Updated April 17, 2023

This date may not reflect recent changes in individual terms.

Editorial Note: Intuit Credit Karma receives compensation from third-party advertisers, but that doesn’t affect our editors’ opinions. Our third-party advertisers don’t review, approve or endorse our editorial content. Information about financial products not offered on Credit Karma is collected independently. Our content is accurate to the best of our knowledge when posted.

Written by: Erin Dunn

Florida’s beaches and warm weather make the Sunshine State a popular choice for tourists and retirees alike. It’s the nation’s third-most populous state, and major real estate markets include tourist-heavy Orlando in the center of the state and coastal destinations like Miami and Tampa.

If you’re searching for a home in Florida, remember to shop around and compare mortgage rates. What may seem like a small difference could add up to thousands of dollars over the course of a 15-year or 30-year mortgage.

• Mortgage debt in Florida
• Types of home loans
• Conforming loan limits in Florida
• First-time homebuyer programs in Florida
• Mortgage refinance rates in Florida
• Florida mortgage lenders to consider

Mortgage debt in Florida

On average, Credit Karma members with mortgages in Florida had $227,285 of mortgage debt in February 2023, with an average monthly mortgage payment of $1,622.

That puts Florida right around the average for all Credit Karma members during that time period.

Types of home loans

If you choose to finance your dream home, you might be overwhelmed with the number of mortgage loan options out there. Here are some of the more common mortgage types Florida homeowners may consider.

Conventional loans in Florida

Conventional loans are mortgages that aren’t part of government programs. These loans tend to be good for people with solid credit and the savings to make a down payment of at least 3% to 5%.

Florida FHA loans

The areas in Florida with higher FHA loan limits are typically either large metros or coastal communities.

• Crestview-Fort Walton-Destin
• Jacksonville
• Key West
• Miami-Fort Lauderdale-Pompano Beach
• Naples-Marco Island
• North Port-Sarasota-Bradenton
• Port St. Lucie

You can find the exact limit for each area on the U.S. Department of Housing and Urban Development website.

VA loans in Florida

If you’re an eligible armed forces veteran or service member comparing mortgage rates in Florida, a VA loan can be attractive — down payments and mortgage insurance aren’t typically required and you may be able to qualify even if you don’t have great credit.

VA loans are guaranteed by the government but typically issued by private lenders.

Conforming loan limits

Conforming loans are a type of home loan that meets certain loan limits set by the Federal Housing Finance Agency. This means they can be bought by Fannie Mae and Freddie Mac, government-sponsored companies that guarantee mortgages.

Loans that exceed conforming loan limits are known as jumbo loans. Lenders often consider these loans riskier than conforming loans.

Nearly all of Florida’s counties have a conforming loan limit of $726,200 in 2023 for single-unit properties. Only one county in Florida (Monroe County) has a conforming loan limit that’s higher than normal, at $874,000. Monroe is home to Key West in the Florida Keys.

First-time homebuyer programs in Florida

If you’re hoping to buy your first home, there may be some assistance programs available to you in Florida.

• Florida Housing Mortgage Credit Certificate Program — This program lets eligible homeowners claim up to 50% of the mortgage interest they pay each year as a federal tax credit (up to $2,000).
• FTHB Program — Florida Housing’s First Time Homebuyer Program connects eligible borrowers with participating lenders for 30-year fixed-rate mortgages. Down payment assistance may be available as part of the program. Requirements include a minimum credit score of 640 and taking an approved homebuyer education course.
• Salute Our Soldiers Military Loan Program — If you’re an eligible military service member or veteran, this program may help connect you with a 30-year fixed-rate mortgage and down payment assistance.  

Mortgage refinance rates in Florida

If you’re thinking about refinancing your mortgage in Florida, keep a few things in mind.

• Break-even cost — Once you know the closing costs for your refinance, you can use any savings on your monthly mortgage payment to calculate how long it will take you to recoup that investment and “break even.”
• Cash-out refinance — Have you accumulated equity in your home that you’d like to convert to cash? A cash-out refinance lets you refinance your home for more than what you owe and get cash in return. But you’ll owe the full amount plus interest and you’ll end up owning less equity in your home, which means less cash in your pocket if you sell in the future. 
• Loan term — You also may want to either shorten or extend your loan term. For instance, if you have a 30-year mortgage, you may want to convert it to a 15-year loan. Keep in mind that reducing your term likely means you’re paying more each month — but less in interest over time. Lengthening your loan term may mean you pay less each month, but more interest over the course of the mortgage.

Florida mortgage lenders to consider

If you’re hoping to buy a home in Florida, here are some lenders to consider.

• New American Funding: This lender publishes its mortgage rates, so it’s a good place to start when you begin rate shopping. Plus, it offers the ability to customize your mortgage term between eight and 30 years.
• LoanDepot: LoanDepot offers a variety of home loans including conventional, FHA, VA and jumbo loans, so you can compare which one is right one for your unique needs.
• Ally Bank: If you want a straightforward conventional loan or a jumbo loan, Ally is worth a look. It also offers low down payment options that can be an advantage for first-time homebuyers.

Updated August 5, 2024

This date may not reflect recent changes in individual terms.

Editorial Note: Intuit Credit Karma receives compensation from third-party advertisers, but that doesn’t affect our editors’ opinions. Our third-party advertisers don’t review, approve or endorse our editorial content. Information about financial products not offered on Credit Karma is collected independently. Our content is accurate to the best of our knowledge when posted.

Written by: Erin Dunn

New American Funding mortgage loan at a glance

• Conventional loans: Yes
• FHA loans: Yes
• VA loans: Yes
• Refinancing: Yes
• Jumbo loans: Yes
• Adjustable-rate mortgages: Yes — 7/1 ARM and 10/1 ARM
• Fixed-rate mortgages: Yes — 8 to 30 years

New American Funding is a mortgage lender with branches in 43 states across the U.S. It offers a variety of loans, including FHA loans and reverse mortgages, which may make it a good choice whether you want to buy your first home or refinance an existing mortgage.

Pros

• Low down payment options are available
• Transparent about lowest mortgage rates offered
• Offers reverse mortgages

Cons

• You must agree to receive emails and phone calls to get a rate quote
• Doesn’t have branches in all U.S. states

5 things to know about a New American Funding mortgage loan

If you’re considering applying for a mortgage from New American Funding, here are a few things to keep in mind.

1. Low down payment options can give flexibility to first-time homebuyers

New American Funding offers mortgages for people who want to purchase a home or refinance their current one. If you’re a first-time homebuyer, you may be particularly interested in applying for an FHA, VA or conventional loan since the company has low down payment options available.

• FHA loans may be ideal for people with less-than-perfect credit, with down payments starting at just 3.5% of the home price.
• VA loans have even lower down payment requirements — 0% — than FHA loans, but you’ll have to meet eligibility standards.
• Conventional loans are worth exploring if you have stronger credit. New American Funding has down payment options as low as 3%.

Keep in mind that if you don’t put at least 20% down on a mortgage, you’ll likely have to pay either a mortgage insurance premium or private mortgage insurance.

Get tips for how to choose the best mortgage for you.

2. An opportunity to pull out equity

If you want to refinance your home loan, New American Funding has a cash-out refinancing option. If you qualify, this option allows you to take some of the equity you’ve built in your home and use it for another purpose, such as home renovations. You’ll replace your old mortgage with a new one, which may have a different rate and terms.

New American says you’re typically limited to accessing 70% to 80% of your home equity.

If you’re at least 62 years old, you might qualify for a reverse mortgage, where a lender makes monthly payments to you. But you’ll have to keep living in the home and stay current on bills such as property taxes, insurance and homeowner association fees.

3. Option to be a cash buyer with NAF Cash

Even if you don’t have cash on hand to put in an all-cash offer, New American Funding may be able to help you become a cash buyer with NAF Cash. As an affiliated company with New American Funding, NAF Cash will buy your new house upfront and then sell it back to you for the original purchase price. Cash offers are often preferred by sellers because it eliminates the need for financing and may close faster than a loan offer. You may have a better chance of getting the house you want with a shorter closing period with NAF Cash. 

You can move into your new home before selling your existing home, but it must be sold within 90 days. Also be aware that you will be charged a convenience fee when NAF Cash sells the home back to you — which can be included into the purchase price.

4. You’ll have to agree to get emails or phone calls for a rate quote

If you want to get a rate quote from New American Funding, you’ll have to fill out an online form or give the lender a call. Though the online form is straightforward, you’ll have to agree to receive emails or phone calls in order to receive your rate quote.

This might not be a dealbreaker for some people, but if you prefer a truly all-digital experience, you’ll want to look elsewhere.

On the other hand, if you prefer an in-person experience, New American Funding has branches in 37 states. Check online to see if New American Funding has a location near you.

5. A resource-rich website

New American truly excels at educating its customers and potential customers. Its website is filled with useful information that can help you understand topics such as applying as a first-time homebuyer and buying a house out of state.

The company publishes some of its daily mortgage interest rates — though these are the lowest rates available, so keep in mind you won’t necessarily qualify for these rates.

New American has a mortgage calculator and a regular market update that highlights trends the company is seeing in home loans.

Who is a New American Funding loan good for?

New American Funding is good for people who prefer more in-person interaction in the loan application process, since it has offices across the U.S. and requires you to speak to a loan officer to get a rate quote. The educational resources on its website also provide a lot of information for people who aren’t familiar with the mortgage process.

Combined with its low down payment options, this makes it stand out for first-time homebuyers.

If you want to customize your mortgage term, to something other than a 15-year or 30-year term, New American’s I Can Mortgage gives you the option to pick a term between eight and 30 years. That may give you flexibility with your monthly payment.

New American also offers adjustable-rate mortgages.

And New American is worth considering if you want to pull money out of your home either with a cash-out refinancing or reverse mortgage. But if you’d prefer a home equity loan, you’ll have to look elsewhere.

How to apply for a mortgage from New American Funding

If you want to get a rate quote or apply with New American Funding, you can fill out an online form, call or visit a branch. The lender’s online application is straightforward and you’ll provide your phone number and email address when you submit your information.

You also may have to meet minimum qualifications depending on the type of loan you want. For instance, New American says it requires a minimum FICO® credit score of 620 for a conventional loan.

A history of bankruptcy, foreclosures or a high debt-to-income ratio also can affect whether you’re approved, the amount you’re approved to borrow, or your rate.

Not sure if New American Funding is right for you? Consider these alternatives.

If you’re shopping for a mortgage, you have a window of time where multiple inquiries are only counted as one for your credit scores. That shopping period can be as little as 14 days, depending on the scoring model.

• Rocket Mortgage: This online lender may be a good fit if you want a company that provides other services such as a real estate agent match.
• Better Mortgage: Better Mortgage may be a good choice for you if you value a simple online application process without many hoops to jump through.

Hear from our editors: 4 best personal loans for a major purchase in 2024

Updated June 17, 2024

This date may not reflect recent changes in individual terms.

Editorial Note: Intuit Credit Karma receives compensation from third-party advertisers, but that doesn’t affect our editors’ opinions. Our third-party advertisers don’t review, approve or endorse our editorial content. Information about financial products not offered on Credit Karma is collected independently. Our content is accurate to the best of our knowledge when posted.

Written by: Erin Dunn

If you want to finance a big purchase, you may want to consider a personal loan.

A personal loan can help you pay over time for what you buy, often with a fixed interest rate — which may make it more attractive than a credit card with a variable rate.  

These are our picks for the best major purchase loans. We’ve highlighted what we think makes them stand out — and we’ve reviewed some other options for funding your purchase.

• Best for good credit: SoFi
• Best for small loans: PNC Bank
• Best for less-than-perfect credit: Avant
• Best for competitive rates: LightStream

Best for good credit: SoFi

Why a SoFi personal loan stands out: SoFi says its personal loans are for people with a “responsible financial history” and “strong monthly cash flow.” The reward for meeting those requirements is competitive interest rates — which may make your purchase more affordable. And if you’re worried you won’t qualify on your own or are hoping for a lower interest rate, SoFi allows co-applicants (as long as they live at the same address). Adding a co-applicant with stronger credit than your own, who will share responsibility for repaying the loan, may help you save money with a lower rate.

• Large loan amounts — SoFi offers loan amounts between $5,000 and $100,000. That range is great if you need to make a large purchase, but if you only need to borrow a few thousand dollars, you might want to look elsewhere rather than borrow more than you need.
• Members-only perks — SoFi gives its members access to interest rate discounts and member networking events.    

Read our full review of SoFi personal loans to learn more.

Best for small loans: PNC Bank

Why PNC Bank stands out: If you only need to borrow a few thousand dollars or less for your major purchase, PNC Bank’s personal loans may be a good solution since they start at just $1,000. PNC also lets you apply with a co-applicant.

• Light on fees — PNC doesn’t charge an origination fee, application fee or prepayment penalty for its personal loans.
• Not available everywhere — While PNC is a large bank, it doesn’t have locations in every state.
• Short loan terms available — If you want to pay off your loan quickly, PNC offers personal loans with terms as short as six months (and as long as 60 months).

Read our full review of PNC Bank personal loans to learn more.

Best for less-than-perfect credit: Avant

Why Avant stands out: If your credit isn’t perfect, Avant may be a good fit since the lender says most of its customers have credit scores between 600 and 700. But keep in mind that its range of interest rates may be higher than what some other personal loan lenders offer.  

• Loan amounts — Avant’s unsecured personal loans range from $2,000 to $35,000.
• Administration fee — Avant may charge an administration fee for processing your loan that’s deducted from your total loan funds.
• Potentially fast funding — If approved, your funds may be deposited in your bank account  as soon as the next business day, which can be helpful if you need the money quickly. Keep in mind the exact timing will depend on your bank.

Read our full review of Avant personal loans.

Best for competitive rates: LightStream

Why LightStream stands out: LightStream, an online-lending arm of Truist Bank, offers personal loans with competitive interest rates. And, if you’re willing to do some extra leg work, you might be able to qualify for LightStream’s “rate beat” program, which shaves another 0.1 percentage point off your interest rate if you’re offered a lower interest rate by another lender and meet certain conditions.   

• Same-day loans possible — If you’re really in a hurry to get your loan funded, LightStream may be a good fit. If your application is approved and you complete final verification by 2:30 p.m. Eastern time, your loan funds could be deposited in your bank account the same business day.
• Good credit required — LightStream says its loans reward a “track record of financial responsibility.” It says LightStream customers typically have several years of credit history, a record of saving money, “stable and sufficient income” and a payment history with few (if any) derogatory marks.
• Loan amounts — LightStream offers personal loans from $5,000 to $100,000, so it may be a good fit if you need to borrow a larger amount.

Read our full review of LightStream’s personal loans.

What you should know about major purchase loans

A personal loan can help you finance a major purchase and spread out your payments over time. But before you decide if it’s a good option for you, it’s smart to shop around, compare potential loan terms and consider if the monthly payments fit in your budget.

Some lenders offer a prequalification process that lets you apply and see an estimated rate and terms without affecting your credit. Just keep in mind that you may not receive final approval — or your terms may differ if you are approved. You’ll also probably trigger a hard inquiry that may affect your credit scores.

Alternatives to loans for major purchases

If you’re not sure a personal loan is right for your major purchase, you can consider a few other financing alternatives.

• Credit card with an introductory offer — If you’re planning to apply for new credit, a credit card may also make sense. Some cards offer a 0% APR introductory offer for a limited period of time (usually between 12 and 21 months). If you can qualify for a zero-interest credit card and think you can pay off your purchase in full before the introductory period is over, that may be a good choice for you.
• Home equity loan — If you own a home and have equity in it — meaning its current value is more than what you owe on your mortgage — you may be able to qualify for a home equity loan. A home equity loan lets you borrow against the equity in your home — using your house as collateral — and typically has a fixed interest rate.
• Home equity line of credit — A home equity line of credit is similar to a home equity loan, except that it’s a revolving credit line that often has a variable interest rate. Some plans have a fixed period called a “draw period” when you can borrow money, and then a repayment period.  

How we picked these loans

We considered more than two dozen personal loans to come up with this list. We considered availability, eligibility requirements, interest rates, fees, funding speed and the ability to add a co-applicant, among other factors.

Pros

• Fixed terms available for repayment
• Introductory APR offers could save you a lot on interest
• Available for medical, dental, vision and pet health costs

Cons

• Interest rates can be high if you don’t pay off debt during the introductory period
• If you miss minimum payments, you could lose your promotional interest rate offers
• Not all healthcare providers accept CareCredit or offer introductory APR promotions

What to know about CareCredit

If you need to undergo a medical procedure that won’t be fully covered by insurance, the CareCredit credit card can help you spread out your payments over time. That can be helpful if you don’t have all the cash you need to pay upfront.

The CareCredit credit card works a little differently than the typical credit card you may have in your wallet. Instead of an open-ended date to pay off your debt, CareCredit offers cardholders the ability to pay off their debt with fixed monthly payments over a set term ranging from six months to 60 months. CareCredit may also offer a promotional financing rate for that period to help you avoid overbearing interest payments.

Promotional financing that can start at 0% APR

If your monthly budget can handle additional costs, the CareCredit credit card could be an appealing way to pay off a medical procedure. Its shorter terms — six, 12, 18 and 24 months — come with a 0% purchase APR, with a minimum purchase of $200 if you qualify. The regular variable purchase APR on non-promotional purchases is 26.99%.

These promotional financing offers can be appealing if you can’t afford — or don’t want — to pay your entire bill at once.

But CareCredit’s longer terms — between 24 and 60 months — have rates that are more in line with the national average for credit cards, based on Federal Reserve data. For example, a purchase of $1,000 could come with a 24-month repayment period that includes a 14.9% variable purchase APR.

And take note that not all medical providers offer promotional financing, so make sure to check for availability before you apply for the card.

Expensive rates if you can’t pay on time

While CareCredit’s payment structure can be helpful in some situations, it can also be especially expensive if you can’t afford to pay back your debt by the end of the promotional period.

If you don’t pay your full balance on purchases over $200 by the time your promotional term ends, or if you miss a minimum monthly payment, you’ll face a high 26.99% variable purchase APR that could put you deeper into debt.

Plus, you won’t just pay interest on your remaining balance. CareCredit will apply deferred interest to your account, which means you’ll be charged interest that would have accrued from the purchase date if the promotional rate hadn’t been applied — even for the amount you’ve already paid off.

Not accepted by all medical providers

CareCredit notes that its financing is accepted at more than 225,000 providers across the U.S. But if your preferred provider doesn’t accept this credit card, that extensive network won’t do you much good.

Before applying, we recommend searching the CareCredit website to see if your provider accepts the card. You can sort by practice name, location or specialty.

More details about CareCredit

If you’re considering a CareCredit card, there are a few other things you should keep in mind.

• Not for non-medical procedures — If you want to use the CareCredit credit card for many different types of purchases, you’re out of luck. The card is not part of a commonly accepted payment network, and it won’t work outside of participating medical providers.
• Joint applicants allowed — Applying with a co-signer may help you qualify or receive better terms if your co-signer has stronger credit. But co-signing comes with plenty of risks, so consider if it’s really right for you before adding a co-signer to your account.
• Late fee — The CareCredit credit card comes with no annual fee, but it does charge a late fee. It starts at $29 but rises to $40 if you’ve been late on another payment in the past six billing cycles.
• Pets welcome — In addition to medical, dental and vision expenses, CareCredit can help you pay for your pet’s healthcare costs if your vet or surgery center accepts it.
• Available for multiple uses — If another medical cost comes up in the future, you can use your CareCredit credit card again. But keep in mind that if your introductory promotional period is over, you may have to pay a higher APR than you did on your previous medical bills. CareCredit also says you must use your card at least once a year to keep it active.
• No perks — Unlike some other credit cards, you won’t get perks like cash back rewards with CareCredit. If that’s important to you, you may want to look for a rewards credit card that also offers a promotional interest rate.

Who is CareCredit good for?

A CareCredit credit card may help you afford a medical procedure not covered by insurance, or pay for a needed surgery.

If you’re confident you can pay off your medical bills within CareCredit’s promotional period, applying may be worth it so that you can stretch out your payments over time. That may help you conserve cash for other uses. But make sure the payments fit into your monthly budget — if you don’t pay off your full balance before the promotional period ends, you could be looking at hefty interest payments over time once the deferred interest kicks in.

Before you apply for a healthcare credit card, you may want to explore other options. First, see if you can negotiate your medical expenses. Your provider may have a no-interest installment option you don’t know about. And if you’re truly pressed to pay, see if you might qualify for financial assistance.

Not sure this is the card for you? Consider these alternatives.

• Prosper Healthcare Lending: If you’d rather apply for a personal loan than a credit card, a Prosper medical loan may be a good option. The company offers loans for cosmetic dentistry, bariatric surgery, plastic surgery and fertility clinics.
• Alphaeon Credit: If you want another option for a medical credit card, Alphaeon Credit also offers promotional financing for dentistry, dermatology, ophthalmology and plastic surgery.

Pros

• May be able to qualify with good or bad credit
• Can apply with a co-signer
• Lets you apply with multiple lenders at once

Cons

• You won’t have an idea of your potential rate until you apply
• Your doctor will likely have to participate in United Medical Credit’s program for you to qualify
• Not a direct lender

What you need to know about a personal loan from United Medical Credit

United Medical Credit is a medical loan network that tries to connect you with lenders to finance your healthcare bills. You can apply on its website for loans between $1,000 and $35,000. That process can be helpful if you want to shop multiple lenders with one application. The downside is that there’s less transparency in the process because you’re not applying directly with a lender.  

Available for many types of medical procedures

United Medical Credit can help finance a number of different procedures — from plastic surgery to fertility treatments.

But there’s a good chance your doctor of choice will already have to work with one of United Medical Credit’s lending partners for you to qualify. And you won’t know this information before you apply, because the website doesn’t list participating practices and providers.

Accepts applicants with a range of credit profiles

Having less-than-perfect credit won’t necessarily disqualify you from getting a loan through one of United Medical Credit’s partners. The company notes that you may qualify with good credit, “subpar” credit or no credit and that minimum credit requirements differ based on the lender.

But keep in mind that if you have bad credit, your interest rate may be high. United Medical Credit lets you apply with a co-applicant though, which may help you get approved or qualify for a lower rate.

Lack of transparency about potential rates

Since United Medical Credit doesn’t share its lending partners’ interest rates before you apply, it’s not easy to figure out what the costs could be for personal loans through its site. For instance, it doesn’t post partner loan rate ranges, so it’s difficult to say if they’re competitive unless you apply.

If you apply, you should hear back by the next business day if you’re matched with a lender. You can then decide whether to accept those terms and proceed.

A closer look at United Medical Credit loans

If you’re considering applying for a medical loan through United Medical Credit, here are a few more things you’ll want to know.

• Lenders may check your credit reports — If you apply through United Medical Credit, you’ll have to give permission for the company to pull your credit reports. That may lead to a hard inquiry, which can affect your credit scores.
• Funding — If you take out a loan, United Medical Credit’s lending partners may disburse the funds directly to your medical provider for payment or to you to handle the bill on your own.
• May not be approved for the full amount — If you qualify for a loan that’s less than what you requested, you can decide whether to accept the offer.

Who is a United Medical Credit loan good for?

If you want to spread out payments for a medical procedure over time, applying for a loan through United Medical Credit is an option worth exploring. But because potential interest rates and fees aren’t posted on its site, you may want to consider other options — like a medical credit card with a lower interest rate or a healthcare lender with more-transparent terms.

Before you jump into financing, talk to your doctor first to see if you can work out an installment payment plan and avoid taking out a loan. Some hospitals also have financial assistance programs that could help you cover the cost of your procedure.

How to apply with United Medical Credit

To apply with United Medical Credit, you’ll have to fill out some basic information.

• Name
• Amount requested
• Service type (i.e. dental or dermatology)

If the person receiving the medical services is at least 18, you’ll have to list them as the applicant. But you can add a second applicant, too.

Make sure to review your loan terms carefully if you receive an offer. Think about terms such as interest rate, fees and loan term, as well as how the payments may fit into your monthly budget.

Not sure if United Medical Credit is right for you? Consider these alternatives.

• CareCredit: CareCredit offers a medical credit card with promotional financing offers to help you save on interest payments. You can quickly check its website to see if your provider accepts the card.
• Prosper Healthcare Lending: Medical loans from this peer-to-peer lender are available for dental procedures, bariatric surgeries, cosmetic surgery and fertility treatments.  

*Approval Odds are not a guarantee of approval. Credit Karma determines Approval Odds by comparing your credit profile to other Credit Karma members who were approved for the personal loan, or whether you meet certain criteria determined by the lender. Of course, there’s no such thing as a sure thing, but knowing your Approval Odds may help you narrow down your choices. For example, you may not be approved because you don’t meet the lender’s “ability to pay standard” after they verify your income and employment; or, you already have the maximum number of accounts with that specific lender.

Updated July 31, 2024

This date may not reflect recent changes in individual terms.

Editorial Note: Intuit Credit Karma receives compensation from third-party advertisers, but that doesn’t affect our editors’ opinions. Our third-party advertisers don’t review, approve or endorse our editorial content. Information about financial products not offered on Credit Karma is collected independently. Our content is accurate to the best of our knowledge when posted.

Written by: Erin Dunn

Pros

• Can help you build credit
• Only small loan amounts available

Cons

• High APRs
• Not available in most states
• Short repayment terms

What you need to know about a Possible Finance personal loan

Possible Finance offers small personal loans that it promotes as alternatives to payday loans. You can apply online or through its mobile app, and you might qualify for a loan even if you have bad credit. But that also means you’ll pay high interest rates, so you should shop around and consider other options before you take out a loan through Possible Finance.

High interest rates

Possible Finance considers itself an alternative to payday lenders. But its loans comes with fees that add up to high interest rates — in the triple digits. So even though its APRs may be lower than a typical payday loan, they’ll still cost you.

It’s also important to keep in mind that Possible Finance offers only short-term installment loans — you’ll have to pay them back in just two months. That may be a longer repayment period than with a payday loan, but you may want to consider a payday advance loan app like Earnin if you need only a small amount for an emergency expense.

Can help you build credit

Possible Finance’s biggest selling feature is probably that it reports your payments to two of the three major credit bureaus. So if you’re approved for one of its loans and consistently make payments on time and in full, you can build credit history over time. (On the flip side, a late payment or paying less than you owe could damage your credit.)

Small loan amounts available

If you need a small loan for an emergency situation like a car repair or other unexpected expense, Possible Finance typically offers loans up to $500.

That can be helpful if you need a small amount to tide you over and you want a month or two to repay your loan.

A closer look at Possible Finance personal loans

Here are a few more details to consider before applying with Possible Finance.

• Not available in many states — Many people won’t be able to apply for a Possible Finance loan because it isn’t licensed to originate loans in most states.
• Potentially fast funding — If you need your money the same day you apply, you may be able to access it by having it deposited onto an eligible Visa debit card. Otherwise, you can opt for a direct deposit, which will typically take one to two business days.
• Doesn’t work with all banks — Before you apply, you probably want to check if Possible Finance works with your current bank or credit union. While the company says it supports more than 9,000 financial institutions, that doesn’t mean it will be compatible with the one you use.
• Credit checks — Possible Finance performs a soft credit inquiry when you apply, which won’t hurt your credit scores.

Should I get a Possible Finance loan?

You should think carefully before agreeing to a Possible Finance loan because of its high interest rates and short repayment terms.

If you’re strapped for cash, a better option may be a payday alternative loan from a federal credit union. Payday alternative loans come in small amounts, too, but financing is much less expensive — with rates capped at 28%.

On the other hand, if you don’t need to borrow money and your main goal is to build credit, you’re probably better off taking out a credit-builder loan or secured credit card.

If you think a Possible Finance loan could be a good fit for you, first do the math to figure out the total interest you’ll pay. Try to shop around for a lower rate if possible.

How to apply with Possible Finance

You can apply for a Possible Finance loan online or through its mobile app. And you’ll need to meet some additional requirements, too.

• An online checking account
• A driver’s license or state-issued ID
• Your Social Security number
• Mobile phone with access to Apple iOS store or Google Play app store to download the Possible Finance app
• Account information for your compatible checking account. A compatible account is supported by the app and has a positive balance, recent income deposits and a minimum of about three months of transaction history.

Not sure if Possible Finance is right for you? Consider these alternatives.

• Earnin: If you just need a little bit of money to tide you over until your next paycheck, Earnin — which asks for tips instead of mandatory fees — may be a good fit for you.
• Kashable: If you work for a participating employer and need a larger loan amount, Kashable is worth considering.
• MoneyLion: If you want to improve your credit, a credit-builder loan from MoneyLion may be a better fit.

Prosper Healthcare Lending isn’t accepting new personal loan applications at this time. Explore more medical financing options.

Pros

• Fixed interest rates and loan termsnCan apply for prequalification without affecting credit scores to get an idea of potential rates

Cons

• No introductory 0% APR offer, unlike some medical credit cards and loansnOnly available for certain proceduresnInterest rates may be high if your credit isn’t strongnOnly available if your healthcare provider accepts Prosper Healthcare Lending 

What you need to know about Prosper Healthcare Lending

Prosper Healthcare Lending is a division of Prosper. PHL offers medical loans in several specialty areas that your insurance may not cover, which include the following:

• Bariatric surgery 
• Cosmetic dentistry
• Cosmetic and plastic surgery 
• Fertility treatments

PHL’s loans are installment loans, so you’ll have a fixed rate and a set amount of time to pay off your loan.

An alternative to medical credit cards

Prosper Healthcare Lending isn’t a credit card. Instead of having an open-ended payback period, you’ll have a set loan term — up to 60 months — to pay off your debt.

If you can pay off the debt quickly, a medical credit card might be a better option. Some medical credit card issuers will offer an introductory 0% APR for a limited time. This means if you can pay off your medical debt in that intro period, you won’t pay interest.

But if you’re considering a medical credit card, watch out for deferred interest. If your credit card includes this provision and you can’t pay off your balance during the promotional period, you may be on the hook for interest on the entire original debt — not just the remaining balance.

Must be accepted by your doctor

If you’re considering how to pay for a surgery or want an IVF loan, Prosper Healthcare Lending won’t necessarily be the best solution. Before you apply, you’ll want to find out if your medical provider even accepts these loans.

If that isn’t an option, you could also apply for a personal loan through Prosper’s personal loans division — instead of Prosper Healthcare Lending. Prosper’s unsecured personal loans offer similar rates to PHL’s medical loans.

Competitive loan rates

Prosper Healthcare Lending offers a competitive range of rates. But if you don’t have strong credit, you may wind up paying a relatively high APR, or annual percentage rate.

It’s possible to check your estimated rate first with a prequalification application, which won’t hurt your credit scores.

But prequalification is conditional — you must officially apply to be approved, and your loan terms could change. And if you proceed with a formal application, the company may perform a hard credit inquiry, which can affect your scores slightly.

A closer look at Prosper Healthcare Lending

If you’re considering a loan from Prosper Healthcare Lending, here are a few other things you should know.

• Loan amounts — The company offers personal loans up to $35,000, which can give you some flexibility if you need an expensive procedure.
• No prepayment penalty — If you want to pay off your loan early, you won’t face a penalty for erasing your debt before your loan term is up.
• Loans originated — Like its parent company Prosper, PHL’s loans are originated by WebBank.

Who is Prosper Healthcare Lending good for?

Before you decide if Prosper Healthcare Lending’s medical loans are a good fit for you, find out if your preferred medical provider partners with the company.

If it does, you’ll want to evaluate your potential interest rate and compare it to any other options. If you qualify for a credit card or loan that has an introductory 0% APR offer, and you can pay it off during the promotional period, that might make more sense.

But if that’s not in your budget, a personal loan with fixed monthly payments might be a better option, especially if the credit card charges deferred interest.

How to apply with Prosper Healthcare Lending

Once you’ve confirmed that your medical practice works with Prosper Healthcare Lending, you can check your potential rate online with a prequalification application.

*Approval Odds are not a guarantee of approval. Credit Karma determines Approval Odds by comparing your credit profile to other Credit Karma members who were approved for the personal loan, or whether you meet certain criteria determined by the lender. Of course, there’s no such thing as a sure thing, but knowing your Approval Odds may help you narrow down your choices. For example, you may not be approved because you don’t meet the lender’s “ability to pay standard” after they verify your income and employment; or, you already have the maximum number of accounts with that specific lender.

FHA loans can be helpful for first-time homebuyers, but you don’t have to be a first-time buyer to qualify. They also may be a good option if you have less-than-perfect credit since they have an easier qualifying process than most conventional home loans.

But you should be aware that there are some downsides to FHA loans. The amount you can borrow is capped — and if you’re taking out an FHA loan to take advantage of the low down payment, you’ll have to buy mortgage insurance, which can make FHA loans more costly than some other types of mortgages.

Read on to learn more about FHA loans and how they work.

• What is an FHA loan?
• What are the requirements for an FHA loan?
• What are the types of FHA loans?
• How do FHA loans work?
• How does interest work on an FHA loan?
• What are some FHA loan alternatives?
• FHA vs. conventional mortgages
• How to find an FHA loan lender and apply for a loan
• Is an FHA loan right for you?

What is an FHA loan?

An FHA loan is a type of mortgage insured by the Federal Housing Administration that may let you make a down payment as low as 3.5% and that has less-restrictive credit requirements than many conventional home loans.

You can use FHA loans to buy a home, refinance your mortgage or renovate a home.

You’ll still apply with traditional financial institutions like banks and credit unions, since they administer the loans. And while FHA loans are federally insured, that protects the lender — not you — in case you default on the loan.

What are the requirements for an FHA loan?

When you apply for an FHA loan, your lender has to follow certain regulations. The lending process will vary based on your credit scores and down payment amount.

To qualify for an FHA loan, you must meet these rules.

• Minimum credit scores — You’ll need minimum credit scores of at least 580 to qualify for a loan with a 3.5% down payment. You’ll need minimum credit scores of 500 to qualify for one with a 10% down payment.
• Mortgage type — You’ll also need to buy, refinance or renovate a home with between one and four units and plan to use the residence as your primary home.
• Debt–to-income ratio — Your total monthly debt payments, including any mortgage, typically can’t be more than 43% of your gross income.
• Financials — Your lender will verify your credit and income as well as the value of the property you want to purchase.

Keep in mind that interest rates and loan terms can vary. You should shop around to see which lender offers you the most favorable terms for your situation.

What are the types of FHA loans?

If you’re thinking about applying for an FHA loan, you’ve got a few options to consider.

• FHA’s 203(b) Basic Home Mortgage loan — This option provides mortgages from participating lenders to buy or refinance either a single-family home or multifamily property for one-to-four-unit homes.
• FHA’s 203(k) program — If the home you want to buy needs some work, this program provides up to $35,000 — rolled into a mortgage for the purchase or refinance of a home — to rehabilitate it.
• Construction to permanent loan — If you don’t want to buy an existing home, an FHA loan can also help you finance the purchase of a home you build.  
• Energy-efficient mortgage — This program lets you make “cost-efficient” energy improvements to your home, either for a new home or refinancing your current loan.

Many different lenders offer FHA loans. The Department of Housing and Urban Development provides a “Lender List Search” on its website where you can look for lenders. You can search by a specific lender’s name, by location or type of lender.

Here are some FHA lenders worth a look.

• Rocket Mortgage — This lender has a fully online application, and you can call or chat with a representative seven days a week. Rocket Mortgage offers 15- and 30-year FHA loans with either fixed or variable rates.
• Wells Fargo — This big bank publishes sample rates for several categories of home loans, including FHA loans, and you can get a rate estimate without a hard credit inquiry.
• U.S. Bank — U.S. Bank provides sample rates for 30-year FHA loans online, and its calculator allows you to explore possible monthly payments and amortization schedules for different loans. This lender offers an online application, or you can get started over the phone or by meeting with a local loan officer.
• Chase — Chase offers grants of $2,500 to $5,000 to qualifying homebuyers in certain areas, and customers applying for FHA loans may be eligible. Existing Chase customers may be eligible for a closing guarantee that pays you if closing is delayed.
• Better Mortgage — This online lender offers around-the-clock customer support. Better Mortgage says that you can get preapproved in as little as three minutes and that its time to closing is 10 days shorter than other lenders on average.

How do FHA loans work?

If you think an FHA loan may be a good option for you, you can start by saving for a down payment and researching potential lenders with HUD’s search tool.

Once you’re ready to apply, there are a few things you’ll want to keep in mind.

Pros of FHA loans

• Low down payment requirements — You may be eligible for an FHA loan with a down payment as low as 3.5% if you have credit scores of at least 580. (You may have to put down 10% if your credit scores are between 500 and 579.)
• Down payment help allowed — The FHA permits financial gifts or down payment assistance as long as you meet FHA requirements. Not all conventional loans allow gifts for down payments.
• Good credit not required — The FHA allows loans with credit scores as low as 500. That can be helpful if your credit history is shaky.
• Sellers can help with closing costs for an FHA loan — The FHA allows home sellers to pay up to 6% of the closing costs for a loan. Conventional lenders may cap a seller’s contribution at 3% of closing costs, although some allow sellers to pay up to 6%.

Downsides of FHA loans

• Mortgage insurance can be costly. You may pay a price for making a small down payment. You’ll have to pay a one-time upfront mortgage insurance premium, as well as an annual premium that’s collected in monthly installments. The one-time premium is generally equal to 1.75% of the home purchase price and can be financed in the mortgage or paid for in cash — but not a combination. The annual premium depends on your loan amount and loan-to-value ratio.
• There’s a limit to how much you can borrow. The FHA establishes loan limits based on median home prices in metro areas and counties. As of July 2020, the FHA maximum for a single-family home in a “low-cost area” is $331,760 while it’s $765,600 in a “high-cost area.” Alaska, Hawaii, Guam and the Virgin Islands are exceptions with a maximum of $1,148,400 for a single-family unit. These loan limits change periodically, so be sure to check for updated information. The Department of Housing and Urban Development has a search tool on its website to identify mortgage limits by county and state, so you can find out how much you’re able to borrow where you live.
• Good credit? Consider other options. If you have strong credit and don’t have enough money for a large down payment, you still might want to consider other options because of FHA loan’s mortgage premiums. Just keep in mind that if you don’t put at least 20% down, you’ll likely have to pay private mortgage insurance, or PMI.

How does interest work on an FHA loan?

FHA loans can be either fixed- or adjustable-rate loans.

• With fixed-rate loans, the rate doesn’t go up or down based an index rate, so your mortgage payment is more stable and predictable throughout the life of the loan.
• Adjustable-rate mortgage loans, or ARMs, move along with a specific benchmark index interest rate, such as the London Interbank Offered Rate, or Libor, which is a rate used by some large banks to charge each other for short-term loans. That means the interest rate — and monthly payment — can adjust periodically.

Adjustable-rate loans may have lower initial rates than fixed-rate loans, but they can go up over time.

For example, an adjustable-rate loan may be structured as a 3-1 ARM. This would mean your interest rate would be fixed for the first three years and could change annually after the initial three-year period. The loan could be set up so its interest rate could increase by up to 1% each year, with a maximum increase of 5% over the life of the loan.

The length of your mortgage loan also affects the rate you pay. The Consumer Financial Protection Bureau has an online tool that lets you explore potential rates based on a number of factors, including where you live, loan type, down payment and loan term.

What are some FHA loan alternatives?

If you’re not sure if an FHA loan is right for you, there are a few other options to consider.

• Conventional loan — A conventional loan means your mortgage isn’t part of a government program. There are two main types of conventional loans: conforming and non-conforming. A conforming loan follows guidelines set by Fannie Mae and Freddie Mac such as maximum loan amounts. A non-conforming loan can have more variability on eligibility and other factors.
• USDA loan — A USDA loan, also called a rural development loan, may be an option for people with low-to-moderate incomes who live in rural areas. They can be attractive because they offer zero down payments, but you’ll have to pay an upfront fee and mortgage insurance premiums.
• VA loan — VA loans are made to eligible borrowers by private lenders but insured by the Department of Veteran Affairs. You may be able to make a low down payment (or even no down payment). You’ll probably have to pay an upfront fee at closing, but monthly mortgage insurance premiums aren’t required.

FHA vs. conventional mortgages

The main difference between FHA loans and conventional loans is that FHA mortgages are backed by the Federal Housing Administration, while conventional mortgages aren’t issued as part of a government program.

There are also some differences in eligibility requirements, mortgage insurance requirements and restrictions on the properties a borrower can buy with the loan.

Learn more about conventional loans vs. FHA loans.

How to find an FHA loan lender and apply for a loan

You can find an FHA lender using HUD’s search tool. You can also check with any banks where you’re a current customer to see if they offer FHA loans. And you could ask family and friends which lenders they’ve had a good experience with and find out if FHA loans are available from those lenders.

It’s a good idea to contact at least a few different mortgage lenders to learn about their loans. Compare quotes to see which lenders offer the best rates.

When you’re ready to apply for an FHA loan, ask the lender for an application or start one online if that’s an option. You’ll typically be asked for your ID, Social Security number and documentation if you’ve changed your name in the recent past.

You’ll generally also need your last two bank statements and your federal tax returns and W-2s from the past two years, along with your most recent paystub.

Lenders will want you to verify how you’re going to make your down payment. If you’re using savings, you can provide bank statements from the last couple of months to prove that the funds are yours.

If you’re getting help with your down payment, whoever is giving you the money will need to sign a mortgage gift letter. This document must include the donor’s name, address, and phone number and the amount they’re giving you. It also needs to say what their relationship is to you and make clear that they don’t expect you to repay the gift.

Is an FHA loan right for you?

If you’re considering an FHA loan, here are a few more things to think about before you apply.

• What’s my budget for a home?
• How much money can I put toward a down payment?
• What’s my credit like?
• Do I want to buy a fixer-upper? A new build?
• Am I OK paying more each month for mortgage insurance?
• Do I have a preferred lender?

You should shop carefully among lenders to find the loan that’s best for your situation and consider all of your options before making a long-term commitment.

Calculate your FHA loan

Find out how much your monthly mortgage could be with our FHA loan calculator.

FAQs about FHA loans

Your good credit may reward you with a number of options if you’re in the market for a personal loan.

Whether you’re looking for a debt consolidation loan or need financing for an emergency expense, having good credit can signal to lenders that you’re less of a default risk.

“Good” credit can mean different things to different lenders, and there’s no exact science or particular score that will unlock the best rates and terms. But generally speaking, good credit scores fall in the range of the high 600s to mid-700s (on a scale of 300 to 850). With a credit score in this range, you may also qualify for lower interest rates and may get more-competitive loan offers than you would with a weaker credit profile.

But just because you may have a variety of options doesn’t mean they’re all good for you. With a good credit score, it’s important to consider how competitive the interest rates are and whether the lender charges any fees. Here’s our take on the best personal loans for good credit to help you find the best option for your financial circumstances.

• Best for competitive rates: LightStream
• Best for member perks: SoFi
• Best credit union: Navy Federal Credit Union
• Best regional bank: Regions Bank

Best for competitive rates: LightStream

Why a LightStream personal loan stands out: LightStream, the online lending arm of Truist Bank, attracts customers with its competitive interest rates and “rate beat” program. The lender says it’ll beat a competing offer by 0.1 percentage points if it meets certain conditions.

LightStream indicates that you may need good or excellent credit to qualify for one of its loans.

• No prequalification — You won’t be able to preview a potential rate with LightStream. You’ll have to apply to see what LightStream is willing to offer you.
• No small loan amounts — If you just need to borrow a small amount of money, you’ll need to look elsewhere. LightStream offers personal loans between $5,000 and $100,000.
• Potential for same-day funding — LightStream says it may be able to fund your loan the same day you apply, but you’ll have to meet some conditions, such as applying and being approved on a business day by 2:30 p.m. Eastern time. But keep in mind the exact timing of when you’ll receive your funds depends on your bank.

Read our full review of LightStream personal loans to learn more.

Best for member perks: SoFi

Why SoFi personal loans stands out: Online lender SoFi may be a good choice if you value a company that provides extra benefits, such as member events, rate discounts, estate planning and unemployment protection. That’s on top of competitive interest rates for people with strong credit.

• Fees — SoFi says it doesn’t charge prepayment or late fees. That can be a boon if you don’t want to feel as if you’re being nickel-and-dimed to take out a loan. Origination fees are not required, but there’s an option to pay a one-time fee of 0% to 7% for a lower interest rate.
• Large loan amounts — SoFi is better if you need to borrow a sizable chunk of money since it offers personal loan amounts between $5,000 and $100,000.
• Mobile app — You can apply for a personal loan directly from SoFi’s mobile app, where you can also check your balance and make payments.

Read our full review of SoFi personal loans to learn more.

Best credit union: Navy Federal Credit Union

Why Navy Federal Credit Union personal loans stand out: Navy Federal won’t be an option for everyone — you’ll have to have certain ties to the armed forces to qualify for membership. But it’s worth a look for a range of borrowing needs because it offers loan amounts between $250 and $50,000. That can come in handy whether you need to pay for a car repair or finance a home project.

• Secured loans — Navy Federal offers secured loans that can give you access to lower APRs, or annual percentage rates, than unsecured personal loans. But you’ll have to use either money in your Navy Federal savings account or a CD as collateral for the loan.
• Possible quick funding — The credit union says it may be able to deposit your funds as soon as the same day. But note that the exact timing will depend on your bank.
• Low fees — Navy Federal doesn’t charge an origination fee or prepayment penalty.

Read our full review of Navy Federal personal loans to learn more.

Best regional bank: Regions Bank

Why Regions Bank personal loans stand out: If you live in one of the 15 states where Regions Bank operates across the South, Midwest and Texas, it’s a solid choice. The company offers unsecured and secured personal loans for you to consider.

• Processing fee — Regions doesn’t charge an origination fee, but you may face a processing fee. Regions also may charge a late fee, unlike some lenders on this list.
• Potentially fast funding — Depending on when you apply, Regions says it may be able to fund your personal loan as soon as the same business day. But the timing will ultimately depend on your bank.
• Alternate offers — If you apply for prequalification through Regions but don’t prequalify for an offer, Regions says you may still be offered a personal loan from Avant. And keep in mind that a prequalified offer doesn’t mean you’ll receive approval or that your final terms won’t change.

Read our full review of Regions Bank personal loans to learn more.

What you should know about personal loans with good credit

Personal loans can be a good option for uses such as credit card debt consolidation, emergency expenses and home improvements.

But keep in mind that not all loans are equal — the terms, including interest rate, can affect your monthly payments and costs over the life of the loan. It’s a good idea to shop around.

And if your credit history is improving but you’re still not getting the rates you’d like, consider adding a co-signer to your loan. Having a co-signer whose credit is as strong or stronger than yours could help you qualify for personal loans at competitive rates.

How we picked these loans

When considering the best loans for good credit, we examined the likelihood you’ll be approved by personal loan lenders if you’re applying with a good credit score — generally considered between the high 600s and the mid-700s, depending on the credit-scoring model and what the lender is looking for. We also considered factors such as competitive interest rates, loan amounts and whether the lender offered flexible loan terms or charged certain fees.

*Approval Odds are not a guarantee of approval. Credit Karma determines Approval Odds by comparing your credit profile to other Credit Karma members who were approved for the personal loan, or whether you meet certain criteria determined by the lender. Of course, there’s no such thing as a sure thing, but knowing your Approval Odds may help you narrow down your choices. For example, you may not be approved because you don’t meet the lender’s “ability to pay standard” after they verify your income and employment; or, you already have the maximum number of accounts with that specific lender.

If an emergency cost pops up and you don’t have the cash to pay for it, a quick loan might seem like your saving grace.

But keep in mind that the shortest amount of time a lender says it can get approved funds to you often comes with a disclaimer. A number of factors can delay your funding, and depending on your bank, there may be a wait before you can access your cash.

And think twice before you opt for high-cost loans like payday loans or title loans, which can come with very high fees and interest rates.

If you need fast cash, read on to see our top picks for lenders that may be able to get you money quickly.

• What is a quick loan?
• Wells Fargo: Good for existing customers
• Avant: Good for people with less-than-perfect credit
• Earnin: Good for small cash advances
• Affirm: Good for a buy-now, pay-later option
• LightStream: Good for larger loan amounts
• How can I get emergency money fast?
• Alternatives to high-interest debt

What is a quick loan?

A quick loan is any type of loan that can help you get money fast — which is key if you’re in an emergency. If you’re looking to get money fast, two main factors will make lenders stand out: quick approval and quick funding time. Often the lenders that promote “quick cash” offer loans with high fees and interest rates. And if you need money quickly, any option can seem viable.

But even though many lenders don’t advertise “quick loans,” there are still a number of legitimate — and less expensive — options available. If possible, look for loans with more-reasonable rates (typically, 36% or below is considered affordable) and a repayment schedule that you can afford.

The most affordable quick cash loans are typically available for people with strong credit and a demonstrated ability to repay the loan — lenders may consider your income and assets while evaluating your application, for example. But even if your credit isn’t great, you’ll likely still have some options.

Wells Fargo: Good for existing customers

Why a Wells Fargo personal loan stands out: Wells Fargo says it can often deliver your funds by the next business day after loan approval. You’ll have to be an existing customer for at least 12 months to apply for a Wells Fargo personal loan. You might qualify for a relationship discount on your rate if you have an eligible checking account and make automatic payments on your loan from a Wells Fargo account.

Wells Fargo’s unsecured personal loans range from $3,000 to $100,000.

• Competitive rates — Wells Fargo advertises loan rates that are among some of the lowest you’ll see for personal loans. But note that among other factors, you’ll need to have good credit and sign up for autopay to get the lowest rates available.
• Rate check option — If you want to see what estimated terms you may qualify for without a hard credit inquiry, you can check your loan terms before formally applying with Wells Fargo. The bank also offers a calculator where you can explore a potential rate by inputting your preferred terms and credit score tier. As with any calculator or loan prequalification, your rates and fees aren’t locked in until you formally apply.

Read reviews of Wells Fargo personal loans to learn more.

Avant: Good for people with less-than-perfect credit

Why an Avant personal loan stands out: If you’re approved for an Avant personal loan, you could have funds transferred to your bank account as soon as the next business day, depending on what time the application is approved. (Though depending on your bank, it could take longer to access your cash.) Avant is worth a look if you have less-than-perfect credit and are facing an emergency expense. But keep in mind that its rates are higher than you may find elsewhere.

Avant’s unsecured personal loans range from $2,000 to $35,000.

• App available — Avant offers a mobile app where you can manage your loan by setting up recurring payments, viewing your payment history and changing your payment dates.
• Fees can add up — Avant’s loans may come with an administration fee, as well as late fees and dishonored payment fees.
• Prequalification application — You can check your potential rate without affecting your credit scores, which is helpful if you want to view estimated terms before you officially apply. But keep in mind that you may not be approved or your rates may change if you do move forward. And Avant will perform a hard credit check if you do apply, which can lower your credit scores by a few points.

Read reviews of Avant personal loans to learn more.

Earnin: Good for small cash advances

Why an Earnin loan stands out: If you only need a small amount of money, Earnin might be a good fit since it lets you advance small amounts from an upcoming paycheck. According to Earnin, you could get your money nearly instantly if you’re a past customer and meet certain eligibility requirements. (But keep in mind that depending on your bank, you could have to wait longer to access your cash.)

• Not all types of jobs qualify — You’ll have to meet some basic requirements to use the app: You must link a checking account, be on a regular pay cycle, and have a fixed work location or employer-provided email address.
• Optional tips — Earnin asks customers to tip what they think is fair to support the service.  For its standard service, Earnin doesn’t charge fees, and you can still get same- or next-day access to cash on business days. But to get your money “within minutes,” Earnin charges fees based on how you access the money.
• Balance shield alerts — If you’re worried about overdrafting your bank account, Earnin also offers a feature that notifies you when your balance falls below a level you specify.

Read our full review of Earnin to learn more.

Affirm: Good for a buy-now, pay-later option

Why an Affirm loan stands out: Buy-now, pay-later apps like Affirm can make certain large, necessary purchases more affordable. Affirm offers multiple payment plans, which vary depending on the purchase amount, store and loan term. If you choose its “Pay in 4” plan, you won’t be on the hook for interest or fees — but you’re locked into a tight repayment schedule, and this plan is typically available only for purchases of $1,000 or less. A monthly installment plan offers more flexibility, but it may come with interest.

• Check eligibility without affecting your credit — Signing up for Affirm and checking your purchasing power won’t trigger a hard credit inquiry. Depending on the type of loan you get through Affirm, the lender may report your payment activity to Experian.
• Using Affirm — To use Affirm, you can look for an option to pay with Affirm at checkout while shopping online, or you can get the Affirm app to use in stores and online.
• Returning a purchase — If the store allows it, you can return a purchase made through Affirm for a refund. But if you paid interest to Affirm to fund the item, you won’t be refunded the interest.

Read reviews of Affirm to learn more.

LightStream: Good for larger loan amounts

Why a LightStream loan stands out: LightStream offers unsecured personal loans in amounts from $5,000 to $100,000, so it could be a good option if you have a larger emergency expense.

• Rate Beat program — With its Rate Beat program, LightStream promises to offer you a rate that’s 0.1 percentage points lower than an interest rate offer you have from another lender (you must meet certain conditions to qualify). For an emergency expense, you may not have time to apply with multiple lenders — but the rates LightStream advertises are competitive.
• No prequalification option — You don’t have the option to check your rates before submitting an application with LightStream.
• Fast funding times — LightStream says it can fund your loan the same day you apply — though depending on the time you apply and your bank, the funds may take longer to hit your account.

Read reviews of LightStream to learn more.

How can I get emergency money fast?

If you’re in a financial jam, there’s no guarantee you’ll be approved for a loan or that you’ll be approved for funds as quickly as you hope.

There are some loan options that offer funding quickly that are often less favorable to borrowers. For example, payday loans, auto title loans, and other high-interest, short-term debt can be incredibly expensive. You should try to avoid these types of loans whenever possible.

Payday loans and payday advances

A payday loan is a type of quick personal loan that’s typically for $500 or less and due on your next payday.

Lenders that offer payday loans often charge exorbitant fees, which can equate to interest rates of around 400% in some cases. To put things into perspective, a $500 loan with a $50 lending fee equates to an APR of more than 260%.

Payday loans can often be rolled over or renewed for only the cost of the lending fee, which increases the total cost for the borrower, and moves the loan out to the next payday.

This cycle of applying for and then renewing payday loans can quickly put you in a cycle of debt, so applying for this type of loan to get funds quickly should be avoided whenever possible.

A potentially cheaper option is a payday alternative loan, which is a small-dollar loan offered by certain federal credit unions. Application fees can’t be more than $20, and interest rates are capped at 28%. To apply, you’ll typically need to be a credit union member for at least one month.

Car title loans

A car title loan is another expensive short-term loan.

This is a type of secured loan, where your vehicle is used as collateral. This means your car’s title or registration is left with the lender until you pay back the loan in full — and can be repossessed if you don’t make your payments as agreed. You must repay the loan with interest and fees, typically within 15 and 30 days.

Car title loans are expensive — they’re often offered by predatory lenders and should be avoided if possible.

Pawn shop loans

With a pawn shop loan, you can use an item of value to secure the loan. A pawn shop will assess the value of the item and keep it on hand as collateral to back the loan.

Examples of items you can use as collateral for a pawnshop loan include jewelry, musical instruments, electronics and other high-value items. Terms for pawn shop loans vary and often include high interest rates.

You’ll typically be required to pay back the full amount of the pawn loan to reclaim your pawned item, though the amount of time you have to repay the loan can vary from state to state.

Alternatives to high-interest debt

If you’re worried about covering your bills, low-interest personal loans might be an option for you to consider.

Just be aware that even if a lower interest rate is advertised by a lender, it’s not guaranteed for all applicants, so borrowing could still result in a loan with a higher interest rate. Your eligibility and interest rates are based on your credit history and credit scores, among other factors, so it’s a good idea to get an idea where your credit is at before applying.

Here are some other options to consider if you have trouble qualifying for a personal loan.

• Get a co-signer. If you have difficulty qualifying for a loan on your own, getting someone with good credit (like a parent or spouse) on board with co-signing a loan for you may be another alternative to avoid high-cost debt.
• Use a credit card. If you have a credit card, you could consider using it to cover an unexpected expense. If you pay it off in full before the due date each month, you won’t have to pay any interest.
• Ask for an extension. If you’ve recently become unemployed or experienced a crisis, you also can reach out directly to creditors to see if they’ll grant you a bill extension.

And start thinking about your next unexpected expense. If you can save a little bit each month in an emergency fund, you’ll be better off the next time you need quick cash.

How we picked these loans

We reviewed more than two dozen personal loan lenders, taking into account the quickest amount of time you could potentially receive funding, as well as other factors such as loan amounts, terms, interest rates and any lender fees.

FAQs about quick cash loans

*Approval Odds are not a guarantee of approval. Credit Karma determines Approval Odds by comparing your credit profile to other Credit Karma members who were approved for the personal loan, or whether you meet certain criteria determined by the lender. Of course, there’s no such thing as a sure thing, but knowing your Approval Odds may help you narrow down your choices. For example, you may not be approved because you don’t meet the lender’s “ability to pay standard” after they verify your income and employment; or, you already have the maximum number of accounts with that specific lender.

If you’re thinking about buying a house, you’ll want to take a careful look at your finances to make sure you’re ready for this new commitment.

In fact, your finances are so important that you’ll want to start working on them well before you’re ready to apply for a mortgage. That way, if you need to improve your finances or your credit, you’ll have some time.

We’ll delve into tips about how to get your finances ready to buy a home so you can prepare for the process.

• Step 1: Know what lenders are looking at when assessing your finances
• Step 2: Take stock of your credit scores and credit reports
• Step 3: Save for your down payment: Bigger is better
• Step 4: Measure your debt-to-income ratio: Getting to 43%
• Tips for choosing a home you can afford

Step 1: Know what lenders are looking at when assessing your finances

When you apply for a home loan, lenders want to assess whether you’ll be able to pay them back. They’ll check to see that you have a steady income and look at how much cash you have available to cover a down payment, closing costs, taxes and other expenses. Recent banking activity, investments and other aspects of your finances will come under the microscope too.

If you’re a candidate for a no-down-payment loan, such as a VA loan through the Department of Veterans Affairs, you’ll need documentation to prove it.

Lenders will also check your credit to assess your history of paying your debts and look at how much outstanding debt you have.

Different lenders may look at different things when checking your finances, but the goal is the same — to help decide whether to risk lending you money and how much interest to charge. Here’s a list of what lenders are likely to consider.

• FICO® credit scores and credit history
• Down payment amount
• List of assets (stocks, real estate, etc.)
• Income and employment history
• Tax returns
• Bank statements for two to three months
• Desired loan amount compared to value of home
• Total debt compared to income — your debt-to-income ratio
• Rental history (if you’re currently renting or have rented in the past)

To improve your chances of getting a home loan with the best possible terms, you should save as much as you can for your down payment, get your debt-to-income ratio under 43% and do what you can to improve your credit scores. Specifically, we’re talking about the scores compiled by Fair Isaac Corp., known as FICO, which are the mortgage-industry benchmark.

Step 2: Take stock of your credit scores and credit reports

It’s not possible to say exactly how to raise your FICO® scores — everyone’s personal situation is different — but there are a few practices that can usually help, especially if you adopt them a year or more before you apply for a mortgage.

• Pay your bills on time — Your credit scores will fall if you’ve missed payments on a credit card or another debt.
• Use less of your available credit — Your credit utilization ratio, which measures how much debt you’ve taken on compared to what’s available to you, is an important factor in your scores. Using less than 30% of your available credit may lift your scores. Paying down your debts may also lower your debt-to-income ratio, another measure that doesn’t affect your credit scores but is used by banks to assess your creditworthiness. (We’ll explain later.)
• Hold off on opening new credit accounts — When you apply for credit, a lender will initiate a hard credit inquiry, which will have a temporary negative effect on your scores.
• Maintain a mix of credit accounts — Your credit scores are affected by what kinds of credit accounts you have, how old they are and how many of them you have. If you’re managing a mix of different types of credit without trouble, you’ll look less risky to lenders. Note that you shouldn’t open new accounts just for the sake of creating this mix (see point above).

If you have poor credit and stick with these approaches, your credit scores are likely to rise over a period of months. If your credit improves, lenders may see you as a better risk and charge you a lower interest rate on your mortgage.

Why should you worry about your credit scores? Imagine getting a $250,000 mortgage that lasts 30 years and has a fixed interest rate. Take a look at the table below to see how credit scores affect how much you could pay just in interest (not counting the actual money you borrowed) over the life of the loan. You can plug in your own information on FICO’s site to get a better idea of what your interest payments could be.

Step 3: Save for your down payment: Bigger is better

You should save as much as you can for a down payment. A bigger down payment means you’ll own more of your new home from the start. This makes you a lower-risk borrower in the eyes of lenders and usually translates into a lower interest rate on your home loan.

Another reason to put down more cash is to avoid private mortgage insurance, or PMI. Most lenders will require you to buy PMI — which protects the lender in case you default on your loan — if your down payment is less than 20% of the purchase price of your home.

The cost of PMI depends on the type of mortgage you get, how much you put down and some other factors, but usually costs between 0.5% and 1.5% of the loan amount each year and can add up to thousands of dollars.

Plus, you’ll want to factor in additional closing costs, which can include home inspections, an appraisal and escrow costs, like homeowners insurance and property tax payments.

Step 4: Measure your debt-to-income ratio: Getting to 43%

Your debt-to-income ratio, or DTI, — which measures your outstanding debt as a percentage of your income before taxes — is used by lenders as another way to gauge your ability to repay your mortgage.

Your DTI ratio is calculated by adding up all your current monthly debt payments (think student loans, personal loans, credit cards) and your proposed mortgage principal, interest, taxes and insurance payments, and then dividing that number by your gross monthly income (your income before taxes and other deductions).

For a qualified mortgage — a home loan that meets certain regulatory requirements put in place in 2014 to protect lenders and borrowers — you’ll need to have a DTI ratio of 43% or less.

Lenders can extend loans to borrowers who have a DTI ratio higher than 43%, but you generally need a compensating factor like high cash reserves, and even then it’s rare. Lenders consider a higher DTI risky for both you and the lender, as it suggests to them that you may struggle to pay your mortgage and keep up with all your other debts.

If your DTI ratio is too high for lenders’ comfort, you’ll need to lower your debt or increase your income, or both. Since changing jobs or demanding a raise mid-mortgage application may not be practical, you may want to focus on paying down debt.

There are differing opinions about the best way to tackle the job. Some experts recommend paying off your smallest debt first — which research has shown can be effective. Some say it’s better to start with the highest interest loans — that way you pay less interest over the long term. Still others say that paying down your debt with the biggest monthly bill is the best way to lower your DTI quickly.

Whichever way you decide to go, keep in mind that the goal is to lower the amount of debt you have as a percentage of your income, so choose a method that you can commit to and that effectively moves you in that direction.

Tips for choosing a home you can afford

It may take a while for you to save for a down payment, lower your DTI ratio or improve your credit scores. But if you work hard and stick with it over time, you may begin to see some rewards, like easier loan approval and better loan terms.

In the meantime, here are some things to consider as you think about what home you’d like once your finances are ready.

Set a budget

To figure out how much you can afford, consider getting preapproved for a mortgage. But when you do, remember that the lender is making a mostly mathematical calculation and not taking into account your comfort level or preferences. Make sure you’re comfortable with the amount you plan to borrow, even if the lender says you can borrow more.

Your mortgage payment isn’t the only expense you’re responsible for.

Narrow down location and neighborhood

Before you begin looking for a home, take some time to think about the type of environment you want to live in — city, suburbs or rural.

Next, narrow your search to a few neighborhoods. Here are some things to consider.

• Safety — Some websites offer crime statistics by area. If you’re especially concerned about crime, check with the local police department.
• School district — Houses in good school districts typically have higher property values. Look up ratings of schools in the area. But don’t rely on ratings alone. Check out online reviews or talk to parents who send their children to local schools.
• Activities — Find out whether there’s a park nearby. Can you get to hiking trails quickly? What about playgrounds, pools or playing fields?
• Convenience — Do a test run of your morning commute and check the drive time to the local grocery store. Time spent on the bus or driving to the store adds up and will affect how you spend your time when you move into your new home.

Type of home and other considerations

You’ve got the location and neighborhoods. But what type of home do you want — single-family, townhouse, condo or apartment? Here are some other considerations.

• Condition — Move-in ready or fixer-upper? Consider how much you’re spending, whether you’re handy or hate the sight of a screwdriver, and how long you’re willing to wait to move in.
• Resale — If you’re planning to stay in your home for a shorter time period, resale value will be more important than if you’re planning to stay long term.
• Other features — Central air conditioning, swimming pool, garage, granite countertops, hardwood floors, walk-in closets. Have some fun figuring out what you can and can’t live without — and how much it will cost you.

Can’t find what you’re looking for in your price range? A good real estate agent can help you determine whether your wish list is realistic. If it’s not, you may need to compromise.

What’s next?

As you get your finances ready to buy a house, think through these items as a quick checklist.

• How’s your credit? What steps can you take to improve it before you apply for a mortgage?
• How’s your debt load?
• How much house can you afford?
• What type of mortgage loan is best for you: conventional, FHA, VA or USDA loan?
• How big of a down payment do you plan to make?
• What’s your budget for a monthly mortgage payment?
• What home features are must-have? What could you skip or upgrade later?
• How long do you plan to live in this home?

Rent vs. buy calculator

Find out if it makes more financial sense for you to buy a home or rent one with our rent vs. buy calculator.

Want to learn more? Check out some of our top mortgage lenders for first-time homebuyers.

• Homebridge Mortgage: Homebridge offers resources that specifically cater to first-time homebuyers.
• Rocket Mortgage: Consider Rocket Mortgage if you’d prefer an online-first experience.
• PennyMac Mortgage: PennyMac offers a wide variety of home loans and shares current rates on its site, which can be helpful for people looking to buy their first home.
• USAA Mortgage: USAA is a good option for military members and their families.