Rocket Loans vs. Discover: Which Personal Loan Is Right for You?

Updated: July 25, 2023

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Rocket Loans is an online lending platform offering an easy application process for personal loans from $2,000 to $45,000. On the other hand, Discover is a well-established financial services company that offers personal loans from $2,500 to $35,000 with zero origination fees.

Choosing the right personal loan for your needs can be challenging. MoneyGeek compiled up-to-date information on the pros and cons of Rocket Loans vs. Discover to help borrowers select the best choice for their needs.

Key Takeaways

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Rocket Loans is a good fit for those looking for an online application process and rapid funding. Meanwhile, Discover is a good fit for people looking to pay minimal fees and those who want flexible payment terms.

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Each lender has different terms and application requirements. Therefore, always consider APR rates, minimum credit score requirements and fees when making your decision.

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You can use a personal loan for many purposes. However, different lenders offer different minimum and maximum loan amounts, funding periods and other restrictions that can impact your choice.

Rocket Loans or Discover: Overview

When choosing the right lender for your needs, you’ll need to consider key factors, such as your desired loan amount, credit score and ability to meet repayment terms.

In general, MoneyGeek found that Discover offered more appealing APR options and versatile repayment terms for both short- and long-term loans. However, Rocket Loans wins when it comes to loan ranges. Rocket Loans is also the better pick for candidates with a low credit score since Discover applicants need a minimum credit score of 720 for approval.

Rocket Loans

  • Rocket Loans

    Rocket Loans has a quick and easy online application process ideal for borrowers seeking fast funding.

    • 5.97% to 29.69%APR Range
    • 640Minimum Credit Score
    • $2,000 to $45,000Loan Amount Range
    • 36 to 60 monthsRepayment Terms
    • Next DayTime to Receive Funds

    If you need money quickly and have a fair credit score, Rocket Loans can be an excellent choice that offers quick funding. Those looking for lower personal loan amounts should also consider a Rocket Loans personal loan since it offers a minimum loan amount of $2,000.

    Rocket Loans has a quick prequalification form that helps you estimate the total cost of your loan through a soft credit check, making it easy to apply online. However, the lender charges a potentially hefty origination fee.


    • Offers prequalification
    • Flexible loan amounts
    • No prepayment fees
    • Minimum credit score of 640


    • Charges origination fees between 1% and 6%
    • Late payment fees
    • Interest rates may be high
    • Loan amount: $2,000 to $45,000
    • Repayment terms: 36 to 60 months
    • Minimum credit score: 640
    • Time to receive funds: Next day
    Rocket Loans


  • Discover

    Discover offers flexible repayment terms for borrowers looking to consolidate debt.

    • 5.99% to 24.99%APR Range
    • 720Minimum Credit Score
    • $2,500 to $35,000Loan Amount Range
    • 36 to 84 monthsRepayment Terms
    • Next DayTime to Receive Funds

    Discover is a good fit for borrowers looking for flexible payment terms. With five repayment terms to choose from, you can select a longer term for smaller payments or a shorter term if you want to avoid high interest rates. You can also use Discover personal loans to pay off credit card debt or other creditors directly. Another perk is the 30-day money-back guarantee if you change your mind. In addition, its personal loans have zero origination fees, unlike some lenders.

    However, Discover requires a minimum 720 credit score, so there may be better fits for those with poor credit. It also releases funds the day after application approval.


    • Ability to prequalify online with a soft credit check
    • Fixed interest rates
    • Can pay third-party creditors directly
    • 30-day interest-free money-back guarantee
    • Has a mobile app for loan management


    • No same-day funding
    • Requires a good credit score for approval
    • Charges late fees
    • Loan amount: $2,500 to $35,000
    • Repayment terms: 36 to 84 months
    • Minimum credit score: 720
    • Time to receive funds: Next day

APR Range

APR Range

Rocket Loans

5.97% to 29.69%


5.99% to 24.99%

An annual percentage rate (APR) is the yearly interest you will pay on your loan. It is best to get the lowest APR possible.

Depending on the lender, factors that impact your APR include your credit score, repayment period, employment history and education. Generally, longer repayment periods come with higher APRs, and the fees can add up over time.

Discover and Rocket Loans offer similar minimum APRs, but the maximum APR values of Rocket Loans are significantly higher. Borrowers with poor credit scores or longer loan terms might pay higher interest rates with a Rocket Loans personal loan.

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Compared to Rocket Loans, Discover offers a slightly lower APR range, from 5.99% to 24.99%. Borrowers are likely to pay less interest and other fees throughout the life of a Discover personal loan.

Since the APR ranges for these lenders are similar, borrowers should also consider other fees the lender charges, the minimum credit score required and the quality of customer service.

Minimum Credit Score

Credit Score

Rocket Loans




Credit agencies calculate your credit score based on data from your financial history. Scores range between 300 and 850, with higher scores indicating better credit. Lenders use credit scores to determine your APR, loan terms and whether to approve your loan.

Your credit and payment history, unpaid debts and the types of credit you use all impact your credit score. Lenders typically grant those with good credit scores lower APRs, while those with poor credit may have to pay higher interest rates.

Discover requires a much higher minimum credit score (720) than Rocket Loans (640). As a result, Rocket Loans personal loans may be a better fit for applicants with lower credit scores as long as they meet other requirements.

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Rocket Loans is more likely to accept personal loan applicants with bad credit than Discover.

Keep in mind that a low credit score can lead to a higher APR, raising the total cost of the loan. Nevertheless, there are additional aspects to consider when selecting the best personal loan for your needs.

Loan Amount Range

Loan Amount Range

Rocket Loans

$2,000 to $45,000


$2,500 to $35,000

Compared to Discover, Rocket Loans has a broader loan amount range of $2,000 to $45,000. Meanwhile, Discover only offers loans between $2,500 and $35,000, making it a better fit for borrowers looking to fund smaller expenses.

The highest and lowest amounts applicants can borrow from the lender are referred to as the loan range. The amount you’ll need to borrow will vary based on how you want to use your personal loan and what a lender is willing to offer you based on your credit score.

You can use smaller loans for small home renovation projects, repairs and vacations. On the other hand, larger loans can be a better fit if you want to buy a new car or pay for a family emergency.

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Overall, Rocket Loans has a more flexible loan amount range compared to Discover, making it a suitable choice for those looking for smaller or larger loans.

Before applying for a loan, you should have a clear understanding of what you’ll use the funds for and only apply for the necessary amount. In addition, you should also consider other factors, such as loan repayment terms and fees, that can impact the overall cost of the loan.

Repayment Terms

Repayment Terms

Rocket Loans

36 to 60 months


36 to 84 months

Borrowers need to consider repayment terms choosing a personal loan. The term "loan repayment period" refers to the length of time during which you’ll make payments to repay a debt fully.

Your credit score can affect the length of your loan's repayment period. Lenders also look at your debt-to-income ratio, employment history and monthly income as factors that impact your capacity to repay a loan.

While Rocket Loans only offers two repayment terms — either 36 or 60 months, Discover offers five different repayment terms between 36 and 84 months, making it the more flexible option for borrowers.

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Of the two lenders, Discover offers borrowers significantly more flexible repayment terms. Generally, short-term loans between 12 and 36 months have higher monthly payments, but you pay less interest overall. In contrast, long-term loans between 48 and 84 months come with lower monthly payments but higher interest costs over time. Consider your priorities and the loan amounts you can afford before deciding on the best lender for your needs.

Time to Receive Funds

Time to Receive Funds

Rocket Loans

Next day


Next day

Rocket Loans and Discover release funds on the next business day at the earliest.

If you need money immediately, applying for the loan online is preferable to applying in person. By uploading all the relevant documents for your application online, you're more likely to get your funds as soon as possible.

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Both Rocket Loans and Discover fund personal loans quickly. Quick funding can come in handy for emergencies or medical bills. However, if you’re not in a rush to access the funds, you should consider other factors when choosing a lender, such as the flexibility of loan terms, minimum loan amounts and ease of application.

Final Thoughts

Deciding between Discover and Rocket Loans for your personal loan will depend on your priorities. MoneyGeek determined Discover has a more desirable APR range and flexible repayment terms for short and long-term loans. On the other hand, Rocket Loans takes the lead regarding loan amount ranges.

However, Rocket Loans has the edge over Discover for applicants with poor credit scores since its minimum requirement is only 640.

Because of these factors, you should choose Rocket Loans if:

  • You need a personal loan urgently
  • You have a lower credit score

In contrast, you should choose Discover for your personal loan if:

  • You want lower interest rates
  • You are looking for repayment terms between 36 and 84 months

At the end of the day, the right lender and personal loan for your needs will still depend on your circumstances and priorities.

Frequently Asked Questions About Personal Loan Lenders

Choosing the right loan for your needs can be a challenge. To help you out, MoneyGeek answers some of the most common questions about the process of applying for personal loans.

What documents do I need to provide to personal loan lenders?
How do I know what my credit score is?
Do lenders conduct a hard inquiry?
Are interest rates on personal loans the same for all lenders?
Do lenders charge fees for personal loans?
What are the advantages of applying for a personal loan online?
Is prepayment allowed on personal loans?
  • Discover. "Personal Loans." Accessed September 19, 2022.
  • Rocket Loans. "Personal Loans." Accessed September 19, 2022.
  • Rocket Loans. "FAQ." Accessed September 19, 2022.
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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.