Need Lending Options? Types of Consumer Loans Available To You

Need money fast or are you wondering what are the different types of consumer loans? Here are the most popular lending options offered to consumers.

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If you are curious about the various types of consumer loans available, here is a comprehensive overview of the most popular lending options to help you access the money you need quickly.

The reasons for needing a loan can vary greatly, but the most common one is often a shortage of cash. This article highlights the numerous online loan options available, allowing you to choose the method that best suits your needs when you require funds urgently.

It is important to note that no one lending option is perfect, as each has its advantages and disadvantages. Therefore, it is advisable to carefully read and understand the loan terms and conditions before making a decision. Ultimately, you should select a lending option that is suitable for your financial situation.

Types of Consumer Loan Solutions When You Need Money Fast

So, let’s proceed with the lending options for when you need money now in order to put your financial plan to work.

1. Personal Loans

When considering financing personal needs or consolidating debt, online personal loans can be a viable option. These loans are typically unsecured, meaning there is no requirement for collateral, though some may be secured.

Online lenders offer a convenient option for borrowers to obtain personal loans. The interest rate on such loans is often determined by factors such as the borrower's credit score and the length of the repayment terms.

It is important to note that personal loans come with both advantages and disadvantages, and careful consideration should be given before applying.

In light of these factors, we have researched and identified the top personal loan options currently available. By evaluating and comparing these options, borrowers can make an informed decision about the loan that best meets their financial needs and goals:

#1
  • MMG Rating:
    4.9
  • Min Score: 300
#2
  • MMG Rating:
    4.7
  • Min Score: 580
#3
#1
MMG Rating:
4.9
Min Score: 300
#2
MMG Rating:
4.7
Min Score: 580
#3
MMG Rating:
4.0
Min Score: 300

Best personal loan for small loans: Upstart

Upstart is a popular online lender that specializes in providing personal loans to individuals who may not have the best credit history. It’s a great option for those looking for small personal loans, as the minimum loan amount offered is $1,000.

Upstart uses a unique underwriting model that takes into account more than just your credit score, including your education and employment history, to determine your eligibility for a loan. This makes it a good option for individuals who are just starting out or who may have had some financial setbacks in the past.

One of the main benefits of taking out a loan with Upstart is its fast and easy application process. You can apply for a loan online in just a few minutes and receive a decision within minutes. Once approved, funds can be deposited into your account as soon as the next business day.

Upstart also offers competitive interest rates and flexible repayment terms, making it a great option for individuals who are looking to take control of their finances and manage their debt. Overall, if you’re in need of a small personal loan and have a less-than-perfect credit history, Upstart is definitely worth considering.

Upstart
4.9

Take control of your finances with a personal loan from Upstart. You can choose to use the loan for debt consolidation, credit card refinancing, a wedding, moving, or medical expenses. With loan amounts ranging from $1,000 to $50,000 and terms of 36 or 60 months, there's a loan option for everyone. To get approved, simply have a FICO or Vantage score of 600 or more.

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Best personal loan for fair to bad credit: Upgrade

Upgrade is a leading online lender that offers personal loans to individuals with fair to bad credit. If you have a credit score between 580 and 700, Upgrade may be a good option for you.

The lender uses a more comprehensive underwriting process that takes into account a range of factors beyond just your credit score, including your income and expenses, to determine your eligibility for a loan. This makes it easier for individuals with less-than-perfect credit to secure a loan.

Upgrade offers loans ranging from $1,000 to $50,000, making it a good option for a variety of financial needs, including debt consolidation, home improvement projects, and medical expenses. The lender also offers competitive interest rates and flexible repayment terms, allowing you to choose the loan that best fits your budget and timeline.

Additionally, Upgrade has a fast and easy online application process that can provide you with a loan decision in minutes.

Upgrade
4.7

Upgrade offers personal loans for various purposes, including refinancing credit cards, debt consolidation, home improvement and large purchases. Loans range from $1,000 to $50,000 and are funded as soon as the next business day.

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Best no credit check loan: ZippyLoan

Just remember that if you actually need money now, then you can opt for a personal loan. When you need money in a hurry ZippyLoan is where to go. You apply for a loan through the ZippyLoan site, if approved they send your loan application to one of many loan providers.

You review the loan details and e-sign if you like what you see. No risk in checking what offers you’ll get. You can borrow between $100 and $15,000 as soon as tomorrow. Loans service up to 60 months. ZippyLoan connects borrowers to lenders through its network of lenders. They’ll find you the lowest interest rate and is one of the best no credit check loans. You can visit ZippyLoan here.

Fast Funding
ZippyLoan
4.0
  • Borrow between $100 and $15,000
  • No risk in checking what offers you’ll get
  • Quick approval and fund disbursement (if approved)
  • No minimum credit score requirement
GET RATE → Our Zippyloan Review

2. Payday Loans and Apps

Payday loans are a type of short-term loan designed to help individuals cover unexpected expenses or bridge the gap between paychecks. These loans typically come with high interest rates and fees and are meant to be repaid within a few weeks to a month.

Payday loan apps, on the other hand, are mobile applications that provide a fast and convenient way for individuals to apply for payday loans. These apps allow users to provide basic personal and financial information through their smartphone or tablet and receive loan approval within minutes. Funds can then be deposited directly into the borrower's bank account, often within a few hours.

We've reviewed some of the best payday loans apps which include:

 
 
MMG Rating:
4.8
MMG Rating:
4.8
Fees: $1/mo
Fees: $8/mo
Pros:
  • App Store: 4.8 – 631.9K Ratings
  • Get up to $500
Pros:
  • App Store: 4.8 – ‎116k reviews
  • Receive up to $250 today
MMG Rating:
4.8
Fees: $1/mo
Pros:
  • App Store: 4.8 – 631.9K Ratings
  • Get up to $500
MMG Rating:
4.8
Fees: $8/mo
Pros:
  • App Store: 4.8 – ‎116k reviews
  • Receive up to $250 today

Dave

dave cash advance app
Get $500. Bank. Budget. Dave helps over 3 million people thrive, and not just survive between paychecks.

Dave is a banking app that offers ExtraCash™ advances of up to $500 with no interest or late fees for as low as $1 per month.

It’s a reasonable choice for people who want to avoid overdraft fees. Dave offers automated budgeting tools to help you manage your finances better. 

And for freelancers, this app also offers advice on finding side hustles so you can earn some extra money. 

Over 7 million people use Dave on a daily basis to help them achieve their financial goals and you can do the same.

Get up to $500
Dave
4.5
  • Meet the banking app on a mission to build products that level the financial playing field
  • Get paid up to 2 days early, earn cash back with Dave Rewards, and get up to $500 with ExtraCash™ without paying interest or late fees
  • Join millions of members building a better financial future
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Where to get it?

Empower

The Empower Card is the only card you’ll ever need. Score Cash Advance up to $250 with no interest. Get paid up to 2 days faster.

Empower is an application built for today's generation. They'll be there for you every step of the way, whatever comes your way. You may get a cash advance of up to $250 when you need it most by downloading the app, and save for your future.

empowerr app

They're always there for you, and they'll get a cash advance up to $250 straight into your bank account. Free instant delivery is available for eligible Empower Checking Account customers with an activated debit card.

To determine if you're qualified to receive a Cash Advance, Empower calculates your bank account history and activity, recurring direct deposits, and average monthly direct deposits.

There are no applications, interest or late fees, or credit checks or risks involved. You simply reimburse them as soon as you receive your next payday. There's nothing hidden about it. It's that easy.

Get up to $250
Empower
4.5
  • Get a no-fee and interest-free cash advance of up to $250
  • Use AutoSave to automatically set money aside every week
  • Costs $8 per month after a 14-day free trial 
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While payday loans and apps can provide a quick source of cash, they also come with significant risks. The high interest rates and fees associated with payday loans can make them difficult to repay, leading to a cycle of debt.

Borrowers should carefully consider their options and only use payday loans and apps as a last resort. It is important to understand the terms and conditions of the loan, including the interest rate and repayment schedule, before accepting any loan offer.

3. Credit Card Cash Advances

Credit card loans, also known as credit card cash advances, are a type of loan that allows credit cardholders to withdraw cash or make purchases with their credit card beyond their credit limit. Credit card loans are typically offered by credit card issuers, such as banks and credit unions.

To obtain a credit card loan, a cardholder may be required to visit an ATM or a bank branch and use their credit card to withdraw cash. Alternatively, they may be able to use their credit card to make purchases, such as buying gift cards or paying bills, and receive cash back in return.

Credit card loans often have higher interest rates and fees than regular credit card purchases. Interest rates on credit card loans can range from 20% to 30% or more, and fees may include cash advance fees, transaction fees, and ATM fees.

Repayment terms for credit card loans may vary depending on the credit card issuer and the borrower's credit history. Some credit card issuers may require borrowers to pay off the loan balance in full before making any other credit card purchases. Others may allow borrowers to make minimum payments on the loan balance and continue making regular credit card payments.

4. Auto Loans

Auto loans are a type of secured loan that are used to finance the purchase of a vehicle, such as a car, truck, or motorcycle. These loans are secured by the vehicle itself, which means that the lender can repossess the vehicle if the borrower defaults on the loan.

Auto loans are typically offered by banks, credit unions, and other financial institutions. The terms and conditions of auto loans can vary depending on the lender and the borrower's credit history. Generally, auto loans have a fixed interest rate and a fixed repayment term, which is typically between 3 and 7 years.

When applying for an auto loan, borrowers will typically need to provide information about their income, employment history, and credit score. The lender will also consider the value of the vehicle and the borrower's ability to make the required loan payments.

Auto loans can be a convenient way to finance the purchase of a vehicle, but borrowers should carefully consider the terms and conditions of the loan before borrowing money. While you can still get a car with bad credit, it is important to compare interest rates, fees, and repayment terms to find an auto loan that fits within your budget and financial goals.

5. Home Loans

Home loans, also known as mortgages, are a type of loan used to finance the purchase or refinance of a home. Home loans are typically secured loans, meaning that the property being purchased or refinanced is used as collateral to secure the loan.

Home loans can be obtained from a variety of financial institutions, including banks, credit unions, and mortgage lenders. The terms and conditions of a home loan can vary depending on the lender, the borrower's credit history, and the type of loan being offered.

Home loans typically have a fixed or adjustable interest rate and a repayment term of 15 to 30 years. The borrower will make regular payments, usually monthly, to pay off the loan over the repayment term.

When applying for a home loan, borrowers will need to provide information about their income, employment history, credit score, and the property they intend to purchase or refinance. The lender will also consider the borrower's ability to make the required loan payments and the value of the property being used as collateral.

Home loans can be a significant financial commitment, and it is important for borrowers to carefully consider the terms and conditions of the loan before borrowing money. Borrowers should shop around for the best interest rates and fees, and consider their budget and financial goals before taking out a home loan.

6. Student Loans

Student loans are a type of loan designed to help students pay for post-secondary education, including college, university, and vocational schools. Student loans can be obtained from the government or private lenders.

Federal student loans are offered by the government and typically have lower interest rates and more flexible repayment terms than private student loans. Some common types of federal student loans include Direct Subsidized Loans, Direct Unsubsidized Loans, and PLUS Loans. These loans may be need-based or non-need-based, and eligibility requirements may vary depending on the loan type.

Private student loans are offered by banks, credit unions, and other private lenders. Private student loans may have higher interest rates and less flexible repayment terms than federal student loans, but may be a good option for students who do not qualify for federal loans or need to borrow additional funds beyond their federal loan limits.

When taking out a student loan, borrowers will need to provide information about their income, employment, and education plans. The lender will consider the borrower's credit history and ability to repay the loan before approving the loan application.

Repayment terms for student loans typically begin after the borrower graduates or leaves school, although some loans may require payments while the borrower is still in school. The repayment term and interest rate may vary depending on the loan type and lender.

It is important for borrowers to carefully consider the terms and conditions of student loans before borrowing money. Borrowers should shop around for the best interest rates and fees, and consider their budget and financial goals before taking out a student loan.

Conclusion

This article is helpful. It shows you the lending options available online and it shows that there is no best option. You need a lending option that fits your situation. The article also provides you with a comprehensive overview of other popular lending options available out there so that you have a basic idea of where to start.

Hope you found this article useful on the different types of consumer loans.

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About the author

Brian Meiggs
Brian Meiggs is a personal finance expert, and the founder of My Millennial Guide, a personal finance site helping you unlock the wealth of freedom. He helps millennials follow the smart money in order to increase their earning potential and start building wealth for the future. He regularly writes about side hustles, investing, and general personal finance topics aimed to help anyone earn more, pay off debt, and reach financial freedom. He has been quoted as a top personal finance blogger in major publications including Business Insider, Yahoo! Finance, NASDAQ, Discover, Fox News, MSN Money and more.

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