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Best Debt Consolidation Loans in Tennessee 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 Tennessee

To help borrowers find the best debt consolidation loans in Tennessee, MoneyGeek analyzed over 30 data points. The data includes APRs, credit score requirements, origination fees, loan amounts, repayment and disbursement periods, prepayment penalties, Better Business Bureau scores and more.

The right lender for your needs will vary based on your financial objectives. For instance, Upgrade ranked the best overall for debt consolidation. However, if you have bad credit, the best lender is Upstart.

Best Overall Debt Consolidation Loan in Tennessee: 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

    According to MoneyGeek’s research, Upgrade is the overall best debt consolidation loan lender in Tennessee. Established in 2017, the company provides loans to millions of customers with a minimum credit score of 560. Customers may borrow a minimum of $1,000 and a maximum of $50,000.

    Upgrade charges interest rates between 5.94% and $35.47% on debt consolidation loans. After completing the application process, borrowers receive the funds within the same day. The lender does not charge any penalties on early payments. However, you could pay up to 8% in origination fees.

    Additionally, Upgrade might not be the best option for borrowers who want a co-signer.

    Pros

    • A+ BBB rating
    • Get funding on the same day
    • No prepayment fees
    • Autopay discount
    • Soft credit inquiry

    Cons

    • Origination fees
    • No co-signers
    • $50,000 maximum loan amount
    • 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 Tennessee: Truist


  • Truist
    • 8.14% to 18.99%APR Range
    • NoneMinimum Credit Score
    • $3,500 to $50,000Loan Amount Range
    • 6 to 60 monthsRepayment Terms
    • Next DayTime to Receive Funds

    Truist is MoneyGeek’s second-best debt consolidation lender in Tennessee and one of the top 10 commercial banks in the United States. The lender was established in 2019 after a merger between BB&T and Suntrust Banks.

    Borrowers who choose Truist receive debt consolidation loans ranging from $3,500 to $50,000, repayable in six to 60 months at interest rates starting from 8.14%. The lender disburses funds in one day.

    Truist also owns LightStream, an online lending division that provides additional unsecured loan options with higher limits. One downside of the lender is that it does not disclose pre-qualification requirements online.

    The lender does have restrictions on fund usage, so make sure these limitations don’t impact your plans for your loan before applying with this company.

    Pros

    • No origination or late fees
    • A+ BBB rating
    • Get funding the next day
    • No prepayment penalties
    • Autopay discount

    Cons

    • No co-signers
    • Hard credit inquiry
    • Restrictions on fund usage
    • 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
    Truist

Best Debt Consolidation Loan for Bad Credit in Tennessee: 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’s platform utilizes artificial intelligence to provide loans to borrowers, including debt consolidation loans. MoneyGeek ranked Upstart as the top lender for individuals with bad credit.

    Founded in 2012, Upstart doesn’t focus heavily on your credit score but instead looks at other factors like your income. To qualify for a loan, you need a minimum credit score of 300, which is fair compared to most companies.

    Borrowers receive a maximum of $50,000 at a starting interest of 3.22%, and the funds get disbursed within the next day. Upstart also conducts an initial soft credit check that does not affect your score negatively.

    While the lender offers one of the best APRs, there is a possibility of paying high origination fees, and the loan amount depends on various factors, including your income.

    Pros

    • Lower minimum credit score requirement
    • Next day funding
    • A+ BBB rating
    • Conducts soft credit inquiry
    • No prepayment penalties

    Cons

    • Potentially high origination fee
    • Maximum amount of $50,000
    • Late fees
    • 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 Tennessee: 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 has been in operation since 2011, offering personal loans to customers with a minimum credit score of 680. Based on MoneyGeek, SoFi is the best lender for Tennessee debt consolidation.

    SoFi allows customers to borrow between $5,000 and $100,000. The repayment terms include an interest rate of 5.74% to 20.28% and a duration of one to five years.

    When processing your loan application, SoFi conducts a soft inquiry to ensure your score isn’t affected. Borrowers who lose their jobs while repaying their loans can postpone their payments in three-month increments through the lender’s unemployment protection option.

    SoFi disburses debt consolidation loan funds within two days. However, the insurer may not be ideal for individuals with a bad credit rating or those who need cosigners on their applications.

    Pros

    • High maximum loan amount
    • Offers loss of employment protection
    • No origination, prepayment or application fees
    • 0.25% auto payment discount
    • A+ BBB rating

    Cons

    • High credit score requirement
    • No co-signers
    • High income 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 Tennessee for You

Tennessee has an average personal loan debt of $25,174 and an average credit card debt of $5,234. A debt consolidation loan allows you to combine all your debts into one, making the repayment process easier. Before providing you with a debt consolidation loan in Tennessee, lenders will consider various factors. MoneyGeek outlined the process for applying for a debt consolidation loan in Tennessee below.

1
Ask Yourself the Important Questions

Start by reviewing your current financial situation and determining whether debt consolidation is the best way to make repayments. You may identify the best debt consolidation product and lender by answering the following questions:

  • How much funding do you need?
  • What is your credit score?
  • Can you afford the monthly payment?
  • How much debt do you already have?
  • Is your debt manageable through other means?
2
Do Your Research

Before submitting your loan application, it is essential to compare the terms offered by lenders. Note that a debt consolidation loan is a long-term financial commitment, and it may take an average of two to four years to complete the repayment. Some lenders offer favorable terms such as soft credit inquiries, longer repayment periods and discounts, while others don’t. You need to understand every aspect of your loan before applying. While MoneyGeek’s analysis provides the necessary information about the best debt consolidation lenders in Tennessee, conducting personal research can help you identify better options not listed in our study.

3
Wait

Once you choose a preferred lender, you should wait for a few days before completing the application process. Repaying a debt consolidation loan requires tremendous commitment, and you want to be sure that you are making the best financial decision for your situation.

4
Read the Fine Print

Every detail of your debt consolidation loan is vital, no matter how small. MoneyGeek recommends that borrowers go through the lender’s fine print, reviewing details like the interests, fees, repayment terms and discounts. For instance, some lenders usually charge prepayment penalties and origination fees, which may increase your monthly payments by a small percentage. By reading the fine print, you can avoid these fees and save money.

5
Apply

If you are happy with the lender and the terms stipulated in the debt consolidation loan offer, you can proceed with the application. Most lenders will ask for your personal, contact and financial information during the first stages of the process. Ensure you have all the necessary details on hand to avoid wasting time. While most companies allow you to complete the application process online, you may also do so over the phone or by visiting the lender’s office if they offer those options.

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

Personal loan applications may get rejected for various reasons, including a low credit score or income level, missing credit history or incomplete applicant information. When this happens, the best next step is to determine what triggered the lender’s decision.

Typically, most lenders will provide information about why your application was declined. Go through this feedback to determine which areas need improvement. You may also need to reach out to the lender for more clarification in order to prevent other rejections in the future.

You can resubmit your application if the cause is an issue with your application, such as requiring a longer repayment term or providing incomplete information. However, if your denial was due to a low credit score or income level, you may need to improve these factors before considering another loan.

While you may consider payday loans, MoneyGeek strongly discourages borrowers from this option since you will pay high interest rates. The loans also feature shorter repayment terms.

Calculate Your Monthly Payment

After receiving your debt consolidation loan, you will make repayments in monthly installments with interest. The following debt consolidation loan calculator from MoneyGeek can help you determine your installment amount so that you can decide whether your finances will be able to cover it.

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 Tennessee

The best debt consolidation loan in Tennessee varies based on individual needs, credit information and income level. Before submitting your application, review the offer and determine how the loan will affect your financial standing. MoneyGeek answered some of the most frequently asked questions about debt consolidation loans in the state.

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