Best Debt Consolidation Loans in Alabama of 2023

MoneyGeek identified Upgrade as the lender offering the best debt consolidation loans in Alabama. The company was launched in 2017 to offer lending solutions to customers in 50 states.

With Upgrade, you can streamline multiple payments into a monthly payment that’s easy to manage and pay off. It offers debt consolidation loans ranging from $1,000 to $50,000, and interest rates between 5.94% and 35.47%. If you need a larger loan to consolidate debt, this lender may not be for you.

While Upgrade doesn’t have prepayment penalties, it charges a 2.9% to 8% origination fee and late fee of up to $10. To qualify for an Upgrade debt consolidation loan, you need a credit score of 560. Once approved, you may get your funds on the same day.

Pros

• No prepayment penalty
• Fair credit score requirement
• Conducts soft credit inquiry
• Same-day funding

• APR range: 5.94%–35.47%
• Minimum/maximum loan amount: $1,000–$50,000
• Minimum credit requirements: 560
• Repayment terms: 36–60 months
• Time to receive funds: Same day

For debt consolidation loans, Truist is the second-best loan lender in Alabama. The company was formed after BB&T and SunTrust merged in 2019. As of June 2021, it ranks as the 10th-largest bank in the U.S., with $509 billion in assets.

Truist allows you to borrow as little as $3,500 and as high as $50,000, with repayment options ranging from six months to five years. It doesn’t charge origination fees and prepayment penalties. Note, however, that Truist offers APR rates starting at 8.14%.

Truist doesn’t require a minimum credit score, so Alabama residents shouldn’t have a problem getting approved as long as they’re qualified. Plus, you can get your funding as early as the next day, which is ideal if you intend to use your loan for emergencies.

Pros

• No origination fee
• No prepayment penalty
• No minimum credit score requirement
• Next-day funding

• APR range: 8.14%–18.99%
• Minimum/maximum loan amount: $3,500–$50,000
• Minimum credit requirements: None
• Repayment terms: Six–60 months
• Time to receive funds: Next day

Upstart is the best option for Alabama residents who want to take out a personal loan and have bad credit. It only requires a minimum credit score of 300, which is among the lowest available. Additionally, it conducts soft credit inquiries so as to not hurt your credit score.

Borrowers can get loans ranging from $1,000 to $50,000 from Upstart. This lender isn’t ideal for your needs if you’re looking for a larger loan. It’s also not an option for those who don’t want to pay origination fees.

Upstart is an artificial intelligence (AI) lending platform launched in 2012. To date, it has originated $25.4 billion in loans.

Pros

• Low credit score requirement
• No prepayment penalty
• Conducts soft credit checks
• Next-day funding

• APR range: 3.22%–35.99%
• Minimum/maximum loan amount: $1,000–$50,000
• Minimum credit requirements: 300
• Repayment terms: 36–60 months
• Time to receive funds: Next day

With SoFi, you can take out loans from $5,000 to $100,000. They don’t come with origination fee, prepayment penalty and late fee. You can also get a 0.25% discount for setting up automatic payments.

To qualify for a SoFi loan, you need a credit score of at least 680. You must also be employed or have an offer of employment to start within the next 90 days. This lender may not be the best option for you if you can’t meet these requirements.

It’s worth noting that SoFi has an unemployment protection program, which allows you to temporarily modify your payments if you get laid off. This company has been around since 2011 to offer consumers various financial products, including personal loans.

Pros

• 0.25% autopay discount
• No origination fee
• No prepayment penalty
• No late fee
• Conducts soft credit pulls

• APR range: 5.74%–20.28%
• Minimum/maximum loan amount: $5,000–$100,000
• Minimum credit requirements: 680
• Repayment terms: 12–60 months
• Time to receive funds: Two days