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Best Debt Consolidation Loan Lenders in Arkansas

A debt consolidation loan can help you consolidate your existing debts into a single loan, lowering your monthly payment. Depending on your credit score, you may also qualify for a lower interest rate. In Arkansa, the average personal loan is $20,001 and lenders charge an average interest rate of 10.01%.

When you apply for a loan, lenders evaluate your credit score, income details and other important factors to assess your ability to repay it. In this guide, MoneyGeek researched the lenders which offer the best debt consolidation loans in Arkansas based on your needs.

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Last Updated: 9/9/2022
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Best Debt Consolidation Loan Lenders in Arkansas

MoneyGeek analyzed the best lenders offering loans for debt consolidation in Arkansas based on 30+ data points, including APR ranges, minimum credit score, loan amounts, fees, funds disbursement time and other essential factors.

Based on our analysis, Upgrade offers the best debt consolidation loans in Arkansas, while LightStream is the second-best provider in the state. For borrowers with a bad credit history, Upstart is the best option. If you have a good credit score, SoFi will suit you best.

Best Overall Debt Consolidation Loan in Arkansas: 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

    on Upgrade Website

Runner-Up for Best Debt Consolidation Loan in Arkansas: 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

    on LightStream Website

Best Debt Consolidation Loan for Bad Credit in Arkansas: 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

    on Upstart Website

Best Debt Consolidation Loan for Good Credit in Arkansas: 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

    on SoFi Website

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

MoneyGeek's data shows that the average credit score in Arkansas is 690, so most people in the state will be able to qualify for a debt consolidation loan. While it's important to consider factors like your credit score and the lender's requirements, you should also know how much funding you'll need. A debt consolidation loan can help you lower your monthly payments and may also help you pay off your loan early. However, such a loan won't be beneficial if you don't qualify for a lower interest rate. If you've decided to apply for a debt consolidation loan, we recommend following these steps:

1

Ask Yourself the Important Questions

Before researching different lenders offering debt consolidation loans, it’s essential to consider your financial needs and the lender’s credit score requirements. MoneyGeek recommends asking yourself the following questions before proceeding:

  • 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

Once you’ve decided how much funds you need, you can start shopping around and comparing the rates of different lenders. Since a debt consolidation loan is a long-term commitment and involves hard credit checks, it’s important to do your research and explore all your options. MoneyGeek’s guide is a great place to start, but you should complete your own research to find the best lender for you.

3

Wait

After you’ve finalized a lender, it’s best to wait a few days before applying for a loan. During this period, you can research the lender’s customer service and general reputation. You can also explore other options to meet your financial needs.

4

Read the Fine Print

Reading the fine print of your loan agreement is very important because it could help you identify hidden fees like prepayment penalties, origination or those for late payments.

5

Apply

Once you’ve read the fine print and understand the lender’s fees, you can apply for a loan. At this stage, the lender may ask you for identification documents, income details and other financial and personal information. While it’s easy to apply online, you can also visit the lender to apply for a loan.

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

If your loan application is rejected, you should reach out to the lender to find out why it was denied. Lenders can reject loan applications for various reasons, including low credit scores, high debt-to-income ratios, unstable employment, insufficient income or an incomplete application.

After you find out why your application was rejected, you can work on improving your application prior to reapplying. For instance, if the lender did not approve your loan due to a low credit score, you can get a credit card to rebuild your credit history. While applying with a different lender may be tempting, you’re unlikely to get approval without improving the factor that caused you to be denied in the first place.

Some borrowers may think about opting for a payday loan. However, MoneyGeek strongly recommends against this as such loans have a very high APR and short repayment terms, resulting in more debt.

Calculate Your Monthly Payment

A personal loan is generally repaid in monthly installments, including interest. That’s why it’s essential to analyze your financial situation and estimate if you can afford the monthly payments. MoneyGeek’s personal loan calculator can help you determine your capacity to make monthly payments on a new 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 Arkansas

In Arkansas, the best debt consolidation loan will depend on your financial needs, credit score, income level and other important factors. MoneyGeek researched the following frequently asked questions to help you understand debt consolidation loans work in this state.

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METHODOLOGY

MoneyGeek reviewed over 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 ranges, available loan amount, minimum credit score, minimum income amount, application fees 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

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.