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Qualifying for a personal loan might feel like a leap of faith, especially without good credit. While there are many personal loan providers to choose from, not every lender will lend you the funds you need with a repayment plan that fits your budget.
OneMain Financial provides four distinct term lengths, allowing qualified consumers to repay the loan in 24, 36, 48, or 60 months. On our ranking of the top personal loans for bad credit, we selected OneMain Financial is the top lender for flexible monthly payments.
While most personal loan lenders would turn you down if your credit score is below 670, OneMain Financial does not have a minimum credit score criteria for applicants and even offers a cash advance alternative (with collateral) to offer to finance more available.
Go ahead, Select looked at the APR, bonuses, costs, loan quantities, and term lengths offered by OneMain Financial.
APR
OneMain Financial has a hefty APR ranging from 18.00 percent to 35.99 percent, with no autopay incentive. When you sign up for autopay with LightStream, for example, you can get cheaper rates ranging from 2.49 percent to 19.99 percent *. According to the Federal Reserve, the average two-year personal loan interest rate is 9.46 percent at the time of writing.
Your ultimate APR is determined by your specific loan application. Credit score, income, loan amount, and loan period will all be taken into account.
Advantages
When customers don’t qualify for an unsecured loan based on their credit history, OneMain Financial admits applicants with acceptable credit and occasionally low credit. Borrowers may also apply for a secured loan if they don’t qualify for an unsecured loan based on their credit history.
Secured loans allow consumers to leverage the equity in their vehicles to qualify for reduced interest rates. Individual rates, payback terms, and agreements differ depending on the person and the state in which they apply.
The first lien on a motor vehicle that fulfills OneMain Financials’ valuation standards, is titled in the borrower’s name, and has valid insurance is required for secured loans. Until the loan is paid in full, the lender places a lien on the collateral.
Applicants may also apply for a loan with a co-applicant or, if married, independently from their spouse. However, no co-signers are permitted.
Charges
The disadvantage of OneMain Financial loans is the hefty origination costs, which range from $25 to $400, or 1% to 10% of the loan amount (this depends on your state). If you choose to make extra payments on your loan to pay down the total quicker, there are no early payback fines or penalties.
Check out our finest personal loan list for loans with no origination costs.
Amount of the loan
A OneMain Financial loan, which starts at $1,500, is a good option for applicants searching for a lesser loan amount. You have a maximum loan amount of $20,000 that you can take out.
Duration of the term
You can pick from four different term options (pending final approval). A OneMain Financial loan can be taken out for 24, 36, 48, or 60 months.
In conclusion
While Upstart loans are great for consumers with no credit history, OneMain Financial is a good alternative for borrowers with acceptable credit who want to pick from a variety of options. However, be aware of the following fees and interest charges while dealing with this lender: The annual percentage rate (APR) ranges from 18.00 percent to 35.99 percent, with origination costs as high as $400.
OneMain Financial, on the other hand, may allow consumers to secure their loans with collateral, potentially making them more inexpensive. Check out Avant personal loans for another secured loan alternative.
