Loan debt consolidating finance companies
This allowed us to test each contender’s application process to see where we stood on receiving a loan (without taking hits to our credit score) and how clearly the lender communicated the results.
Lenders should be transparent before the application process — you don’t want to waste time applying for a loan with a credit score requirement in the upper 700 range if yours in the low 600s.
In our tester’s case, the reason given was having “too few open trades,” meaning she may not have had enough open credit cards to qualify.
Prosper is more lenient about debt-to-income (DTI) ratios than our other top picks.
For many, predictability is the safer way to go when taking out a loan — this way you can assure you won’t be hit with any surprises you’ll suddenly have to squeeze into your budget.
(Take out a 0 loan at 10% APR and you’ll pay in interest.) Most debt consolidation lenders fall between 5% and 40% APR, but the best (read: lowest) rates will only be offered to borrowers with the strongest credit history, so having the option to obtain a low APR is key.
Like APR, origination fees fall into a pretty tight clump among personal loans; most are in the 0%–6% range.
We thought about eliminating any lenders that included origination fees altogether, but only a few (including So Fi and Marcus, two of our top picks) don’t charge it.
We’ve examined 18 top providers, consulted with over half-a-dozen financial experts, and updated this review regularly in order to bring you the most current information.
The author of this review does not own stock in any of the companies mentioned, or in any other debt consolidation loan providers.