Personal loans in Georgia

Where to get personal loans in Georgia

Personal loans for all credit scores are available from banks, credit unions and multiple online lenders with national reach. Credit unions and online lenders tend to have the lowest interest rates, but you’ll need good to excellent credit to get the best rates.

But even if your credit score is less than stellar, you can still try a credit union, online or P2P lender, as they tend to have more flexible underwriting criteria than traditional banks. Some online lenders, like Upstart, accept credit scores as low as 300 as long as you can show regular income.

Personal loans for bad credit borrowers are also available from local installment lenders in Georgia, but rates and fees can start high. As always, compare multiple lenders to find the best deal for your credit score.

Traditional banks

If you have good to excellent credit, a traditional bank may be a good place to start searching for a personal loan. In addition to regional banks, many larger commercial banks have branches in Georgia, including PNC Bank, Wells Fargo and Truist. Average rates range from 7.00% to 24.00% currently, but you might be able to snag a more competitive rate with a relationship discount.

Relationship discounts are loan interest rate reductions that some banks offer to current customers. While 0.25% is typical, some banks offer discounts as high as 0.50%. Even with these discounts, compare a bank’s best rate against online lenders’ rates and discounts. LightStream, for example, will beat any competitor’s rate by 0.1% as long you qualify and meet its conditions.

And while banks typically don’t fund loans as quickly as online lenders, being a current customer may help speed things up.

Online lenders

Online lenders cater to a wide range of credit scores — from 300 and up — and tend to offer more flexible underwriting, faster loan applications and faster funding than a bank or credit union. Depending on how fast your loan is approved, some online lenders can fund your loan as soon as the same day.

Rates on personal loans from online lenders can range anywhere from 7.00% to 36% APR, with the best rates reserved for people with the highest credit scores. If you have a lower credit score, be prepared to pay a higher rate, plus origination fees which can run from 1% to 10%. But if you have very good to excellent credit, you don’t need to pay origination fees.

And be sure to ask about rate discounts, including autopay and creditor direct pay discounts — as many online lenders offer them. You could save 0.25% to 0.50% off your rate.

Credit unions

Your local credit union can also be a great place to search for a personal loan too, since rates are capped at 18% APR by The National Credit Union Administration (NCUA). The NCUA board regularly updates this maximum rate, so be aware the cap could increase in the future.

Credit unions may also work with lower credit borrowers, but to qualify for a personal loan from a credit union, you’ll need to be a member and turnaround times on funding may take longer than with an online lender.

Peer-to-peer lending

Peer-to-peer (P2P) lenders offer loans funded by investors or everyday people looking to earn a profit on their money. P2P lending rates tend to be higher than banks and online lenders — around 8.00% to 36% APR — but these lenders try to make loans more accessible to lower credit borrowers.

But funding times with P2P lenders can take longer than with online lenders, and many, like Prosper, charge origination fees on its loans. If you have good to excellent credit, look for a lender that doesn’t charge origination fees.

Georgia credit unions to consider for personal loans

Compare the top credit unions in Georgia to see lenders you might qualify with.

Personal loan eligibility requirements in Georgia

While every lender is different, be prepared to meet the following requirements to get a personal loan in Georgia:

• At least 18 years of age
• Social Security number
• Government-issued photo ID
• Minimum credit score of 560 to 660 (some lenders accept less)
• Debt-to-income ratio (DTI) of 43% or less
• Regular income with pay stubs

Personal loan rates and fees in Georgia

Typical rates for personal loans, including loans in Georgia, range from 5.50% to 35.99% APR as of May 2023. Most lenders offer rates starting at 6.99% and up — but these rates only go to the best credit borrowers.

Origination fees on personal loans typically range from 1% to 10%, depending on the lender and your creditworthiness. However, not all lenders charge origination fees, and if you have good to excellent credit, you shouldn’t have to pay them.

Tips for getting a personal loan in Georgia

As always, compare multiple lenders with a prequalification to find the best deal for your credit score before applying.

• Get prequalified. Most lenders allow you to check your potential rate with a prequalification that does a soft credit check only. This allows you to compare rates from lenders without impacting your credit score.
• Look for relationship discounts. Many lenders offer creditor direct pay discounts, auto-pay discounts and relationship discounts, which could save you between 0.25% and 0.50% off your rate. Be sure to ask for these discounts when applying for your loan, as they may not be available after applying.
• Compare fees. Different lenders cater to different credit scores and some charge origination fees on loans to lower credit borrowers, which can range from 1% to 10%. Compare all fees, including late fees and prepayment penalties, if any, before signing on the bottom line.
• Assess your borrowing capacity. Your loan size depends on your income. As a general rule, borrow as little as you need to minimize the amount of interest you’ll pay. If you don’t know how much you need to borrow, consider a credit line, as you could save on interest.

Remember to shop around and get at least three or four quotes. The best rates and terms go to borrowers that take the time to compare interest rates, fees and discounts.

Georgia personal loan laws and regulations

Georgia has laws and regulations in place to help protect consumers from predatory lending, like payday loans, but many gray areas remain. State usury laws limit what lenders can charge on personal loans, and it appears that most installment lenders in Georgia don’t charge more than 36% APR.

But these rules don’t apply to auto title loan lenders, which are allowed to charge between 150% and 300% APR annually. If you must use an auto title loan in Georgia, pay the loan off as soon as possible to avoid excessive interest charges or repossession or consider other payday loan alternatives in this state.