Personal Loans
Best Personal Loans for Debt Consolidation
If you are carrying balances on three different credit cards at 22%+ APR, a consolidation loan can turn that into one fixed payment at a lower rate. These are the lenders we rank highest for paying off debt faster.
Top matches
#1 PickPersonal Loan
- ✓7.24% - 24.89% APR on loans of $5,000 - $100,000 (September 2026)
- ✓No origination, prepayment, or late fees
- ✓Same-day funding available; co-borrowers allowed
- ✗Requires good to excellent credit
Personal Loan
- ✓6.99% - 35.49% APR with autopay and member discounts (September 2026)
- ✓No required fees; loans $5,000 - $100,000
- ✓Unemployment protection and co-borrower option
#3 PickPersonal Loan
- ✓7.74% - 35.99% APR on loans of $1,000 - $50,000, terms 24 to 84 months (September 2026)
- ✓Can pay your creditors directly, which unlocks the lowest advertised rates alongside autopay
- ✓Accepts fair credit; low minimum score
- ✗1.85% - 9.99% origination fee, deducted from the loan proceeds
#4 PickPersonal Loan
- ✓6.99% - 24.99% APR fixed (September 2026)
- ✓No origination, prepayment, or late fees
- ✓Pays creditors directly for consolidation; 30-day money-back guarantee
Personal Loan
- ✓6.99% - 35.99% APR fixed on loans of $2,000 - $50,000 (September 2026)
- ✓About half of borrowers are funded the next day; money lands 1 to 3 business days after verification
- ✓Secured loan option for lower rates
- ✗0.99% - 9.99% origination fee, deducted from the loan proceeds
Personal Loan
- ✓8.99% - 35.99% APR fixed (September 2026)
- ✓Accepts fair credit; joint loan option
- ✗1% - 9.99% origination fee based on Prosper Rating
How we ranked these: We ranked every consolidation-tagged lender in our database by our overall methodology score, which weighs rates and fees, loan flexibility, and approachability.
Last updated June 2026
Questions, answered
When does a consolidation loan actually save money?
When the loan's APR is meaningfully below the average rate on the debts you are consolidating, and you do not stretch the term so long that total interest grows. Consolidating 24% credit card debt into a 12% loan saves real money. Consolidating 10% debt into a 12% loan does not.
What is direct creditor payoff and why does it matter?
Some lenders send the loan money straight to your credit card companies instead of depositing cash in your account. That guarantees the consolidation actually happens and removes the temptation to spend the lump sum on something else.
Will consolidating debt hurt my credit score?
Expect a small short-term dip from the hard inquiry and the new account. Most people recover within months, and scores often end up higher because credit card utilization drops once the cards are paid off. The catch: do not run the balances back up. That is the lender's bet.
Should I close my credit cards after consolidating?
Usually no. Closing cards reduces your available credit and can raise your utilization ratio. Keep them open with zero balances unless an annual fee or your own spending habits argue otherwise.