Personal loans from banks are a great option, but you have to have good or excellent credit. If you have it, you can qualify for up to $100,000 at 5,99% to 35,99%.

Banks don’t offer loans to people with bad credit. Banks also perform a hard inquiry on the application process, so be careful with your credit report. Some banks can require you to add collateral or a cosigner.

ElitePersonalFinance found the best banks for personal loans of December 2025!

Best Personal Loans from Banks of December 2025

Everywhere you turn online, “competitive rates,” “fast approvals,” and “flexible terms” are offered by many unknown banks, especially online lenders. However, understand that banks use underwriting evaluation criteria to determine whether you’re eligible, which include your credit score, the type of loan, and other factors. Whether it’s the lowest APR possible or outstanding customer service, finding the right bank for you is getting close.

At ElitePersonalFinance, we believe in breaking down bank personal loan options in clear, easy-to-understand terms, offering real-world examples and transparent comparisons so you can make the most intelligent financial decision long before your next application.

Why Should I Trust ElitePersonalFinance

At ElitePersonalFinance, we’re all about bringing you the top information regarding our top options for the best banks offering personal loans. Our research extensively covers big players like American Express, Discover, PNC Bank, LightStream, Wells Fargo, Citizens Bank, Citi, and US Bank, all of which have been reviewed based on several criteria including but not limited to APRs, flexibility, and perks.

With banks, we expect fully transparent loan terms, no hidden fees, and competitive APRs. They all have award-winning personal loan programs that have provided financial relief to millions of customers.

Keep reading to learn more about the best bank personal loans, including our top recommended banks, how bank loans differ from credit unions/online lenders, strategies on achieving the most competitive APRs, pros and cons of bank loans, and much more. No matter your situation, ElitePersonalFinance will give you the confidence to navigate bank personal loans like a pro.

American Express

As one of the leading banking institutions in the US, it offers its members personal loans up to $50,000 with repayment terms of 12 to 36 months. Note, these are invitation-only loans exclusive to American Express members, with APRs contingent on your credit score and existing product lineup.

Plus, funds can be deposited into your account in as little as one business day.

Thanks to its long-standing reputation, American Express has earned numerous accolades, including #1 in Customer Satisfaction for Personal Loans, 3 Years in a Row by JD Power and Associates.

All in all, American Express is our next choice for American Express members who want to enjoy competitive rates and flexible repayment options.

What We Like:

• High loan limits up to $50,000
• Funds in as little as one business day
• Repayment terms between 12 and 36 months
• #1 in Customer Satisfaction for Personal Loans (JD Power 2023–2025)

What We Don’t Like:

• Must be an American Express Basic Card Member to apply
• Cannot be used to pay off existing American Express debt
• Not all applicants qualify for the lowest APRs
• Unexpected disbursement delays from time to time

Eligibility & Next Steps:

• 18 years of age or older
• US citizen or permanent resident
• Preapproved invitation from American Express
• Active American Express Basic Card Member in good standing
• Completed application through your American Express online account

Terms: ZippyLoans is an online loan comparison platform that connects borrowers of all credit types with a network of direct lenders offering $100 to $15,000 in personal loans with repayment terms up to 60 months. The platform is not a direct lender, but a service that allows you to prequalify with multiple lenders. Actual APRs, loan amounts, fees, and repayment terms depend on the lender and your credit score, income, and other determining factors. It is not available in New York, Oregon, or West Virginia. Always read your official loan estimate before signing the contract.

Discover

Another trusted name, like American Express, Discover offers personal loans from $2,500 to $40,000 with repayment terms between 36 and 84 months. One of the best things about Discover is its no-fee structure, which means there are no origination, prepayment, or late fees, allowing you to save a pretty penny throughout the life of the loan.

Plus, Discover also offers a 30-day money-back guarantee that lets you cancel and return the loan if you change your mind.

As one of the leading names in consumer finance, Discover is an excellent option for anyone looking for a generous 30-day loan return policy, next-day funding, and long repayment terms up to 84 months.

What We Like:

• No origination or prepayment penalties
• 30-day loan return policy
• Funding by the next business day
• Repayment terms up to 84 months

What We Don’t Like:

• Requires good-to-excellent credit for top APRs
• No secured loan options
• High APRs for fair credit borrowers
• Not the highest loan max compared to competitors
• Income verification can be slow at times

Eligibility & Next Steps:

• 18 years of age or older
• US citizen or permanent resident
• Credit score above 660 and a steady stream of income
• Completed application through the Discover online portal or mobile app

Terms: Discover provides personal loans from $2,500 to $40,000 with repayment terms of 36 to 84 months for borrowers of all credit types. The loans have no origination, prepayment, or late fees. Funds can be deposited as soon as the next business day. Eligibility depends on credit score and income verification. Always read the official loan terms before accepting a Discover personal loan.

PNC Bank

Another bank worth considering for your next personal loan is PNC Bank, which offers loans from $1,000 to $35,000 with repayment terms of 6 to 60 months. Plus, like Discover, it charges no origination or application fees, which helps keep upfront costs near zero while offering fixed rates to high-credit scorers.

If approved, you can expect funds to be deposited into your bank account within a few days. Although PNC Bank offers a slightly longer lead time than competitors, its rates will more than make up for the gap.

Plus, you can even take advantage of enlisting a co-applicant with a higher credit score to secure a lower APR, understanding that each shares joint responsibility in case of loan default.

What We Like:

• Loans starting at $1,000
• No origination or application fees
• Rate discounts for existing PNC Bank customers
• Easy-to-use, intuitive website

What We Don’t Like:

• Not available in all 50 states
• Funding up to several business days
• Higher APRs for borrowers without strong credit
• Cannot choose exact funding date
• Shared liability for co-applicant loans

Eligibility & Next Steps:

• 18 years of age or older
• US citizen or permanent resident
• Government-issued photo ID
• Completed application through the PNC Bank online portal or mobile app

Terms: PNC Bank offers personal loans from $1,000 to $35,000 with repayment terms of 6 to 60 months for borrowers of all credit types. There are no origination or application fees, and rate discounts may apply for existing customers. Funding may take several business days, and co-applicants can help secure lower APRs. Always read the official loan terms before accepting a PNC Bank personal loan.

LightStream

A division of Truist Bank, LightStream promises to make lending uncomplicated with low fixed rates starting at 6.24% up to 24.89% (inclusive of autopay). Borrowers can loan anywhere from $5,000 to $100,000, with repayment terms up to 144 months, and no origination, late, or prepayment charges.

Plus, LightStream offers an innovative Rate Beat program that essentially price-matches competitor rates by 0.10% with proof of the competitor’s rate. Plus, it employs a digital-first approach, which means quicker funding — same-day — and long-standing backing from Truist Bank.

Thanks to its commitment, LightStream has won numerous accolades, including the NerdWallet Best-Of Award (2024) for Best Online Personal Loan and an A+ rating from the Better Business Bureau.

What We Like:

• Loans from $5,000 up to one hundred thousand dollars
• Rate Beat program for competitor rate matching
• NerdWallet Best-Of Award (2024) for Best Online Personal Loan
• A+ rating from the Better Business Bureau
• Same-day funding

What We Don’t Like:

• Excellent credit required
• No loans under $5,000
• No secured or co-signed loans available

Eligibility & Next Steps:

• 18 years of age or older
• US citizen or permanent resident
• Completed application through the Lightstream online portal or mobile app

Terms: LightStream offers loans from $5,000 to $100,000 with repayment terms up to 144 months for borrowers of all credit types. No origination, prepayment, or late fees apply. The Rate Beat program can match competitor rates, and funding may occur the same day. Eligibility requires excellent credit. Always read the official loan terms before accepting a Lightstream personal loan.

Wells Fargo

Arguably one of the top three banks in the United States, Wells Fargo offers an excellent personal loan program with terms starting at $3,000 and going up to $100,000, with repayment terms of 12 to 84 months, allowing you to pay off unexpected expenses or make large-scale purchases.

One of the best things about Wells Fargo is that, on average, 96% of customers receive funds on the same day as signing. Plus, existing Wells Fargo consumer checking account customers can qualify for a relationship discount. Plus, there’s no need to put up collateral like your Honda Civic or your home, which offers greater peace of mind.

Thanks to Wells Fargo’s commitment to customers, it has received numerous awards, including Forbes Advisor’s 2024 list of the Best Personal Loans for Existing Bank Customers.

What We Like:

• Loans up to $100,000
• No prepayment penalties
• Instant approval for most customers
• Existing customers enjoy a rate discount

What We Don’t Like:

• No secured personal loan options available
• Not available in all states
• Higher APRs for borrowers with fair credit
• Funding speed is not as fast as online lenders

Eligibility & Next Steps:

• 18 years of age or older
• US citizen or permanent resident
• Completed application through the Wells Fargo online portal or mobile app

Terms: Wells Fargo provides personal loans from $3,000 to $100,000 with repayment terms of 12 to 84 months for borrowers of all credit types. Existing Wells Fargo checking customers may qualify for rate discounts. Funds are often deposited the same day for approved applicants. No collateral or prepayment penalties apply. Always read the official loan terms before accepting a Wells Fargo personal loan.

Citizens Bank

Another highly recommended option is Citizens Bank. Loan amounts range from $5,000 to $50,000, with repayment terms of 36 to 84 months, making it well-rounded in terms of loan amounts and repayment terms.

One of our favorite things about Citizens Bank is its cosigner-friendly policy, which allows applicants to add a cosigner with stronger credit to qualify for better rates. Plus, there are no origination, application, or prepayment penalties, same-day approval for existing customers, and funds are deposited into your account in as little as two business days.

Like US Bank, Citizens Bank also offers relationship-based APR discounts through checking or savings accounts, encouraging even more people to stay within the ecosystem. Plus, it’s received numerous awards, including recognition from JD Power as the “Best Regional Bank for Loan Customer Experience” (2024) and from US News & World Report as the “Best Bank for Co-Signed Loans” (2024). Along with an A+ BBB rating, Citizens Bank is as legit as they come.

What We Like:

• Loans from $5,000 to $50,000
• Repayment terms from 36 to 84 months
• No origination, application, or prepayment penalties
• “Best Regional Bank for Loan Customer Experience” (JD Power 2024)
• “Best Bank for Co-Signed Loans” by US News & World Report (2024)

What We Don’t Like:

• Not available in all states
• Higher-than-average minimum loan size of $5,000
• Best rates for existing Citizens Bank customers

Eligibility & Next Steps:

• 18 years of age or older
• US citizen or permanent resident
• Existing Citizens Bank checking account customer
• Completed application through Citizens Bank online portal or mobile app

Terms: Citizens Bank offers loans from $5,000 to $50,000 with repayment terms of 36 to 84 months for borrowers of all credit types. There are no origination, application, or prepayment fees, and cosigners are allowed. Funds may be available in as little as two business days. Relationship-based APR discounts may apply. Always read the official loan terms before accepting a Citizens Bank personal loan.

Citi

Another major player in banking institutions in the United States, Citi is known for its no-fee personal loans. Loan amounts range from $2,000 to $50,000, with 12- to 60-month repayment terms, making it an excellent choice for anyone looking to cover a short-term or significant expense, such as a home renovation.

Plus, existing customers can take advantage of same-day approval, with funds directly deposited into their Citi account within 24 hours. On top of that, there are no origination or prepayment penalties, with fixed rates that make monthly budgeting a breeze. Note: Citi only offers personal loans to its existing checking account customers, with the potential for relationship-based APR discounts.

With more than 700 branches nationwide and a robust loan website and mobile app, Citi is a winner.

What We Like:

• Loans from $2,000 to $50,000
• 12 to 60 months repayment terms
• “Best Bank for Personal Loans – Large Institutions” by Money.com (2024)
• A+ Better Business Bureau Rating
• Named to Fortune’s “World’s Most Admired Companies” list (2024)

What We Don’t Like:

• Not available in all states
• No secured or co-signed loan options
• Funding speed may vary for non-Citi account holders
• APRs will be higher for borrowers with fair credit history

Eligibility & Next Steps:

• 18 years of age or older
• US citizen or permanent resident
• Existing Citi checking account holder
• Minimum credit score of around 680
• Completed application through Citi’s online portal or mobile app

Terms: Citi provides personal loans from $2,000 to $50,000 with repayment terms of 12 to 60 months for borrowers of all credit types. Loans have no origination or prepayment fees, with same-day funding possible for existing Citi account holders. Eligibility requires being a Citi checking account customer. Always read the official loan terms before accepting a Citi personal loan.

US Bank

If you want the best of both — digital and in-person support — US Bank offers personal loans ranging from $1,000 to $50,000 with repayment terms of 12 to 84 months. It is primarily known for its competitive APRs on relationship-based discounts and next-day funding for pre-approved customers.

Plus, US Bank offers a powerful mobile and online banking experience, allowing borrowers to do everything from track payments to view loan balances. Note: US Bank also offers secured loans through savings accounts or certificates of deposit — a chance for slightly lower rates.

Thanks to its strong performance, US Bank has been ranked #1 in “Overall Customer Satisfaction with Consumer Lending” by JD Power (2024) and has won Newsweek’s “Best Banking App” Award (2023).

What We Like:

• Loans from $1,000 to $50,000
• Repayment terms from 12 to 84 months
• Offers secured loans
• “Customer Satisfaction with Consumer Lending” by JD Power (2024), Winner of
• Newsweek’s “Best Banking App” Award (2023)

What We Don’t Like:

• Not available in all states
• An in-person visit is required for secured loans
• Higher minimum APRs for non-US Bank customers

Eligibility & Next Steps:

• 18 years of age or older
• US citizen or permanent resident
• Existing US Bank checking account customer
• Completed application through US Bank’s online portal or mobile app

Terms: US Bank offers personal loans from $1,000 to $50,000 with repayment terms of 12 to 84 months for borrowers of all credit types. Secured loans are available through savings accounts or certificates of deposit. Existing US Bank checking account customers may qualify for next-day funding and rate discounts. Always read the official loan terms before accepting a US Bank personal loan.

What Personal Loans Do Banks Offer?

Whether you’re looking to consolidate debt or cover a significant expense, there are several types of personal loan products banks offer. How they vary depends on the type of loan, whether you’re putting up collateral, how interest is calculated, and much more.

Here are the different kinds of personal loans banks can offer:

Unsecured Personal Loans

Arguably the most popular type of loan banks offer, these loans come with fixed APRs and predictable monthly payments without requiring collateral. Expect funding within 1 to 3 business days if you have an existing relationship, or same-day financing for qualified applicants.

If you have 720+ credit, you can expect rates between 7.9% and 12%; if you’re in the 660–719 range, you can expect rates between 13% and 22%. As a representative example, a $15,000 loan at a 9.49% APR for 36 months will give you an estimated monthly payment of $481; with a higher credit score, this usually soars past $520 with a lower credit score.

Secured Personal Loans

Secured personal loans use your savings account, vehicle title, or certificate of deposit to make it less risky for the bank to lend the money. As a result, you can enjoy lower APRs and more favorable terms, even if you have an average credit score. In the case of savings accounts or certificates of deposit, collateral is frozen and cannot be liquidated until the loan is paid in full.

For secured loans, borrowers with good credit can expect to pay 5.49% to 9%, whereas fair credit borrowers can pay 9% to 15%. A $5,000 secured loan at 6.25% APR for 24 months on a $5,000 certificate of deposit, with a monthly payment of around $200, is not uncommon.

Debt Consolidation Loans

If you’re looking to replace multiple loans with a single loan, then consolidation loans are the way to go. Payoffs go directly to creditors, which, in turn, reduce revolving balances and improve the credit utilization ratio, making one eligible for better loans.

If you have a credit score of 720, you may qualify for an 8% APR versus 14% to 20% APRs for scores in the 670 to 719 range. Have a credit score of 670 or below? Your rates will fall closer to 28%. No idea.

Home Improvement

If you’re looking to make large-scale renovations to your home, you can take advantage of home improvement personal loans. These specialized types of loans do not need an appraisal or inspection, nor do they need your home equity.

Loan amounts typically depend on your credit score and the size of the renovation. For example, excellent credit borrowers can receive APRs between 7.98% and 13%, whereas you will see closer to 14% to 24% if you have fair credit. A typical home improvement loan can be for $12,000 at a 10.75% APR for 3 years, which means you will pay roughly $391 a month.

Cosigner and Joint Loans

If you want to take advantage of another person’s stronger credit profile, then cosigner and joint personal loans work. Cosigners imply the second borrower sharing liability, whereas joint loans allow equal access to funds by both parties. If you have a fair to poor credit score, then enlisting a strong cosigner can increase your chances of approval.

Personal Lines of Credit

An underrated financial product you can use is a personal line of credit, which is a mix between an individual loan and a credit card. Borrowers have access to a reusable credit limit instead of receiving a lump sum, with interest applied to the amount drawn, making it an excellent choice for unexpected expenses. Plus, they usually offer variable APRs and are typically reserved for the highest-credit-score borrowers with a higher-than-average income.

Auto Refinance Loans

If you want to replace an existing car loan with new terms, then you can turn to auto refinance loans. APR typically ranges from 5% to 15% based on your credit score and can really cut down on your monthly payments and interest with quick approvals.

CD Secured and Savings Secured Loans

Suppose you want to take advantage of a lower-than-average APR. In that case, you can turn to certificates of deposit, secured loans, or savings secured loans, which use your deposited funds as collateral. Savings and CD proceeds remain locked until you pay off your loan. In terms of APRs, they’re usually 2% to 6% above the CD or savings account rate.

For example, if you take out $4,000 secured by a savings account for 24 months at a 4.5% APR, your monthly payment will be around $175.

All in all, unsecured loans, secured loans, debt consolidation loans, home improvement loans, cosigner/joint loans, auto refinance loans, and CD secured/savings secured loans are some of the many options available at banks that you can take advantage of.

What Are the Pros and Cons of Bank Personal Loans?

Here are the pros and cons of personal bank loans:

Pros:

Lower Interest Rates

One of the most significant benefits of traditional banks is that they can offer lower APRs than online lenders or payday lenders, especially for borrowers with good, fair, and credit scores in the 660 range. For example, Discover and Wells Fargo offer rates starting near 8%–9% APR, which is an excellent alternative to the 20%+ APR offered by online competitors.

Plus, they are fixed interest rates, meaning they stay the same throughout the loan term, allowing for consistent monthly budgeting.

Security

With the understanding that banks have strict federal oversight, ensuring compliance with fair lending laws and complete fee disclosures is expected, not to face predatory lending practices offered by storefront payday or online lenders.

This translates to relationship-based rate discounts. In addition, traditional banks frequently reward loyal customers with relationship-based rate discounts. For example, PNC Bank and Citi offered 0.25% APR reductions for anyone who enrolled in autopay through their checking or savings accounts, helping lower borrowing costs.

If you’re taking out $50,000 with a small rate discount, this could mean hundreds of dollars in savings throughout the life of your loan.

Larger Loan Amounts and Longer Repayment Terms

Traditional advantages to using traditional banks are that you can be eligible for higher loan amounts in the $3,000 to $100,000 range from top options like Wells Fargo, making banks an excellent choice for a large-scale renovation, debt consolidation, or any large purchase.

Plus, you can choose longer repayment terms of 12 to 84 months. Remember, the longer the term, the lower your monthly interest payments, though you’ll pay more interest at the end of the loan if you don’t pay early.

Cons:

Strict Qualification

One downside of taking out bank loans is that they’re very hard to qualify for. Expect to need a credit score of 660 or higher, along with stable employment and a low debt-to-income ratio of 40% or less. If you have a thin credit file, expect to struggle, with only those with excellent credit (700+) qualifying for the most competitive APRs from top options like Citizens Bank and US Bank.

Slower Funding Speed

Another area where online lenders have traditional banks beat is with funding speeds. While you can expect to receive funds by the next business day, banks like Discover, LightStream, PNC, and Citizens can take up to 5 business days to complete account verification, which may delay paying off urgent financial obligations, such as overdue medical bills or emergency airfare.

Limited Pre-qualification Tools

Don’t expect banks to roll out the red carpet and offer pre-qualification tools. Some of our top recommended options, like Citi, Citizens Bank, and Wells Fargo, require that you complete a full application, which triggers a hard inquiry before revealing all your terms. Expect your credit score to go down at least 20 points. No wonder online lenders like SoFi have millions of people using their instant pre-qualification tools.

If you’re looking to compare multiple loan options, this could be a tremendous disadvantage. Aggressively shopping around can result in multiple hard inquiries, limiting flexibility. That’s why we had to recommend using online loan aggregators like SuperMoney to see multiple bank offers with a simple soft investigation before committing to individual applications at each partner bank (triggering hard inquiries).

How Banks Compare to Credit Unions and Online Lenders?

With a choice of banks, credit unions, and online lenders, each one has its own advantages and disadvantages.

Three areas in which banks differ from credit unions and online lenders include interest rates/loan costs, accessibility/approval requirements, and funding speed.

Interest Rates/Loan Costs

With banks, you can access the most competitive APRs in the 7% to 9% range for borrowers with excellent credit. However, credit unions often beat traditional banks by offering APRs as low as 6%, especially if you take advantage of relationship-based discounts or enroll in automatic payments.

At the same time, online lenders provide APRs in between. For example, SoFi, Upgrade, and Best Egg offer APRs between 8% and 10% for excellent credit borrowers, depending on the loan type and repayment term. They also offer several additional benefits, such as zero origination fees and cashback rewards programs, which can often offset slightly higher APRs.

Accessibility & Approval

The strictest approval criteria will always fall to banks that require the highest credit scores, the most extensive employment histories, and the lowest debt-to-income ratios. For example, Citi, American Express, and LightStream require a minimum credit score of 700. Other criteria that determine your eligibility include cash reserves and your existing banking relationship.

On the other hand, Credit Unions offer much more flexible underwriting given their member-centric approach, accepting scores as low as 640 as long as income and membership requirements are in line. They also do an excellent job offering secured personal loans that use your vehicle, savings account, or certificate of deposit as collateral, helping you qualify for lower rates.

With online lenders, expect greater accessibility, as your eligibility is based on factors beyond your credit score, such as cash flow and educational history. For example, Upstart accepts borrowers with scores as low as 600 by evaluating dozens of other data points that banks do not consider. Plus, they’re known for fully automated underwriting systems, which result in faster processing times, including for applicants with limited credit history.

Funding Speed

Banks typically take 24 to 48 hours to make lending decisions for existing customers. Of all of our recommended banks, Discover and Wells Fargo are the quickest, whereas Citizens and PNC have slower approval times.

In turn, Credit Unions have much slower underwriting, with funding typically taking between one and three business days, although within 24 hours for pre-existing members (e.g., Alliant and PenFed). Note that Credit Unions take longer to process your application because you must provide additional supporting documentation and complete member onboarding.

Now, online lenders offer the fastest processing speeds. SoFi, Upgrade, LendingPoint, and Upstart can run disbursements on your account as early as the same day or by the next business day, thanks to their fully automated underwriting systems.

Can I Get a Loan From a Bank With Bad Credit?

Unfortunately, banks do not specialize in offering loans to people with bad credit, as they rely on stricter FICO score thresholds and approval criteria, such as debt-to-income ratios. The mid-600s are the bare minimum to be considered, but you’ll qualify for higher-than-average APRs. Ultimately, preferences go to existing customers who already have open checking, savings, or credit card accounts.

For people with bad credit, we have solutions. Try our bad credit loan lenders that approve people for up to $50,000 at 5,99% to 35,99%.

At the same time, banks can extend an olive branch by offering secured personal loan programs that let you borrow against a vehicle, savings account, or certificate of deposit. Regional banks, in particular, offer several credit builder loans with amounts up to $1,000.

Note, there’s always the option of enlisting a co-applicant with a strong credit history to secure lower APRs. PNC, Citizens Bank, and US Bank are our three highly recommended banks that offer this.

How to Apply for a Personal Loan from a Bank?

Whether you’re looking to apply with Discover, PNC, Citi, US Bank, Citizens Bank, Wells Fargo, LightStream, or any of our recommended banks, all follow a similar process that you need to check your rate all the way to signing your loan agreement electronically.

Here are the steps needed to apply for a bank personal loan:

Check Your Credit and Debt-to-Income Ratio (DTI)

Before taking out any bank loan, it’s critical to understand where your credit stands. Try to get a free copy of your credit report from AnnualCreditReport.com and try to work towards a score of at least 660 for entry-level approval at banks like Discover or PNC, versus 700+ for First Citizens Bank and Citi.

Now is the perfect time to dispute inaccuracies. Whether it’s an outdated account or an account marked as open or closed, they can easily be dragging down your score by 40 to 60 points. Do not forget to calculate your debt-to-income ratio, as most banks prefer DTIs under 35% for the best rates.

Choose the Right Bank

Every bank has its own strengths and weaknesses. For example, Discover and Citi are known for no origination fees, whereas Wells Fargo is better known for same-day funding and nationwide coverage.

If you’re looking for a much larger loan or a longer repayment term, you can check LightStream, which offers up to $100,000 and repayment terms of up to 144 months. At the same time, Citizens Bank and PNC are well known for their lower minimums, which could be used to cover smaller expenses.

If you already have a checking or savings account with US Bank, Wells Fargo, or Citizens Bank, you can even look into relationship-based APR discounts that can save you as much as 0.5%. All in all, you should look for a lender that aligns with your financial goals. Whether you’re looking to cover a significant expense, take advantage of relationship-based APR discounts, or make extra-long payments over up to 144 months, there’s a bank for your situation.

Get Prequalified

Once you’ve evaluated your banks, the next step is to complete pre-qualification, which triggers a soft credit inquiry so your credit score isn’t affected.

Some of our favorite pre-qualification portals include Discover, Citi, and LightStream, which give you personalized APRs in minutes. You can also rely on a loan marketplace like SuperMoney to help you see side-by-side comparisons of the best offers available. Try to narrow down your short list to two or three offers. Remember, a hard inquiry will only be triggered once you’ve applied.

Gather All Documents

After you’ve chosen a lender, gather all your supporting documentation, such as government-issued ID, your Social Security number, and proof of income. You’ll need to provide at least 1 W-2, W-4, or 1099 form, and up to 2 years of tax returns, along with a recent utility bill to demonstrate your address.

If you’re looking for a cosigner loan through US Bank, Citizens, or PNC, you may be asked for more documentation. There’s additional scrutiny if you’re self-employed, since you also have to provide potentially business-related tax returns or profit-and-loss statements.

Complete Your Application

Expect your complete application to take anywhere from 10 to 15 minutes. You’ll be expected to enter your desired loan amount and select repayment terms, with a hard inquiry triggered thereafter.

If you’re an existing customer at a bank like Discover or Wells Fargo, you can enjoy instant decisions as long as you provide income verification. In turn, LightStream and Citizens Bank could take up to 24 hours to process your application. Try to be as accurate as possible and ensure that all fields are entered correctly to avoid longer processing times.

How to Qualify for a Personal Loan from a Bank?

Here are the steps you need to take to qualify for a bank personal loan from one of our recommended lenders.

Check Your Credit Score and DTI

The first step is to check your credit score in depth, including the debt-to-income ratio. A 660+ score will qualify you for Discover or PNC Bank, whereas higher credit scores of 680+ are usually reserved for Citi, LightStream, American Express, and Citizens Bank. You want to make sure that your debt-to-income ratio is under 40% for the best chance of approval, so be sure to dispute inaccurate credit report items, pay down all of your outstanding credit card balances, and do as much as you can before applying.

Choose the Right Bank

The next step is to consider a bank that aligns with your needs. For example, you may benefit from Discover or Citi’s no-origination-fee policy, whereas same-day or next-day funding is available at Wells Fargo and US Bank.

If you’re looking for higher loan limits, up to $100,000, then LightStream is an option. Looking to enlist a co-applicant for stronger approval chances? Then PNC Bank and Citizens Bank may be worthwhile options.

Lastly, if you’re already part of a bank’s ecosystem, such as American Express, you may take advantage of invitation-only personal loans with competitive rates.

Get Prequalified

After choosing a bank, it’s time to get an estimated APR without lowering your credit score through pre-qualification. Banks like Discover, LightStream, and Citi offer instant pre-qualification.

Consider loan aggregators like SuperMoney, which let you see multiple bank offers at once with only a soft credit pull. Try to narrow down your options to two or three banks before proceeding with an application.

Gather All Documentation

Compared to online lenders, banks require more documentation, including government-issued ID, Social Security cards, recent income information, and even a utility bill or proof of utilities.

If you’re looking for a cosigner loan at PNC, Citizens Bank, or US Bank, then both applicants must submit the same information.

Submit Your Application

Once you’ve chosen a bank and gathered all the documentation, it’s time to submit your application. At this stage, expect the hard credit check with varying turnaround times. For example, existing Discover, Wells Fargo, Citi, or US Bank customers may receive faster approvals, whereas Citizens Bank may take up to 48 hours for verification.

Double-check that all fields were completed accurately to avoid any delays in processing.

Review and Accept Loan Terms

After you are approved for a loan, the bank will give you an estimate of the final APR, monthly payment, and loan repayment term. At this stage, try to negotiate for a relationship-based discount. For example, if you enroll in autopay at Wells Fargo, PNC Bank, Citi, Citizens Bank, and US Bank, you may qualify for a lower APR.

From there, you should expect to receive funds as early as the same day or the next day, depending on your provider. From there, use funds responsibly and set up automatic payments so you’re on top of all your monthly bills.

How to Pick the Best Personal Loan From a Bank?

Choosing the best bank personal loan means understanding that each institution differs in terms of APR ranges, funding speed, fees, loan limits, and more. While you can expect similar baseline criteria, a lot of it comes down to your financial goals and your credit profile.

Here’s a step-by-step guide on how to pick the best personal loan from a bank.

What’s Your Financial Profile?

The first step is to get a sense of what your financial profile actually is by considering your credit score and debt-to-income ratio.

For example, borrowers in the mid-600s may find that Discover, PNC Bank, or US Bank offer better terms. In contrast, anyone with a credit score of 700 or higher can take advantage of higher loan limits at LightStream, American Express, Citi, or Citizens Bank. At the same time, you should be thinking about how much you’re looking to borrow. Is it a small personal loan for unexpected expenses or a much larger loan for splurges?

Compare Fees, Loan Limits, and Repayment Terms

The next step is to get a handle on your bank’s maximum loan limits and repayment terms. If you’re not a fan of origination fees, then banks like Discover and Citi make a lot of sense, helping you save hundreds of dollars in interest over the life of a $5,000 loan. Meanwhile, PNC Bank and Citizens Bank are excellent choices if you’re looking for an origination or application fee, though they come with slightly higher APRs.

If you’re looking for loan limits up to $100,000 and repayment terms of 100 months or more, LightStream is highly recommended. Others that offer extra-long repayment terms include Wells Fargo and Citizens Bank, with terms up to 84 months.

Consider Funding Speed and Loyalty Discounts

After narrowing down options to two or three lenders, you should look into funding speed and whether you can receive loyalty discounts. For example, Wells Fargo, American Express, and LightStream are better known for same-day or next-day funding, making them an excellent choice for emergencies. In contrast, Discover can provide funding by the next business day.

Suppose you’re already a member of Wells Fargo, Citi, Citizens Bank, PNC Bank, or US Bank. In that case, you can take advantage of relationship-based discounts when you enroll in automatic payments. Even with a simple 0.2% APR reduction, you can easily save hundreds of dollars on loans of 10,000 or more.

Looking for the best Mobile Banking tools? In this case, we highly recommend US Bank and LightStream, which offer robust online platforms and easy-to-use, intuitive apps for everything from tracking your loan to making payments. If you prioritize customer service, then you can take advantage of American Express and its numerous JD Power Personal Loan Customer Satisfaction awards.

Compare Final Offers and Choose the Lowest Total Cost

Once you’ve narrowed your options to two or three lenders, it’s time to compare them to determine the lowest total borrowing cost, taking into account factors such as APR, fees, and loyalty discounts.

That’s why we’re big fans of Discover and Citi, as they offer a fee structure that can ultimately have you pay less over the life of a loan than lower APR opportunities from banks like Wells Fargo, Citizens Bank, and US Bank.

No matter what bank you choose from our list of recommendations, you should expect to receive funds as early as the same day or the next day, depending on your lender’s policies.

Do Banks Offer Alternatives to Payday Loans?

Nowadays, banks offer several alternatives to payday loans for short-term emergencies, such as unpaid medical bills or unanticipated automotive repairs.

For example, US Bank, Wells Fargo, Regions Bank, and KeyBank offer small-dollar loans ranging from $200 to $1,000 with APRs of 6% to 24%. Another option is the Overdraft Line of Credit (LOC) product, which is used to cover shortfalls by linking your checking account to an additional line of credit that lets you borrow up to $1,500. Note that interest is charged only on the amount used, making this an available option.

Thirdly, there’s also the option of a credit builder or a secured personal loan, where you can use a savings account or a certificate of deposit as collateral. These come with APRs as low as 3% and even allow you to build credit over time.

Lastly, banks now partner with employer-based programs that allow you to access a portion of your next paycheck at 0% interest and no credit checks. Keep in mind that this is not necessarily a one-time loan but is made in advance of your next paycheck, allowing you to access your wages sooner. Two of the most popular options include PayActiv and Even.

Frequently Asked Questions

What credit score do I need to qualify for a bank personal loan?

To qualify for a bank personal loan, you need a credit score of 660 or higher. However, you may see banks like Discover, PNC, and US Bank that work with the mid-600s, while premium-themed lenders like Citi, LightStream, Citizens Bank, and American Express prefer to offer the lowest APRs to applicants with scores starting at 680. If your credit score is 680 or lower, consider secured or credit union loans for the best APRs.

Can I get a personal loan from a bank with bad credit?

Expect to have a difficult time getting a personal loan from a bank with bad credit. If you have a credit score between 620 and 640, you’ll face stricter criteria. However, secured loans backed by a certificate of deposit or savings account could increase your chances of approval, as with credit unions or fintech lenders.

Do banks offer secured personal loans?

Not all banks offer secured personal loans. For example, US Bank, Wells Fargo, KeyBank, and Regions Bank allow you to use collateral, such as a savings account, a certificate of deposit, or a vehicle title, to qualify for a lower APR and a higher approval rate. However, Citi, Discover, LightStream, American Express, and PNC only offer unsecured personal loans.

How fast do banks fund personal loans?

Funding speeds depend on the bank. If you want same-day or next-day disbursement, then turn to Wells Fargo, American Express, and LightStream. Expect longer lead times of 1 to 5 business days at other banks like PNC, Citizens Bank, and US Bank, which may require additional supporting documentation.

Will applying for a bank loan hurt my credit score?

Applying for bank loans does hurt your credit score. Only when you submit your complete application does the bank trigger a hard inquiry, which can drop your credit score by as much as 20 points. That’s also why we strongly recommend against submitting multiple applications to different banks within a short time frame.

Can I add a cosigner to increase my approval chances?

Not all banks allow you to add cosigners. Three of our recommended banks — PNC Bank, Citizens Bank, and US Bank — offer cosigner loans that enable you to qualify for lower APRs when your credit score is not up to par. However, Citi, Discover, American Express, LightStream, and Wells Fargo do not offer these programs.

What fees should I expect with bank personal loans?

You should expect fees when it comes to bank personal loans, including, but not limited to, origination, application, late, or returned payment penalties. However, banks like Discover offer no-fee personal loans. Keep in mind that fees also vary by your state of residence, so we encourage you to read all terms and conditions before applying.

How long are typical bank loan repayment terms?

Expect to repay your loan over 12 to 84 months. However, LightStream offers terms up to 144 months, but you generally need a higher credit score to qualify. Remember that the shorter the term, the less interest is paid over time, whereas longer terms result in lower monthly payments.

What can I use a bank personal loan for?

Bank personal loans can be used for a variety of purposes, including but not limited to debt consolidation, unexpected medical bills, and large purchases. However, keep in mind that banks generally restrict the use of loans to pay off existing loans owed to the same bank.

How do bank personal loans compare to online lenders?

Compared to online lenders, banks typically offer lower APRs and higher loan limits. However, the trade-off is that you have to give up faster approvals and more flexible underwriting. In short, if you have excellent credit, you can take advantage of banks, whereas those building credit are better off with online lenders or credit unions.

Conclusion

Choosing the right bank for a personal loan doesn’t have to be an exhaustive process. Whether it’s LightStream’s incredible 144-month repayment terms or Citi and Citizens Bank’s first-time relationship-based APR discount, there’s always an opportunity for excellent to good credit borrowers to enjoy low APRs, predictable fixed payments, award-winning customer support, fast funding, and peace of mind.