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Best Debt Consolidation Loans in New York 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 New York

To identify the best debt consolidation loan lenders in New York, MoneyGeek analyzed over 30 data points. These included APR ranges, minimum credit scores, repayment terms, loan amounts, disbursement time, origination and late fees, prepayment penalties, Better Business Bureau ratings and more.

Your financial goals will determine which lender is most appropriate for your needs. After careful analysis, MoneyGeek chose Upgrade as the best New York debt consolidation loan lender. New York's average credit score is 694, which is suitable for this lender. In contrast, Upstart is an excellent choice if you have a bad credit history.

Best Overall Debt Consolidation Loan in New York: 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

    Since its launch in 2017, Upgrade has given out more than $15 billion in loans and credit to its customers. With great customer reviews, this lender received an A+ rating from the Better Business Bureau (BBB).

    The company offers unsecured personal loans ranging from $1,000 to $50,000 with term lengths of 36 to 60 months. Upgrade's loans are disbursed as soon as the same day, making them suitable for those facing an emergency or urgent expense and needing funds immediately.

    However, its origination fees are high. Plus, its interest rates might be above average, so borrowers with excellent credit may be better off choosing another lender.

    Upgrade also has a credit monitoring and educational tool called Credit Health. It allows borrowers to monitor their credit scores and get customized tips based on their credit history.

    Pros

    • No prepayment fees
    • A+ BBB rating
    • Autopay discount
    • Same-day financing
    • Soft credit inquiry

    Cons

    • Origination fees
    • $50,000 cap on loan amount
    • No co-signers
    • 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 New York: 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

    Truist acquired LightStream in 2019 when BB&T and SunTrust merged. LightStream provides fixed-rate loans for various purposes.

    Its debt consolidation loans are particularly noteworthy. The banks offer large loans up to $100,000. In addition, they provide rate discounts when using autopay. They even have no origination, late payment or prepayment fees.

    Funds can often be transferred directly into a user's account within one business day after applicants apply through the bank's website or app. There are, however, some restrictions on the usage of funds. The funds can't be used to refinance an existing LightStream loan, pay for college or post-secondary education expenses or cash out a refinance loan.

    This lender offers low APR to borrowers with excellent credit ratings. However, those with poor credit scores could be better off with other lenders.

    Pros

    • A+ BBB rating
    • Loans of up to $100,000 offered
    • No fees of prepayment penalty
    • Joint loans available
    • Offers 0.5% point rate discount for setting up autopay

    Cons

    • Performs hard credit checks
    • No co-signers
    • Restrictions on usage of funds
    • 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 New York: 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

    Upstart was founded in 2012 and has an A+ rating from the BBB. The company offers personal loans in New York that you can use for almost anything.

    Upstart is our top pick for the best lender for those with bad credit since it accepts applicants with credit scores as low as 300 and a minimum salary of $12,000.

    The bank performs soft credit checks that won't hurt your credit score. It also provides fast personal loan processing and releases funds the next day. However, Upstart only offers a maximum loan amount of $50,000. If you need a larger amount, you may need to look elsewhere.

    Moreover, if you qualify for a personal loan through Upstart and have a poor credit rating, expect a high interest rate.

    Pros

    • Accessible to borrowers with fair credit
    • Offers prequalification with a soft credit check
    • A+ BBB rating
    • Receive funds the next day
    • No prepayment penalty

    Cons

    • May charge an origination fee
    • Maximum loanable amount is $50,000
    • Charges a late fee
    • 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 New York: 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

    Since 2011, SoFi has offered customers loans and other products. It earned an A+ rating from the BBB. MoneyGeek ranked it as the best Milwaukee lender for borrowers with good credit. You don't have to pay an origination or late fee, and you won't be penalized if you prepay.

    With a credit score of 680 or more, you can borrow up to $100,000 and receive it within two days. As a bonus, you can save money by setting up auto payments.

    In addition, the bank conducts soft credit checks, which will not affect your credit score. Furthermore, SoFi's unemployment protection program may provide some relief from your repayments if you lose your job.

    Applicants who need co-signers, do not meet the $50,000 income threshold or have a credit score below 680 may not find this lender suitable.

    Pros

    • Maximum loanable amount of up to $100,000
    • Auto payment discount of 0.25%
    • Performs soft credit inquiry without impacting your credit score
    • Joint loans available
    • No origination fee, late fee or prepayment penalty

    Cons

    • No co-signers
    • Requires minimum gross income of $50,000
    • Higher 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 New York for You

New York residents have an average personal loan debt of $17,892. Debt consolidation can merge your debts to make paying easier and help you save by obtaining a lower interest rate. If you’re interested in debt consolidation loans in New York, know that lenders will evaluate your credit score, current debts, employment, proof of income and more. In the steps below, MoneyGeek outlines how to shop around for debt consolidation lenders in New York.

1
Ask Yourself the Important Questions

Taking out a personal loan of any kind is a huge commitment, and it’s important to understand your financial situation before doing so. You should ask yourself the following questions before picking a lender and applying for a personal loan:

  • How much funding do I need?
  • What is my credit score?
  • Can I afford the monthly payment?
  • How much debt do I already have?
  • Can I manage my debts in another way?
2
Do Your Research

Lenders differ in their terms and conditions as well as their rates and fees. To determine which lender is right for you, compare multiple options before submitting a loan application. Taking out a personal loan is a big commitment since you will be paying it back over two to four years on average. Think carefully before taking out a loan. Please keep in mind that the suggestions listed here are general, so we encourage you to research your options thoroughly.

3
Wait

Trying to compare the rates and fees for several types of loans can be overwhelming. Taking your time before making a decision can be beneficial. Getting a personal loan is a huge financial decision, and you must be sure it’s the right one for you. Take the time to examine your options after you’ve done your research and ensure there are no other options to help you manage your debt.

4
Read the Fine Print

When researching debt consolidation loans in New York, people sometimes overlook important details. Along with upfront fees clearly outlined in your lender's terms and conditions, you may also discover hidden costs. Before finalizing an agreement with a company, research its fees, including prepayment penalties, late fees and origination fees. Be sure to check out interest rates as well as collateral requirements. You can save a great deal of money if you pay attention to the small details.

5
Apply

After researching, reading the fine print and waiting to make a decision, you’re ready to submit your application. You should feel confident about your choice of lender and have all the information you need to apply. A lender is typically required to verify a borrower's identity, address and income during the loan application process. Despite the convenience of applying online, you may call or visit the lender in person if you prefer.

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

If your loan application is rejected, contact the lender to find out why and determine if you can make any changes. For example, you could shorten the loan terms or lower the loan amount. You may also have the option of obtaining a cosigner or collateral-based loan if you have difficulty getting approved.

Alternatively, you may apply to a different lender if you need a loan urgently. However, it's best to wait until you've corrected whatever reason led to your application’s rejection.

Some people consider payday loans if they have been rejected by a bank or credit union. However, MoneyGeek advises against these types of loans because they have high interest rates and can lead to additional debt.

Calculate Your Monthly Payment

Borrowers usually pay off debt consolidation loans in monthly installments with interest. Use MoneyGeek’s debt consolidation loan calculator below to help you determine if you’re able to cover this expense each month.

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 New York

When it comes to debt consolidation, a good way to start is by assessing your financial standing. MoneyGeek answered some of the most commonly asked questions about debt consolidation loans in New York.

What is the best debt consolidation loan lender in New York?
Which lender in New York has the lowest interest rates for debt consolidation?
What kind of debts can I not use my debt consolidation loan for in New York?
How much debt can I consolidate in New York?
How long does it take to get a debt consolidation loan in New York?
Can I pay off my loan early in New York?
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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
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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