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Best Credit Card Consolidation Loans February 2024

Personal loans for credit card refinancing are a type of loan that can be used to pay off high-interest credit card debt. With a personal loan — or credit card refinance loan — you may be able to pay off your credit cards faster while lowering your total interest payments.

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Key Facts

  • Free-to-use marketplace with a choice of vetted lending partners.
  • Borrowers are in control and can compare competitive loan options.
  • No prepayment fees and origination fees as low as 0%
  • Max Loan Amount: $100K

Pros

pros iconGreat for Comparing Lenders

pros icon Fast and Easy

pros iconSecure 256-bit encryption

Cons

cons iconFees Vary

cons iconOther Variable Info

cons iconTerms are Limited

Personal Loans Rate and Terms Disclosure: Rates for personal loans provided by lenders on the Credible platform range between 4.60% – 35.99% APR with terms from 12 to 84 months. Rates presented include lender discounts for enrolling in autopay and loyalty programs, where applicable. Actual rates may be different from the rates advertised and/or shown and will be based on the lender’s eligibility criteria, which include factors such as credit score, loan amount, loan term, credit usage and history, and vary based on loan purpose. The lowest rates available typically require excellent credit, and for some lenders, may be reserved for specific loan purposes and/or shorter loan terms. The origination fee charged by the lenders on our platform ranges from 0% to 8%. Each lender has their own qualification criteria with respect to their autopay and loyalty discounts (e.g., some lenders require the borrower to elect autopay prior to loan funding in order to qualify for the autopay discount). All rates are determined by the lender and must be agreed upon between the borrower and the borrower’s chosen lender. For a loan of $10,000 with a three year repayment period, an interest rate of 7.99%, a $350 origination fee and an APR of 11.51%, the borrower will receive $9,650 at the time of loan funding and will make 36 monthly payments of $313.32. Assuming all on-time payments, and full performance of all terms and conditions of the loan contract and any discount programs enrolled in included in the APR/interest rate throughout the life of the loan, the borrower will pay a total of $11,279.43. As of March 3, 2022, none of the lenders on our platform require a down payment nor do they charge any prepayment penalties..

Prequalified rates are based on the information you provide and a soft credit inquiry. Receiving prequalified rates does not guarantee that the Lender will extend you an offer of credit. You are not yet approved for a loan or a specific rate. All credit decisions, including loan approval, if any, are determined by Lenders, in their sole discretion. Lenders will conduct a hard credit pull when you submit your application. Hard credit pulls will have an impact on your credit score. Lowest rate advertised is not available for all loan sizes, types, or purposes, and assumes a very well qualified borrower with an excellent credit profile. Loan Example: A $10,000 loan with a 5-year term at 13% Annual Percentage Rate (APR) would be repayable in 60 monthly installments of $228 each. The actual payment amount and year-end balance will vary based on the APR, loan amount, and term selected. In this case the total amount expected to pay by the borrower will be $13,680.

Bonus disclosure:
“All bonus payments are by gift card.”

*Not all available financial products and offers from all financial institutions have been reviewed by this website

  • $600-$100K Loan Amount
  • 550 Min Credit
  • 6.40-35.99% APR
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Key Facts

  • Competitive rates available for good credit scores and income source
  • Access to financial advisors, private networking events, & unemployment protection
  • Flexible terms & payment options with no fees whatsoever
  • Max Loan Amount: $100K

Pros

pros iconPersonal loan application process is easy and only takes a few minutes to complete

pros iconSoft credit check that doesn’t affect your credit score and gives you personalized rates

pros iconFixed and variable rate loans available ranging from $5,000 to $100,000

pros iconNo late or origination fees required

pros iconExcellent customer support team

pros iconOnline autopay comes with a discount on interest

pros iconExclusive benefits for members (ex. networking events and access to financial advisors)

pros iconUnemployment Protection feature comes with a temporary payment pause (up to 12 months)

pros iconNo prepayment penalties

Cons

cons iconMay take up to 4 days to receive funds after approval (longer than other online lenders)

cons iconHigh eligibility requirements (ex. good credit and sufficient income)

“SoFi” is a registered trademark of Social Finance, Inc. SoFi is not affiliated with colleges and universities listed on SoFi.com. Colleges and universities listed on SoFi.com do not endorse, promote or recommend SoFi loan products.

Terms and Conditions Apply. SOFI RESERVES THE RIGHT TO MODIFY OR DISCONTINUE PRODUCTS AND BENEFITS AT ANY TIME WITHOUT NOTICE. To qualify, a borrower must be a U.S. citizen or other eligible status and and meet SoFi’s underwriting requirements. Not all borrowers receive the lowest rate. Lowest rates reserved for the most creditworthy borrowers. If approved, your actual rate will be within the range of rates listed above and will depend on a variety of factors, including term of loan, evaluation of your creditworthiness, years of professional experience, income, and a variety of other factors. Rates and Terms are subject to change at anytime without notice and are subject to state restrictions. SoFi refinance loans are private loans and do not have the same repayment options that the federal loan program offers, or may become available, such as Income Based Repayment or Income Contingent Repayment or PAYE. Licensed by the Department of Financial Protection and Innovation under the California Financing Law License No. 6054612. SoFi loans are originated by SoFi Lending Corp. or an affiliate, NMLS # 1121636. (www.nmlsconsumeraccess.org)

Loan Example: A $10,000 loan with a 5-year term at 13% Annual Percentage Rate (APR) would be repayable in 60 monthly installments of $228 each. The actual payment amount and year-end balance will vary based on the APR, loan amount, and term selected. In this case the total amount expected to pay by the borrower will be $13,680

✝︎ To check the rates and terms you qualify for, SoFi conducts a soft credit pull that will not affect your credit score. However, if you choose a product and continue your application, we will request your full credit report from one or more consumer reporting agencies, which is considered a hard credit pull and may affect your credit.

©2022 Social Finance, Inc. All rights reserved.”

Fixed rates from 3.99% APR to 9.99% APR reflect the 0.25% autopay interest rate discount and a 0.25% direct deposit interest rate discount. SoFi rate ranges are current as of 01/16/24 and are subject to change without notice. Not all applicants qualify for the lowest rate. Lowest rates reserved for the most creditworthy borrowers. Your actual rate will be within the range of rates listed and will depend on the term you select, evaluation of your creditworthiness, income, and a variety of other factors.Loan amounts range from $5,000– $100,000. The APR is the cost of credit as a yearly rate and reflects both your interest rate and an origination fee of 0%-6%, which will be deducted from any loan proceeds you receive.Autopay: The SoFi 0.25% autopay interest rate reduction requires you to agree to make monthly principal and interest payments by an automatic monthly deduction from a savings or checking account. The benefit will discontinue and be lost for periods in which you do not pay by automatic deduction from a savings or checking account. Autopay is not required to receive a loan from SoFi.Direct Deposit Discount: To be eligible to potentially receive an additional (0.25%) interest rate reduction for setting up direct deposit with a SoFi Checking and Savings account offered by SoFi Bank, N.A. or eligible cash management account offered by SoFi Securities, LLC (“Direct Deposit Account”), you must have an open Direct Deposit Account within 30 days of the funding of your Loan. Once eligible, you will receive this discount during periods in which you have enabled payroll direct deposits of at least $1,000/month to a Direct Deposit Account in accordance with SoFi’s reasonable procedures and requirements to be determined at SoFi’s sole discretion. This discount will be lost during periods in which SoFi determines you have turned off direct deposits to your Direct Deposit Account. You are not required to enroll in direct deposits to receive a Loan.

  • $5K-$100K Loan Amount
  • 680 Min Credit
  • 8.99-25.81% APR
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Key Facts

  • Useful mobile app to manage your loan
  • Accepts co-signer and joint applications
  • Wide range of term lengths and amounts

Pros

pros iconFast funding time

pros iconGreat reputation

pros iconLow-fee loans

pros iconWide range of term lengths

Cons

cons iconYou need to be a PenFed Credit Union member to get a loan

cons iconDoesn’t disclose all eligibility requirements

This website is an informative comparison site that aims to offer its users find helpful information regarding the products and offers that will suit their needs. We are able to maintain a free, high-quality service by receiving advertising fees from the brands and service providers we review on this website (though we may also assess brands we are not engaged with).

These advertising fees, combined with our criteria and methodology, such as the conversion rates, our team of reviewers’ findings and subjective experience, and product popularity, impact the placement and position of the brands within the comparison table. In the event that we assign ratings or scoring, they are based on the standing in the comparison table or according to the other formula in the event detailed explicitly by us. See our How we Rate page and Terms of Use for information.

The reviews, ratings, and scoring are provided “as is” without guarantees or warranties regarding the information contained on our website, which shall not be considered as endorsement. We do our best to keep the information up-to-date. However, an offer’s terms might change at any time. We do not compare or include all service providers, brands, and offers available in the market. Loan Payment Example: A $35,000 personal loan financed at 4.99% APR would amount to 60 monthly payments of approximately $676.49 each.

  • $600-$50K Loan Amount
  • 690 Min Credit
  • 8.49-17.99% APR
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Key Facts

  • Discounts for Upgrade account owners
  • No prepayment fees
  • Fast funding in 1-4 days

Pros

pros iconOffers a small minimum loan amount

pros iconDeals with credit scores of at least 580

pros iconNo early prepayment fee

pros iconQuick time to funding

pros iconSolid mobile app to manage loans

Cons

cons iconCharges origination fee

cons iconLate fees in place

Personal loans made through Upgrade feature Annual Percentage Rates (APRs) of 8.49%-35.99%. All personal loans have a 1.85% to 9.99% origination fee, which is deducted from the loan proceeds. Lowest rates require Autopay and paying off a portion of existing debt directly. Loans feature repayment terms of 24 to 84 months. For example, if you receive a $10,000 loan with a 36-month term and a 17.59% APR (which includes a 13.94% yearly interest rate and a 1.85% to 9.99% origination fee), you would receive $9,500 in your account and would have a required monthly payment of $341.48. Over the life of the loan, your payments would total $12,293.46. The APR on your loan may be higher or lower and your loan offers may not have multiple term lengths available. Actual rate depends on credit score, credit usage history, loan term, and other factors. Late payments or subsequent charges and fees may increase the cost of your fixed rate loan. There is no fee or penalty for repaying a loan early. Personal loans issued by Upgrade’s bank partners. Information on Upgrade’s lending partners can be found at https://www.upgrade.com/lending-partners/.

Fast Funding Disclosure: *Accept your loan offer and your funds will be sent to your bank or designated account within one (1) business day of clearing necessary verifications. Availability of the funds is dependent on how quickly your bank processes the transaction. From the time of approval, funds sent directly to you should be available within one (1) business day. Funds sent directly to pay off your creditors may take up to 2 weeks to clear, depending on the creditor.

  • $1K-$50K Loan Amount
  • 580 Min Credit
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Key Facts

  • Wide range of loan term lengths.
  • No prepayment penalties.
  • Enjoy additional services Axos offer.

Pros

pros iconNo prepayment penalties

pros icon1-year loan terms available

pros iconFast, 2-day funding

pros iconWide range of loan terms

Cons

cons iconHigh credit score requirements

cons iconOrigination fee

cons iconShorter loan terms

Axos Bank® offers bank products and services. All deposit accounts through Axos Bank brands are FDIC insured through Axos Bank. All deposit accounts of the same ownership and vesting held at Axos Bank are combined and insured under the same FDIC Certificate 35546. All deposit accounts through Axos Bank brands are not separately insured by the FDIC from other deposit accounts held with the same ownership and vesting at Axos Bank. For more information, read our FDIC Notice. Axos Bank NMLS# 524995. For example, if you get approved for a $15,000 loan at 6.99% APR for a term of 72 months, you’ll pay just $256 per month for a total amount of $18,432.

 

  • $5K-$50K Loan Amount
  • 690 Min Credit
Powered by Credible
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Key Facts

  • Good credit gets low rates and zero fees
  • Fast and easy online process
  • $100 Loan Experience Guarantee¹
  • Max Loan Amount: $100K
  • Powered by Credible

Pros

pros iconGet a loan for practically anything

pros iconAutopay discount available

pros iconDedicated app to manage your loan

pros iconLightStream doesn’t charge any fees

Cons

cons iconPersonal loan up to $100K

cons iconRequires steady income

cons icon1-3 Days till funding

LightStream is a part of Truist Bank. While most correspondence will come from LightStream, you might notice the name Truist on certain communications from us. We continue to serve customers across all 50 states, and you do not need to be an existing customer to qualify for a LightStream loan.

Your loan terms, including APR, may differ based on loan purpose, amount, term length, and credit profile. The lowest rates require excellent credit. At least 22% of approved applicants applying for the lowest rate qualified for the lowest rate available based on data from 07/01/2022 to 09/30/2022.

Rate is quoted with an AutoPay discount. AutoPay discount is only available before loan funding. Rates without AutoPay are 0.50% points higher. Subject to credit approval. Conditions and limitations apply. Advertised rates and terms are subject to change without notice. Payment example: Monthly payments for a $10,000 loan at 4.99% APR with a term of 3 years would result in 36 monthly payments of $299.66.

  • $5K-$100K Loan Amount
  • 660 Min Credit
Powered by Credible
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Key Facts

  • Flexible repayment options
  • Great for customers with bad credit score
  • Safe and secure

Pros

pros iconEasy, fast application process

pros iconFunds are disbursed quickly

pros iconBuilds personal credit

Cons

cons iconHigh fees and interest charges

cons iconNo co-signed, joint, or secured loan option

cons iconNo rate discount for automatic payments

Loan Example: A $10,000 loan with a 5-year term at 13% Annual Percentage Rate (APR) would be repayable in 60 monthly installments of $228 each. The actual payment amount and year-end balance will vary based on the APR, loan amount, and term selected. In this case the total amount expected to pay by the borrower will be $13,680

  • $2K-$35K Loan Amount
  • 580 Min Credit
  • 9.95-35.99% APR

Top Credit Card Refinance Personal Loan Providers

660

Min Credit Score

7.99-25.49%

APR. Fixed Rate

$5K-$100K

Loan Amount

2-7 years

Repayment terms

No

Soft Credit Pull

Direct

Lender Type

None

Other Fees

None

Origination Fee

None

Prepayment Fee

1 days

Funding Time

Pros & Cons

drop-down-btn
  • con-icon Get a loan for practically anything
  • con-icon Autopay discount available
  • con-icon Dedicated app to manage your loan
  • con-icon LightStream doesn’t charge any fees
  • con-icon Personal loan up to $100K
  • con-icon Requires steady income
  • con-icon 1-3 Days till funding

Loan Purpose

drop-down-btn
  • Car
  • Major Purchase
  • Household Expenses
  • Vacation
  • Wedding
  • Other

Loan Type

drop-down-btn
  • Secured Personal Loans
  • Unsecured Personal Loans
  • Fixed-Rate Personal Loans
  • Variable-Rate Personal Loans
sofi logo
SoFi

Low Rates. No Fees are Required.

680

Min Credit Score

8.99-25.81%

APR. Fixed Rate

8.99-25.81%

APR. Variable Rate

$5K-$100K

Loan Amount

24 to 84 months

Repayment terms

Yes

Soft Credit Pull

Direct

Lender Type

None

Other Fees

None

Origination Fee

None

Prepayment Fee

Same-day funding if approved before 7:00 PM ET days

Funding Time

Pros & Cons

drop-down-btn
  • con-icon Personal loan application process is easy and only takes a few minutes to complete
  • con-icon Soft credit check that doesn’t affect your credit score and gives you personalized rates
  • con-icon Fixed and variable rate loans available ranging from $5,000 to $100,000
  • con-icon No late or origination fees required
  • con-icon Excellent customer support team
  • con-icon Online autopay comes with a discount on interest
  • con-icon Exclusive benefits for members (ex. networking events and access to financial advisors)
  • con-icon Unemployment Protection feature comes with a temporary payment pause (up to 12 months)
  • con-icon No prepayment penalties
  • con-icon May take up to 4 days to receive funds after approval (longer than other online lenders)
  • con-icon High eligibility requirements (ex. good credit and sufficient income)

Loan Purpose

drop-down-btn
  • Credit Card Refinance
  • Debt Consolidation
  • Home Improvement
  • Major Purchase
  • Medical Expenses
  • Relocation
  • Vacation
  • Wedding

Loan Type

drop-down-btn
  • Unsecured Personal Loans
AmOne logo image
AmOne

Personal Financial Specialist

300

Min Credit Score

3.99-35.99%

APR. Fixed Rate

3.99-35.99%

APR. Variable Rate

$1K-$50K

Loan Amount

2-7 Years

Repayment terms

No

Soft Credit Pull

Marketplace

Lender Type

None

Other Fees

Varies

Origination Fee

Varies

Prepayment Fee

2-3 Business Days on Average days

Funding Time

Pros & Cons

drop-down-btn
  • con-icon Simple online form submission
  • con-icon Access to live support
  • con-icon Get immediate detailed offers
  • con-icon Personal loans up to $50K
  • con-icon Live support is not 24/7
  • con-icon Marketplace with many lenders

Loan Purpose

drop-down-btn
  • Credit Card Refinance
  • Debt Consolidation
  • Home Improvement
  • Major Purchase
  • Medical Expenses
  • Relocation
  • Vacation
  • Wedding
  • Other

Loan Type

drop-down-btn
  • Secured Personal Loans
  • Unsecured Personal Loans
  • Fixed-Rate Personal Loans
  • Variable-Rate Personal Loans
  • Co-singer / Joint loans

What is a Credit Card Consolidation Loan?

A credit card consolidation loan is a type of personal loan used specifically to pay off multiple credit card balances. By consolidating your credit card debt into a single loan, you can simplify your payments and potentially save on interest.

Credit Card Refinance: Key Terms to Know

Here are the main things to know when taking out a credit card refinance loan:

  • Loan amount: This is how much you borrow. Ideally, it will be high enough to cover your total credit card balances.
  • Repayment term: Terms can range from a few months to several years. With a longer term, you’ll usually have smaller monthly payments. but could end up spending more on interest.
  • Lender fees: Some lenders charge additional fees, such as application, origination fees, or prepayment penalties. Some of these fees are added to the interest rate in what’s called the APR, or annual percentage rate. Calculate the interest rate and fees to ensure you’re saving money with credit card refinancing.
  • Cosigner: Some lenders let you add a cosigner to your application. A cosigner is someone who agrees to take responsibility for the loan if you default on payments. They can increase your approval odds if they have good credit and income.
  • Balance transfer: The process of moving the balance from one card to another. It’s usually done with low-interest balance transfer credit cards. Some companies will charge a balance transfer fee, which is usually a percentage of the transferred amount.

How Does Credit Card Refinancing Work?

Credit card refinancing involves transferring credit card debt to either a new card — with a much lower interest rate — or a personal loan. To do this, you’ll need to find a lender that offers these loans — or debt consolidation — for credit cards. You can then use the new loan or card to pay off your other credit cards.

Every lender has their own interest rates, repayment terms, and fees. Typically, borrowers with good credit or better will get the best rates and terms.

Done correctly, a card refinance or personal loan could help you save money on interest. It could also potentially make it easier to pay off your debts sooner. Plus, having one loan with a single monthly payment can simplify your payments.

There are three main ways to refinance your credit cards:

  • Personal loan for credit card refinancing (debt consolidation): Sometimes called a “credit card refinance loan”, these loans let you combine several debts into one loan, ideally at a lower rate. You can then make monthly payments on the new loan until the balance is gone.
  • 0% interest credit card: It’s possible to refinance credit card debt with a different credit card, ideally one with a low-interest or 0% introductory rate. You’ll need to transfer the balance from your current card to the new one. As long as you pay off the new card’s balance before the introductory period ends, you can save money on interest.
  • Negotiate with the company: In some cases, your credit card issuer may be willing to lower the interest rate on your current card.

Here’s an example of how a credit card refinancing loan might look:

Say you have three credit cards, each with 25% APR. The total balance across all three cards is $10,000. If you pay $294 a month, it will take roughly 5 years to pay them off. Your total interest charges would be around $7,610.

Now, say you qualify for a $10,000 personal loan with a 5-year term and 15% APR. Your estimated monthly payment would be $237. Your total interest payments would be about $4,273. In total, you could be saving over $3,000 in interest.

Average Credit Card Consolidation Loan Rates

If you’re looking for a personal loan to consolidate your credit card debt, here are some of the best lenders with their typical rates:

Lender*

Typical APR

Loan Term

Loan Amount

Major Fees

Recommended Minimum Credit Score

Credible

4.60% to 35.99%

24 to 84 months

$600 to $100,000

May have origination or other fees

Depends on lender

LightStream

8.49% to 24.49%

24 to 144 months

$5,000 to $100,000

No prepayment penalties

740

SoFi

8.99% to 23.43%

36 to 84 months

$5,000 to $100,000

No prepayment penalties, origination fees, or late fees

740

Bankrate

6.70% to 35.99%

12 to 84 months

$500 to $100,000

Depends on lender

640

LendingTree

6.70% to 35.99%

12 to 144 months

$1,000 to $100,000

May have origination fees

680

*Rates subject to change

Pros and Cons of Credit Card Refinancing

Refinancing your credit cards — either with a personal loan or a balance transfer credit card — comes with several advantages. However, it’s also important to consider the possible downsides of doing this.

Pros Cons
Makes it easier to pay off high-interest credit card debt Does not reduce your principal balance
Having only one loan or credit card can simplify your monthly payments, making it easier to pay them on time May come with additional fees, such as loan origination fees, late payment fees, prepayment penalties, application fees, and balance transfer fees
Potentially smaller monthly payments Transferring your credit card balances could tempt you to use the credit cards against, which could leave you with more debt
Could reduce your interest rate and save you money over time Defaulting on payments could hurt your credit score

How to Get a Personal Loan for Credit Card Refinance

The process of getting a credit card refinance loan depends on the lender, but here’s what you can typically expect:

  1. Evaluate your credit card debt: Start by adding your total debt. This will help you determine the loan amount you need. Organize your credit cards based on interest rates to determine which ones to pay off first. You can still tackle the most expensive cards if you don’t qualify for a large enough loan.
  2. Check your credit score: Your credit score will significantly influence the interest rate you're offered on a consolidation loan. Obtain a free copy of your credit report from major credit bureaus or through online platforms offering free credit score checks.
  3. Check the requirements: Many lenders want to see proof of income, employment, and credit history. For the best rates and terms, you’ll typically need good credit. Some lenders have additional criteria, so review them carefully.
  4. Compare lenders: Shop around for lenders and compare their rates, terms, and other benefits or drawbacks. See what kind of reputation they have as well.
  5. Apply: Once you find the best lender for you, complete the application. You can usually do this online. You may need to provide some personal and contact information and proof of income, assets, and liabilities. This includes bank statements, W-2s, and recent tax returns. Be prepared to provide additional information upon request.
  6. Wait for approval: Approval times vary by lender but can take several days. If approved, you can use the loan to consolidate your credit cards. This will leave you with only one loan you’ll be responsible for paying off.

Conclusion

Refinancing credit card debt can simplify payments and save money on interest by moving it to a personal loan or credit card with a lower interest rate. Consider factors such as loan amount, repayment length, fees, need for a cosigner, and balance transfers. While refinancing can make managing payments easier and save on interest, it can also involve fees and the temptation to accumulate more debt. So, before simplifying your payments, make sure that a credit card consolidation loan is exactly what will help you achieve financial freedom.