Investment Apps and Websites

Personify Financial Personal Loans Review: Is It The Right Lender For You?

In this Personify Financial personal loans review, we’ll share with you why this lending company is a good option among people with less-than-stellar credit.

Personify Financial Personal Loans Review

Online lending companies have become popular over recent years. In fact, the online lending companies have grown and have become one of the go-to places of people in need of money. Well, we thought the popularity is because it’s easier and more convenient to apply for loans with them. Needless to say, funds are easily provided (most online lenders send funds in as soon as within the day of a loan application).

In an article published by CNBC online, it says that according to TransUnion, the unsecured personal loan market hit an all-time high in 2018, “surging 17 percent year over year to $138 billion“.

With the increase, experts believe that one of the major factors that affected it is the existence of digital-first financial technology (fintech) companies.


Based on the report, in 2018 alone, “fintech companies issued 38 percent of all U.S. personal loans“. Meanwhile, traditional bank’s share was down to 28 percent, as credit unions are also down to 21 percent.

You see, digital technology has indeed changed even the way people borrow money. Well, for sure you, too, will agree that digital or online lending companies have really made loaning money easier and more accessible.

The online lending industry is growing, and experts believe it will continue to grow in the coming years. With so many options around, sometimes it can get a little intimidating and overwhelming to choose one.

Now, among the many options available, Personify Financial is one of them.

Having said that, we are going to do a Personify Financial personal loans review, which we hope will serve as your guide as you make a decision as to where to borrow money from when the need arises.

To be guided, we are going to tackle the following:

  • Who is Personify Financial?
  • Why choose Personify Financial?
  • What do you need to know about Personify Financial personal loans?
  • Who qualifies for a Personify Financial personal loan?
  • How to apply for a Personify Financial personal loan?
  • What are the pros and cons of Personify Financial?

Before we head onto with our review, here’s a quick personal loan 101 first by MoneyCoach in case you need to refresh your memory:


Before anything else, borrowers need to know at least a little about the lending company they are eyeing for. Getting to know who Personify Financial, for this matter, is important to know how credible the company is especially since they work entirely online.

As a borrower, you also need to ensure that you are dealing with a legit and credible company to avoid wasting time and effort.

Having said that, here are a few things you need to know about Personify Financial —

Personify Financial is an online lender known for specializing in smaller loans. The company aims to provide financial assistance to borrowers who have a poor credit history. But of course, that means getting charged for up to a triple-digit APR.

Personify Financial offers personal loans with no collateral requirements to eligible borrowers. Thus, it makes it even more ideal for people who badly need cash but do not have collateral to serve as a loan guarantee.

The company’s personal loans are offered by Applied Data Finance, LLC, which is a direct lender that was founded in 2015 and based in San Diego, California.

To date, Personify Financial is available in 26 states across the United States of America. However, the company is headquartered in Dallas, Texas.


On their website, Personify Financial claims that they are “different,” and here are some of the reasons they provided:

  • The company ensures borrowers of a simple and fast online loan application process. With people now being on-the-go, and busy with a lot of things, Personify wants to ensure that you only need a little of your time to be able to finish the whole loan application process. Since it’s online, you can do it anywhere and anytime you want.
  • Although the process was made easier and quicker, rest assured that the company does complicated calculations as well as comparisons to see if they can help borrowers with the amount of money they need.
  • The company is not only open for high-credit customers, but also to those who have a less-enticing credit score. So, if you are someone who’s in need of funds but does not have a good credit score, Personify may just be the right partner for you.
  • Personify guarantees borrowers that while other lenders may consider just a few pieces of information, Personify does look at many and make sure that they get to see the borrower’s whole financial story.
  • Personify Financial uses powerful technology to be able to provide outstanding service to customers.
  • Unlike other online lenders, borrowers are assured that with Personify Financial they get to deal with real people and not loan-bots.

Apart from the above-mentioned characteristics that make Personify Financial different from other online lenders, here are a few more why you should choose the company over many others:

  • It provides fast access to cash. Depending on the case of your application, you can get your money in as quickly as within 1 business day.
  • Borrowers with a credit score of as low as 560 can apply for a loan. Yes, Personify is a good option among borrowers with poor credit. But of course, expect a high-interest rate in return (which is not surprising because it’s a general rule in the lending industry).
  • No prepayment fee, which means if a borrower wants to pay off the loan earlier than the maturity date, he or she may do so without having to worry about getting charged with a prepayment fee.


So, now that you already know what Personify Financial is all about, and consider rather choose them over other online lenders, it’s time to look into the different factors of a Personify Financial personal loan.

At this point in our Personify Financial personal loans review, we are going to specifically give you detailed information regarding the following aspects of a personal loan:

  • Loan Amounts
  • Uses
  • Interest Rates
  • Loan Terms
  • Funding
  • Fees
  • Prequalification
  • Availability
  • Customer Service

All of the above-mentioned are very important in your decision-making. Thus, make sure to take note of the information provided.

Loan Amounts

Before anything else, it is important that you already know in mind how much money you need. That way, it’s easy to forego of choices on your list by the amount of loan they offer alone.

Now, for Personify Financial personal loans, the company can lend money of as low as $1,000 up to $10,000 max.

However, it is important to note that loan amounts vary from one state to another. Thus, it is important to check on that, too.


Personify Financial personal loans can be used pretty much for anything like home improvements, special purchases, weddings, or other similar life events, debt consolidation, medical expenses, unexpected expenses, and other similar purposes.

Interest Rates

Another important factor that you need to consider when borrowing money from lending companies is the annual percentage rate or APR they charge.

At Personify Financial, the company offers a personal loan product that ranges from 35% APR up to 199% APR. The APR, though, will depend on several factors like the borrower’s credit score, as well as his or her area of residence.

Now, although technically, Personify Financial is not a payday loan, the interest rate can still get that high as compared to other online lenders. Again, certain factors have something to do with that. Keep in mind also that the personal loans they offer are unsecured loans, which means the company does not require collateral as a guarantee.

Loan Terms

To ensure that you are able to pay off the loan, make sure to also look into the repayment terms that a lending company offers.

At Personify Financial, personal loans have terms that range from 12 up to 36 months.

The good thing about longer terms is that borrowers have more time to pay off with less monthly payment. However, this may mean a higher interest rate as well.

Meanwhile, paying it off sooner means lower interest. So, make sure to think about that as well.


Once approved of a Personify Financial personal loan, disbursement of money is done within one to two business days.


Personify Financial does not charge both application and prepayment fees. However, it does charge origination and late fees.

For the origination fee, the charge depends on the state. It ranges from 0% up to 5% of the loan amount. What Personify does is that they automatically deduct the fee from the loan about before disbursing the money to the borrower.

With that, borrowers must ensure that the fee is taken into account when deciding how much they will borrow from the company.

As with late payments, it is not clearly stated how much the company charges, but they do.

To avoid getting charged for late fees, make sure to always have enough money in your account.


Unlike other online lending companies, Personify Financial allows borrowers to apply for prequalification. They may complete a soft credit inquiry, which basically means the borrower’s credit score will not be affected.

If the borrower prequalifies, he or she will be able to see the estimated loan rate as well as loan terms that he or she might be approved for.


Currently, Personify Financial is available in 26 states in the US. These are as follows:

Alaska, Alabama, Arizona, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Kansas, Kentucky, Louisiana, Michigan, Minnesota, Missouri, Mississippi, Montana, North Carolina, Nebraska, New Mexico, Ohio, Oklahoma, South Carolina, Tennessee, Texas, Utah, Washington

Customer Service

If you have questions regarding Personify Financial personal loans, you may reach them at 1 (888) 578-9546.

You may also send them an email through their website, and through mailing at PO Box 208417, Dallas, Texas 75320-8417.


In this Personify Financial personal loans review, we are also going to tackle the qualifications the company has when it comes to those applying for a personal loan.

Knowing the qualifications set by the company is important so borrowers can self-assess. By doing so, he or she gets to save time and effort, too.

As mentioned earlier, Personify Financial is open to personal loan borrowers with a credit score of at least 560 up to 750.

Apart from the credit score, the company also look into the following qualifications:

  • The loan applicant must be at least 18 years old or the state minimum (whichever is higher)
  • Must be at least a permanent resident or green card holder

Furthermore, personal loan applicants must be able to provide the following documentation:

  • An active and valid personal checking account
  • Recent pay stubs
  • Proof of citizenship or residence permit

You see, that’s all they need to assess your personal loan application. True to their promise of an easy and quick personal loan application process.


As mentioned earlier, Personify Financial does have a prequalification process, which can be done in just a few minutes.

To do the prequalification process, all you have to do is head on to the company website, and then, hit the “Get Started Now” button. You will then automatically be directed to the prequalification page wherein you will be asked to enter the following information:

  • Name
  • Email Address
  • Postal Address

If you pre-qualify and decide to pursue a personal loan application at Personify Financial, here are the steps to follow:

1. Fill out the online application form.

You will be asked to provide information like your name and address, your phone number, date of birth, as well as your Social Security number. You will also be asked to indicate the amount of money you will borrow, the purpose of the loan, as well as your monthly post-tax income, and your source of income.

Furthermore, you will also be asked to provide details about your employer and how often you get your income.

2. Allow Personify Financial to get in touch with you and pull your credit reports.

Personify Financial will ask your consent if they can contact you and pull your credit report to first, validate your identification, and to check your credit history and see what the company can offer you in terms of the loan amount, etc.

3. Personify Financial will conduct a hard credit check.

In relation to the above, once you have given consent, the company will proceed to do a hard credit check, which can adversely impact your credit score.

4. Wait for a reply from Personify Financial regarding the status of your personal loan application.

According to Personify, they will send a same-day response regarding your qualification, as we well as the amount of money you can borrow, and the loan terms.

5. If the loan is approved, receive your funds within 24 to 48 hours.

One thing that Personify promises is that once your loan application is approved, the disbursement of funds will be automatically processed so you get the money within one business day or up to two business days.


Of course, this Personify Financial personal loans review will not be complete without sharing with you the pros and cons of dealing with this lending company.

This list will definitely help every borrower come up with an informed decision as you can compare it to other online lending companies out there.


  • Personify Financial makes a good option for people with a poor credit score. While other lending companies rely on the borrower’s credit score when making decisions on a personal loan application, Personify does not grant loans based on it alone. Thus, making it an option for people with not so good credit or no credit at all.
  • It does offer a loan prequalification. A prequalification helps a lot for borrowers to have an idea about the possibility of getting approved for a personal loan. The good thing about the prequalification process is that it only does a soft credit check, which means it won’t affect a borrower’s credit score.
  • It does not charge a prepayment fee. Unlike other online lending companies, Personify Financial lets borrowers pay off the loan as soon as they can without having to worry about getting charged with a prepayment fee.
  • It helps borrowers build credit. Personify Financial reports every payment made to the credit bureaus, which makes it ideal for those who want to build a good credit score.
  • Funding is disbursed within one to two business days. This may not be unique to Personify, but this makes it one of the lending companies borrowers can go to if they need cash immediately.


  • The annual percentage rate could go as high as 199%. Unfortunately, for those with bad credit, your interest rate could go as high as 199%. But the actual rate does not rely on that alone, as factors like the amount of loan, terms, and location are also considered.
  • Borrowers have no other means to apply but online. This should not be an issue at all, to be honest, unless of course, you have problems with internet access.
  • The company charges origination and late fees. Origination fee can go as low as 0% up to 5% depending on the state you’re in. Meanwhile, late payments are also charged.
  • Personify Financial is only available in 26 states. Unfortunately, the availability of Personify is limited. Makes sure to check the list we provided earlier to know where it operates.


Personify Financial has definitely had everything that borrowers can expect from an online lending company.

Now, with all the information we provided, do you think Personify is the right online lending company for you?

To end this Personify Financial personal loans review, we have to say that with all the information we gathered, this lending company is definitely a good option especially for borrowers who are either problematic or need to work on their credit.

Investment Apps and Websites

What Is A Personal Loan: Everything That You Need To Know

Understanding what is a personal loan will enable us to maximize the product to its full potential. As you know, a personal loan is one of the commonly used, needless to say, the most accessible form of loan for everyone.

what is a personal loan a comprehensive guide

Based on a report published by CNBC, the unsecured personal loan market in the United States hit an all-time high in 2019. It surged to “17 percent year over year to $138 billion, according to data from TransUnion“. In the same report, it stated that the digital-first financial technology or fintech companies are the primary drivers for the said increase, making personal loans available for everyone. Needless to say, making it easily accessible with just a click on their smartphones.

Furthermore, in data from the Chamber of Commerce, it says that the current total personal loan debt in the country has amounted to $143 billion, and just the same, fintech companies are to blame for the increased number. In fact, by Q4 2018, “fintech loans accounted for 38% of outstanding loan balances, compared to a mere 5% five years prior.


But apart from the existence of fintech companies, which, according to Investopedia, refers to “the integration of technology into offerings by financial services companies in order to improve their use and delivery to consumers,” another major reason for the increase of personal loans in the country is the fact that personal loans can be used for almost anything.

You can use it for both necessity and leisure, for emergency purposes, or for something that you have been planning to purchase for a while now.

But what is a personal loan really?

While some of us may be knowledgeable about this very popular form of a loan, others have very little knowledge about, and that is precisely why we are going to share with you everything that you need to know about – personal loans.

To be specific, we are going to tackle the following essential information about personal loans:

  • What is a personal loan?
  • How does a personal loan work?
  • What are the different types of personal loans?
  • Who is eligible to apply for a personal loan?
  • How to get approved for personal loans?
  • What can a personal loan be used for?
  • Where to apply for a personal loan from?


If you will search over the internet what is a personal loan over, you will find hundreds if not thousands of (mostly finance-related) sites with their own version of definition about the term. But, if you will examine each definition, they all basically mean one thing — it refers to the money borrowed from a lender, which could be a bank, a credit union, or an online lender.

The amount of money borrowed will be repaid with a corresponding interest, which could either be fixed-rate or variable-rate (we will discuss these terms further later on).

Generally, the interest rates on personal loans depend from one borrower to another, taking a lot into consideration the borrower’s credit.

Personal loans are installment loans, which means, you can pay it for a specific period of time depending on what you have agreed upon. It could be within x number of months or in some cases (especially when the loaned money is big), lenders allow x number of years to have it repaid. To put it simply, the money is issued right there and then, and the borrower has to repay the loan with a fixed payment over a predetermined loan period.

One more personal loan feature that makes it stand out from other forms of loans is that most personal loans are unsecured loans. This means that you do not need to provide any collateral to the lender.

However, unlike secured loans, the average interest rates on personal loans tend to be higher, but still lower as compared to credit card interest rates.

Before moving on, here’s a quick video by Keder Cormier wherein he discusses what personal loan is all about. It’s very informative, you should check it out by clicking the play button below:


Now that you already know what is a personal loan, this time we will discuss how exactly does it work.

We find it necessary that before you even get yourself into borrowing money through personal loans, you should make time to fully understand how it actually works. This will help spare yourself from confusion and making wrong moves or decisions with regards to personal loans.

So, as mentioned earlier, a personal loan is a type of installment loans like mortgage and auto loans. That means you borrow a certain amount of money, and then, you pay it back with an interest in monthly installments over a specific period, which usually ranges from 12 to 84 months.

Once you are done paying off the loan, your account will be automatically closed. Should you need more money, all you have to do is apply for a new loan. That’s basically how a personal loan cycle goes.

However, it is important to take note that the details vary from one lender to another, which is why it is important that you do your research first before you jump into sending a personal loan application to a financial institution.

There are three major details that you need to look into. These are:

  • Interest Rates
  • Repayment Period
  • Origination Fees

So, what are these all about? Read on.

Interest Rates

Earlier, we mentioned about fixed rates and variable rates. It’s time for you to fully understand what these terms are all about.

But first, know that interest rates vary from one borrower to another depending on the person’s credit. The better your credit is, the lower your interest will be. Otherwise, if you have thin or bad credit, expect to get a higher interest rate. Some of which may be as high as credit card rates, and in some cases, lenders may require you to have a co-signer for the loan.

Now, what is a fixed-rate, and what is a variable rate?

  • Fixed-rate is the most common type of interest rate among lenders. This basically means the interest rate does not fluctuate during the entire period of the loans. You basically make the same amount of monthly payment from day one of the loan periods. This allows borrowers to accurately predict their monthly payments.
  • Variable-rate, meanwhile, is not that popular, but it’s there. Basically, the interest rate charged on the outstanding balance depends on the market interest rates change. Thus, as a result, you may end up paying more or less.

So, as you can see, between the two, fixed-rate interest is the most ideal. No wonder why it is widely used by lenders as compared to variable-rate interest.

Repayment Period

Apart from the interest rate, another important thing that you need to look into is a personal loan’s repayment period or repayment time.

All lenders have their respective repayment periods depending on the amount of money borrowed or in other cases, on the borrower’s ability to pay off the debt.

Repayments vary — normally, 12, 24, 36, 48, or even as long as 84 months. While longer payment periods seem to be more convenient because it means lower monthly payments, this, however, also means you are going to pay more in interest.

Meanwhile, a shorter payment period, while it means higher monthly payments, results in lower interest rates.

It is also important to note that having an open loan or existing loan can affect your ability to get approved for other loans, or even for availing credit cards. This means, if you pay for a loan longer, you have to be open to face the consequences, which limits your ability in obtaining new credit.

Also, a lot of personal loans come with penalties for paying off the debt early, which is why between long-term and short-term loan periods, it’s best to take the shortest repayment period that you can afford.

Origination Fees

Origination fee refers to a fee a borrower needs to pay to his or her lender upon receipt of funds. Basically, the fee compensates the lender for expenses such as processing your application, as well as marketing.

Normally, the origination fee ranges from 1% up to 8% of the total amount borrowed. Although in some cases, there are lenders that charge a flat origination fee, while others do not charge anything at all. Again, it varies from lender to lender, which is why comparing lenders before you seal a deal is ideal.

The origination fee is only charged if the loan is approved and funded. So, if your personal loan application is denied, you should not be paying any origination fee.

Generally, lenders deduct the origination fee from the total approved loan amount. So, for instance, your personal loan amounts to $8,000. The lender charges a 2% origination fee, which in this case amounts to $160. Thus, instead of receiving the full $8,000 loaned amount, the borrower will receive $7,840 (origination fee is already deducted).

To be specific, the origination fee is charged to cover upfront costs such as the following:

  • Income verification with national databases
  • Credit checking with credit bureaus or other alternative sources
  • Reviewing your application

To put it simply, the origination fee may be determined based on the loan amount, the repayment period, the borrower’s credit history, as well as whether or not there’s a co-signer required, and the reason for the personal loan.


Part of understanding what is a personal loan is knowing and understanding also the different types of personal loans.

There are two types of personal loans. These are secured loans and unsecured loans.

What are these and what sets each other apart from one another?

Here’s a quick definition of the two:

Secured Loans

This refers to the type of personal loan that is backed by collateral like a certificate of deposit or a savings account. Basically, if the borrower is not able to make payments for the loaned amount, the lender has the right to claim the borrower’s asset as payment for the loan instead. Since the collateral reduces the lender’s risk, it’s normally easier to qualify for this type of loan. More so, lenders offer more favorable terms.

Unsecured Loans

Unsecured loans, meanwhile, refers to a type of personal loan that is not backed by collateral. Generally, lenders that provide or offer unsecured personal loans base whether the borrower qualifies or not for a loan on his or her financial history. However, the downside of unsecured loans is that they tend to have higher interest rates as compared to secured loans.

To be honest, it’s hard to say that secured loans are better than unsecured loans, or vice versa, because obviously, it depends on a number of reasons like if the borrower wants lower interest rate or if the borrower does have an asset that he or she can pledge as collateral.

It’s safe to say that determining which is better between the two will depend on the borrower. So, yeah, it all depends on you.


By this time, you already know what is a personal loan, how it works, and the two types of personal loans. Now, it’s about knowing who is eligible to apply for a personal loan.

Generally speaking, a borrower’s eligibility for a personal loan depends from one lender to another. Each lender has their own set of requirements specified for personal loan applicants. Some of the common requirements include:

  • Must be a U.S. citizen or U.S. resident cardholder
  • Must be 18 years old and above
  • Must have a valid U.S. bank account
  • Employment details
  • Your monthly/annual income
  • Proof of identification

Furthermore, a borrower’s eligibility, as well as the interest rate he or she is quoted, will be based on two major factors, which are your credit score, as well as your debt-to-income ratio. We’ll discuss this further because these two are very important. These are the make it or break it factors of your personal loan application.

Credit Score

Every personal loan lender has the freedom to their own credit score requirements.

However, according to Fair Isaac Corporation (FICO), which is a company that offers a credit-risk model with a score, and over 670 credit score is considered as “Good,” while more than 740 credit score is “Very Good,” and 800 and more is considered as “Excellent”.

Unfortunately, while those borrowers with 670 and below credit score or no credit score may still qualify for a personal loan, they may either find it hard to get approval or get one but with a higher interest rate.

In some cases, though, creditors or lenders allow borrowers with low credit scores provided they have a credit-worthy co-signer, or they have an asset that they can use as collateral to their loan (this one will fall under secured loans though).

Just to give you an idea, personal loan borrowers with great credit scores may qualify for an interest rate under 5%, while those who are less-qualified or with low credit scores may get approval with an APR of over 30%.

You see, the difference is quite huge.

Debt-to-Income Ratio

Borrowers’ will find your debt-to-income or DTI ratio by simply dividing their total monthly debt payments by their monthly income.

For instance, if you spend $500 to debt repayment monthly, and you have an income of $2,500 a month, your DTI is 20%.

According to one of the major banks in the country, Wells Fargo, you are “looking good” if you have a DTI that is below 35% a month. Meanwhile, borrowers with a DTI of 36% up to 39% are put under the “Opportunity to Improve” category. Those who have over 50% DTI need to “Take Action” because they are likely to have very limited options.


In relation to the qualifications we mentioned earlier, we are going to share with you some secrets, rather essentials, to ensure your personal loan application’s approval.

As we mentioned earlier, the approval of personal loans varies from one lender to another. More so, the requirements also vary. However, the process is quite the same.

Lenders evaluate personal loan applications according to the person’s creditworthiness. Typically, this means lenders review the borrower’s borrowing history, as well as his or her income.

There are three major aspects that you need to work on if you want to get your personal loan application approved. These are:

  • Credit Score
  • Income
  • Collateral

Of course, we are going to discuss further each item for you to fully understand their importance.

Credit Score

It’s probably safe to say that checking the borrower’s credit score is mandatory among lenders. Lenders obtain a credit score to see whether or not you have already borrowed in the past.

Basically, a borrower’s credit report contains details about past loans, as well as late payments, and other public records that lenders might want to know.

In other cases though, lenders use “alternative” credit scoring tools like taking your history on-time rent as well as utility payments. These serve as their predictor of how you are going to repay a loan.


Yes, how much you earn matters as well when applying for personal loans. By knowing the borrower’s income, lenders get to determine whether or not the borrower does have the capacity to pay off the loan.

Lenders may ask details about your income, as well as your employment.

Furthermore, knowing your income will help lenders calculate your debt-to-income ratio to ensure that the loan payment will not consume too much of the borrower’s monthly income.


Just to reiterate, collateral is only necessary if you are applying for a secured loan. Unsecured loans do not require such.

The term collateral refers to any asset (a property, a savings account, etc.) that a lender accepts to secure a loan. If the borrower is unable to make payments for the loan, the lender may take the collateral to serve as a payment for the loan instead.


By now, you have probably understood so much about what is a personal loan. But apart from what we have already discussed, it is also important that you know in what particular circumstance you can use a personal loan.

Generally speaking, you can use a personal loan for almost anything and everything under the sun. Unlike other types of loans, a personal loan covers almost any probable reason that you will need extra money.

But to be more specific, here are some of the common reasons where personal loans are used for:

Debt Consolidation

Some of us tend to have overflowing debts, and sometimes it gets to a point when it’s already too much to handle. And before you even think about just running away, one thing you can do to get away with so many debts is to consolidate them — especially if your current creditors are charging you a higher interest rate.

You can use a personal loan to consolidate old debts in just one lower rate. This will definitely work to your advantage. More so if the lender does not charge an origination fee.

Here’s the thing, once you have decided to consolidate your loans, make sure to pay off the current personal loan first. Consolidating loans can be quite tempting, but with determination and discipline, you will surely avoid getting into the same situation over again.

Student Debt

Some people use a personal loan to pay off existing student debt, although, to be honest, sometimes it’s not really a wise idea. It’s because the student loan interest rate is typically lower as compared to other types of loans — including a personal loan.

However, when you are left with no other choice, you can always opt to apply for a personal loan. Just make sure though that you are dealing with a lender that provides the lowest possible interest rate.

Medical Bills

Emergency happens, and oftentimes, it happens when we least expect it, and worse, when we are not financially ready for it. Good thing is, personal loans can help you when medical bills are beyond what you can afford.

However, before anything else, make sure to negotiate the bills first. Some healthcare providers may be able to give you a discount, which will surely help lessen the financial requirement. Another thing is to ask the healthcare provider if you can pay off the medical bills in installment. But as they say, when all else fails, a personal loan may be what you really need to pay off the bills.

Small Home Improvements

You know, sometimes we tend to find ourselves wanting some change in our homes, but we cannot pursue it because of the lack of budget. But guess what? Personal loans can also be used for home improvement purposes!

While it is more popular to use home equity loans for home improvement projects, some people would prefer using a personal loan instead especially if you do not really need a significant amount of money.

A personal loan intended for home improvements could actually be less expensive. Needless to say, it’s easier to apply for.

Expensive Purchases

There are times when we want to buy something but couldn’t because we are financially incapable or simply because we do not have cash. The thing is, a personal loan actually lets you use the money for whatever purchases especially expensive ones of course. Don’t worry you won’t be judged.

But of course, it is always best to make sure that you are only spending money rather than borrowing money for worthy purchases. Worthy meaning something that you genuinely need, and not just because you want that item for yourself.

Travel or Vacation

Dreaming for a fabulous vacation? You surely can do that! And yes, you can apply for a personal loan for that purpose.

Ideally, you should save up for your dream travel or vacation. However, there are instances when you need to go to a place, and saving up would cause a delay. Thus, a personal loan might just be a great idea for you.

Car Financing

Some people prefer personal loans over car loans because car loans are secured loans, which means the car you bought automatically becomes collateral. So, in case of failed payments, your dream car will be repossessed by the lender.

More so, personal loans do not require a downpayment, while auto loans usually do. So, unless you score a low-rate auto loan, a personal loan would be more ideal to buy yourself a new car.

Small Business

Technically, a personal loan is not designed for business purposes. However, there are entrepreneurs especially small ones who prefer using a personal loan in funding their business’s launching or operating costs. Also, some online entrepreneurs who need small capital would rather use a personal loan over a more appropriate loan product.

Wedding Cost

Ideally, when getting married, you use your savings to fund this life-changing event. However, in some couples, this is not the case. Thus, the option to apply for a personal loan to help get through their desired or dream wedding.

Let’s face it, even the simplest wedding possible still need a penny to push through. So, when you really have to, when you have already pulled out all your resources but still not enough, a personal loan may be ideal for you. Just make sure though you only borrow what you need and not too much. After all, you do not want to spend the first few years of your married life paying off debts, right?

The list is actually long. There are just too many possible reasons to get a personal loan. As we have said earlier, unlike other types of loans out there, a personal loan can be used for almost if not everything. So, yeah, it’s safe to say that a personal loan is handy. You can borrow or apply for it anytime you badly need cash.


So, you know now what is a personal loan. You also know already about the different types of personal loans, as well as who’s eligible, and for what purpose can you apply for such loan type. This time around, we are going to share with you where exactly to apply for a personal loan.

There are actually three different entities where you can apply for a personal loan. These are through:

  • Banks
  • Credit Unions
  • Online Lenders or Creditors

Let’s discuss each further –


Banks are very accessible. In almost every corner especially if you are living in the downtown area, you will see a bank. Some of these have been around for decades, while others are relatively new in the banking industry.

Nevertheless, they all have one thing in common. They do offer personal loans to their customers.

The thing about traditional banks is that loaning or borrowing money requires the borrower to show up at the branch of the bank. He or she needs to apply for a personal loan in person.

As compared to credit unions and online lenders, banks are stricter when it comes to requirements. They do not easily approve a loan application — unless you qualify.

One major draw of banks, as we have mentioned earlier is the fact that they are all over the place. You can choose from a wide selection of banks in your area.

More so, applying in person allows borrowers to take advantage of benefits like asking help from a credit specialist to recommend the best possible loan offer. At the same time, borrowers may also request to have them go through the whole process.

In addition to that, the delivery process tends to be quicker as well especially if the borrower does have existing savings or checking accounts with the bank already.

Meanwhile, although traditional banking service is the key to applying for a personal loan in banks, with the technological advancement around, most banks have already jumped into offering online loan application as well. Definitely, this makes the process easier and more convenient.

  • Requirements:

Requirements vary from one bank to another. However, most major banking institutions require a fairly minimum credit score of 660 to get approved for a personal loan application. With that said, banks are not ideal for those who have low credit scores.

  • Interest Rate:

Interest rates also vary from bank to bank. Usually, though, banks charge at least 6%, and at most 25%.

Some of the best banks that offer personal loans are:

  • American Express
  • Citibank
  • KeyBank
  • Wells Fargo
  • U.S. Bank
  • Discover Bank
  • TD Bank
  • PNC
  • Fifth Third Bank

Credit Unions

Between the three options on where to get a personal loan from, credit unions are probably the best choice.

First off, a credit union is a not-for-profit organization. It is a member-owned financial cooperative. To be able to get a personal loan, you have to be a member first, and because you are a member of the organization, that means you are part-owner of it.

The thing we like about credit unions is that it provides its members with a variety of financial services, which include credit with competitive rates.

Unlike banks, credit unions are not that popular. They are not as many as banks. That is why when you are opting to loan from a credit union, it is best to check first if you have one in your area.

Just like banks, though, you have to apply for a personal loan in person. Digital application is not a popular practice among credit unions, but who knows, maybe one of these days, they eventually offer it as well.

  • Requirements:

Requirements for a personal loan application vary depending on the credit union. However, one thing is for sure, you have to be a member. Otherwise, you won’t be qualified at all.

With regards to credit score requirements, since credit unions are more community-oriented, they are more likely to approve loans even with people who do not have good credit.

  • Interest Rate:

One of the best things about credit unions is that they offer lower interest rates compared to banks. This becomes possible because of the fact that federal credit unions have an interest rate cap set by a national board. Meanwhile, state credit unions have a cap set by the state government. At most, credit unions charge up to 18% interest rate only.

Some of the best credit unions that offer personal loans are:

  • Affinity Federal Credit Union
  • Aspire Federal Credit Union
  • Georgia’s Own Credit Union
  • Pentagon Federal Credit Union
  • NASA Federal Credit Union

Online Lenders or Creditors

Obviously, online lenders refer to creditors who operate entirely online. This industry has grown over the years perhaps because of convenience, and the fact that online lenders offer competitive rates as well.

One of the major draws of online lenders is that you do not have to wait long for approval. In just a few minutes after an online loan application, a decision is given. Also, funds are provided as soon as approved.

Online lenders are ideal for people who are always on-the-go or those who badly need funds as soon as possible.

  • Requirements:

Online lenders do have their respective sets of requirements. Unlike banks and credit unions though, online creditors lend to people with bad or have no credit at all.

  • Interest Rate:

Compared to banks and credit unions, online lenders tend to have a higher interest rate (depends on your credit). In fact, some online lenders may charge as high as 36%, while some, as low as 6% interest rate.

Some of the best online lenders that offer personal loans are:

  • FreedomPlus
  • Marcus by Goldman Sachs
  • SoFi
  • LendingClub
  • LendingPoint


Perhaps by this time you have fully understood what a personal loan is all about. As you can see, there are so many things that you need to know before jumping into a decision of getting a personal loan on a financial institution.

As borrowers, we thought it is our responsibility to be fully informed to avoid making uninformed decisions or committing mistakes especially when it comes to money. After all, nobody wants to waste money, right? All the more if it is hard-earned.

So, do you see yourself applying for a personal loan anytime soon?

Just keep in mind all the information we shared about a personal loan. Not just about what is a personal loan, but all the other equally important information that comes with it.

Investment Apps and Websites

Where Is The Best Place To Get A Loan From?

Finding the best place to get a loan could get a little challenging for some, but the good thing is, there are so many options out there, and it all boils down to finding your perfect match based on your personal needs and preferences.

Best Place to Get a Loan From

According to the data from the Chamber of Commerce, there are 21.1 million outstanding personal loans in the United States. Over 19 million consumers do have an existing unsecured personal loan as compared to the 176 million Americans with credit cards.

You see, these numbers only show that a lot of people in the U.S. do have an existing loan and that the lending industry is booming – no wonder why banks, credit unions, and recently, online lenders continue to prosper. A lot of people need their services.

Anyway, speaking of banks, credit unions, and online lenders, these three are the three major places where you can get a loan. All three of them have their respective highs and lows. But the question is, where is the best place to get a loan?


Well, that is exactly what we are going to tackle today. We are going to share with you different options in each category where you can get the best deals when it comes to borrowing money. Know that at the end of the day, the best place to get a loan will depend from one person to another. As we have mentioned earlier – it will all depend on your personal needs and preferences.


Banks are everywhere. Some of them have been around for decades, and have earned their credibility over the years. Loaning or borrowing from banks usually requires the borrower to apply in person. Needless to say, banks tend to have stricter requirements when it comes to the approval of loan applications.

Let’s face it though, compared to the other two options, one major draw of getting a loan from a bank is that they are present in different places. They have branches in almost every state (depending on the bank, of course).

Although the traditional application does still exist, thanks to the advent of digital technology and the internet, a lot of banks now offer an online application, which makes the process easier and more convenient for both parties.

While the online application is more convenient and time-saving, applying in a branch provides you with amazing benefits like you can ask help from a credit specialist to recommend the best loan the bank offer, and he or she may also walk you through the process. Furthermore, in most cases, you may also find the delivery process faster especially if you already have an existing saving or checking account with the bank.

However, borrowing money from banks does also has its share of drawbacks. One, a lot of major banking institutions require fairly high minimum credit scores to get approved for a loan. Usually, they require a 660 credit score or higher. Having said that, banks are not ideal for people with bad or no credit at all. Two, some major banks like PNC, KeyBank, Wells Fargo, and more offer secured personal loans, which requires borrowers to put up collateral. This means, if the borrower fails to pay off the loaned amount, he or she will have to turn over the collateral to the bank.

Interest rates vary from one bank to another, also, depending on your credit. However, usually, banks do not charge more than 25%, while the lowest interest rate could be as low as 6%.


For your further reference, here are some of the pros and cons of borrowing money from banking institutions:

There are a lot of branches to where you can apply for a loan from. They have stricter loan application requirements.
Some banks offer online loan applications. Most banks, particularly the major ones, require fairly high minimum credit scores.
A credit specialist can recommend the best loan the bank can offer. Some major banks require collateral.
When applying in-person, you can ask your credit officer to walk you through the whole process.  
The delivery process is faster when you have an existing current or savings account with the bank.


For your reference, here are some of the best banks to get a loan from:

  • American Express – More popularly known as Amex, American Express is (obviously) an American multinational company that offers financial services. Headquartered in New York City, the bank offers various products and services, which include credit cards, prepaid cards, corporate programs, as well as savings accounts and CDs, gift cards, and personal and business loans.
  • Citibank – Citibank is another major banking institution that offers a variety of products and services including credit cards, as well as personal and business loans. The company is the consumer division of financial services multinational Citigroup. Founded in 1812, the company is headquartered in New York.
  • U.S. Bank – U.S. Bancorp is an American bank holding that is based in Minneapolis, Minnesota. The company is also incorporated in Delaware. U.S. Bancorp is the parent company of the U.S. Bank National Association, which is one of the largest banks in the United States.
  • Wells Fargo – Wells Fargo & Company is another American multinational financial services company. Headquartered in San Francisco, California, the company does have central offices across the country. Also, it is currently the world’s fourth-largest bank based on market capitalization. In addition, it is the fourth-largest bank in the US based on total assets.
  • KeyBank – KeyBank is the primary subsidiary of the KeyCorp, which is a regional bank that is headquartered in Cleveland, Ohio. As of this writing, KeyBank is listed as one of the largest banks in the country. The bank offers a variety of products and services, and one of them is loans.
  • PNC – PNC Bank is headquartered in Pittsburgh, Pennsylvania. It offers a wide variety of services for all types of customers — from individuals to small businesses up to private corporations and government offices.
  • TD Bank – Tagged as America’s Most Convenient Bank, TD Bank, N.A is both an American national bank and subsidiary of the Canadian multinational Toronto-Dominion Banks (thus the name). The bank offers a wide range of products and services including credit cards and personal loans.
  • Discover Bank – Discover Bank is an FDIC-insured online bank. It offers a number of product selections like a debit card that offers cashback rewards. Unlike the other banks we mentioned, Discover Bank does only has one branch, which is located in Greenwood, Delaware.
  • Fifth Third Bank – Fifth Third Bank offers all personal banking solutions depending on your needs. The Fifth Third Bank is headquartered in Cincinnati, Ohio. It is the primary subsidiary of the Fifth Third Bancorp, which is a bank holding company.

Before we move on, sharing with you an interesting review from Honest Finance wherein he tackles his 3 best personal loan companies. Check the video out by clicking the play button below:


A credit union is probably the best place to get a loan from. A credit union refers to a member-owned financial cooperative. It’s a not-for-profit organization that is controlled by the members and is operated on the principle of people helping people. A credit union provides its members with different financial services including credit at competitive rates.

Compared to banks, credit unions are not as popular. Credit unions usually service a limited are, which is why if you are opting for this option, it is best to do a search of credit unions near you first. You may also give them a personal visit or check their website to see what types of loans they offer.

Meanwhile, like banks, credit unions also allows you to apply for loans in person. Since credit unions are more community-oriented, they are more likely to approve loans even with people who have subpar credit.

What we like about credit unions is that they offer interest rates that are lower compared to banks. They are able to provide a lower interest rate because federal credit unions have an interest rate cap set by a national board. As with state credit unions, they have a cap set by the state government. Moreover, at most, credit unions can only charge up to 18% interest rate.

Just like banks, credit unions have their share of drawbacks as well. This includes eligibility for membership. Most credit unions base their membership requirements on a relationship with an existing member; living, working or going to school in a particular area; or working for a specific company. So, it is just right that if you are looking at borrowing money through this channel, you better check if you are qualified for membership first. 


For your further reference, here are some of the pros and cons of borrowing money from credit unions:

You are a member of the credit union, which makes you a part-owner of the organization. You are required to pay a membership fee (which costs between $5 and $25) to be able to join.
Credit unions have lower fees than many commercial banks out there. Not all credit unions are insured.
They offer better rates (maximum is 18%) as compared to traditional banks. Credit unions have limited branches and ATMs.
Based on reviews, customer service at credit unions are better than commercial banks. They offer fewer services compared to banks.


For your reference, here are some of the best credit unions to get a loan from:

  • Affinity Federal Credit Union – Affinity Federal Credit Union is a credit union that is based in Basking Ridge, New Jersey. The organization offers comprehensive services, which include checking and savings accounts, mortgage, home equity, as well as business solutions, auto loans, credit cards, and many more.
  • Aspire Federal Credit Union – Headquartered in Clark, New Jersey, Aspire Federal Credit Union is a full-service, not-for-profit financial cooperative. It is listed as the 19th credit union in the said state. It is also one of the largest credit unions in the country.
  • Georgia’s Own Credit Union – As the name suggests, Georgia’s Own Credit Union is a credit union that is based in Atlanta, Georgia. Founded in 1940, Georgia’s Own Credit Union is tagged as the third-largest credit union in Georgia has more than 188,000 members as of 2018.
  • Pentagon Federal Credit Union – More popularly known as PedFed, Pentagon Federal Credit Union is one of the country’s federal credit unions. Headquartered in McLean, Virginia, the credit union is federally insured by the National Credit Union Administration. As of this writing, the credit union serves 1.75 members from all over the globe.
  • NASA Federal Credit Union – Headquartered in Upper Marlboro in Maryland, the NASA Federal Credit Union holds nearly $3 billion in assets and is also one of the credit unions that is insured by the National Credit Union Administration. As of this writing, the credit union boasts about 177,000 members from all over the country.


From the name itself, online lenders refer to money lenders that operate entirely online. Online lenders are known to offer better interest rates, as well as smaller service fees compared to traditional banks. For obvious reasons — as they do not have the same overhead cost as banks or credit unions.

Unlike banks and credit unions, online lenders have not been around that long yet. However, the industry is growing. One of its major draws is that you won’t have to wait long to receive a decision and get funded once approved.

Unfortunately, unlike banks and credit unions, online lenders’ interest rates tend to be higher. This depends though on your credit. Some online lenders charge as high as 36% especially if your credit is not that good. Meanwhile, they can get as low as a 6% rate of your credit is great. Unlike banks, online lenders are more willing to lend people with bad or no credit at all.


For your further reference, here are some of the pros and cons of borrowing money from online lenders:

Application made easier and more convenient as everything is done online. Interest tends to be higher compared to banks and credit unions.
Borrowers need not worry about numerous lenders having to access their credit reports. There’s a tendency that lenders may continue contacting you even after the loan is paid off.
Online lending websites let you compare several loans offers all at once. You will have to manage the loan online only.
Suitable for people who do not qualify for a bank or a credit union loan, and needs the money immediately.  


For your reference, here are some of the best online lenders to get a loan from:

  • SoFi – Short for Social Finance, Inc., SoFi is an American online personal finance company that provides different financial services including personal loans, mortgages, as well as student refinancing, investing, and banking. The company was founded in 2011 and is headquartered in San Francisco, California.
  • Marcus by Goldman Sachs – Marcus by Goldman Sachs or simply Marcus was named after one of the founders of Wall Street Bank, Marcus Goldman. It is an online bank that offers competitive rates on both savings accounts as well as a liquid certificate of deposit. What people like about Marcus is that it keeps things simple and at the same time, inexpensive.
  • LendingClub – Headquartered in San Francisco, California, LendingClub is an American peer-to-peer online lending company. It the first online lending company that registers its offerings as securities with the Securities and Exchange Commission. Also, it is the first to offer loan trading on a secondary market.
  • LendingPoint – LendingPoint is an online lending company that is based in Kennesaw, Georgia. It was founded in 2014 to help borrowers improve their personal credit. LendingPoint offers loan options to borrowers with a fair credit score of 600 or higher.
  • FreedomPlus – Based in San Mateo, California, FreedomPlus is an online lender that focuses primarily on underwriting loans to consumers. FreedomPlus is known to provide same-day loan decisions and funding within 48 hours. FreedomPlus is the consumer brand of the Freedom Financial Network, LLC.


Now that we have already provided you a list where is the best place to get a loan from, it is also important that you know what the criteria are when looking for the best place to get a loan. Here are some of them:

APR – This has to be first. Always make sure to compare the annual percentage rate if you want to get the best interest rate. As much as possible, the goal is to get the lowest rate possible.

Credit Score Required – Another important thing criteria to look into is the credit score requirement. Make sure you make the cut.

Fees – You do not want surprises especially when it includes paying fees, right? So, as you do your search, do not forget to look into the fees that come with every transaction.

Approval Process – If you are in a rush to get a loan, you better check the lender’s approval process. This will help you decide whether or not you will get the money in time.


As we said earlier, there are many lending companies/institutions out there. In fact, there are too many it can get a little overwhelming to decide where to transact with. But of course, out of the many, there will always be one that will stand out to be the best place to get a loan from.

Have you found your best place to loan from yet?

Remember that the best place to get a loan depends from person to person. If a lending company works for another that does not necessarily mean it will work for you as well. We all have different circumstances. Thus, the best place to get a loan from is the one that meets your personal needs and preferences.