate is likely to be. You can take steps to improve your credit score over time.
  • Get a co-signer with strong credit: Some lenders allow you to borrow loans with a co-signer. If you take out a loan with someone who has good credit, you are more likely to get lower interest rates.

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