Many hardworking professionals dream of traveling the world, relocating for better job opportunities, or expanding their qualifications. However, they may let financial problems hold them back.
If you have considerable personal debt, getting married, moving to a new city, or making home renovations can feel incredibly risky, especially if you’re making multiple debt repayments each month.
A few tweaks and changes to your budget, expenses, and repayments could help you slash your debts, improve your bank balance, and achieve one or more personal goals.
Debt consolidation is a smart place to start, as it combines multiple debts into a single, more affordable, fixed monthly repayment.
Doing so could give you the confidence and financial freedom to buy a new car, grow your business skills, or relocate to improve your career prospects. If you want to take the first step on the path to financial freedom, here are the best personal loan companies for hardworking professionals.
Best for Rate Discounts: Achieve
Achieve offers customized and flexible personal loans to consolidate debt or fund major life events, expensive home repairs, or moving costs. It’s a handy option for busy professionals eager to combine multiple personal debts into a smaller monthly sum, helping them improve their bank balance and achieve their goals.
Achieve is ideal for borrowers looking for unique rate discounts, as borrowers can reduce their interest rate with a co-borrower. It also offers direct creditor payoffs to make it easier to reduce personal debt, and you could secure a lower rate.
As different people have different needs, it provides loan amounts ranging from $5,000 to $50,000, which you can repay over a two-to-five-year term. However, you’ll typically need a credit score of 560 to qualify for a personal loan, and you may need to pay an origination fee.
You also don’t need to wait too long for the funds, as they’re typically deposited into an account within 24 to 72 hours. This allows you to quickly reduce debt stress and focus on your career goals.
If your finances change during the loan’s lifetime, you can repay the loan early without incurring a prepayment penalty. It’s a great option for busy professionals looking for personal loans between $5,000 and $50,000.
Best for In-Person Support: OneMain Financial
If you would prefer to talk to someone face-to-face before applying for a loan, OneMain Financial is likely the best option for your needs. It is well regarded for offering in-person support, along with online and phone help.
Depending on your needs, you could apply for a loan between $1,500 and $35,000, which you can repay over two to five years. If you use a debit card, the funds will likely reach your account within an hour of closing.
Like Achieve, OneMain Financial can pay creditors directly, instantly easing your financial worries and allowing you to focus on your career, family, and responsibilities. Another benefit is that you don’t need a minimum credit score to receive a personal loan.
Of course, you shouldn’t overlook potential downsides, as OneMain Financial often has a high starting APR, and it doesn’t provide rate discounts on unsecured loans.
Best for Flexible Terms: Prosper
If you’re looking for slightly longer personal loan terms, Prosper is a worthy consideration. It currently allows borrowers to apply for personal loans between $2,000 and $50,000, which they can repay over a two-to-six-year term. There isn’t too long to wait to receive the funds, either, as they’re expected to arrive in your account within one business day following verification, acceptance, and approval.
Again, be mindful of its potential downsides, as you could incur fees for check payments, insufficient funds, and late payments.
Best for Longer Loan Terms: Upgrade
Longer loan terms are often best for hardworking professionals eager to spread personal loan repayments. For instance, Upgrade offers loans of up to $50,000, and you can choose a payment plan to pay off the debt quickly or secure lower monthly repayments over seven years. However, it’s important to think carefully about your financial goals to choose the right fixed term for your needs.
Remember, while longer repayment terms can lower your monthly expenses, they can increase the total interest over time. Also, Upgrade’s origination fee could reach up to 9.99%. While it does provide direct payments to creditors, it can take up to two weeks to process.
What to Consider Before Applying for a Personal Loan
Take your time when applying for a personal loan, as you must decide if it’s the right decision for your financial circumstances.
For example, you must consider:
- Why you need a personal loan – ask yourself what the loan is for and whether you could cover the cost yourself.
- The amount you need to borrow – only borrow the money you need and consider a loan’s origination fee, which is deducted from the amount you’ll borrow.
- Your current credit profile – review your credit score and report, as this could impact your loan approval and the APR.
- The monthly personal loan repayments – assess your income and expenses to determine whether you can comfortably incorporate the repayments into your monthly budget. Also consider whether you could continue making repayments if your income changes due to job loss, layoffs, or changes in your health.
- The total cost of a personal loan – consider the total cost of a personal loan and compare different providers’ APRs, fees, and total repayments to make an informed decision.
- Your repayment term – consider how long you will need to repay a personal loan. Longer-term loans offer lower monthly payments but increase total interest.
Conclusion
Many hardworking professionals meticulously plan every aspect of their jobs each day but fail to do the same in their personal lives. If this sounds like you, there might be no time like the present to start improving your financial health, which could help you achieve your personal and professional goals.
A personal loan could help you wave goodbye to debts impacting your mood, productivity, and motivation. It could also help you fund a major life event, such as your wedding or a move to a new city with better career prospects.
Whatever your goals, it’s important to carefully compare different loan providers and choose the right loan amount and terms to match your exact needs and budget.
