If you are a New York interested in consolidating debt, funding an unexpected expense, or paying for a wedding, then applying for loans from the best direct lenders in New York is a sound idea.
Today, direct lenders offer favorable rates and terms for NY borrowers of all credit scores.
After researching more than 40 NY-based direct lenders, comprising roughly 12 banks, 15 credit unions, and 25 online lenders, we narrowed our top recommendations to eight of the best. The main criteria used were the strength of APRs, repayment terms, eligibility requirements, and extra perks like debt protection programs and consumer education. Continue reading to learn our top picks below:
ElitePersonalFinance allows you to compare quotes from multiple lenders. Make a well-informed decision with insights from our top finance experts from ElitePersonalFinance.
Why Trust ElitePersonalFinance Guides?
ElitePersonalFinance adheres to the highest editorial standards, researching bank products and services with a magnifying glass to the fine print. We carefully evaluated APRs, repayment terms, fees/penalties, and dozens of other variables to round out our selections. Presenting only the top New York direct lenders is our goal.
Need help finding a lender that you would highly recommend? Send us an email at info@elitepersonalfinance.com, and we’ll be glad to review it and compare it with our picks for potential inclusion in a future update.
Best Direct Lenders in New York of April 2024: Key Findings
The best direct loans in NY start as low as $250 and go up to $100,000.
New Yorkers with bad credit can still obtain personal loans. However, APRs on these loans can reach as high as 35.99%.
Bad credit NY borrowers can take advantage of loan apps like Earnin, which offer up to $150 per day ($500 per period) for no-interest loans paid back by your next paycheck.
To qualify for a good credit direct loan in New York, you must have a credit score of at least 640 with recurring income and debt-to-income ratio of 50% or less.
Some credit unions in NY offer payday alternative loans of up to $1,000 with APRs capped at 28%
NextDayPersonalLoan
Loan Amount:
$100 – $40,000
APR:
Not Listed
Min. Credit Score:
Not Listed
Approval:
1 – 7 Days
Terms:
Not Listed
Fees:
Loan origination fees vary by lender
Late payment fees vary by lender
Most lenders don’t charge prepayment fees
Qualification Criteria:
Be at least 18 years of age
Have recurring employment income or government benefits
Fill out your information through NextDayPersonalLoan’s online portal
Average Borrower Profile:
NextDayPersonalLoan’s connects borrowers with personalized financial product offers from banks and other lenders
If you have bad, fair, good, or excellent credit, financing options are available
NextDay is an excellent option for bad credit New Yorkers looking to compare hundreds of direct lenders offering loans from $100 to $40,000. These direct lenders specialize in traditional personal loans, debt consolidation loans, and alternative auto title and payday loans.
With NextDay, it’s equally possible to find a 5.99% APR lender with two to seven-year repayment terms and a second direct lender offering a $100 loan with a 30-day repayment term. Fees, repayment terms, and approval times of one to seven business days vary by lender.
To take advantage of a NextDay direct loan, you must be at least 18 years of age with a regular job/government benefits and complete an application through the NextDay website.
Pros:
Soft inquiry
Loans from $100 to $40,000
Excellent way to cover short-term expenses
Offers all types of loans (e.g. personal and debt consolidation)
Cons:
Some lenders exceed 35.99% APRs
No hardship/ forbearance programs
Similar payday loan APRs for smaller loans
Not all loan types available in all states (e.g., cash advances)
The impact of COVID-19:
Since NextDay is not a direct lender, it does not offer any hardship or forbearance programs for New Yorkers experiencing financial hardship. Visit each participating member’s website for guidance.
LifeLoans
Loan Amount:
$1,000 – $40,000
APR:
7.46% – 35.97%
Min. Credit Score:
560
Approval:
1 Day
Terms:
2 – 7 Years
Fees:
Loan origination fees of 1.85% – 8.99%.
Late payment fee of $10, after a 15-day grace period.
Insufficient funds fee of $10.
There are no prepayment fees.
Qualification Criteria:
Be at least 18 years of age.
Have a credit score of at least 560.
Have a DTI ratio that doesn’t exceed 75%.
Have recurring employment income or government benefits.
Fill out your information through Upgrade’s online portal.
LifeLoans is a solid choice for bad credit New Yorkers looking to comparison shop hundreds of direct lenders for the best rates and terms, depending on their financial situation.
Direct lenders under Lifeloans offer between $100 to $40,000 with varying APRs, many at 35.99% or less with approval anywhere from one to seven business days. Origination, prepayment, and late payment fees also vary by lender. Many also require no minimum credit or income, an excellent option for bad credit New Yorkers looking to get their financial situation in order.
To qualify for a Lifeloan loan, you must be 18 years or older with a minimum income of $1,000 and a regular job (minimum of four weeks). You must also have a valid checking account and complete an online application through LifeLoan’s website.
Pros:
Soft inquiry
Loans from $100 to $40,000
Excellent source of small loans
Many sub 35.99% APR loans are available
Cons:
Some lenders charge prepayment fees
Some lenders more transparent than others
Required minimum $1,000 monthly income
Origination and prepayment fees vary by lender
The Impact of Covid-19:
For more information on forbearance and hardship options, please refer to each lender, as LifeLoans is an online marketplace. However, you can give loan relief questions a shot by calling LifeLoan representatives at 833-321-7764.
Upgrade
Loan Amount:
$1,000 – $50,000
APR:
8.49% – 35.99%
Min. Credit Score:
560
Approval:
1 Day
Terms:
2 – 7 Years
Fees:
Loan origination fee of 1.85% – 9.99%
Late payment fee of $10, after a 15-day grace period
Insufficient funds fee of $10
There are no prepayment fees
Qualification Criteria:
Be at least 18 years of age
Have a credit score of at least 560
Have a DTI ratio that doesn’t exceed 75%
Have recurring employment income or government benefits
Fill out your information through Upgrade’s online portal
Personal loans made through Upgrade feature Annual Percentage Rates (APRs) of 8.49% – 35.99%. All personal loans have a 1.85% to 9.99% origination fee, which is deducted from the loan proceeds. The lowest rates require Autopay and paying off a portion of existing debt directly. Loans feature repayment terms of 24 to 84 months. For example, if you receive a $10,000 loan with a 36 – month term and a 17.59% APR (which includes a 13.94% yearly interest rate and a 5% one-time origination fee), you would receive $9,500 in your account and would have a required monthly payment of $341.48. Over the life of the loan, your payments would total $12,293.46. The APR on your loan may be higher or lower, and your loan offers may not have multiple term lengths available. The actual rate depends on credit score, credit usage history, loan term, and other factors. Late payments or subsequent charges and fees may increase the cost of your fixed-rate loan. There is no fee or penalty for repaying a loan early.
We highly recommend Upgrade for bad credit NY’ers with high DTI ratios not exceeding 75%. In a world where most lenders require 50% or lower, Upgrade’s 75% is pretty generous!
We like Upgrade for its versatility. It offers loan amounts ranging from $1,000 to $50,000, payable on two to seven-year terms. Loans typically incur 8.49% to 35.99% APRs. Those enrolling in autopay can further qualify for a 0.5% discount, all with no prepayment fees. However, there are higher-than-average origination fees not exceeding 9.99%. Its max 9.99% origination fee is the highest of all lenders on our list.
Qualifying for an Upgrade loan is pretty straightforward. On top of your prototypical age and US citizen/permanent residency requirement, borrowers need to have a minimum 560 credit score, a DTI ratio at or below 75%, an average monthly cash flow of $800, and an average annual income of $78,000. In a world with 50% or less DTI ratios as the standard, Upgrade’s 75% is pretty generous!
Upgrade has a dedicated help center for Upgrade customers encountering financial hardship with options for catching up with payments. To learn more, please visit Upgrade – COVID-19 Help for Upgrade Customers.
LendingPoint
Loan Amount:
$2,000 – $36,500
APR:
9.99% – 35.99%
Min. Credit Score:
580
Approval:
1 – 7 Days
Terms:
2 – 5 Years
Fees:
Loan origination fee of 0% to 6%.
Late payment fee of up to $30.
Insufficient funds fee of $20.
Qualification Criteria:
Be at least 18 years of age.
Have a credit score of at least 580.
Have a DTI ratio that doesn’t exceed 50%.
Have an annual income of at least $25,000.
Fill out your information through LendingPoint’s online portal.
LendingPoint is a solid choice for New Yorkers with limited or bad credit to secure direct loans up to $36,500.
Consider LendingPoint one of our more well-rounded direct lenders, offering APRs from 7.99% to 35.99% on loan amounts from $2,000 to $36,500. Repayment terms are also generous, starting from upwards of seven years. What’s more – qualifying is easier than most of our leaders, with only a minimum required 580 credit score, one of the lowest qualifying credit scores on our list.
On the flip side, LendingPoint assesses origination fees of up to 6% and late fees of up to $30.
To qualify for a LendingPoint loan, you must be 18 years of age with a debt-to-income ratio that doesn’t exceed 50%. You must also have an annual income of at least $25,000.
Pros:
Solid APRs ( 7.99% to 35.99% )
Only need a 560 credit score to qualify
No prepayment penalties
Excellent repayment terms of 2 to 5 years
Cons:
Late fees of up to $30
Insufficient funds fee of $20
Origination costs are anywhere from 0% to 6%
Max loan amount is only $36,500
The Impact of Covid-19:
Although LendingPoint’s website does not explicitly state information on any financial hardship programs, you can contact LendingPoint by emailing customerservice@lendingpoint.com or calling (888) 969-0959.
Earnin App
Loan Amount:
Up to $100 per day and $500 per pay period.
APR:
0%
Terms:
Repay manually via money order or with your next paycheck.
Fees:
Up to $3.99 per $100 for same-day cash advances (first is free).
Credit Check:
No
How to Qualify:
Have a checking account with frequent direct deposits.
With more than 10 million downloads to date, Earnin is an excellent choice for New Yorkers who would prefer smaller cash advances up to $500, easily covered by your next paycheck.
Unlike most of the lenders on our list, Earnin is a loan app that is considered an excellent traditional payday loan alternative. It offers small loans up to $500 with 0% interest, although there is an optional “tip” you can give up to $14. One of the best things about Earnin is that you cannot be approved in as little as one business day.
Plus, no credit check is required. All you need to show proof that you have a permanent workplace or an electronic timekeeping system to prove your employment.
Earnin is an excellent choice for people who prefer no credit checks and to be judged based on their current employment status.
Pros:
0% interest
No minimum credit score required
No origination fees
One monthly payment.
Highly intuitive and easy-to-use app
Cons:
Can only lend up to $500
Charges late payment fees of $10 or 15%, whichever is greater
The Impact of Covid-19:
Fortunately, Earnin offers recourse for people that have experienced financial hardship. You can contact them in two ways: phone at (888) 400-8996 or by emailing support@earnin.com.
Alliant Credit Union
Loan Amount:
$1,000 – $50,000
APR:
6.24% – 27.24%
Min. Credit Score:
640
Approval:
1 – 3 Days
Terms:
Up to 120 months
Fees:
Late payment fees apply
Insufficient funds fees apply
There are no loan origination fees
There are no prepayment fees
Qualification Criteria:
Be at least 18 years of age
Have a credit score of at least 640
Have recurring employment income
Apply online
Average Borrower Profile:
Alliant Credit Union does not disclose average borrower statistics.
We like Alliant Credit Union for good credit. New Yorkers would prefer to work with an online-only bank with generous APRs and loan amounts on unsecured loans.
Alliant Credit Union starts with loan amounts from $1,000 to $50,000 with APRs ranging from 6.24% to 27.24%., a similar range to what banks and online lenders like SoFi and Citibank charge. Repayment loans can be extended up to 120 months. Like most of our lenders, approvals take anywhere between one and three days.
To qualify for an Alliant Credit Union direct loan, you must be a US citizen or permanent resident 18 years or older with a minimum credit score of 640. Remember, credit scores in NY from 670 to 739 are considered good credit.
Look to Alliant Credit Union if you prefer an online-only bank with a substantial debt protection program and an excellent APR range of 6.24% to 27.24%.
Pros:
Solid APR range (6.24% to 27.24%)
No prepayment or origination penalties
Highly rated debt protection program
No origination/prepayment fees
Low minimum loan amount of $1,000
Cons:
High max APR (27.24%)
Required credit score of 640 is on the high end
Charges late payments and insufficient funds fees
The Impact of Covid-19:
There is no mention of forbearance programs on the Alliant Credit Union website. However, you can reach them at (800) 328-1935.
Wells Fargo
Loan Amount:
$3,000 – $100,000
APR:
5.74% – 21.74%
Min. Credit Score:
690
Approval:
1 – 7 Days
Terms:
12 – 84 months
Fees:
Late payment fee of $39
Insufficient funds fee of $39
There are no loan origination fees
There are no prepayment fees
Qualification Criteria:
Be at least 18 years of age
Have a credit score of at least 690
The maximum DTI ratio is often 43%
Have recurring employment income or government benefits
Apply online or at a Wells Fargo branch
Average Borrower Profile:
APRs between 5.74% and 8.22% for a 3-year term are typical for borrowers with excellent credit.
Interest rates for a one-year loan range from 9.47% to 11.96% for borrowers with good credit.
Annual percentage rates (APRs) for a three-year loan with a fair credit score range from 11.96% to 14.46%.
Wells Fargo is our top pick for New Yorkers that would prefer to take out a secured direct loan with high-value collateral to protect against.
This bank is well-rounded, offering secured loan amounts of up to $500,000 on APRs between 5.74% to 20.99%. APRs you are eligible for depending on your credit score. Excellent credit scores usually enjoyed 5.74% APRs, whereas fair credit score New Yorkers should expect 11.96% APRs.
Although APRs and terms are favorable, Wells Fargo direct loans come with several fees, including late payment and insufficient funds fees. However, there are no loan origination or prepayment fees, balancing it out.
Pros:
APRs from 5.74% to 20.99%.
No origination are prepayment penalties
Secured loans offered up to $500,000
Free FICO Score analysis
Reports timely payments to credit bureaus
Easy-to-use mobile app
Cons:
Hard inquiries
$39 late payment insufficient funds fees
Not the easiest to get the lowest APR possible
New customers must apply in-branch, not online
The Impact of Covid-19:
Wells Fargo offers a hardship solution allowing borrowers to suspend payments if a qualifying life event occurs temporarily. If you are experiencing financial hardship, call them at (800) 678-7986.
PNC Bank
Loan Amount:
$1,000 – $35,000
APR:
5.99% – 35.99%
Min. Credit Score:
660
Approval:
1 – 7 Days
Terms:
6 Months – 5 Years
Fees:
Late payment fee of 10% of the amount due, or $40, whichever is greater, after a 15-day grace period.
Insufficient funds fee of $36.
There are no loan origination fees.
There are no prepayment fees.
Qualification Criteria:
Be at least 18 years of age.
Have a credit score of at least 660.
The maximum DTI ratio is often 45%.
Have recurring employment income or government benefits.
Apply online or at a PNC Bank branch.
Average Borrower Profile:
PNC Bank doesn’t disclose average personal loan statistics
PNC Bank is an excellent direct lenders New York choice who prefer to take out smaller unsecured loans as low as $1,000 up to $35,000 with no origination are prepayment penalties.
Consider PNC Bank one of the more well-rounded banks on our list. It offers unsecured personal loans from $1,000 to $35,000 on APRs ranging from 5.98% to 35.99%, the maximum APR allowed in New York state. To qualify for a loan, you must have a 660 credit score.
One of our favorite things about PNC Bank is that autopay customers automatically receive a 0.25% APR discount. That’s a good money-saving for doing an action that takes less than 2 minutes to complete.
All in all, look to PNC Bank for an unsecured direct loan with excellent APRs.
Pros:
Soft inquiry
0.25% APR discount for auto-pay customers
No prepayment or origination penalties
Loan amounts from $1,000 to $35,000
15-day grace period on late fees
45% max DTI ratio
Cons:
Insufficient funds fee of $36
10% late payment fee or $40, whichever is greater
The Impact of Covid-19:
PNC Bank has a dedicated online portal that describes how its hardship assistance programs work. Please complete the application through the website. If you prefer to speak with a customer service station by phone, the website lists support numbers by loan type.
Navy Federal Credit Union – New York City, NY
Loan Amount:
$250 – $50,000
APR:
7.49% – 18%
Min. Credit Score:
Undisclosed
Approval:
1 – 7 Days
Terms:
6 – 60 months
Fees:
There is a $29 late payment fee.
No loan origination fees.
No penalties are assessed for early termination.
For loans up to $250,000, closing expenses are between $300 and $2,000.
Qualification Criteria:
You’ll need to provide your Social Security number, contact information, and annual income.
Any current or former military member, Defense Department employee, or pensioner can apply. All immediate relatives are welcome to apply.
Navy Federal doesn’t have a minimum credit score requirement, but they will pull your credit report when you apply.
You must become a member of the credit union to apply, which requires joining the Navy League or Armed Forces Retirement Home.
Fill out your information through Navy Federal Credit Union’s online portal.
Average Borrower Profile:
Navy Federal Credit Union doesn’t disclose average personal loan statistics.
Navy Federal Credit Union is one of our excellent direct lenders New York for former and current NY-based military members who want small direct loans as low as $250 or debt consolidation loans up to $50,000.
We like Navy Federal Credit Union’s APRs (7.49% – 18.00%) on loans starting from $250 upwards of $50,000. With most lenders’ minimum loan starting at $1,000, its $250 minimum is a key differentiator. Additionally, repayment terms are up to five years, with same day approval.
With a minimum loan amount for Navy Federal Credit Union of only $250, consider it an excellent source for gap funding between paychecks or quick unexpected expenses that need attention.
Pros:
Same-day approval
Minimum loan amount of $250
A minimum deposit of $5 is required to open an account
Excellent APR range (7.49% to 18%)
Generous loan amount range ($250 to $50,000)
Excellent source of funding between paychecks
Cons:
No pre-qualification
Cannot change the payment date
No minimum credit score disclosed
Max repayment term only up to 5 years
Need to be a Navy Federal Credit Union member
The Impact of Covid-19:
To learn all your forbearance and hardship options, call Navy Federal Credit Union at (888) 842-6328. It also has an extensive credit and debt consumer education resource guide with helpful articles such as this one.
Mid-Hudson Valley Federal Credit Union – Kingston, NY
Loan Amount:
$500 – $25,000
APR:
As low as 8.49%
Min. Credit Score:
None
Approval:
Not disclosed
Terms:
.25% rate reduction with autopay
Fees:
No prepayment fees
No origination fees
No application fees
Qualification Criteria:
Fill out your information through Mid-Hudson Valley Federal Credit Union’s online portal.
Average Borrower Profile:
Mid-Hudson Valley Federal Credit Union doesn’t disclose average personal loan statistics
Based in Kingston. NY, Mid Hudson Valley Federal Credit Union, is an excellent direct lender for good credit New York who want rates as low as 8.49% APR on debt consolidation loans with no hidden fees.
We like how well-rounded Mid Hudson Valley Federal Credit Union is. Outside of APRs as low as 8.49%, they offer loans ranging from as little as $500 to $25,000. Members can also enjoy a .25% rate reduction with auto-pay enrollment. Other benefits include same-day approvals and same-day funding for most loans.
Overall, we like Mid-Hudson Valley Federal Credit Union for its generous APRs and for offering the lowest minimum loan amount of any NY-based credit union on our list.
Pros:
Excellent APRs as low as 8.49%
Loans as little as $500
Same-day approval and same-day funding
Auto-pay customers enjoy a .25% rate reduction
Financial hardship options available
Cons:
A limited number of branches
The Impact of Covid-19:
Thankfully, Mid-Hudson Valley Federal Credit Union makes several financial hardship programs available to Bowers & need. Fill out their online request form to be connected with a branch representative.
Best Personal Direct Lenders for Good Credit in New York of April 2024
The best personal direct lenders for good credit New York comprise banks, credit unions, and online lenders. They offer loans up to $100,000 with APRs between 5% and 10%. Those with credit scores of 720 or higher may even be eligible for APRs as low as 3%.
Here are our picks for the best personal direct lenders for good credit in New York of April 2024:
SoFi
Discover
Navy Federal Credit Union
PNC Bank
Alliant Credit Union
Wells Fargo
Chase
TD Bank
Santander Bank
Citibank
To see a complete list of our recommended personal direct lenders New York for good credit, please visit our Marketplace.
Best Personal Direct Lenders for Bad Credit in New York of April 2024
The best personal direct lenders for bad credit in New York issue loans with 15% to 35.99% APRs. Loans are usually under $50,000, as with Upstart and Upgrade. Other bad credit loans are secured direct loans, requiring the use of collateral exceeding the value of your loan amount (unless it is an alternative title loan, where collateral up to 50% of your vehicle’s value may qualify)
Here are our picks for the best personal direct lenders for bad credit in New York of April 2024:
ZippyLoan
Upstart
Upgrade
Earnin
LendingPoint
Navy Federal Credit Union
To see a complete list of our recommended personal direct lenders New York for bad credit, please visit our Marketplace.
Best Direct Credit Unions in New York of April 2024
The best direct credit unions in New York offer loan amount up to $100,000 with 18% APR caps. Excellent credit NY borrowers can join APRs as low as 3%. On top of low APRS, expect more flexible terms and lower fees than banks.
Here are our picks for the best direct credit unions in New York of April 2024:
Mid Hudson Valley Federal Credit Union – Kingston, NY – Phone: 845-336-4444
Navy Federal Credit Union – New York, NY – Phone: 888-842-6328
First Tech Federal Credit Union – New York, NY – Phone: 855-855-8805
Pentagon Federal Credit Union (PenFed) – Phone: 800-247-5626
To see a complete list of our recommended direct credit unions, please visit our Marketplace.
What Are Bad Credit Direct Lenders?
Bad credit direct lenders typically comprise auto title and payday lenders that charge upwards of 300% and 400% APRs.
They target bad credit borrowers with credit scores below 670. Per FICO’s grading system, a 580-669 credit score is considered Fair, whereas a 300 – 579 is considered poor.
Luckily, there are direct and non-direct lenders ready to fill the void. These include auto title/payday loan alternatives and loan and cash advance apps like Earnin. With these lenders, expect bad credit loans up to $100,000 with APRs of up to 35.99%.
How Do I Choose The Best Direct Lender in New York of April 2024?
Here are our top recommendations for choosing the best direct lenders New York.
Determine Your Loan Type. Direct lenders in NY offer several loan types, including debt consolidation, credit card refinancing, and secured/unsecured loans.
Understand Your Credit Score. The higher your credit score, the lower your direct lenders New York interest rate. Excellent credit borrowers have 720 or higher credit scores versus 692-719 for good credit, 630-689 for Fair Credit, and 300-629 for bad credit.
As a guideline, expect APRs below 8% for excellent credit, 14% for good credit, 18% for fair credit, and 30%+ for bad credit, capped at 35.99%.
Get started by visiting annualcreditreport.com and put your credit score from each of the three credit reporting bureaus, Experian, Equifax, and Transunion. Remember to dispute your credit report for errors, if necessary.
APRs. Evaluate APRs like an ancient scroll. The best APRs fall as low as 5.99% and are at most 35.99%, in line with usury laws in the state. Remember, having a minimum credit score of 606 qualifies you for the best rates and higher max loan amounts, regardless of whether it’s a bank, credit union, or online lender.
Outside of income and credit score, factors affecting APRs are your loan amount, repayment timeline, and whether it’s a fixed/variable or unsecured/secured loan.
Repayment Terms. Look for direct lenders New York that offer a maximum repayment term of up to 72 months. Remember, the shorter the loan term, the less interest you pay. The longer the loan term, the more interest you pay
Shop Around. Shop around for the best interest rate from direct lenders for good credit New York and direct lenders for bad credit New York by comparing a minimum of 3 lenders, comprising a mix of banks, credit unions, and online lenders. Assess them based on APRs, repayment terms, and fees. Check to see if you can become pre-qualified to limit the number of hard inquiries on your credit report.
Be sure to have all the necessary documentation for each lender application. This documentation includes proof of identity, copy of employer pay stubs, proof of residence, W-2s, and others.
How Do I Qualify For The Best Direct Lender New York 2022?
Qualifying for a direct loan in New York is a straightforward process.
Learn Your Credit Score. To learn your credit score before taking out a loan from online direct lenders New York or payday direct lenders New York, visit annualcreditreports.com and pull reports from each of the three major reporting bureaus, Equifax, Experian, and TransUnion. NY borrowers with 720+ credit scores for the best interest rates regardless of loan type (debt consolidation, refinancing), etc. If you have bad credit, you are in luck. Several options exist for lower interest rates, including applying for secured loans or enlisting a co-borrower or cosigner.
Determine Your Debt-to-Income Ratio. Many direct lenders prefer borrowers to carry debt-to-income ratios of 40% or less, directly to a borrower’s ability to repay new and current debt.
Determine Collateral. Look at your assets if you are a bad credit New York borrower interested in a secured loan. Assets like your home or vehicle could be used as collateral to protect against the risk of a defaulted loan.
In short, your best bet towards qualifying for the lowest APR direct lenders implies a minimum credit score of 670, recurring monthly income, and a debt-to-income ratio of less than 36%. However, each lender has its requirements, so it is essential to check with them.
What Are Laws Related to Direct Lenders in New York?
Individual borrower rules in NY are designed to protect borrowers with very bad credit against unscrupulous lenders. According to NY Penal Code 190.40, the max annual “civil” interest rate private lenders can assign is 16% versus a maximum “criminal” interest rate of 25%. This means lenders cannot recover principal or interest on these loans.
Remember, the loan industries rife with bad credit direct lenders. These bad credit direct lenders operate similarly to payday companies charging upwards of 400% APRs. Luckily, there are many ways to report these lenders to the NYC Department of Consumer Affairs, the NYS Department of Financial Services at (800) 342-3736, and the FTC. You may also call 311.
Fortunately, there are many options for bad credit NY borrowers. One option for a payday loan alternative is putting up collateral on a secured personal loan , offering APRs capped at 35.99%.
Another option is to work with loan apps for smaller amounts up to $500 with no interest, albeit with a shorter repayment term of as little as two weeks. Do not forget credit unions, where many offer loan amounts from $1,000 to $100,000 with 5.99% to 35.99% APRs.
How Do We Pick These Lenders?
To pick our list of direct lenders and direct lender companies in New York, we evaluated over 50 different banks, credit unions, and online lenders, putting a fine-tooth comb to binding terms. These include APRs, repayment terms, loan amounts, and various perks such as credit counseling and consumer education.
We also factored different loan types available to NY borrowers with good and bad credit. These include unsecured/secured direct loans, fixed/variable rate loans, and installment loans.
The team at ElitePersonalFinance is also big on checking third-party review websites such as BBB and Trust pilot to ensure a healthy ratio of favorable to unfavorable feedback. Landers with predatory reputations were left out of our list.
Outside our research process, the team at ElitePersonalFinance is constantly checking our guide information, rereading and updating as needed to ensure only the latest fees and terms apply.
Have any feedback for us? Email the team at info@elitepersonalfinance.com, and we will be more than glad to get back to you within the next several business days.
Frequently Asked Questions
Can I get a loan from direct lender companies without income verification in NY?
Yes, getting a loan from direct lenders without income verification in New York is possible.
One of the most popular loans for bad credit New York borrowers is secured loans, which require pledging collateral such as a home or automobile. In addition, expect lenders to require your collateral’s value to exceed the loan amount.
Other sources borrowers can use without income verification to qualify to include job acceptance letters, retirement accounts, royalty payments, child support, unemployment benefits, and other sources.
Can I get a loan from direct lender companies with no credit check in NY?
Yes, getting a loan from direct lenders with no credit check in New York is possible.
However, these direct lenders typically offer title loan alternatives, payday loan alternatives, and bad credit loans with higher average APRs. Some of our highest recommended no-credit-check loan providers include BadCreditLoans, Lending Tree, and Mutual Mutual. Many offer same-day funding on loans up to $10,000 with no origination and prepayment fees.
How much can I get a loan from direct lender companies NY with a credit score of 500?
With a credit score of 500, expect direct lenders in NY to offer at most $10,000.
To enjoy higher loan amounts and lower interest rates, you may add a cosigner/ co-borrower or apply for a secured loan, which requires putting up collateral like a home or automobile. To qualify for a secured loan, your collateral must exceed the value of your loan amount. However, many car title lenders accept Vehicles as collateral valued at up to 50% of your loan amount.
Are payday loans available in New York State?
No, payday loans are not available in New York. They are illegal, thanks to their designation by the New York State Department of Financial Services as a predatory type of loan. Despite this fact, many NY borrowers have extended loans eerily similar to payday loans with as high as 400% APR.
If you suspect you are the victim of a payday loan, several consumer organizations can help. These include the Department of Financial Services (800-342-3736) and the Consumer Financial Protection Bureau. You may also find a complaint with the FTC by visiting ftc.gov.
Is Upstart a direct lender?
No, Upstart is not a direct lender. Instead, they are an online marketplace that enables prospective borrowers to shop around between multiple lenders. Consider them a middleman between you and its lending partners.
Conclusion
We highly recommend direct lenders in New York which offer low APRs, lengthy repayment terms, no origination/prepayment fees, and options for bad credit borrowers, including secured loans. Our team has researched and reviewed the best direct lenders in New York so you can determine which one works best for your financial situation.
Thanks for allowing ElitePersonalFinance to become your go-to resource for direct lending in New York.
Ray Prince is a finance writer for Elite Personal Finance. He specializes in writing long-form content and product descriptions for websites across multiple industries, including automotive and consumer technology. His work appears on sites such as Freeway Insurance, Auto Guide, Turn5, and Compare.com, with past and current roles as a digital operations manager at Pandora Media and iHeartMedia.
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