Best Debt Consolidation Loans in Louisiana 2024

fact checked icon

Updated: October 23, 2024

Advertising & Editorial Disclosure

Debt consolidation loans are unsecured personal loans that are used as part of a debt repayment strategy. It's a popular way to streamline and pay off debts you currently owe — like credit card or student loan debt — at a lower interest rate than what you're currently paying.

MoneyGeek analyzed 24 lenders and found PenFed to be the top choice for debt consolidation loans in Louisiana, scoring 96 out of 100. Although PenFed stands out in our analysis, you may also want to contact local lending options like Lousiana Federal Credit Union and Heart of Louisiana Credit Union to see if they fit your borrowing needs.

MoneyGeek Logo IconBest Loans forConsolidationLouisiana
2024

Best Debt Consolidation Loans in Louisiana

Best Overall - PenFed
Runner-Up - Alliant Credit Union
Best for Affordability - Wells Fargo
Best for Large Loans - PNC
Best for Fast Funding - Rocket Loans

Overall Best Debt Consolidation Loan Lender in Louisiana

Company logo for PenFed
PenFed
MoneyGeek Score:
96/ of 100
APR Range8.99% to 17.99%
Loan Amount RangeUp to $50,000
Repayment TermsUp to 60 months
Time to Receive Funds1 to 2 Business Days
Overview

PenFed offers the best debt consolidation loan in Louisiana with a MoneyGeek score of 96 out of 100. Several features contribute to an ideal debt consolidation loan lender, such as competitive rates, how much you can borrow, how quickly you can get your funds, the quality of service it provides and its reputation.

PenFed's APR range of 8.99% to 17.99% can help borrowers find affordable rates. Its loan amount range of up to $50,000 allows for significant debt consolidation. Additionally, receiving funds within 1 to 2 business days ensures quick access to the needed money.

Runner-Up for Best Debt Consolidation Loan in Louisiana

Company logo for Alliant Credit Union
Alliant Credit Union
MoneyGeek Score:
96/ of 100
APR RangeFrom 10.49%
Loan Amount Range$1,000 to $100,​​​​​000
Repayment Terms12 to 60 months
Time to Receive FundsSame Day
Overview

Alliant Credit Union is another solid option for a debt consolidation loan in Louisiana, with a MoneyGeek score of 96 out of 100. One of its key benefits is the low APR, starting from 10.49%, which can help you save money on interest payments over time.

Another advantage is the high loan amount range, from $1,000 to $100,000, allowing you to consolidate multiple debts into one manageable payment. Additionally, the flexible repayment terms of 12 to 60 months give you the ability to choose a repayment plan that fits your budget and financial goals.

Best Debt Consolidation Loan in Louisiana for Affordability

Company logo for Wells Fargo
Wells Fargo
MoneyGeek Score:
94/ of 100
APR Range7.49% to 24.99%
Loan Amount Range$3,000 to $100,000
Repayment Terms12 to 84 months
Time to Receive Funds1 to 3 Business Days
Overview

Wells Fargo offers the best debt consolidation loan in Louisiana for borrowers who prioritize affordability, with a MoneyGeek score of 94 out of 100. Its APR ranges from 7.49% to 24.99%, and it provides loan amounts from $3,000 to $100,000 with repayment terms of 12 to 84 months.

Affordability isn't just about interest rates. Wells Fargo has no origination fees and offers rate discounts. For example, a borrower can benefit from quick fund disbursement, receiving funds in one to three business days, and flexible repayment terms that can be tailored to fit their budget.

Best Debt Consolidation Loan in Louisiana for Large Loan Amounts

Company logo for PNC
PNC
MoneyGeek Score:
96/ of 100
APR RangeUp to 24.99%
Loan Amount Range$1,000 to $35,000
Repayment Terms6 to 60 months
Time to Receive Funds3 Business Days
Overview

PNC offers the best debt consolidation loan in Louisiana for borrowers who need a large loan amount or longer repayment terms. It has a MoneyGeek score of 96 out of 100. PNC provides loan amounts ranging from $1,000 to $35,000 and repayment terms between six to 60 months.

One benefit is its flexible repayment terms. For example, a borrower consolidating multiple debts can choose a longer repayment period to reduce monthly payments. Another advantage is the high loan amount, allowing a borrower to consolidate larger debts into a single loan, simplifying their financial management.

Best Debt Consolidation Loan in Louisiana for Fast Funding

Company logo for Rocket Loans
Rocket Loans
MoneyGeek Score:
95/ of 100
APR Range9.116% to 29.99%
Loan Amount Range$2,000 to $45,000
Repayment Terms36 or 60 months
Time to Receive FundsSame Day
Overview

Rocket Loans offers the best debt consolidation loan in Louisiana for borrowers who need funds quickly, with a MoneyGeek score of 95 out of 100. You can receive funds the same day, making it an excellent choice for urgent financial needs.

One feature of Rocket Loans is its fast approval process. This means you can consolidate your debts without waiting for days or weeks, helping you manage your finances more efficiently. Another feature is its flexible loan terms, allowing you to choose a repayment plan that fits your budget, whether you need a shorter or longer term.

Should You Get a Loan to Consolidate Debt in Louisiana?

Using a debt consolidation loan in Louisiana can simplify your finances by merging multiple payments into one. But this may not be the best option if the new loan's interest rate is higher than your current debts. Always consider your specific situation before deciding.

    carInsurance icon

    Good Credit

    Having good credit can qualify you for better terms on a debt consolidation loan in Louisiana, affecting interest rates and monthly payments.

    uninsured icon

    High-Interest Debt

    If you have high-interest debt, a debt consolidation loan in Louisiana can lower your interest rates. For example, reducing from 20% to 10%.

    calendar icon

    Multiple Payments

    Combining several monthly payments into one with a debt consolidation loan in Louisiana simplifies financial management. One payment is easier to track than several.

    securePayment icon

    Lower Monthly Payments

    A debt consolidation loan in Louisiana can lower your monthly payments. For example, reducing from $500 to $300 per month.

When You Shouldn't Get a Debt Consolidation Loan

  • When your new monthly payment is higher: A higher monthly payment can strain your budget further, leading to more financial stress rather than relief.
  • When you can pay off debt in a year: If you can clear your debt within a year, a consolidation loan might not be necessary. Short-term sacrifices could save you interest.
  • When your income is unstable: Unpredictable income makes it hard to commit to fixed monthly payments. This could lead to missed payments and additional fees.
  • When your DTI ratio is high: A high debt-to-income ratio can result in loan denial or unfavorable terms. Improving your DTI before applying for a debt consolidation loan in Louisiana is a better strategy.

How to Get a Debt Consolidation Loan in Louisiana

The average amount of personal debt in Louisiana is $80,616, compared to the overall average debt for Americans, which is $104,215. In Louisiana, the average monthly debt translates to around $6,718.

Using a personal loan to consolidate debt in Louisiana can simplify your payments and potentially lower your interest rates. Going into the process blindly can lead to higher interest rates and damage your credit score. To avoid these risks, follow these steps to apply for a debt consolidation loan.

1
Review your debts and credit score.

Account for your existing debts to see which ones to consolidate, like credit card debt. Choosing the wrong debts can lead to higher interest rates. Check your credit scores and improve your credit score by paying bills on time and reducing balances.

2
Compare loan terms from lenders.

Compare loan terms from multiple lenders. Contact lenders to ensure you can use the loan for debt consolidation. Look at APRs, loan limits, and how soon you can receive the funds.

3
Check for extra benefits.

Some lenders offer added features that benefit you long-term. For example, in Louisiana, Lightstream and SoFi offer rate discounts.

4
Watch out for fees and penalties.

Some lender features can be drawbacks. In Louisiana, OneMain Financial charges an origination fee and Lending Club charges a late fee. These fees can impact your short- and long-term finances.

5
Get prequalified.

Prequalification helps borrowers understand their loan eligibility without affecting their credit score. Learn more about prequalification and how a soft credit check works.

6
Complete your loan application.

Complete your loan application by preparing necessary documents like proof of income and identification. This makes the process faster and smoother.

mglogo icon
WHAT TO DO IF YOU'RE DENIED A DEBT CONSOLIDATION LOAN IN LOUISIANA

Lenders might deny your loan application if you have a poor credit score or a high debt-to-income ratio. Before applying for a debt consolidation loan in Louisiana, check your credit report for errors and work on reducing your debt-to-income ratio.

You can also consider reaching out to some credit counseling agencies to help you manage your debts better. Another option is to use a 0% APR balance transfer credit card. This allows you to transfer high-interest debt to a card with no interest for a promotional period, potentially saving you money on interest payments.

Local Lenders for Debt Consolidation Loans in Louisiana

One reason people consider debt consolidation is to benefit from lower interest rates. The average APRs you can qualify for can vary between cities. For example, in Baton Rouge, the average APR is 10.2%.

Another option to find the best debt consolidation loan in Louisiana is to consider other local lenders. Below is a table of local lenders to help you find the best rates.

Baton Rouge Telco Federal Credit UnionBaton RougeFrom 9.99%Up to 60 months$500 to $30,00097
LES Federal Credit UnionBaton RougeFrom 9.25%Up to 60 monthsUndisclosed94
Essential Federal Credit UnionBaton RougeFrom 9.95%6 to 60 monthsUndisclosed92
Baton Rouge City Parish Employees' Federal Credit UnionBaton RougeFrom 10.15%Up to 60 monthsUp to $20,00092
Neighbors Federal Credit UnionBaton RougeFrom 11.80%Up to 60 monthsUndisclosed92

FAQ: Debt Consolidation Loans in Louisiana

We addressed common questions borrowers have about debt consolidation loans in Louisiana to help you understand how debt consolidation can simplify your finances.

What is a debt consolidation loan in Louisiana?
What's the best debt consolidation loan lender in Louisiana?
Can I get a debt consolidation loan in Louisiana if I have bad credit?
Can a credit counseling agency in Louisiana help manage debt?
When should I get a debt consolidation loan in Louisiana?

MoneyGeek analyzed 24 national lenders licensed to do business in Louisiana, based on a rubric that includes APR ranges, loan amounts and repayment terms, among other key areas. We use a point-based system and assign scores according to the presence or absence of desirable features in various important categories.

We score lenders differently when recommending the best for affordability, loan amounts and fast funding.

recency icon

We conducted our analysis in September 2024.

24Lenders Analyzed

About Zachary Romeo, CBCA

Zachary Romeo, CBCA headshot

Zachary Romeo is a certified Commercial Banking and Credit Analyst (CBCA), and the Head of Loans and Banking at MoneyGeek. Previously, he led production teams for some of the largest online informational resources in higher education, with over 13 years of experience in editorial production.

Romeo has a bachelor's degree in biological engineering from Cornell University. He geeks out on minimizing personal debt and helping others do the same through people-first content.

Read Full Bio »
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.

Insurance
Mortgage
Credit Cards
Loans
About MoneyGeekPressPrivacy PolicySitemap
Copyright © 2024 MoneyGeek.com. All Rights Reserved Terms of Use