When you look at the top providers of personal loans, you will mostly find the private institutions and not the big banks that we know and have a nationwide reach. Does this mean they are out of this business? In fact, a survey revealed that out of the top 30 biggest banks, 20 continue to offer unsecured personal loans, although they vary widely in products and features.
Big commercial banks shy away from taking unnecessary risks. That is why you won’t find too many of them making unsecured personal loans for people with less-than-stellar credit.
Some banks, such as Bank of America and Chase, have already left the market, though they continue to offer a few alternatives that a borrower might find useful.
Despite the existence of many banks that offer personal loans and will likely to continue doing the same in 2016, you won’t find it easy to obtain one for you. You need to have a very good credit score and probably a prior relationship with the bank to qualify for any of its personal financing products.
According to Bankrate, the national average on personal loan rates remained at 11.09% by the end of 2015 and may increase slightly (by about half a percentage) in 2016.
No doubt, credit unions and peer-to-peer lenders dominate the personal lending market, but banks also play a crucial role in helping people with emergency financial needs. It won’t be a bad idea to know about the top 20 banks that are in the business of making personal loans. Each of these banks is an insured U.S.-chartered commercial bank that has consolidated assets of over $50,000 million.
1. Wells Fargo
Wells Fargo is the only bank featured in the list of best unsecured personal loans for 2016 compiled by The Simple Dollar.
Here is what Investopedia has to say about Wells Fargo personal loans.
Wells Fargo offers not just personal installment loans but also personal lines of credit and secured loans, such as Time Account (CD)/Savings Secured Loans. High borrowing limits, quick approval, and no origination or prepayment fees are some of the distinguishing features of a personal loan from Wells Fargo.
Citigroup’s retail banking division known as Citibank also offers personal loans and related products though it is no longer in the business of subprime lending.
Only the existing customer of Citibank can qualify for the unsecured personal loan, which has a fixed rate, usually ranging between 9.99% and 14.49% APR. The maximum loan amount is capped at $50,000, and the application can only be accepted from a borrower earning more than $10,500 in a year.
For more information, the Citibank customer service can be contacted at 1-877-362-9100.
Citigroup sold its local subprime consumer lending division, OneMain Financial, to Springleaf Financial in March, 2015. The latter has adopted the name of the former, holding a combined portfolio of 2.5 million customers in 43 states.
3. US Bank
US Bank offers unsecured personal loans and lines, but they are available exclusively for existing customers. Named and marketed as Premier loans, these come at a fixed interest rate, which can be as low as 8.99%.
The borrowing amount can range between $3,000 and $25,000, subject to credit approval. An existing US Bank customer can log in to online account, call 800-491-3150 or visit a bank branch to get started with the personal loan application process.
4. PNC Bank
PNC Bank offers unsecured as well as secured installment loans and also a personal line of credit. A borrower must compare the three options to choose the best according to eligibility and requirements.
If you need is limited to a maximum of $25,000 and you need the money for one-time expense, then the unsecured loan option seems the best. Those who can offer non-real estate collateral can seek a financial assistance of up to $100,000 at a much lower rate.
To meet recurring expenses, you need a line of credit, which can range between $1,000 and $25,000.
5. State Street Bank
The Illinois based State Street Bank (SSB) offers personal loans to help borrowers consolidate debts, pay for planned and unexpected expenses and make large purchases. You can expect a quick response as the approval decision is taken locally at a bank branch. Competitive rates, flexible terms and pre-qualification are some salient features.
6. TD Bank
TD Bank personal unsecured loan allows you to borrow up to $50,000 at a low fixed rate with no annual fee. Borrowers can use the amount to spend at their will – to consolidate debt, to go on holidays, or to make home improvements.
The bank makes the approval process incredibly fast and hasslefree for loan amount less than $15,000 under its TD Express Loan program. The APRs are likely to be within 10% irrespective of the amount you borrow.
Moreover, TD Bank also offers personal unsecured line of credit and personal secured loans besides many other consumer lending options.
7. SunTrust Bank
The Atlanta-based Suntrust Bank has a wide range of personal financing options, many of which are offered through LightStream, a division of the bank.
Different unsecured loan options exist for different needs, such as home improvement, auto purchase, medical, boat, and debt consolidation at LightStream.
In addition to LightStream loans, SunTrust also offers personal lines of credit, auto loans, home equity lines of credit, unsecured home improvement loans, and motorcycle loans.
BB&T has to offer a diverse range of perosnal lending options, including unsecured loans and lines of credit.
Among the major loan options from Branch Banking &Trust include the following.
- Home equity loans and lines
- Auto loans
- Unsecured loans and lines
- Boat and marine lending
- Recreational loan
- Deposit/investment secured loan
- Debt consolidation
- Constant credit
9. Fifth Third Bank
Unsecured as well as secured personal loans and lines of credit are available for use at Fifth Third Bank.
Besides, the bank also offers a range of home equity options that include home equity loans, lines and mortgage refinance.
Borrowers should note that all loans at Fifth Third are subject to credit review and approval.
10. Regions Bank
Regions Bank has to offer a diverse range of personal financing options including auto loans, personal installment loans, personal lines of credit and student loans.
Among the personal installment loans include personal unsecured loan, deposit secured loan, and other secured loan. Regions Bank highlights the distinguishing features in the following table.
The approval is based on your credit standing. However, a secured loan seems an easier bet for a borrower with bad credit.
11. MUFG Union Bank
Besides home loans and home equity loans, MUFG Union Bank has to offer a personal line of credit with fixed- and variable-rate option. The credit line can have a maximum limit of $5,000 to $250,000 based on your fulfillment of the terms of the bank.
12. M&T Bank
Among the major personal financing options at M&T Bank include auto loan, major purchase loan, home equity loan and line, boat/motorcycle loan, student loan, and secured and unsecured personal loan.
A borrower needs to have a sound credit standing to qualify for an unsecured personal loan from M&T Bank. The cash secured loan, on the other hand, can be a good option for a borrower with bad credit history.
13. BMO Harris Bank
Personal loans and lines of credit, auto loans, and home equity loans and lines of credit are among the financing options available at BMO Harris Bank for personal use.
The benefits with BMO Harris Bank include fast and simple application process, no prepayment penalty and the opportunity to customize the terms of the loan as per your need. You can further make the financial decision by using the online resources, such as calculators and informative articles, made available through the bank’s website.
KeyBank has to offer a wide range of personal financing options, including auto loans, motorcycle loans, home equity loans, HELOC, home improvement loans, and personal loans and lines.
Cash Reserve Credit (CRC), Preferred Credit Line, KeyBasic Credit Line, unsecured personal loans and secured personal loans are among the some of the choices available for borrowers who want the fund for specific purposes.
15. Santander Bank
Santander Bank can help borrowers with its personal loans, auto loans and savings secured loans. The key features of the personal loans available at the bank includes the following.
- The borrowing amount ranges between $5,000 and $25,000.
- No collateral required; so the loan is unsecured in nature.
- No annual fee is applicable.
- The loan can be repaid within 5 years.
The following are some of the differences between the personal loan and line offered by Santander Bank.
A leader in credit card and personal lending business, Discover has some unique features that set it apart from its competitors. Here is what Discover has to say.
Its rate is competivie with most other lenders, including Wells Fargo and Lending Club and it is among the few lenders that can offer a personal loan for a period of more than 5 years.
Besides, Discover has no closing fee and no prepayment penalty, but the loan approval can be as fast as the next business day.
17. BBVA Compass
BBVA Compass Bank has to offer an extensive range of financing options for people of different credit standing. The bank calls it personal lending product as Signature Express Loan and the there is also a line of credit known as Simplified Line of Credit.
Besides the personal loan and line of credit, BBVA Compass also offers auto loans, home equity loans and home equity lines of credit.
18. Bank of the West
Bank of the West offers unsecured personal loans and lines, home equity loans and auto loans. The following are some of the features and benefits of the personal loans and lines available at the Bank of the West.
19. Comerica Bank
Among the personal borrowing options at Comerica Bank include personal loans, student loans, and auto, boat & RV loans.
A borrower may need to contact a Comerica representative or visit a Comerica banking center to learn more about the personal loans the bank has to offer. There is not much information available at its official website.
Call 800.589.1400 to contact Comerica Bank.
20. Huntington Bank
Huntington Bank offers personal loans to help borrowers meet a variety of objectives – buy a vehicle, pay medical bills or consolidate debts. Competitive rates, no application fees and online account management are some of the salient features of the loans available here.