The Best Credit Card Consolidation Loans for 2022

Insider’s experts choose the best products and services to help make smart decisions with your money (here’s how). In some cases, we receive a commission from our partners, however, our opinions are our own. Terms apply to offers listed on this page.

Credit card consolidation loans are personal loans used to pay down multiple credit card balances and simplify your debt into one fixed monthly payment. They also can reduce the overall cost of your debt by offering lower interest rates than those you pay on your credit cards. 

Here are our picks for the best personal loans for credit card consolidation. 

Happy Money


Fees

Origination fee between 0% and 5%


Regular Annual Percentage Rate (APR)

7.99% – 29.99% APR

Happy Money® Payoff Loan™


Fees

Origination fee between 0% and 5%


Regular Annual Percentage Rate (APR)

7.99% – 29.99% APR

from participating partners with Fiona


Regular Annual Percentage Rate (APR)

7.99% – 29.99% APR


Fees

Origination fee between 0% and 5%

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Happy Money’s Payoff loans are designed specifically to help borrowers consolidate credit card debt. Its loans have competitive minimum APRs and are accessible to borrowers with credit scores of 640 or higher. 

However, Payoff doesn’t serve borrowers in Maine, Massachusetts, Nebraska, or Nevada, so you can’t get a personal loan in these states.

Watch out for: Slow access to funds. It will take between two and five business days to get your money, which is slower than many other personal loan companies. 

Read Insider’s full review of Payoff by Happy Money.

Lightstream

Lightstream Lightstream Debt Consolidation Loan

Lightstream Debt Consolidation Loan


Regular Annual Percentage Rate (APR)

7.99% – 23.99% (with AutoPay)

Lightstream Lightstream Debt Consolidation Loan

Lightstream Debt Consolidation Loan


Regular Annual Percentage Rate (APR)

7.99% – 23.99% (with AutoPay)

from participating partners with Fiona


Regular Annual Percentage Rate (APR)

7.99% – 23.99% (with AutoPay)

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Lightstream is a great choice for borrowers with good credit scores, as its minimum requirement is 660. It has a very wide range of amounts you can borrow, from $5,000 to $100,000, making it a solid option for borrowers with a variety of credit card debt. 

The lender also doesn’t charge any fees, which will reduce the overall cost of your loan. 

Watch out for: No preapproval. Many borrowers prefer shopping around to compare rates. Often, this involves getting preapproved by several companies and evaluating the offers before settling on one. LightStream doesn’t offer preapprovals for its personal loans.  

Read Insider’s full review of Lightstream.

Marcus

Goldman Sachs Marcus Personal Loan


Regular Annual Percentage Rate (APR)

6.99% to 24.99%

Goldman Sachs Marcus Personal Loan


Regular Annual Percentage Rate (APR)

6.99% to 24.99%

from participating partners with Fiona


Regular Annual Percentage Rate (APR)

6.99% to 24.99%

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Marcus’ unique feature is that it offers an on-time payment reward. If you pay your loan on time and in full every month for one year, you can forgo a month of payments, and interest will not accrue during that period. Marcus will then extend your loan by one month.

The company also doesn’t charge any fees, and has a very competitive minimum interest rate. 

Watch out for: No co-borrower allowed. If your creditworthiness isn’t in the best shape and you’re hoping to add a co-borrower to boost your chances of approval, you won’t be able to do so with Marcus. 

Read Insider’s full review of Marcus by Goldman Sachs.

Reach Financial

Reach Financial Reach Financial Personal Loan

Reach Financial Personal Loan


Fees

Origination fee ranges from 0% to 5%, $15 late fee


Regular Annual Percentage Rate (APR)

5.99% to 35.99%

Reach Financial Reach Financial Personal Loan

Reach Financial Personal Loan


Fees

Origination fee ranges from 0% to 5%, $15 late fee


Regular Annual Percentage Rate (APR)

5.99% to 35.99%

On Reach Financial’s website


Regular Annual Percentage Rate (APR)

5.99% to 35.99%


Fees

Origination fee ranges from 0% to 5%, $15 late fee

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Reach Financial is another lender designed specifically for debt consolidation. The lender has relatively fast funding speed. It will pay off your creditors directly — you won’t see any money hit your account — and will do so within roughly 48 hours after your loan is approved. 

Watch out for: Origination fees. Reach Financial charges an origination fee that ranges from 0% to 5%. Origination fees are a percentage taken out of your total loan proceeds and increase the over cost of your loan. Many other lenders don’t charge origination fees. 

Read Insider’s full review of Reach Financial. 

SoFi

SoFi SoFi Personal Loan


Regular Annual Percentage Rate (APR)

7.99% – 23.43% (with all discounts)

SoFi SoFi Personal Loan


Regular Annual Percentage Rate (APR)

7.99% – 23.43% (with all discounts)

from participating partners with Fiona


Regular Annual Percentage Rate (APR)

7.99% – 23.43% (with all discounts)

Fixed rates from 7.99% APR to 23.43% APR APR reflect the 0.25% autopay discount and a 0.25% direct deposit discount. SoFi rate ranges are current as of 8/22/22 and are subject to change without notice. Not all rates and amounts available in all states. See Personal Loan eligibility details. Not all applicants qualify for the lowest rate. Lowest rates reserved for the most creditworthy borrowers. Your actual rate will be within the range of rates listed above and will depend on a variety of factors, including evaluation of your credit worthiness, income, and other factors. See APR examples and terms. The SoFi 0.25% AutoPay interest rate reduction requires you to agree to make monthly principal and interest payments by an automatic monthly deduction from a savings or checking account. The benefit will discontinue and be lost for periods in which you do not pay by automatic deduction from a savings or checking account.

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SoFi has very high loan amount limits. A maximum of $100,000 could be helpful for borrowers who need a large loan. Some competing lenders won’t lend nearly as much.

It also features unemployment protection. SoFi offers forbearance in case you lose your job during your loan repayment. This unique feature gives you as many as 12 months of forbearance, which you apply for in three-month increments.

Watch out for: High minimum credit score requirement. The minimum credit score required for approval is 680. Many other personal loan lenders have lower requirements. 

Read Insider’s full review of SoFi.

LendingClub

LendingClub LendingClub Personal Loan

LendingClub Personal Loan


Fees

Origination fee between 1% and 6%, late fee of 5% of the minimum payment amount or $15, whichever is greater


Regular Annual Percentage Rate (APR)

8.05% to 36.00%

LendingClub LendingClub Personal Loan

LendingClub Personal Loan


Fees

Origination fee between 1% and 6%, late fee of 5% of the minimum payment amount or $15, whichever is greater


Regular Annual Percentage Rate (APR)

8.05% to 36.00%

from participating partners with Fiona


Regular Annual Percentage Rate (APR)

8.05% to 36.00%


Fees

Origination fee between 1% and 6%, late fee of 5% of the minimum payment amount or $15, whichever is greater

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A big perk of LendingClub is that you’re able to add a coborrower to your application. This means if your credit score isn’t good enough to qualify for a loan, you may be able to enlist a cosigner to help.

Additionally, the lender has a minimum loan amount of just $1,000. This is good if you only need to consolidate a small amount of debt.

Watch out for: A few different types of fees. You’ll have to pay an origination fee between 1% and 6% of your total loan amount, and that fee will be baked into your loan APR. If your payment is more than 15 days late, you may be charged a late fee and other penalties. 

Read Insider’s full review of LendingClub.

Upstart

Upstart Upstart Personal Loan


Fees

Origination fee up to 8%, late fee of 5% or $15, whichever is greater


Regular Annual Percentage Rate (APR)

6.50% to 35.99%

Upstart Upstart Personal Loan


Fees

Origination fee up to 8%, late fee of 5% or $15, whichever is greater


Regular Annual Percentage Rate (APR)

6.50% to 35.99%


Regular Annual Percentage Rate (APR)

6.50% to 35.99%


Fees

Origination fee up to 8%, late fee of 5% or $15, whichever is greater

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Upstart’s loan approval doesn’t solely depend on credit scores. For people who don’t have the best credit history, Upstart will factor in a few other pieces of information for a better shot at approval.

You also may be able to get your money on the same day you apply for your loan. 

Watch out for: High origination fees. Upstart’s personal loans can have origination fees up to 8%. Compared to competing lenders, this is a higher maximum — LendingClub tops its fees at 6%, respectively. 

Read Insider’s full review of Upstart.

Best credit card consolidation loans

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Editor’s rating

3.5/5

A five pointed star

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Regular Annual Percentage Rate (APR)

7.99% – 29.99% APR

Editor’s rating

4/5

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Regular Annual Percentage Rate (APR)

7.99% – 23.99% (with AutoPay)

Editor’s rating

4.25/5

A five pointed star

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Regular Annual Percentage Rate (APR)

6.99% to 24.99%

Editor’s rating

2.75/5

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A five pointed star

Regular Annual Percentage Rate (APR)

5.99% to 35.99%

Editor’s rating

4.25/5

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A five pointed star

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Regular Annual Percentage Rate (APR)

7.99% – 23.43% (with all discounts)

Editor’s rating

2.75/5

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A five pointed star

A five pointed star

Regular Annual Percentage Rate (APR)

8.05% to 36.00%

Editor’s rating

3.25/5

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A five pointed star

Regular Annual Percentage Rate (APR)

6.50% to 35.99%

Other credit card consolidation loan companies we considered

  • Navy Federal Credit Union Personal Loan. You can take out a loan of as little as $250 from the military-focused credit union to consolidate credit card debt. But you’ll need to be a member to qualify. Membership requirements are relatively strict. You’re only eligible if you are active military member, veteran, employee or retiree of the Department of Defense, or family member of someone in one of those groups. 
  • Rocket Loans Personal Loan. Rocket Loans has same-day funding for a few kinds of loans. But borrowers can only choose from two repayment term lengths and you’re not able to take out a joint or co-signed loan. 
  • Best Egg Personal Loan. Best Egg gives borrowers with good credit low rates. But if your credit score is lower than 640 you won’t be eligible for a loan. Read Insider’s full review of Best Egg.
  • OppLoans Personal Loans. OppLoans doesn’t have a minimum credit score to be eligible, but its APR range is significantly higher than any lender on our list, spanning from 59% to 160%.

Which lender is the most trustworthy?

We’ve looked at each institution’s Better Business Bureau score to offer you another piece of information to pick a company that provides personal loans for credit card consolidation. The BBB measures businesses based on factors like their responsiveness to customer complaints, truthfulness in advertising, and openness about business practices. Here is each company’s score:

Our top picks are rated A or higher by the BBB. Know that a high BBB score does not ensure a positive relationship with a credit card consolidation loan provider, and you should keep researching and talk to others who have used the company to get the most complete information possible.

Frequently asked questions

Consolidating credit card debt is a decision you should make based on your unique financial situation. It may help you keep track of your debt more easily with one fixed, monthly payment. 

To consolidate credit card debt, you get a loan from one lender for the total amount of debt you’d like to combine. Then, you use those funds to pay off the individual, smaller debts. At the end, you have all of your debt rolled into one monthly payment, one deadline for debt repayment, and a smaller interest rate. 

There are several factors that go into qualifying for a credit card consolidation loan, including your credit score, income, and credit history.

Generally, you’ll need credit score in the low to mid-600s to get a loan, although some lenders (including many in this guide) will accept borrowers with lower scores. However, when you have a lower credit score you’ll usually pay a higher interest rate.

In addition to a good credit score, you’ll need proof of your employment and ability to repay to determine eligibility. Lenders will check your debt-to-income ratio to ensure you haven’t borrowed more than you can feasibly pay back.

While credit card consolidation loans can be a good way to get your debt under control, there are also some drawbacks to keep in mind when considering if one is right for you. For instance, it may be difficult to get approved for a low rate if you don’t have good credit. Lenders may also tack on fees, and the time you have to pay off the debt could be shorter than you had with the credit cards, which could mean higher monthly payments. 

It’s also important to remember what got you into debt in the first place. Consolidating your debt doesn’t solve any problems you’ve had with spending or saving. And you might fall back into those habits if you feel less burdened with zero balances on your credit cards.

Methodology

Personal Finance Insider’s mission is to help smart people make the best decisions with their money. We understand that “best” is often subjective, so in addition to highlighting the clear benefits of a financial product, we outline the limitations, too. We spent hours comparing and contrasting the features and fine print of various products so you don’t have to.

To find the best credit card consolidation loans, we combed through the fine print and terms of about a dozen personal loans to find the best ones for unexpected expenses. We prioritized five main features: 

  • Interest rates: We look at the range of rates a lender offers, from the minimum APR to maximum APR, to determine its rating. We want to serve readers who have both higher credit scores (thus qualifying for a lower rate) and lower credit scores (thus getting a higher rate). 
  • Credit score requirements: We looked for lenders with a variety of credit score minimums so they were accessible to all types of borrowers. 
  • Term lengths and loan amounts: We looked for loans with a wide range of term lengths and loan amounts to cater to a variety of borrowers. 
  • Funding speed: We assess how quickly a lender will get you your money after you apply and are approved for a loan and tried to pick lenders with fast funding times to help you get money quickly in an emergency.
  • Fees: Lenders might charge a variety of fees, from origination fees to late payment penalties. We prioritized lenders that charge minimal or no fees. 

See our broader ratings methodology for personal loans »