Best Low-Income Loans in Delaware: Top Lenders and Rates for 2024
Updated: December 28, 2023
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- Best Overall Low-Income Loan Lender in Delaware
- Runner-Up for Best Overall Low-Income Loan Lender in Delaware
- Best Low-Income Loan Lender for Bad Credit in Delaware
- Best Low-Income Loan Lender for Good Credit in Delaware
- How to Choose the Right Personal Loan for You
- What to Do if You Can’t Get a Low-Income Loan in Delaware
- Calculate Your Monthly Payment
- Frequently Asked Questions About Personal Loans in Delaware
Best Low-Income Loan Lenders in Delaware
With an average personal loan debt of $16,674, it’s evident that most residents aren’t hesitant to take out a personal loan. Although personal loans are relatively popular, those with low incomes may have trouble qualifying for one due to minimum income requirements set by lenders. Fortunately, some lenders offer low-income loans in the state.
To determine where you can receive the best low-income loan in Delaware, MoneyGeek reviewed 30 personal loan lenders for over 35 key features, including eligibility criteria, APR ranges, repayment terms, fees and fund disbursement time. Our analysis showed that Upgrade offers the best overall low-income loan in Delaware.
Best Overall Low-Income Loan in Delaware: Upgrade
Runner-Up for Best Low-Income Loan in Delaware: LendingClub
Best Low-Income Loan for Bad Credit in Delaware: Upstart
Best Low-Income Loan for Good Credit in Delaware: Prosper
How to Choose the Best Low-Income Loan in Delaware for You
The average personal loan debt in Delaware is $16,674, indicating that taking out a personal loan is relatively common in the state. If you’re among the Delaware residents who have existing debt, you may want to reconsider taking out an additional loan.
Prior to applying for a low-income loan in Delaware, we recommend that you reflect on your funding needs, search for alternative funding sources and research different lenders. Following the recommended steps below can help you make a well-informed decision.
Ask Yourself the Important Questions
Before researching different lenders, you must first consider whether getting a low-income loan is a good decision for you. At a minimum, we suggest asking yourself the following questions:
- How much cash do I need? It’s important to accurately assess your funding needs to avoid taking out too much or too little money. By overborrowing, you may pay more in interest, but by underborrowing, you may need to take out a second loan.
- How is your credit rating? Your credit score affects both your capacity to get a loan and the interest rate you will pay. If you have a poor credit score and aren’t in urgent need of funds, consider improving your score first before applying for a loan. With a higher credit score, you will be eligible for a loan with more lenders and will likely receive a better interest rate.
- Can I afford the required monthly payment? Ensure that you can afford the monthly payment on your loan to avoid paying late fees or incurring additional debt.
- Do you currently owe any money? A high DTI ratio should be avoided because lenders may take it into account when considering your eligibility. If you already have existing debt and aren’t planning to use your low-income loan to consolidate it, consider repaying your current loans before applying for another.
- Can you find another means to pay off your debt? Consider borrowing money from friends and family or taking out a low-interest credit card.
Do Your Research
Prior to actually submitting an application for a low-income loan in Delaware, you should research different lenders and compare their interest rates, repayment terms, fees and fund disbursement times. This will help you find the best lender for your unique situation. MoneyGeek’s guide is a great place to start, but our recommendations are based on generic borrower profiles, which may not match your specific needs.
Wait
Once you’ve researched different lenders and have selected the best option for you, it’s important to wait a few days before submitting an application. During this time, you can evaluate other funding options or clarify any terms with your lender. After mulling things over, you may feel even more confident in your lender choice, or you may reconsider taking out a personal loan altogether.
Read the Fine Print
Prior to submitting your application, it’s important to read the fine print of your loan agreement. The fine print may outline fees for loan origination, early repayment and late payment. These costs are important to be aware of before signing your agreement so that you can budget accordingly. If you have any questions about the terms of your loan, you should contact your lender for clarification.
Apply
After you’ve completed the steps above, it’s time to submit your application. To expedite the process, we recommend gathering all required documents in advance. These may include, but aren’t limited to, proof of identification, address, employment and income. With online-only lenders, you can only submit your application online. However, some lenders still have physical branches where you can apply in person.
What to Do if You Can’t Get a Low-Income Loan in Delaware
Lenders may reject your loan application due to a low credit score, high DTI ratio or incomplete application. If your application is denied for a low-income loan in Delaware, don’t despair. After your application is denied, contact the lender to find out why. You may still be able to get it approved by modifying certain terms of your loan agreement, like the loan amount or repayment period. After your application is denied, contact the lender to find out why.
In cases where your credit score or DTI is the issue, a quick fix isn't always possible. If you aren’t in urgent need of funds, it may be in your best interest to improve these factors first before reapplying for a loan. You will likely be eligible with more lenders and receive a better interest rate.
Some discouraged borrowers may be tempted to take out a payday loan, but MoneyGeek strongly advises against this. These “loans” feature high interest rates and short repayment terms that can cost individuals more money in the long run.
Calculate Your Monthly Payment
Once you’re approved for a low-income loan in Delaware, you will be required to start making monthly payments. Knowing how much you’ll need to set aside each month in advance to repay your loan can help you plan for other expenses. MoneyGeek’s personal loan calculator below can help you approximate your monthly payment.
FAQs About Low-Income Loans in Delaware
It's a good idea to be aware of the many considerations lenders take into account when reviewing your application for a low-income loan in Delaware. Still, the most crucial factor to consider when picking a lender is your financial needs.
MoneyGeek provided answers to frequently asked questions about low-income loans in Delaware to help you make a well-informed decision.
Upgrade is the overall top lender for low-income loans in Delaware. However, the best lender for you will vary depending on your borrower profile. For instance, Upstart is the best lender for those with poor credit, whereas Prosper is ideal for borrowers with good credit.
Upstart has the lowest starting APR. However, keep in mind that to be eligible for this rate, you must have excellent credit.
Restrictions on fund usage vary by lender, but in general, you cannot use your low-income loan for business investments, college expenses or illegal activities.
Depending on the lender, the amount of debt you can consolidate will vary. For instance, some lenders have maximum loan limits of $50,000, while others are capped at $40,000.
The funds from your low-income loan in Delaware may be disbursed one to seven days after your application is approved. This varies by lender.
You can repay your loan early, however, you may be subject to a prepayment penalty depending on the lender.
Methodology
MoneyGeek reviewed over 30 personal loan lenders for 35 distinct data points across six key categories — accessibility, affordability, customer service, consumer friendliness, lender transparency and flexibility — to find the best low-income loan lenders in Delaware.
Within each key category, we reviewed features that we believe are the most important to consumers, like lenders’ APR ranges, application fees, credit score and minimum income requirements, maximum loan amount and loan disbursement periods.
Because you, the consumer, are always at the forefront of our minds, we also looked into factors that would improve your overall lending experience, including insurers’ customer service ratings, mobile application availability, prequalification processes and more.
Our recommendations were made after extensive analysis and deliberation. When selecting a lender that suits your needs, our personal loan recommendations and expert advice are designed to help you make a well-informed decision.
sources
- LendingClub Bank. "Get Up to $40,000 and Competitive Fixed Rates." Accessed October 26, 2022.
- Prosper Funding LLC. "Stress Less With Low-Interest Online Personal Loans." Accessed October 25, 2022.
- Upgrade. "Personal Loans up to $50,000." Accessed October 26, 2022.
- Upstart Network, Inc. "Get a Smarter Loan." Accessed October 25, 2022.
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
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