Latest news with #personalLoans
CBS News
07-07-2025
- Business
- CBS News
3 HELOC moves to make before the next Fed rate cut
Homeowners considering a HELOC should be prepared to make certain strategic moves now, before the next formal Fed rate cut. Getty Images/iStockphoto While there's little expectation that the Federal Reserve will issue a rate cut when the central bank meets again on July 29 and July 30, there is a growing likelihood of a rate reduction to be issued when the central bank meets again in September. And that will be a positive for borrowers, many of whom have been saddled with higher rates (and borrowing costs) in recent years for everything from personal loans to credit cards and mortgages. Home equity loans and home equity lines of credit (HELOCs) have not been immune to this trend, although both are lower than many alternative borrowing options now. A HELOC, in particular, could be one of the smarter ways to borrow currently, thanks to a variable interest rate subject to change monthly. Should the Fed formally cut rates or, potentially even before then, lenders could reduce their HELOC rates, making this an even more affordable way to borrow money right now. But that doesn't mean prospective borrowers should become complacent, either. While waiting for the next Fed rate cut, there are some strategic moves these prospective borrowers should consider making now. Below, we'll detail three of them. Start by seeing how low a HELOC rate you'd currently qualify for here. 3 HELOC moves to make before the next Fed rate cut Don't sit idly while waiting for the next Fed rate cut to secure a lower HELOC rate offer. Instead, consider making the following three moves now: Check your credit report (and score) The lowest HELOC rates and best terms will be reserved for those homeowners with clean credit reports and good credit scores. But when was the last time you checked both? Consider starting your HELOC borrowing journey here by reviewing your credit report for any errors or inconsistencies. And take a closer look at your credit score for ways to boost it as high as you can. Good credit practices now can both improve your score and set you up for more favorable HELOC offers, perhaps as soon as this summer. Compare your current HELOC options here now. Shop for lenders besides your current one You don't need to use your current mortgage lender to secure your HELOC and you may not want to if competitors offer affordable rates and fewer fees. But you won't know which offers what until you take the time to shop around. And, yes, the rates you get quoted for now are not likely to be the ones you'll be offered post-Fed rate cut. But you'll establish a baseline compiled of inexpensive and expensive lenders, so you'll know which ones to contact first as a rate cut becomes more likely. Calculate your repayment costs It will be impossible to calculate your HELOC repayment costs with precision, thanks to that changing interest rate. But that doesn't mean that you shouldn't do the math against a series of realistic interest rate scenarios, either. After all, your home will function as collateral here, so it's critical that repayments match your budget, now and into the future. Consider, then, calculating your costs against what's available right now and what could be available long-term. Remember that HELOC draw periods can last up to 10 years, so it makes sense to do the calculations based on a variety of rates. And don't forget that, for a HELOC, interest-only payments are typically required during that initial draw period. The bottom line The above list is not exhaustive as each homeowner will be approaching the HELOC borrowing process with unique needs and goals. Many, however, would benefit from starting with a look at their credit health before moving on to shopping for lenders and calculating repayment costs. By taking these steps now, before a formal Fed rate cut is made official, homeowners can both improve their credit standing and better position themselves as an attractive borrower when they do formally submit a HELOC application.
Yahoo
06-07-2025
- Business
- Yahoo
Personal Loans for Fair Credit Upto $5,000 Direct Lenders Guaranteed Approval By Loans At Last
Loans At Last New York City, NY, July 06, 2025 (GLOBE NEWSWIRE) --As economic pressures continue to challenge U.S. households, many consumers with mid-tier credit scores are turning to personal loans for fair credit to manage unexpected expenses, consolidate debt, or fund necessary purchases. These loans provide structured repayment terms that may be more accessible than traditional financing while offering lower rates than high-cost subprime lending. >>> Applicants interested in exploring personal loan options can review lender >>> Fair credit, typically defined as a FICO score between 580 and 669, represents a large segment of the population. According to Experian, nearly 18% of Americans fall within this range. With inflation, rising housing costs, and medical bills straining household budgets, the demand for financial products tailored to this group is growing. A Federal Reserve report highlights that over 60% of Americans would struggle to cover a $400 emergency cost without borrowing or selling personal items. For borrowers with fair credit, personal loans provide an alternative to installment loans and payday loans, offering fixed monthly payments and clear terms. >>> Applicants interested in exploring personal loan options can review lender >>> Why Personal Loans for Fair Credit Are Increasingly Popular Borrowers with fair credit often find themselves in a unique position. Their credit scores may limit their access to the most favorable loan terms from traditional banks or credit unions, but they typically qualify for better options than those available to individuals with poor credit. Personal loans for fair credit are commonly used for: Covering emergency medical expenses Repairing or replacing essential household appliances Addressing urgent car repairs Managing unexpected travel for family needs Consolidating high-interest debt into a single monthly payment These loans offer predictability through fixed monthly installments, helping borrowers plan their budgets while addressing immediate financial needs. How Lenders Evaluate Personal Loan Applications for Fair Credit While a credit score is a factor, lenders offering personal loans to borrowers with fair credit often consider a wider range of criteria. This includes: Income level: Demonstrating the ability to meet repayment obligations Employment history: Stability of employment can influence loan offers Debt-to-income ratio: Lenders assess existing obligations to ensure borrowers are not overextended Length of credit history: A longer, positive credit history can work in a borrower's favor This broader evaluation helps individuals with fair credit access personal loans with more favorable rates than subprime options, while still addressing lender risk. Market Trends Driving Interest in Personal Loans for Fair Credit Several trends contribute to the growing demand for personal loans for fair credit: Inflation and rising living costs: Essentials like rent, groceries, and utilities have increased in cost, leaving less room in household budgets for unexpected expenses. Credit card interest rates: With average credit card APRs climbing, many borrowers seek personal loans to consolidate balances and reduce monthly interest costs. Digital loan platforms: Technology has made loan comparison and application faster and easier. Borrowers can submit a single application and receive multiple loan offers online, without visiting physical branches. Desire for structured repayment: Borrowers often prefer the predictability of fixed-rate personal loans to variable-rate or revolving credit options. Common Borrowing Scenarios for Fair Credit Personal Loans Borrowers with fair credit often use personal loans for a range of purposes beyond emergency needs. Some common scenarios include: Home repairs: Replacing a malfunctioning furnace, repairing a roof, or addressing plumbing issues without turning to high-interest credit cards. Medical procedures: Funding dental work, minor surgeries, or treatments not fully covered by insurance. Moving expenses: Covering the cost of relocation for work or family reasons. Wedding or event costs: Financing large personal events that require lump-sum payments. Educational expenses: Paying for certifications, training programs, or educational materials not covered by student loans. These use cases reflect the versatility of personal loans as a tool for managing planned and unplanned expenses. Responsible Borrowing Practices for Fair Credit Loans Consumers exploring personal loans for fair credit are encouraged to take steps that support sound borrowing decisions: ✅ Review all loan terms carefully — Understand interest rates, fees, and the total cost of the loan over its term. ✅ Borrow only what is necessary — Taking out a larger loan than needed can increase repayment stress. ✅ Confirm lender licensing — Work only with lenders licensed to operate in your state, ensuring compliance with consumer protection laws. ✅ Plan for repayment — Ensure monthly payments fit within your budget to avoid late fees or credit score impact. While marketing language may suggest guaranteed approval or no-credit-check loans, reputable lenders typically conduct some level of review to ensure loans are offered responsibly. Regulatory Considerations in the Personal Loan Market Personal loans for fair credit fall under the oversight of both state and federal regulations designed to protect consumers. Lenders are required to: Disclose all fees, rates, and repayment terms clearly Avoid unfair or deceptive lending practices Comply with fair lending laws that prohibit discrimination based on race, gender, or other protected characteristics Borrowers benefit from reviewing their rights under laws like the Truth in Lending Act (TILA) and the Equal Credit Opportunity Act (ECOA) when considering loan offers. The Role of Digital Lending Platforms Online platforms have transformed the personal loan market by giving borrowers the ability to submit a single application and compare multiple loan offers. These platforms connect borrowers with networks of licensed lenders offering loans suited to different credit profiles, including fair credit. Digital lending platforms help reduce application time and allow borrowers to evaluate options from the convenience of home. However, borrowers should still review each offer carefully to choose the one that best aligns with their financial needs. About Loans at Last Founded in 2018, Loans at Last is an online platform that connects U.S. consumers with licensed direct lenders offering personal loan options. The platform enables borrowers to explore loan solutions suited to their credit profiles, while emphasizing transparency, compliance, and borrower education Disclaimer Loans at Last is not a lender and does not make credit decisions. Loan terms, amounts, APRs, and conditions are determined by third-party lenders based on applicant qualifications and state law. Borrowers should review all terms carefully before accepting any offer. Final Thought As economic challenges persist, personal loans for fair credit remain an important option for individuals managing unexpected costs, consolidating debt, or financing planned purchases. By working with licensed lenders and reviewing loan terms carefully, borrowers can make informed decisions that support their financial well-being. Project Name: Loans At LastRegistered Office Address: 1095 Sugar View Dr Ste 500 Sheridan, WY 82801Company Website: smith@ 307-777-7311Contact person name: Smithcontact person email: smith@ Loans At Last CONTACT: Project Name: Loans At Last Registered Office Address: 1095 Sugar View Dr Ste 500 Sheridan, WY 82801 Company Website: Email: smith@ Phone: 307-777-7311 Contact person name: Smith contact person email: smith@ in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Associated Press
30-06-2025
- Business
- Associated Press
Bitcoin + Personal Loans: Why Ready Payday Loans Just Acquired Omega 88
SILICON VALLEY, Calif., June 30, 2025 (GLOBE NEWSWIRE) -- Ready Payday Loans, one of the most visited platforms in the U.S. for best personal loans, has finalized the acquisition of Omega 88, a Bitcoin blockchain start-up founded by Canadian tech entrepreneurs Chad Canuck and Roger Maple. The move, both surprising and disruptive, signals a dramatic intersection between the traditional lending space and the decentralized power of Bitcoin-based infrastructure. While the amount of the acquisition remains undisclosed, multiple sources close to the matter say the transaction was finalized earlier this month and marks a new era in consumer finance. Ready Payday Loans, long known for helping everyday Americans access fast personal loans online, now appears to be quietly reshaping how those loans are underwritten, approved, and distributed—through technology born out of Bitcoin's cryptographic foundation. Ready Payday Loans connects borrowers with fast, secure options—often with same-day approval and no credit check required. Why a Best Personal Loans Marketplace Is Investing in Bitcoin Technology The announcement has sparked significant conversation among both traditional finance analysts and crypto-native experts. Why would a platform designed to help consumers find low-interest personal loans invest in a company known primarily for blockchain innovation? Vice President Randy Murrie didn't offer much clarity when asked, saying only: 'Ready Payday Loans has no official comment regarding this recent takeover. All I can tell you is that some big things are ready to happen on our end.' Yet behind the scenes, it's clear this isn't just an investment—it's a signal. A shift in how Ready Payday Loans envisions the future of digital lending, particularly in high-volume search categories like best personal loans for bad credit, online personal loans with no credit check, and same-day loan approval. Omega 88: The Bitcoin Start-Up Rebuilding Financial Infrastructure Founded in the heart of Silicon Valley, Omega 88 was launched in stealth by Canuck and Maple—two Canadian expats known for their contrarian thinking and interest in decentralizing traditional financial processes. What makes Omega 88 unique is its Bitcoin-first philosophy. According to insiders, the platform uses a hybrid consensus mechanism blending proof-of-work (PoW) with delegated proof-of-stake (DPoS), offering both Bitcoin-grade security and enterprise-grade scalability. Omega 88's infrastructure also reportedly supports: The company recently closed Phase 9 of its token presale, raising more than $7 million from early investors. Many of those investors are now speculating about how the technology might be used in real-world applications, particularly decentralized identity, credit scoring, and blockchain-based lending systems. When asked about the decision to sell, co-founder Roger Maple responded: 'We didn't go looking for this deal. But when Ready Payday Loans approached us with a long-term vision tied to financial inclusion, it just clicked.' Bitcoin's Role in Delivering the Best Personal Loans Online The strategic implications of this acquisition are massive. On the surface, Ready Payday Loans is a consumer-facing marketplace helping Americans find: But under the hood, the company may now be building a blockchain-powered lending engine—one that uses Bitcoin as a technical foundation rather than a currency. By utilizing Omega 88's infrastructure, Ready Payday Loans could soon offer a more secure, transparent, and efficient application experience backed by verifiable smart contracts and encrypted borrower identities. Take control of your financial future today. Visit Ready Payday Loans to compare loan options, get matched in minutes, and apply for the best personal loan offers available in 2025. Industry Reactions: From Lending to Ledger-Based Verification The broader financial industry is taking notice. 'This is the first time we've seen a major U.S. personal loan platform directly acquire a Bitcoin-native infrastructure company,' said fintech strategist Angela Ruiz. 'What's exciting is the possibility of back-end transparency and real-time loan settlement using smart contracts. It's the future of consumer lending.' Ruiz believes this move could also lead to the launch of tokenized credit systems, where borrower reputation is tracked securely on a blockchain—reducing fraud, improving approval times, and lowering overall loan risk. Other experts believe that integrating Bitcoin-backed verification tools into the loan matching process could dramatically shorten underwriting timelines, especially for borrowers with limited credit histories. Silicon Valley Expansion: More Than Just Code As part of the acquisition, Ready Payday Loans confirmed that Omega 88 will remain a standalone brand, continuing operations under its own name while benefiting from strategic alignment with its parent company. To support upcoming product rollouts, Ready Payday Loans will launch: Roger Maple described the integration strategy as 'mutual autonomy,' with Omega 88 continuing to build core protocols while Ready Payday Loans applies them to consumer lending use cases. 'We're not here to add blockchain for buzzwords,' Maple said. 'We're here to use Bitcoin logic to solve real credit problems in real time.' What Borrowers Can Expect Today — and Tomorrow While blockchain-based features are still in development, U.S. consumers can continue to rely on Ready Payday Loans for: As Omega 88's tools are integrated over time, borrowers may eventually benefit from: 'Even if users don't realize it, they could soon be getting personal loans powered by Bitcoin protocols,' said one product lead. 'That's where the industry is going—and we're getting there first.' Bitcoin as a Financial Backbone — Not Just an Asset The deeper message here is that Bitcoin is evolving. No longer just a speculative store of value, Bitcoin is increasingly being used as a foundation for broader financial systems. Through Omega 88, its cryptographic architecture could now power everything from loan verification and document handling, to borrower rewards and repayment automation. And in the hands of Ready Payday Loans, this evolution may be visible in ways most consumers never expected—from lower APRs to fewer application barriers and increased approval speed. Call to Action: Experience the Future of Lending Today Whether you're a first-time borrower or a crypto-curious consumer, Ready Payday Loans is redefining what it means to apply for a loan in 2025. Get started now: Don't wait for the future — borrow from it. Explore your options at Ready Payday Loans, where Bitcoin technology meets consumer-first lending. Disclaimer: This press release is for informational purposes only and does not constitute investment advice, financial guidance, or an offer to buy or sell financial products. Always consult a licensed financial advisor before making credit or investment decisions. Bitcoin and blockchain assets involve volatility and may not be suitable for all borrowers. Use responsibly. A photo accompanying this announcement is available at Contact: Neil at Ready Payday Loans [email protected]
Yahoo
28-06-2025
- Business
- Yahoo
Quick Personal Loans in the US for 2025 : Low Credit Finance
Compare Top 2025 Personal Loan Services That Offer Fast Cash Options for Americans With Low Credit Austin, June 28, 2025 (GLOBE NEWSWIRE) -- With inflation persisting in today's economy, a recent survey reveals that 70% of Americans are experiencing financial stress. None of us desire financial difficulties, but when they arise, it is crucial to address them appropriately. Often, it is during these times that we seek assistance from financial institutions. However, only some who turn to these institutions receive the desired help. Various creditworthiness metrics are used, and as a result, many individuals with low credit scores and poor credit history do not qualify for loans, leaving them in a difficult situation. To bridge this gap, we have compiled a list of recommended companies that offer quick personal loans to all Americans, regardless of their credit rating. These companies provide benefits such as the lowest APR, speedy approvals and disbursements, and the freedom to use the funds as needed. If you are seeking a quick personal loan, overview our recommendations below and obtain the necessary funds to be deposited directly into your account. Recommended Brokers for Quick Personal Loans – For fast approvals for quick personal loans. Getting a quick personal loan from any of the above companies is an easy task that a newbie can carry out as swiftly as a person who has accessed the platform. What are you waiting for? Click on the respective company to get a quick personal loan. If you want more information on the above companies, read on to explore how the various companies differ. This will enlighten you and help you make well-informed decisions. Low Credit Finance: For fast approvals for quick personal loans With instantaneous approvals for quick personal loans, Low Credit Finance is undoubtedly the perfect company for individuals with bad credit. With them, you don't have to worry about late approvals or delayed fund disbursement, as they understand the urgency of financial hunches. Low Credit Finance grants quick personal loans of between $100 and $5,000. With such amounts at your disposal, you can have any expense covered and emergency catered to. Additionally, the interest rates at which they offer loans are among the lowest in the market, making their quick personal loans affordable. Here are reasons Low Credit Finance is your best shot at getting quick personal loans: It is welcoming to all credit types. It offers flexible repayment terms. Low-interest rates. No paperwork is involved. It has an easy application process. User-friendly interface. Low Credit Finance offers the alternative of taking a quick personal loan and repaying it on terms that suit you, making it the company with the most flexible terms in the market. What Is a Quick Personal Loan? A quick personal loan is similar to a personal loan, but only in this case, the application process is streamlined and expedited to make the funds available faster. Quick personal loans are commonly taken to meet unexpected short-term expenses or emergencies that require some sort of liquidity to get through. As much as these quick personal loans address the needs at hand, it is vital to note that they come with certain trade-offs, such as interest rates that are relatively higher than the loans offered by conventional financial institutions. Understanding Quick Personal Loans: How They Work As much as quick personal loans stand out from other loan types, they share how they work. For instance, to get a personal loan, you must scout for the best lender to serve your financial needs accordingly. You will then proceed to make an application that will be evaluated by the relevant parties to the loan. If all is well, your application will be approved and funds disbursed to your account. It is worth noting that quick personal loans have requirements that must be met for approval. The following are some things that get assessed before your quick personal loan is approved. They check whether: You are a citizen or a permanent US citizen You have attained 18 years. You have a verifiable source of income. You have a bank account. You have a valid means of communication. With these being the only things they check, you have a high chance of being approved for a quick personal loan. Regardless, some lenders go the extra step of performing soft credit checks. They are, however, not meant to discard borrowers with poor credit scores. Pros and Cons of Quick Personal Loans Pros Fast access to funds – Quick personal loans provide a means to achieve quick liquidity when you need it most. Convenient application process – Quick personal loan application is available online, eliminating the need for long queues and hefty paperwork. Simplified eligibility requirements – Quick personal loans have lenient eligibility criteria, making them accessible even to borrowers with less-than-perfect credit scores. Potential for improving credit – Timely repayment of quick personal loans positively impacts the credit history and, as a result, improves the credit score. Increased financial flexibility – Due to their fast accessibility, quick personal loans provide additional financial muscle, especially when covering emergencies and unexpected situations. Cons Higher interest rates – Quick personal loans often come with higher interest rates compared to traditional loans. This is attributed to the risk associated with providing fast access to funds and potentially accepting borrowers with less-than-ideal credit scores. Limited negotiation power – When applying for a quick personal loan, borrowers have limited negotiation power, resulting in less favorable terms than they would with a traditional loan. Potential for debt cycle – If a quick personal loan is not managed responsibly, it has the potential of leading one to a debt cycle that may be hard to come out of. Impact of Quick Personal Loans On Credit Score As credit score is a metric based on several factors, one of the key aspects that influence it is an individual's borrowing activities. Depending on your interaction with debts, your score could improve or deteriorate. So, when it comes to quick personal loans, they have the same impact. As mentioned earlier, these companies do not consider your credit score before approving your quick personal loan, but that doesn't mean they can't affect your credit scores. When you make timely payments of the agreed amounts, your credit score is bound to improve. On the other hand, delayed or missed payments only make your credit score worse. Therefore, you are advised to maintain a clean slate on making the repayments as per your agreement with the lender. Are Quick Personal Loans Good for You? Yes, quick personal loans are a good idea if you need fast access to funds. This is because they give you a suitable means for addressing urgent financial needs and emergencies. The streamlined application process and relaxed eligibility criteria make them accessible to many, including those with less-than-perfect credit scores. However, it's important to carefully consider the trade-offs associated with them before getting one. Moreover, you should assess your ability to repay the loan within the designated timeframe and choose reputable lenders with fair terms to make quick personal loans a helpful financial tool that works in your favor. Conclusion In conclusion, quick personal loans are a valuable opportunity to meet short-term financial needs. Be it consolidating debt, funding a major purchase, or managing unexpected expenses, you can count on them. With a variety of lenders available, it is up to you to exercise due diligence and give enough time to research so that you get the terms, rates, and repayment plans that best suit your circumstances. By ensuring affordability and understanding the terms and conditions before committing, you are in an excellent position to tread these waters. By all means, you ought to harness the power of personal loans to achieve your financial objectives and improve your overall financial well-being. Remember, personal loans are not just about the money you borrow but the financial responsibility you exercise. Frequently Asked Questions Are quick personal loans only meant for emergencies? Quick personal loans are often associated with emergencies but can also be used for various purposes, such as funding travel expenses, pursuing educational endeavors, or supporting business ventures. They provide flexibility in how you use the funds. Can I repay a quick personal loan early without penalties? Early repayment options vary among lenders. Some lenders may allow early repayment without penalties, while others may charge prepayment fees. It's essential to evaluate the loan agreement's terms and conditions to determine if early repayment is allowed and if any additional charges apply. Can I get a quick personal loan if I have an irregular income or am self-employed? Yes, quick personal loans can be accessible for individuals with irregular income or who are self-employed. While traditional lenders may require steady employment or income verification, some lenders specialize in providing loans to individuals with non-traditional income sources. They often consider other factors, such as bank statements or tax returns, to assess repayment capacity. Are quick personal loans suitable for funding educational pursuits? Yes, quick personal loans can finance educational endeavors such as taking professional courses, attending workshops, or pursuing higher education degrees. These loans can help cover tuition fees, textbooks, and other educational expenses. Can I get a quick personal loan with bad credit? Quick personal loans are designed to accommodate borrowers with diverse credit backgrounds. While having good credit can enhance your chances of securing favorable terms, some lenders specialize in providing loans to individuals with less-than-perfect credit scores. However, it's important to note that interest rates may be higher for borrowers with lower credit scores. Email Support: support@ Phone Number: 1-844-870-5672 Disclaimer and Disclosure This article is for informational purposes only and does not constitute financial advice, legal counsel, or professional recommendations of any kind. The content has been prepared based on publicly available information and subjective opinion. While every effort has been made to ensure accuracy, completeness, and reliability, no guarantees are made regarding the correctness or applicability of the information contained herein. Readers are encouraged to consult with a licensed financial advisor or certified professional before making any financial decisions. Neither the publisher nor any syndication partners accept responsibility for any losses, damages, or liabilities that may result from the use of this information, whether direct or indirect. Any references to financial services, lending institutions, or loan products are made without warranty, and inclusion in this article does not constitute endorsement or guarantee of service quality, performance, or suitability. This content may contain affiliate links, which means the publisher may receive a commission at no additional cost to the reader if a product or service is purchased through the provided links. These commissions do not influence editorial content, recommendations, or rankings. The decision to engage with any third-party service featured in this article is solely at the reader's discretion. All trademarks, service marks, product names, and company names cited herein are the property of their respective owners. Any errors, omissions, or outdated information that may be present are unintentional. The publisher and distribution networks disclaim liability for any typographical or factual inaccuracies. By reading this article, you agree that the publisher, content creators, and all affiliated distribution partners are held harmless from any and all liability, and that any action taken is at your own risk. CONTACT: Email Support: support@ Phone Number: 1-844-870-5672
Yahoo
28-06-2025
- Business
- Yahoo
I'm a Financial Expert: 5 Reasons It Might Be Smart To Take Out a Personal Loan in Today's Economy
These days, keeping your finances on track can feel like a constant juggling act. With rising costs, fluctuating interest rates and the unpredictability of the job market, it's no surprise that people are exploring personal loans as a practical option. Check Out: Read Next: While borrowing money isn't something to take lightly, under the right circumstances, a personal loan can offer stability, flexibility and even long-term savings. GOBankingRates spoke with Andrew Lokenauth, money expert and owner of Fluent in Finance, to discuss some reasons taking out a personal loan might make sense in today's economy. From his experience as a financial advisor, Lokenauth has noticed several compelling reasons personal loans are becoming a smart move in today's economic climate. One of the biggest perks? Interest rates on personal loans tend to be lower than those of credit cards. Per LendingTree, interest rates for personal loans in June 2025 start at just 6.49%, while the average credit card APR, LendingTree reported, is 24.33%. However, the rate for a personal loan will depend upon some factors, like your credit score. Learn More: Debt consolidation is probably the most strategic use of personal loans right now. According to LendingTree, 48.7% or borrowers take out a personal loan in order to consolidate their debt or refinance credit cards. Lokenauth has helped clients combine multiple high-interest debts into a single, lower-interest payment. 'One of my clients saved about $300 monthly just by consolidating their credit card debt into a personal loan with a 10% rate,' he said. Fixed interest rates are another huge benefit in this uncertain economy. With inflation still running hot, locking in a fixed rate means your payments won't increase. According to Lokenauth, that predictability is super valuable when everything else seems to be getting more expensive. There are, however, some variable rate personal loans out there, which come with 'additional risks,' per So be sure to know what type of loan you're getting before you commit. 'Home improvements can be a smart use of personal loans right now,' Lokenauth said. Property values are still relatively high in most areas, so strategic renovations could boost your home's value. Lokenauth typically suggests focusing on kitchens and bathrooms, as they tend to give the best return on investment (usually around 70% to 80% of project costs). Using personal loans for business expansion or side hustles could make a lot of sense too. With recession fears looming, having multiple income streams is crucial, per Lokenauth. 'The key is making sure the potential return significantly exceeds the loan cost. I aim for at least a 2x return on any borrowed money used for business purposes,' he said. Lokenauth was quick to point out that your credit score matters more than ever. 'I've seen rates vary by 5-7 percentage points based on credit scores. Getting your score above 720 can save you thousands in interest over the loan term,' he said. That said, try to shop around extensively. Keep in mind that different lenders have wildly different rates and terms right now. 'I always tell my clients to get at least 5 quotes — the rate differences can be shocking. Online lenders often offer better rates than traditional banks,' Lokenauth said. More From GOBankingRates Mark Cuban Warns of 'Red Rural Recession' -- 4 States That Could Get Hit Hard 10 Cars That Outlast the Average Vehicle 3 Reasons Retired Boomers Shouldn't Give Their Kids a Living Inheritance (And 2 Reasons They Should) This article originally appeared on I'm a Financial Expert: 5 Reasons It Might Be Smart To Take Out a Personal Loan in Today's Economy Errore nel recupero dei dati Effettua l'accesso per consultare il tuo portafoglio Errore nel recupero dei dati Errore nel recupero dei dati Errore nel recupero dei dati Errore nel recupero dei dati
