3 Best Low-Interest Personal Loans
What is up today I want to talk to you guys about the 3 Best Low-Interest Personal Loans that I found and seriously I looked everywhere for a personal loan I checked banks I check credit unions I checked online I had to look everywhere.
Because I needed one of my personal life and now I’m going to share with you guys the 3 best companies that I found so you can make your own decision if you’re looking for a personal loan.
Why you’d actually want a personal loan.
I go over the pros and cons of each of them so that you can make your own decision if you’re looking for a personal loan.
you’ll be asking is why exactly would you want to get a personal loan. So for me personally, I had to look for a personal loan. Because I had a dry Norma’s yard project that I had to complete and I didn’t want to do a home equity loan or anything like that.
Because the rates and terms were a lot more simplified to just do a personal loan. So basically, if you’ve got big home improvements we’re gonna do something expensive like adoption. You’ve got really expensive medical bills.
Then I would suggest going with a person and I’d also recommend one if you’re trying to consolidate your credit card debt. Because if you’ve got credit card debt and you take a personal loan than the rate on the personal loan is probably going to be a lot better than your credit cards right.
In the financial terminology they would call this a debt consolidation loan you’re just taking your credit card debt and you’re moving into a personal loan. Hopefully has a better rate. The only warning that I have though with consolidating credit card debt.
Is that you’ve got to get on top of your credit cards. Otherwise, you’re going to end up with 2 bills. If you don’t change your spending habits you’re gonna end up with a personal loan and you’re going to have credit card debt.
So everything’s just going to get worse. So if you do end up consolidating your credit card debt through a personal loan or anything like that then just make sure your spending habits change so you don’t end up having credit card debt again.
3 Best Companies.
So the 3 companies that I’m gonna talk about they don’t actually charge origination fees and they do. Have prepayment penalties like some of the other guys do so in most of us think of personal loans.
We’re gonna think of companies like the lending club and prosper because those are the ones that pop up all over the place online. But most of these guys actually charge origination fees and 1 percent on like $10000 is only 100 Bucks.
But it’s still 100 Bucks that you’re giving up. When some of the other guys don’t actually charge that and most of the big banks and credit unions that I looked into had rates that were so high that I didn’t even bother looking any further.
So with all the research that I had to do to figure out which personal loan I actually wanted to go with the conclusion, I came to was these 3 specific companies and that’s because they didn’t charge any dirty fees they didn’t have prepayment penalties and their rates in their terms were really good.
So 1 more thing I want to mention about these lenders and getting personal loans is that you have to have a really high credit score in order to even qualify for these loans through these lenders. So if you’ve got a really bad score and I would probably look into some other companies.
Because these ones are just based on really good credit scores and seriously if your credit score sucks and I would highly suggest trying to improve it. Because you’re never going to get good rates on any type of money that you’re trying to borrow.
So the first lender for personal loans that I want to talk about is American Express. So honestly I had no idea that American Express to personal I just thought that they focus mainly on credit cards but apparently they do personal loans and they even have savings accounts.
That have better rates than most banks and once I started looking into American Express is personal loans they actually have really good rates and really good terms their rates are currently about 7 to 20 percent you can borrow 30 500 to $40000 from American Express and they offer 1224 and 36 month loans so when you compare these numbers to other lenders American Express is extremely competitive but just keep in mind that you do have to be an American Express cardholder in order to actually get 1 of these personal loans from that I take a look at this out that I got from American Express yesterday.
When I was doing the script for this video now it’s kind of creepy that they actually sent me 1 of these ads because it’s like they knew that I was looking up all. This personal loan stuff but it looks as though I’m pre-qualified for a 7 percent rate for $25000 if that’s how much I wanted from their personal loan so looks like I’m already pre-approved for those rates and I didn’t have to do anything I just logged into my American Express account and I had a pop up with that so with the research I did on American Express personal loans.
I found out that the money that you’re borrowing from them and how long you’re planning on paying it back doesn’t really determine your rate as much as your credit score does so with them it doesn’t really matter how much money you’re borrowing or how long you’re planning on paying the money back they just care about what your credit score is in determining the final interest rate that you’re going to get for that long the only thing I didn’t like was that their terms only went up to 36 months.
So if you need a lot of money and you want to 60 months you can’t do it without but out of the 3 letters that I’m talking about American Express was the best when it came to borrowing a little bit of money for a little bit of time because they’re the only ones that’ll do it $3500 minimum and they even offer the 12 month loan payback so, in my opinion, American Express is the best option if you’re just borrowing a little bit of money for a little bit of time also.
If you are interested in any of these personal loans that I’m talking about I will link to their websites in my description so that you can find out more about and if you’re curious I did check to discover card for one of their personal loans because I know that they do them to put their rate came in about 6 points higher than any of the other guys so I didn’t even look any further into them I mean seriously it was a really bad rate from them but if you want to check them out go ahead.
I did they just didn’t come out with the rate that was good enough for me our next on my list of personal loans is called so 5 which stands for social finance now these guys have only been around since 2011 but don’t let that fool you because they’ve changed the industry with the way their business model works they’ve taken everything that we don’t like about traditional loans and they’ve seriously fixed it with their business model they advertise from the very beginning that they don’t have any hidden fees that they have low rates and that they have really good terms.
So they’re a big thing is that they don’t hide anything from their customers everything is what it is with. Social finance and that’s awesome because you know exactly what you’re going to be getting so file for student loans mortgages and personal loans so if you’re in the market for any of these types of loans so fi is one that you really want to check out SO 4 advertises that they don’t even charge an origination fee on mortgages.
Which is typically about one percent that you’re just giving up whenever you get one of those loans and traditionally if you don’t have 20 percent down on the house then you have to pay mortgage insurance but so far it doesn’t even charge you mortgage insurance with one of their loans if you have less than 20 percent social finance is kind of the new way to get loans and they’ve proven it because they’ve actually landed out over $30000000000 so far they’ll even give you half a quarter percent discount if you have more than one loan with them too and they even offer what they call unemployment protection.
Which means if you lose your job they’ll actually freeze your payments temporarily until you find a new job so that’s kind of nice to so currently so fi offers personal loans from about 5.5 percent to 14 percent and the let you borrow between 5000 and $100000 and then you can choose to pay them back between 3 and 7 years one thing I did notice though is that their loans fluctuate based on how long you keep them and how much you’re financing.
So keep that in mind if you’re going to consider so far so I found that their best rates are actually the 36 month terms with lower amounts borrowed so just keep that in mind so, for instance, their lowest advertised rate at 5.5 percent that one ‘s only going to work for you if you do a 36 month loan with them but if you do go with a longer-term they still have really good rates you’re just only going to get the best rate if you go with the 36 month term and I also noticed that they’re not as picky about what you’re using the money for and that’s a good thing because a lot of the other lenders are really picky.
When it comes to what you’re using the money for so just keep that in mind too so in my opinion I think that everybody should at least consider so if I if they’re looking for a personal loan really the only problem I have with them is that their minimum amount you can borrow is $5000 which American Express had a 3500 Bucks so it’s a lot easier to get a little bit of money from American Express then it is also fine so the minimum amount was the only thing that bothered me about them everything.
All seem to be extremely competitive and really good in my opinion no I do have their link in the description and I think they give you some sort of a bonus by using my affiliate link so go ahead and use that link if you are actually looking for a personal loan from them no last on my list of personal loans is called light stream by SunTrust bank these guys are actually big bank-owned because of SunTrust but they offer some of the best rates and the best terms that I found from all of these different companies and they do advertise that they’ll beat any competitor’s rate by a tenth of a point as long as it’s the same type of long live streams personal loan rates are about 3 to 14 percent which is incredible.
I know also loan between 5000 and $100000 their term length ranges from 24 to 144 months which is actually 12 years if you really wanted to max it out that long I would advise though that you don’t go with 100 for 4 months if you’re going with a personal loan but that’s just my opinion no don’t let any of these numbers to CV with lifestream loans because everything fluctuates depending on what you’re doing with the loan how much money you’re borrowing and how long you’re planning on paying it back for so it’s not like you can borrow the minimum $5000 and finance it over 144 months everything that Livestream offers is dependent upon their predetermined categories.
But don’t let that deceive you because the rates are incredible I found a slight stream that if you borrow between about $10000 and $25000 and you borrow it for 24 to 36 months then you’re gonna get the best rates that they offer and I found that the lower amounts of money that you borrow from them actually have higher rates than borrowing more money so if you do one of our less than $10000 then I suggest going with the other guys instead and I did notice with light stream that their lowest advertised rates are for auto loans only so don’t expect to get a 3 percent rate if you’re consolidating your credit cards.
I found that most of the categories range from about 6 to 8 percent interest so just keep that in mind if you’re looking at these guys 9 out of these 3 different companies that I looked into I actually ended up going with lifestream loans I probably would have preferred to go with social finance but I ended up going with lifestream loans because they actually came in about a point 5 lower than the other guy.
But that was for me personally so you want to check all of these different lenders to see which rates are going to end of qualifying for because I didn’t have an origination fee or anything like that I just went with him ever gave me the best rate and for me at the time it happened to be live stream loans now these are the 3 best picks that I found but feel free and commenting below if you know of any personal loans that I didn’t mention that actually have better rates so maybe you do know of some better personal loans out there that these are the 3 best that I found and that’s from all the research that I did once again I’m Jason with the honest finance channel if you did find this information helpful.