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Best Debt Consolidation Loans in Arizona of 2024

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Updated: December 28, 2023

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WHAT WE’RE GEEKING OUT ON

Best Debt Consolidation Loan Lenders in Arizona

MoneyGeek analyzed different lenders offering debt consolidation loans in Arizona based on 30+ data points, including APR ranges, minimum credit scores, fees, loan amounts, disbursement times and more. Our analysis will help you find the lender that’s the best fit for your needs.

We found that Upgrade provides the best debt consolidation loans in Arizona, while LightStream is the runner-up. Upstart’s loans will suit you best if you have a bad credit score. For borrowers with a good credit history, SoFi would be the ideal option.

Best Overall Debt Consolidation Loan in Arizona: Upgrade


  • Upgrade
    • 5.94% to 35.47%APR Range
    • 560Minimum Credit Score
    • $1,000 to $50,000Loan Amount Range
    • 36 to 60 monthsRepayment Terms
    • Same DayTime to Receive Funds

    MoneyGeek found Upgrade to be the best lender for debt consolidation loans in Arizona. The lender was established in 2017 and provides many financial products, including credit cards, rewards checking accounts and more. Since 2017, it has served over 15 million customers.

    Upgrade's APR ranges from 5.94% to 35.47%. You can qualify for a better rate with a good credit score. It doesn't charge a prepayment penalty, which means you can pay off your loan early without any extra payment. The lender also offers direct payment to creditors, making it easy for borrowers to pay off their loans.

    However, Upgrade's loans come with origination and late payment fees. That's why it might not be the best option if you're looking for a lender that doesn't charge fees.

    Pros

    • Disburses funds quickly
    • No prepayment penalty
    • Performs soft credit check first
    • Direct payment to creditors

    Cons

    • Late payment fee
    • High origination fee
    • High APR
    • 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
    Upgrade

Runner-Up for Best Debt Consolidation Loan in Arizona: LightStream


  • LightStream
    • 4.49% to 20.49%APR Range
    • 660Minimum Credit Score
    • $5,000 to $100,000Loan Amount Range
    • 24 to 84 monthsRepayment Terms
    • Same DayTime to Receive Funds

    MoneyGeek’s research shows LightStream is the runner-up for debt consolidation loans in Arizona. It’s the online lending platform of Truist, which was established as a result of the merger between SunTrust and BB&T. LightStream offers debt consolidation loans, home improvement loans, recreation loans and more.

    LightStream’s APR starts at 4.49%, which is a reasonable rate compared to other lenders in Arizona. It doesn’t charge prepayment, origination or late payment fees. Once the lender approves your loan, you might receive the funds on the same day. With a maximum loan amount of $100,000, LightStream is ideal if you want to settle large debts.

    However, it doesn’t offer online prequalification, making it a subpar option for borrowers who want to check their rates online before applying.

    Pros

    • Provides funding on the same day
    • No prepayment fees
    • Low interest rates
    • Doesn’t charge late payment or origination fees
    • Maximum loan amount of $100,000

    Cons

    • Doesn’t offer online prequalification
    • Restricts how funds can be used
    • APR range: 4.49%–20.49%
    • Minimum/maximum loan amount: $5,000–$100,000
    • Minimum credit requirements: 660
    • Repayment terms: 24–84 months
    • Time to receive funds: Same day
    LightStream

Best Debt Consolidation Loan for Bad Credit in Arizona: Upstart


  • Upstart
    • 3.22% to 35.99%APR Range
    • 300Minimum Credit Score
    • $1,000 to $50,000Loan Amount Range
    • 36 to 60 monthsRepayment Terms
    • Next DayTime to Receive Funds

    MoneyGeek picked Upstart as the best lender for borrowers with a bad credit score looking for debt consolidation loans in Arizona. It’s an AI-based lending platform that uses tools beyond traditional credit verification to analyze if an individual will be able to repay the loan.

    Upstart permits borrowers to check their rates online without negatively affecting their credit scores. When you apply for a loan, it analyzes various factors to evaluate if you’ll repay it easily. These factors include your credit score, income details, education and employment history, etc. Once Upstart approves the loan, most borrowers receive the funds in one business day.

    However, since Upstart charges origination fees and has limited loan repayment terms, it’s best to explore other options if you have a good credit score. For those of you with poor credit, Upstart accepts applicants with a score as low as 300.

    Pros

    • Conducts soft credit inquiry first
    • No prepayment penalty
    • Offers funding in one business day
    • Flexible loan amounts

    Cons

    • Charges origination fees
    • Limited loan repayment terms
    • 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
    Upstart

Best Debt Consolidation Loan for Good Credit in Arizona: SoFi


  • SoFi
    • 5.74% to 20.28%APR Range
    • 680Minimum Credit Score
    • $5,000 to $100,000Loan Amount Range
    • 12 to 60 monthsRepayment Terms
    • Two DaysTime to Receive Funds

    SoFi, also known as Social Finance, will be the ideal lender for you if you have a strong credit history and are looking to consolidate high-interest debt. It was founded by Stanford Business students in 2011 and started offering personal loans in 2015.

    SoFi doesn’t charge application, origination or prepayment fees, making it a good option for borrowers looking to avoid added expenses. As the lender conducts a soft credit inquiry first, checking your rate on its website doesn’t hurt your credit score. If you want to consolidate large debts, SoFi is a good option as it provides a maximum loan of $100,000.

    Pros

    • Doesn’t charge application, origination or prepayment fees
    • Provides a 0.25% autopay discount
    • Performs soft credit inquiry first
    • Has a mobile app
    • Offers direct payment to creditors

    Cons

    • Doesn’t allow co-signers
    • High minimum loan amount
    • High minimum credit score requirement
    • 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
    SoFi

How to Choose the Best Debt Consolidation Loan in Arizona for You

MoneyGeek’s data shows Arizona’s residents have an average credit score of 714. Besides your credit score, it’s also important to consider other financial factors like your income level and previous debts before applying for a loan. While a debt consolidation loan can help you lower your monthly payments, it may not be a good option if you don’t qualify for a lower interest rate.

If you want to choose the best lender for debt consolidation in Arizona, we recommend following these steps.

1
Ask Yourself the Important Questions

Analyzing your financial needs is essential to choosing the best lender. It’s good to know how much funding you need and the lender’s requirements, as it’ll help you save money and extra effort. MoneyGeek recommends asking yourself the following questions before applying for a loan:

  • How much funding do you need?
  • What’s your credit score?
  • Can you afford the monthly payments?
  • Do you have existing debts?
  • Is your debt manageable through other means?
2
Do Your Research

Before you finalize a lender, it’s best to do your research, shop around and compare the rates of different lenders. It’ll help you give a clear idea of what features you are looking for and which lender will suit you best. Conducting thorough research is essential, as a debt consolidation loan is a long-term commitment and involves a hard credit inquiry that can hurt your credit score. While MoneyGeek has provided you with comparisons of various lenders and other resources, it would help if you also researched them yourself, as our recommendations may not be ideal for you.

3
Wait

If you have found a lender that offers the best loan based on your needs, you should wait a few days before applying. You can research the lender’s customer service ratings and general reputation during this period. It would also be best to explore other means to meet your financial needs.

4
Read the Fine Print

It’s important to look at the lender’s loan agreement and read the fine print. It can help you understand the different fees charged by the lender and if there are any other hidden charges. See if the lender has application, origination or prepayment fees. Understanding the fine print can help you save a lot of money in the long run.

5
Apply

Once you’ve read the lender’s fine print, you can apply for a debt consolidation loan. At this stage, the lender may ask you for identification documents, income details and other financial information. While it’s easy to apply online, you can also visit the lender to apply if that seems more comfortable.

What to Do if You Can’t Get a Debt Consolidation Loan in Arizona

It’s not guaranteed that the lender will approve your debt consolidation loan after applying. Sometimes, lenders reject loan applications for various reasons, including a low credit score, insufficient income, incomplete application or a high debt-to-income ratio.

Once the lender lets you know about the rejection, you can ask them to inform you about the factor that caused the denial. You can then improve that factor and apply for the loan again. For instance, if the lender rejected your loan application due to a low credit score, you can get a credit card that helps you rebuild your credit history and then apply again. You can also change the loan amount or repayment term to see if it increases approval odds. While it may be tempting to re-apply with a different lender, you’re less likely to get approval without improving the factor which caused the denial in the first place.

You might also be thinking about getting a payday loan. However, MoneyGeek strongly recommends against it, as such loans have a very high APR and short repayment terms, often resulting in more debt.

Calculate Your Monthly Payment

A personal loan generally has to be repaid by the borrower in monthly installments, including interest. That’s why estimating whether you can afford a monthly payment before you get a new loan is essential. MoneyGeek’s loan calculator will help you understand if you can easily repay a debt consolidation loan.

years
months
%
Principal
+ $114.98
Interest
+ $8.33
Origination Fee Percentage
+
%
Origination Fee Fixed amount
+
Total monthly Payment
$123.31

FAQs About Debt Consolidation Loans in Arizona

The best debt consolidation lender will depend on your financial needs and various other factors. MoneyGeek researched the following frequently asked questions about debt consolidation in Arizona to help you understand how it works in the state.

What is the best debt consolidation loan lender in Arizona?

We found that Upgrade provides the best debt consolidation loans in Arizona, while LightStream is the runner-up. Upstart’s loans will suit you best if you have a bad credit score. For borrowers with a good credit history, SoFi would be the ideal option.

Which lender in Arizona has the lowest interest rate for debt consolidation?

MoneyGeek’s research shows Upstart has the lowest interest rates in Arizona. It charges an APR starting at 3.22% for well-qualified borrowers.

What kind of debts can I not use my debt consolidation loan for in Arizona?

Most lenders in Arizona prohibit the use of loan funds for paying off student loans, along with paying for gambling debts and illegal activities. It would be best to contact your lender to understand what other restrictions they have on the usage of funds.

How much debt can I consolidate in Arizona?

The maximum loan amount is different for every lender. In Arizona, you can get a maximum loan of $100,000 for debt consolidation.

How long does it take to get a debt consolidation loan in Arizona?

Some lenders in Arizona offer same-day funding, while it can generally take up to seven days to receive the funds in your account with other lenders.

Can I pay off my loan early in Arizona?

Yes, it’s possible to pay off your loan early in Arizona. However, some lenders may charge you a prepayment penalty. It’s best to contact your lender and ask if they have any prepayment fees.

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METHODOLOGY

MoneyGeek reviewed more than 30 personal loan lenders using at least 35 individual data points across six key categories: loan affordability, accessibility, consumer friendliness, customer service, flexibility and lender transparency.

Within each ranking category, we considered several individual data points that we feel carry the most weight when choosing a personal loan lender. These factors include APR range, available loan amount, minimum credit score, minimum income amount, application fee and disbursement time.

Here at MoneyGeek, we value you, the consumer, so we also factor in each lender’s customer support, business ratings and additional features that could make your experience easier and more accessible — like prequalification, payment options and mobile apps.

After careful consideration and calculation, our picks are chosen with your best interests in mind. Our personal loan recommendations and expert tips are meant to help you make smart financial decisions when choosing a lender that meets your needs.

sources
Shield Insurance

The content on this page is accurate as of the posting/last updated date; however, some of the rates mentioned may have changed. We recommend visiting the lender's website for the most up-to-date information available.

Editorial Disclosure: Opinions, reviews, analyses and recommendations are the author’s alone and have not been reviewed, endorsed or approved by any bank, lender or other entity. Learn more about our editorial policies and expert editorial team.

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