2020 Sallie Mae Personal Loans & Best Alternatives
Sallie Mae does not offer personal loans anymore. Sallie Mae announced the discontinuation of their personal loan business in January 2020, when they released their quarterly earnings report. The report said Sallie Mae wants to focus on other priorities and “does not expect to originate or purchase Personal Loans in 2020.”
Though there are no Sallie Mae personal loans available for the foreseeable future, the lender does have other types of financial products available. They offer student loans and credit cards, along with savings accounts and college planning resources.
There are plenty of other lenders to look to for alternatives to a Sallie Mae personal loan, too. These include banks, credit unions and online lenders. To pick out some of the best ones, WalletHub used 17 key metrics in three overall categories: Terms, Requirements & Application, and Reviews & Transparency.
Best Sallie Mae Personal Loan Alternatives:
- Best Bank: PNC
- Best Credit Union: Alliant Credit Union
- Best Online Lender: SoFi
Below, you can learn more about all of the best alternatives to Sallie Mae personal loans, including other finalists in each category.
Sallie Mae Personal Loan Alternative #1: Banks
Banks are known for decently low APRs on personal loans, as they usually charge between 6% and 25%. Banks also usually require a credit score of 660+, which is higher than what some competing online lenders require. Another quality of personal loans from banks is the ability to apply in person.
|APR||7.49% - 17.49%||6.98% - 19.98%||6.99% - 24.99%|
|Loan amounts||$1,000 - $20,000||$3,500 - $40,000||$2,500 - $35,000|
|Loan lengths||6 - 60 months||12, 24 or 36 months||36, 48, 60, 72 or 84 months|
|Credit score required||Not disclosed||660||660*|
Sallie Mae Personal Loan Alternative #2: Credit Unions
The best part about personal loans from credit unions is that they tend to have very low APRs. That’s because federal credit unions are required by law to cap their interest rates at 18%, and state credit unions have similar limits set by the state. Like banks, credit unions allow in-person applications.
In order to get a personal loan from a credit union, you’ll first need to become a member. Membership requirements usually include living, working or going to school in a certain area or being a part of a certain organization. Family of members can typically join as well. But there are quite a few credit unions anyone can join, including the ones below.
|Lender||Alliant Credit Union||Connexus Credit Union||NASA Federal Credit Union|
|APR||6.24% - 10.24%||7.99% - 18.00%||11.80% - 18.00%|
|Loan amounts||$1,000 - $50,000||$2,500 - $25,000||$1,000 - $30,000|
|Loan lengths||12, 24, 48 or 60 months||24, 36, 48, 60, 72 or 84 months||Up to 84 months|
Sallie Mae Personal Loan Alternative #3: Online Lenders
The biggest advantage of online lenders is the short amount of time it usually takes to approve and fund loans. Online lenders may be more expensive than banks and credit unions, though, with APRs ranging from 6% to 36%.
|APR||5.99% - 21.20%||6.99% - 29.99%||3.49% - 17.29%|
|Loan amounts||$5,000 - $100,000||$7,500 - $40,000||$5,000 - $100,000|
|Loan lengths||24 - 84 months||24 - 60 months||24 - 144 months|
|Credit score required||680||620||660*|
In order to find the best alternatives to Sallie Mae personal loans, WalletHub used 17 key metrics grouped into three overall sections: Terms, Requirements & Application, and Reviews & Transparency. We rated each section on a scale of 0 to 5, with 5 being the best, and then averaged the scores of the three sections to produce an overall rating for the loan.
- The “Terms” section includes information about how expensive the loan is, including rates and fees. It also takes into consideration how much consumers can borrow and how quickly they must pay it back.For companies where APR and fee ranges differ greatly by state, we used data from the most populous state serviced by the company.
- The “Requirements & Application” section examines how easy it is to apply for a loan and how long it takes to receive the money. It also looks at exactly who is eligible to apply.
- The “Reviews & Transparency” section measures the loan provider’s reputation as well as how clearly the lender discloses its terms and requirements. This takes into account user reviews and information from watchdog organizations.
The average of these three scores reflects how close a loan offer is to WalletHub’s definition of a 5-star loan. For more information, please read WalletHub’s full methodology.
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