Personal loan ratings methodology

Our Finder score give a snapshot of how a lender compares with other personal loan providers. They factor in a lender’s range of APRs, fees, loan amounts, how long it takes to receive your funds and if you can apply online. If a lender has lots of online reviews or additional perks, those also factor into its score.

The finder score is a simple starting point. But this can’t tell you if a lender is the right choice for you. That’s where our reviews come in.

Our ratings

We rate loans using a system of 1 to 10 score:

— Excellent

— Good

— Average

— Poor

What a 10 score personal loan rating means

Lenders that get the highest rating with Finder meet these criteria:

• Minimum loan amounts of $2,000 or less
• Maximum loan amounts of $75,000 or more
• Same-day turnaround for application to funding
• Annual percentage rates (APRs) that start under 5%
• Maximum APRs are capped under 18%
• Does not charge fees
• Receives excellent customer reviews
• Offers an online application
• Has at least two perks that fall under payment flexibility, tech or mentorship

What factors go into our score

We consider nine factors when calculating the score of each provider:

How we rate minimum loan amounts

— Under $2,000

— $2,000 to $5,000

— $5,001 to $7,500

— $7,501 to $10,000+

Typically, personal loans start around $1,000 or $2,000 and rarely top $10,000. We consider any starting amount under $2,000 to be the most competitive and worthy of 10 points. Anything over $10,000 is restrictively high for most borrowers and only earns 1 point.

How we rate maximum loan amounts

— $75,000+

— $50,000 to $74,999

— $35,000 to $49,999

— under $20,000 to $34,999

Most lenders cap out at around $50,000. We gave the highest rating to any lender that offers loans above this range, starting at $75,000. The lowest rating goes to lenders that offer loans under $20,000, since that meets fewer needs.

How we rate turnaround time

— Same day

— 1 to 2 business days

— 3 to 5 business days

— Over 5 business days

Turnaround time is how long it takes to get a loan from the moment you start an application to the moment the money appears in your bank account.

The most common turnaround time for a personal loan provider with an online application is one or two business days. Lenders that beat that with same-day financing earn a perfect score. Those that lag behind didn’t do as well.

How we rate minimum APRs

— Below 5%

— 5% to 6.99%

— 7% to 20.99%

— Over 21%

The most competitive starting APRs clock in somewhere around 3%, but we consider anything under 5% to be exceptionally low. Any lender with an APR starting above 21% is considered to be a bad deal — your credit card might have a better rate.

How we rate maximum APRs

— Below 18%

— 18.01% to 25%

— 25.01% to 30%

— Over 30%

If the interest rate is higher than 18%, the lender may be risky, since you can pay up to twice as much for a loan as you borrowed. Anything above 30% is a red flag, and above 50% is predatory lending.

How we rate fees

— No fees

— Low fees

— Average fees

— High fees

Loans can come with many different types of fees, such as late fees, origination fees, and maintenance fees. We penalize lenders who charge exorbitant fees, especially those that make loans expensive with hidden costs.

How we rate customer reviews

— Excellent reviews

— Good reviews

— Mixed reviews

— Poor reviews

Your loan provider’s reviews are a strong indicator of how your experience will go. A lender with excellent reviews gets top marks.

How we rate online applications

— Full online application

— Partial online application

— No online application

Most lenders offer a full online application, so we reward this with a perfect score. If the lender only allows you to apply in person or by phone, you’ll get a lower score.

How we rate perks

— Two or more perks

— One perk

— No perks

— No perks offered

Personal loan lenders who offer additional features such as payment flexibility, tech, and mentorship will score higher.