To get a $50,000 loan, you'll need to be able to afford the monthly payments and find a lender that offers $50,000 loans and is willing to lend to you.
If you have great credit, try LightStream or SoFi. Both offer same-day loans up to $100,000. If you have fair credit, consider Upgrade for quick funding and multiple discounts. If you have bad credit, try Universal Credit. Just know that to get a $50,000 loan with bad credit you'll need on e or more compensating factors — like a strong income and low debt — and interest costs are likely to be high.
Tip
If you need $50,000 to consolidate debt, you may have an easier time qualifying for a loan even with a high debt-to-income ratio (DTI).
Where to get a $50,000 loan
Online lenders, banks, and credit unions offer $50,000 loans.
Online lenders
Online lenders can be the most flexible option for some borrowers, especially those with poor credit. "They don't have the same federal regulations as traditional banks, so they can be more lenient with credit requirements and faster in providing funds," said Joe Camberato, CEO of National Business Capital. "That flexibility can be a lifeline if you don't meet a bank's stricter criteria, but it often comes with higher interest rates."
Take time to compare and prequalify with multiple lenders to get an idea of the rates and terms you might qualify for. Some charge more fees than others or have higher minimum and maximum interest rates.
Advertiser DisclosureOverview
Lightstream is one of three Credible partner lenders to offer loan amounts up to $100,000, which makes it ideal for financing large expenses like home improvements or weddings. Funds are available as soon as the same day you apply, and you'll have up to 20 years to repay certain types of loans, including home improvement loans, RV loans, and boat loans. There are no origination fees, and rates are low — Lightstream's lowest APR beats SoFi's advertised lowest APR by 1 percentage point. But you'll need good credit to qualify.
Unlike most lenders, Lightstream does not let you prequalify on its site. Nor does it provide a contact phone number next to its customer service hours on its website.
pros
- Same-day funding available
- High maximum loan amount
- No origination fee
cons
- Good credit required
- No prequalification process
- Not available in Vermont
Repayment terms
2 - 20 years, depending on loan purpose
Eligibility
Available in all states except RI and VT
Time to get funds
As soon as the same business day
Loan uses
Credit card refinancing, debt consolidation, home improvement, and other purposes
Read full reviewOverview
Best Egg is a solid lender for a wide range of borrowers and, notably, scored second for personal loan satisfaction in J.D. Power's Consumer Lending Study. It offers competitive rates, reasonable loan terms and amounts, and personal loans for fair credit. You'll need a FICO score of at least 600 to qualify, but the lower your score, the higher your APR may be. The APR includes the interest rate and origination fees, which range from 0.99% to 9.99% with Best Egg.
Note that if you successfully prequalify with Best Egg, you may be more likely to be approved for the loan relative to other lenders you prequalify with. Based on Credible data, borrowers who chose to apply for a loan with Best Egg were more than twice as likely to be approved (relative to most other Credible partners).
pros
- Secured loans available
- Low minimum income requirement
- Scored second in J.D. Power's Consumer Lending Satisfaction Study
- Funds in 1-3 business days
- High close rate on loans through Credible platform
cons
- Origination fees
- No discounts
- Not available in DC, IA, VT, or WV
Fees
Origination fee, late fee, unsuccessful payment fee, check processing fee
Eligibility
Available in all states except DC, IA, VT, and WV
Time to get funds
As soon as 1 to 3 business days after successful verification
Loan uses
Credit card refinancing, debt consolidation, home improvement, and other purposes
Read full reviewOverview
Upstart has one of the lowest available APRs of Credible partner lenders and of all non-partners we reviewed, making it a good choice for well-qualified applicants. However, it's also one of few lenders that doesn't have a minimum credit score requirement (if you apply on the lender's website), which makes it an option if you have bad credit or no credit history. Upstart may charge an origination fee as high as 12%, but good-credit borrowers may not be charged one at all.
Trustpilot gives Upstart 4.9 stars, which is the highest of all lenders we reviewed.
pros
- May fund in 1 business day
- No minimum credit score requirement on lender site
- Low minimum APR
- Trustpilot score of 4.9/5 stars
cons
- May charge a high origination fee
- No discounts offered
Time to get funds
As soon as 1 to 3 business days
Loan uses
Pay off credit cards, consolidate debt, relocate, make a large purchase, and other purposes
Read full reviewOverview
SoFi personal loans feature high loan amounts, competitive interest rates, same-day funding, and long loan terms, plus discounts for autopay and direct pay. Plus, SoFi offers live chat, a prequalification process that doesn't require your Social Security number, and free financial advice for customers. Unlike many other online lenders, SoFi is an FDIC-insured bank.
To qualify for an unsecured loan you may need to have good credit, but unlike other lenders, SoFi doesn't specify a credit score minimum. Minimum loan amounts start at $5,000.
pros
- Large loan amounts available
- Autopay and direct pay discounts
- Same day funding
- Long loan terms available
cons
- Not transparent about minimum credit score requirements
- 5,000 minimum loan amount
Fees
Option to pay an origination fee in exchange for a lower rate
Time to get funds
Typically within a few days, given approval and bank account verification, but sometimes within the same day
Loan uses
Solely for personal, family, or household uses
Read full reviewOverview
Prosper is the only remaining true P2P marketplace in the peer-to-peer lending space that connects borrowers with individual investors for some loans. If you apply for a loan with Prosper, the funding may come from an individual who has chosen to invest in you.
Prosper offers personal loans between $2,000 and $50,000 with terms between 2 and 5 years, and funding as soon as one business day. You can use a personal loan through Prosper for a variety of purposes, including debt consolidation and home improvement. The platform has excellent customer service reviews on Trustpilot, as well.
pros
- Offers peer-to-peer lending (individuals can invest in personal loans)
- Can fund in 1 business day
- Open to borrowers with fair credit
- Low minimum APR
cons
- Origination fee
- Not available in Iowa or West Virginia
- No discounts
Eligibility
Available in all states except IA and WV
Time to get funds
On average, within 5 days of accepting your offer
Loan uses
Debt consolidation, home improvement, vehicles, small business, new baby expenses, and other purposes
Read full reviewOverview
Upgrade has a suite of features that make it a very attractive lender: competitive interest rates, discounts for direct pay and autopay, as soon as same-day funding, up to seven-year repayment terms, and nationwide availability. Plus, loans are available to fair-credit borrowers, and you don't need to input your Social Security number to prequalify on the website. Upgrade even offers secured personal loans, which is not common among lenders.
However, Upgrade does charge an origination fee of 1.85% to 9.99%. You must have a FICO score of at least 600 and a minimum income of $25,000 annually to qualify.
pros
- Fair credit borrowers eligible
- Autopay and direct pay discounts
- Can fund in as little as 1 business day
- Mobile app
- Secured loans available
cons
- High maximum origination fee
- Cosigners not accepted on home improvement loans
- Low J.D. Power ranking
Loan amount
$1,000 to $50,000 ($3,005 minimum in GA; $6,600 minimum in MA)
Loan uses
Credit card refinancing, debt consolidation, home improvement, major purchase, other
Read full reviewOverview
BHG Financial stands out for offering the largest loan amounts — up to $200,000 — of any Credible partner lenders. Simply put, if you need an unsecured personal loan over $100,000, there are very few places to look, but BHG is one. You'll have up to 10 years to repay the loan, but you'll need an annual income of at least $100,000 to qualify and a FICO score that's 660 or higher.
Loan amounts start at $20,000, so look elsewhere for small loans. And BHG charges a modest origination fee between 3% and 4%, depending on your financial profile. Loan funds are available within five to 14 days of loan approval.
pros
- Eligible applicants can borrow up to $200,000
- Considers borrowers with fair credit
- Long repayment terms
cons
- Not available in IL, ND, and MT
- No discounts
- Minimum annual income requirement of $100,000
- Funding takes at least five days
Fees
Origination fees, late fees, other fees may apply
Eligibility
Available in all states except Illinois, North Dakota, and Montana
Loan uses
Debt consolidation, credit card refinancing
Read full reviewOverview
Universal Credit is one of a handful of lenders that offers personal loans for bad credit. If your FICO credit score is at least 560, you may be eligible for a Universal Credit personal loan. It offers loan amounts up to $50,000, repayment terms up to seven years, and discounts for direct pay and autopay. Funds are available as soon as the next business day after loan approval.
Note that rates and fees can be relatively high — you may pay an origination fee from 5.25% to 9.99%, and APRs start at 11.69%. If you get a loan with a high interest rate, consider refinancing your personal loan at a lower rate once you've improved your credit score.
pros
- Borrowers with bad credit considered
- $25,000 annual income requirement
- Autopay and direct pay discounts available
- Can fund in one business day
cons
- High APRs
- Potentially high origination fees
- Not available in Iowa
Eligibility
A U.S. citizen or permanent resident; not available in DC, IA, SC, WV
Time to get funds
As soon as 1 business day after acceptance
Loan uses
Debt consolidation, pay off credit cards, home improvements, unexpected expenses, home and auto repairs, weddings, and other major purchases
Read full reviewOverview
Lending USA offers funding for a wide array of products and services, and sometimes offers six-month interest-free promotions on loans made through its merchant partners. Loans made through Credible are available for debt consolidation, credit card refinancing, home improvement, major purchase, car financing, cosmetic procedures, medical expenses, and moving relocation, and are best for borrowers with good credit or fair credit.
Just note that you may be charged an origination fee, and loans aren’t available nationwide. If applying via Credible, you should have a minimum FICO score of 640 to qualify.
pros
- Can fund within 1 business day of approval
- No-interest promotions for 6 months on some merchant-based loans
- Low maximum origination fee (through Credible)
cons
- 5% origination fee (up to 8% through merchants)
- Unavailable in these locations via Credible: AA, AE, AS, AP, CT, FM, GA, GU, HI, IA, IL, MD, MA, ME, MH, MP, MT, ND, NH, NM, NY, OH, PR, PW, SD, VI, VT, WV, WY
- No autopay or direct-pay discounts
- No mobile app
Fees
Origination fee, late fee, NSF fee
Eligibility
Available in all states except AA, AE, AS, AP, CT, FM, GA, GU, HI, IA, IL, MD, MA, ME, MH, MP, MT, ND, NH, NM, NY, OH, PR, PW, SD, VI, VT, WV, WY
Time to get funds
As soon as 1 to 3 business days
Loan uses
Debt consolidation, credit card refinancing, home improvement, major purchase, car financing, cosmetic procedures, medical expenses, moving relocation
Read full reviewOverview
Lightstream is one of three Credible partner lenders to offer loan amounts up to $100,000, which makes it ideal for financing large expenses like home improvements or weddings. Funds are available as soon as the same day you apply, and you'll have up to 20 years to repay certain types of loans, including home improvement loans, RV loans, and boat loans. There are no origination fees, and rates are low — Lightstream's lowest APR beats SoFi's advertised lowest APR by 1 percentage point. But you'll need good credit to qualify.
Unlike most lenders, Lightstream does not let you prequalify on its site. Nor does it provide a contact phone number next to its customer service hours on its website.
pros
- Same-day funding available
- High maximum loan amount
- No origination fee
cons
- Good credit required
- No prequalification process
- Not available in Vermont
Repayment terms
2 - 20 years, depending on loan purpose
Eligibility
Available in all states except RI and VT
Time to get funds
As soon as the same business day
Loan uses
Credit card refinancing, debt consolidation, home improvement, and other purposes
Read full reviewOverview
Best Egg is a solid lender for a wide range of borrowers and, notably, scored second for personal loan satisfaction in J.D. Power's Consumer Lending Study. It offers competitive rates, reasonable loan terms and amounts, and personal loans for fair credit. You'll need a FICO score of at least 600 to qualify, but the lower your score, the higher your APR may be. The APR includes the interest rate and origination fees, which range from 0.99% to 9.99% with Best Egg.
Note that if you successfully prequalify with Best Egg, you may be more likely to be approved for the loan relative to other lenders you prequalify with. Based on Credible data, borrowers who chose to apply for a loan with Best Egg were more than twice as likely to be approved (relative to most other Credible partners).
pros
- Secured loans available
- Low minimum income requirement
- Scored second in J.D. Power's Consumer Lending Satisfaction Study
- Funds in 1-3 business days
- High close rate on loans through Credible platform
cons
- Origination fees
- No discounts
- Not available in DC, IA, VT, or WV
Fees
Origination fee, late fee, unsuccessful payment fee, check processing fee
Eligibility
Available in all states except DC, IA, VT, and WV
Time to get funds
As soon as 1 to 3 business days after successful verification
Loan uses
Credit card refinancing, debt consolidation, home improvement, and other purposes
Read full reviewOverview
Upstart has one of the lowest available APRs of Credible partner lenders and of all non-partners we reviewed, making it a good choice for well-qualified applicants. However, it's also one of few lenders that doesn't have a minimum credit score requirement (if you apply on the lender's website), which makes it an option if you have bad credit or no credit history. Upstart may charge an origination fee as high as 12%, but good-credit borrowers may not be charged one at all.
Trustpilot gives Upstart 4.9 stars, which is the highest of all lenders we reviewed.
pros
- May fund in 1 business day
- No minimum credit score requirement on lender site
- Low minimum APR
- Trustpilot score of 4.9/5 stars
cons
- May charge a high origination fee
- No discounts offered
Time to get funds
As soon as 1 to 3 business days
Loan uses
Pay off credit cards, consolidate debt, relocate, make a large purchase, and other purposes
Read full reviewOverview
SoFi personal loans feature high loan amounts, competitive interest rates, same-day funding, and long loan terms, plus discounts for autopay and direct pay. Plus, SoFi offers live chat, a prequalification process that doesn't require your Social Security number, and free financial advice for customers. Unlike many other online lenders, SoFi is an FDIC-insured bank.
To qualify for an unsecured loan you may need to have good credit, but unlike other lenders, SoFi doesn't specify a credit score minimum. Minimum loan amounts start at $5,000.
pros
- Large loan amounts available
- Autopay and direct pay discounts
- Same day funding
- Long loan terms available
cons
- Not transparent about minimum credit score requirements
- 5,000 minimum loan amount
Fees
Option to pay an origination fee in exchange for a lower rate
Time to get funds
Typically within a few days, given approval and bank account verification, but sometimes within the same day
Loan uses
Solely for personal, family, or household uses
Read full reviewOverview
Prosper is the only remaining true P2P marketplace in the peer-to-peer lending space that connects borrowers with individual investors for some loans. If you apply for a loan with Prosper, the funding may come from an individual who has chosen to invest in you.
Prosper offers personal loans between $2,000 and $50,000 with terms between 2 and 5 years, and funding as soon as one business day. You can use a personal loan through Prosper for a variety of purposes, including debt consolidation and home improvement. The platform has excellent customer service reviews on Trustpilot, as well.
pros
- Offers peer-to-peer lending (individuals can invest in personal loans)
- Can fund in 1 business day
- Open to borrowers with fair credit
- Low minimum APR
cons
- Origination fee
- Not available in Iowa or West Virginia
- No discounts
Eligibility
Available in all states except IA and WV
Time to get funds
On average, within 5 days of accepting your offer
Loan uses
Debt consolidation, home improvement, vehicles, small business, new baby expenses, and other purposes
Read full reviewOverview
Upgrade has a suite of features that make it a very attractive lender: competitive interest rates, discounts for direct pay and autopay, as soon as same-day funding, up to seven-year repayment terms, and nationwide availability. Plus, loans are available to fair-credit borrowers, and you don't need to input your Social Security number to prequalify on the website. Upgrade even offers secured personal loans, which is not common among lenders.
However, Upgrade does charge an origination fee of 1.85% to 9.99%. You must have a FICO score of at least 600 and a minimum income of $25,000 annually to qualify.
pros
- Fair credit borrowers eligible
- Autopay and direct pay discounts
- Can fund in as little as 1 business day
- Mobile app
- Secured loans available
cons
- High maximum origination fee
- Cosigners not accepted on home improvement loans
- Low J.D. Power ranking
Loan amount
$1,000 to $50,000 ($3,005 minimum in GA; $6,600 minimum in MA)
Loan uses
Credit card refinancing, debt consolidation, home improvement, major purchase, other
Read full reviewOverview
BHG Financial stands out for offering the largest loan amounts — up to $200,000 — of any Credible partner lenders. Simply put, if you need an unsecured personal loan over $100,000, there are very few places to look, but BHG is one. You'll have up to 10 years to repay the loan, but you'll need an annual income of at least $100,000 to qualify and a FICO score that's 660 or higher.
Loan amounts start at $20,000, so look elsewhere for small loans. And BHG charges a modest origination fee between 3% and 4%, depending on your financial profile. Loan funds are available within five to 14 days of loan approval.
pros
- Eligible applicants can borrow up to $200,000
- Considers borrowers with fair credit
- Long repayment terms
cons
- Not available in IL, ND, and MT
- No discounts
- Minimum annual income requirement of $100,000
- Funding takes at least five days
Fees
Origination fees, late fees, other fees may apply
Eligibility
Available in all states except Illinois, North Dakota, and Montana
Loan uses
Debt consolidation, credit card refinancing
Read full reviewOverview
Universal Credit is one of a handful of lenders that offers personal loans for bad credit. If your FICO credit score is at least 560, you may be eligible for a Universal Credit personal loan. It offers loan amounts up to $50,000, repayment terms up to seven years, and discounts for direct pay and autopay. Funds are available as soon as the next business day after loan approval.
Note that rates and fees can be relatively high — you may pay an origination fee from 5.25% to 9.99%, and APRs start at 11.69%. If you get a loan with a high interest rate, consider refinancing your personal loan at a lower rate once you've improved your credit score.
pros
- Borrowers with bad credit considered
- $25,000 annual income requirement
- Autopay and direct pay discounts available
- Can fund in one business day
cons
- High APRs
- Potentially high origination fees
- Not available in Iowa
Eligibility
A U.S. citizen or permanent resident; not available in DC, IA, SC, WV
Time to get funds
As soon as 1 business day after acceptance
Loan uses
Debt consolidation, pay off credit cards, home improvements, unexpected expenses, home and auto repairs, weddings, and other major purchases
Read full reviewOverview
Lending USA offers funding for a wide array of products and services, and sometimes offers six-month interest-free promotions on loans made through its merchant partners. Loans made through Credible are available for debt consolidation, credit card refinancing, home improvement, major purchase, car financing, cosmetic procedures, medical expenses, and moving relocation, and are best for borrowers with good credit or fair credit.
Just note that you may be charged an origination fee, and loans aren’t available nationwide. If applying via Credible, you should have a minimum FICO score of 640 to qualify.
pros
- Can fund within 1 business day of approval
- No-interest promotions for 6 months on some merchant-based loans
- Low maximum origination fee (through Credible)
cons
- 5% origination fee (up to 8% through merchants)
- Unavailable in these locations via Credible: AA, AE, AS, AP, CT, FM, GA, GU, HI, IA, IL, MD, MA, ME, MH, MP, MT, ND, NH, NM, NY, OH, PR, PW, SD, VI, VT, WV, WY
- No autopay or direct-pay discounts
- No mobile app
Fees
Origination fee, late fee, NSF fee
Eligibility
Available in all states except AA, AE, AS, AP, CT, FM, GA, GU, HI, IA, IL, MD, MA, ME, MH, MP, MT, ND, NH, NM, NY, OH, PR, PW, SD, VI, VT, WV, WY
Time to get funds
As soon as 1 to 3 business days
Loan uses
Debt consolidation, credit card refinancing, home improvement, major purchase, car financing, cosmetic procedures, medical expenses, moving relocation
Read full reviewMost importantly, choose a lender that's "transparent, honest, and clear about the terms of your loan," said Sean Briscoe, Director, Products and Payments at Alliant Credit Union. Review your loan approval letter carefully. "If something isn't clear or you don't understand it, don't move forward. A loan is a significant commitment, so you want to be sure you know what you're committing to."
Banks
Banks generally offer more competitive interest rates for personal loans compared to online lenders. They may also reserve perks for current customers. For example, U.S. Bank lets non-customers borrow up to $25,000, but personal checking customers can borrow up to $50,000. Wells Fargo also has an interest rate discount for borrowers who set up auto-pay from their Wells Fargo bank account.
With that said, banks often have stricter credit score and income requirements for borrowers and longer approval processes.
Read More: Best Banks for Personal Loans
Credit unions
Credit unions are similar to banks in that they may offer members-only discounts or benefits for loans. They also tend to have lower interest rates than banks, with an average interest rate of 10.89% for a three-year loan compared to a bank's average rate of 11.94%, according to 2024 third-quarter data from the National Credit Union Administration.
However, you'll need to already be a member or sign up as a new member to get a personal loan through a credit union.
Good to know
Alliant Credit Union, First Tech Federal Credit Union, Navy Federal Credit Union, and PenFed Credit Union are a few that offer $50,000 personal loans.
How to get a $50K personal loan with bad credit
Getting a $50,000 personal loan with bad credit can be challenging, but it's not necessarily impossible. Still, your lender will likely see you as a risky borrower, so you may only qualify for a high interest rate.
Start by researching lenders that offer loans for bad credit of up to $50,000, like Universal Credit. Prequalify before applying so you can see whether you might be eligible for a loan and get an idea of your potential interest rate.
Alternatively, consider applying with a cosigner or co-borrower. If they have excellent credit, they can help you get approved. The primary difference between the two is that a co-borrower can access the loan funds, while a cosigner can't.
Having assets like cash or stocks you can use for collateral could also help you get approved. "The lender might focus less on your credit and more on the value of the collateral," Camberato explained. However, you'll need to find a lender that offers secured personal loans, like Upgrade or Navy Federal Credit Union, if you want to go this route.
Can you get a $50,000 loan with no credit check?
No, you usually can't get a $50,000 loan with no credit check. "It's unrealistic to expect a loan of that size without a credit check," said Camberato. "Any reputable lender will want to review your credit history."
Expect to undergo a hard credit check as part of the loan approval process, which may lower your credit score by a few points temporarily.
Keep in mind
Hard inquiries typically stay on your credit report for two years. Multiple hard inquiries in a short period can make you look riskier to lenders when they review your credit.
What to consider when comparing loans
You might find a $50,000 personal loan that looks good from the first lender you visit. But comparing multiple loans and lenders can help you get the best rate, terms, and overall deal. Compare prequalification quotes based on the following factors:
1. Annual percentage rates (APR)
The APR represents the cost you'd pay to borrow a $50,000 loan. APR accounts for the interest rate and upfront fees, which makes it a more accurate way to compare loan offers.
Good to know
The average APR for 3-year and 5-year personal loans was 15.26% and 20.71%, respectively, according to Credible data from December 2024.
Lenders consider multiple factors, like a loan's repayment term and your credit score, to determine your interest rate. Longer terms and lower scores can lead to higher interest rates, while a credit score of 780 or higher and a shorter repayment period, like two or three years, may confer an APR under 10%.
2. Fees
Fees can easily increase the cost of your loan. "One lender may offer a lower rate or easier access to credit but then charge a fee to recoup those costs," explained Briscoe. You might see the following fees when comparing lenders:
- Late fee: A late fee is the most common for personal loans. Lenders usually charge a flat fee of $10 or more if you're a few days late making your monthly payment.
- Origination fee: Some lenders charge an origination fee to process your loan. It can be up to 12% of your borrowed amount. If your loan has an origination fee, the lender will remove the amount of the fee from your loan funds, reducing how much you receive.
- Prepayment penalty: A prepayment penalty is a fee for paying off a loan early, usually as a percentage of your loan balance or a flat fee. It's rare for lenders to charge this for personal loans.
Some lenders are more transparent about their fees than others, so you may need to do some digging on lender websites or review sites like Trustpilot to uncover potential fees.
Good to know
LightStream offers $50,000 personal loans with no late fees, origination fees, or prepayment penalties.
3. Repayment terms
Your repayment term is the amount of time you have to pay off your loan in full. A $50,000 fixed-rate loan with a five-year repayment term will require 60 monthly payments that include your principal balance and interest.
Two to five-year repayment terms are common, but some lenders, like Upgrade and SoFi, allow up to seven years for $50,000 loans. An extended repayment period can make monthly payments more manageable, but you'll pay more total interest.
4. Monthly payment
To pay back a personal loan, you'll make monthly payments. Comparing potential monthly payments for $50,000 loans can help you decide if you can realistically repay the loan each month.
To give you an idea of how much a loan of this size could cost, monthly payments could be around $1,000 to $1,600 for a 7-year loan or $1,700 to $2,200 for a 3-year loan, depending on the APR you qualify for.
5. Total repayment costs
It's not always easy to determine all the costs of a loan until you apply. If approved, your lender should send you a disclosure that outlines the details of the loan, including your APR, fees, and total repayment costs.
Review the document carefully, noting any fees and interest you'll pay and how they influence your total cost. Only sign the offer if you're 100% sure you want to move forward with the loan.
6. Loan purpose
When you apply for a personal loan, you'll need to specify how you intend to use it. The loan's purpose can impact the rate you'll receive and how much you'll qualify to borrow. Personal loans can be used for many things, but not all lenders allow all loan purposes. It's usually safe to use a personal loan to consolidate debt or pay for home repairs, for example, but lenders generally don't allow loans to cover college tuition, business costs, or a home's down payment.
When you prequalify, you can usually choose your loan's purpose from a list of options. These indicate the lender's allowed uses for a loan. Be truthful about how you'll use the loan when you apply. Not doing so could be considered bank fraud, which carries a potential fine of up to $1 million, up to 30 years in prison, or both.
Cost to repay a $50,000 personal loan
The table below shows potential APRs, monthly payments, total interest, and total amounts paid for a 3-year and 7-year $50,000 personal loan, based on current Credible personal loans data. Note that these are hypothetical figures to illustrate how a loan can vary by credit score and terms.
3-Year $50,000 Loan
Steps to getting a $50,000 loan
If you decide to apply for a $50,000 personal loan, here's what to do:
- Review your credit score and report: Check your most recent credit score to see whether you meet lender requirements. Credit card companies commonly offer free monthly credit score updates. Review your credit report for free at AnnualCreditReport.com and dispute any errors with the appropriate credit bureau if needed.
- Calculate your payments: Some lender websites have calculators to help you estimate your potential loan payment. Or, use our personal loan calculator to see how much you can expect to pay each month.
- Research lenders: Look for lenders that allow you to borrow $50,000. Compare their application processes, funding times, fees, repayment terms, and APR ranges to find ones that meet your expectations.
- Prequalify with multiple lenders: After shortlisting your top lender choices, prequalify with them to compare potential interest rates and repayment terms. This doesn't affect your credit score, but applying for a loan can temporarily lower your score with a hard credit check.
- Gather documents and apply: Choose a lender and submit an application. You may need a form of identification, pay stubs or tax returns, and proof of address, although your lender will tell you which documents to submit.
- Sign your loan offer: Review your official loan offer if approved. Look closely at fees, your interest rate, and your monthly payment, and contact your lender if you have any questions before signing.
- Get funded: Expect to receive your funds in your bank account within a few business days, although some lenders fund loans the same day or the next business day.
Alternatives to a $50K personal loan
There's a lot to think about regarding a personal loan of $50,000. Consider these alternatives if you're not entirely sure it's the right move.
Secured line of credit
You can borrow money from a personal line of credit up to your credit limit. Like a credit card, you can use your credit line as needed and only pay for what you borrow plus interest.
It's common for personal lines of credit up to $50,000 to be secured by an asset, like a savings account or stocks. This collateral backs your loan and guarantees repayment, which can lower your borrowing risk to a lender. In turn, secured lines of credit generally have lower APRs than loans.
First Tech Federal Credit Union has stock-secured lines of credit between $25,000 and $500,000.
Home equity options
Home equity loans and home equity lines of credit, or HELOCs, let you borrow money against the equity in your home.
A home equity loan is a lump sum repaid in monthly installments, similar to a personal loan. A HELOC is more like a personal line of credit from which you can borrow money as needed. Lenders usually allow you to borrow up to 80% of your home's equity.
Expect interest rates to be lower for home equity borrowing options than personal loans because using your home as collateral lowers your borrowing risk. They also offer longer repayment terms of up to 20 or 30 years. But, if you fail to make payments, you could risk losing your home.
401(k) loans
Loans you take out against your 401(k) retirement plan are backed by the cash value of your account and don't require a credit check, making them an option if you have bad credit or don't want a lender placing a hard inquiry on your credit report.
These loans can be up to $50,000, but you can only borrow up to 50% of your vested amount. However, taking such a large chunk of your retirement could delay your retirement for years. When you take a 401(k) loan, those funds are no longer earning a return or benefiting from compound interest or gains. A 401(k) loan can be particularly disastrous if you don't pay it back. In this case, it's treated as a withdrawal, which means you'll owe tax on the unpaid amount plus a 10% penalty tax if you're under 59 ½.
Caution
If you leave the job your 401(k) plan is through, you may need to pay your loan in full.
FAQ
Is a $50K personal loan a smart idea?
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A $50,000 personal loan can be a good idea if you need to cover a major expense, like home renovations or high-interest debt consolidation, and can comfortably afford the payments. Before deciding, consider the loan's potential APR, repayment terms, and how it fits into your financial goals. Be sure only to borrow the amount you need to keep your payments and total costs manageable.
Is it hard to get a $50K personal loan?
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Requirements for a $50K personal loan vary by lender, with some having stricter requirements than others. Generally, a good to excellent credit score and steady income can make it easier to get approved for a $50,000 loan. Consider prequalifying with multiple lenders to see whether you might be approved and your potential rate. Keep in mind that a lender won't make an official decision into you apply.
How does a personal loan affect your credit score?
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When you apply for a $50,000 personal loan, the lender conducts a hard credit check, which can temporarily reduce your credit score by a few points. You'll also lower the average age of your credit, which could negatively impact your credit score.
On the other hand, adding an installment loan to your credit report could slightly improve your score if you mostly have revolving accounts, like a line of credit or credit cards. If you're using the loan to pay off credit cards, you could see a significant increase in your score since your credit utilization will decrease.
Read more: How Does a Personal Loan Affect Your Credit Score?How long will it take to pay off a $50K loan?
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You can often choose which payment period you prefer from among the terms the lender offers. Many lenders have repayment terms of up to five or seven years for $50,000 personal loans. LightStream offers up to 12-year repayment terms on some $50,000 loans, which is uncommon.
Read more: Personal Loan Term Length: What You Need To KnowMeet the expert:
Amy Boyington
Amy Boyington has spent more than eight years covering personal finance. She's an expert on education and financial literacy.