2023 Discover Personal Loan Review
Discover’s personal loans are some of the best on the market. They’re available nationwide; they offer the potential for low rates; and they don’t charge big fees upfront. Plus, the funding process is relatively quick, with the money available as soon as the next business day after approval.
The best part of Discover personal loans is their low cost. Discover has a $0 origination fee and a $0 prepayment fee. The only major fee they have is a $39 late fee. Discover’s loan APRs range from 6.99% - 24.99%. They’re not the absolute cheapest choice for people with pristine credit, as you can find lenders whose ranges start 1% - 2% lower. But the upper bound of 24.99% is relatively low in a market where APRs can reach up to 36%.
Discover isn’t explicit about what credit score you need to qualify for a personal loan, but the minimum is reportedly around 660. They do, however, provide a minimum income requirement: $25,000. And to be able to apply, you’ll need to have a Social Security number, though you can be either a U.S. citizen or a permanent resident.
Discover Personal Loan Review Highlights:
- Discover personal loan rates: 6.99% - 24.99%
- Origination fee: $0
- Late fee: $39
- Processing timeline: 2- 10 business days, with funding as soon as the next business day after approval
- Discover personal loan requirements: 660 credit score, $25,000 annual income, SSN
- Loan amounts: $2,500 - $40,000. While that’s a decent range, there are plenty of lenders that offer bigger loans than that.
- Payoff periods: 36, 48, 60, 72 or 84 months. Many competing lenders don’t offer payment timelines longer than 60 months.
- Customer satisfaction: Discover receives an A+ rating from the Better Business Bureau and has an average user rating of 4.0/5 on WalletHub
- Pre-qualification: You can pre-qualify for a personal loan on Discover’s website. You can also try out WalletHub’s pre-qualification tool to see what other lenders might pre-qualify you.
- Co-signer policy: Unfortunately, you won’t be able to share responsibility for a Discover personal loan with another person.
- “30-day guarantee” special feature: If you decide to pay back the entire loan amount in the first 30 days, you will owe $0 in interest.
Discover is a bank that’s known primarily for being one of the four major card networks, alongside Visa, Mastercard and American Express. But their personal loans shouldn’t be overlooked. The $0 origination fee coupled with low rates and high customer satisfaction makes them an excellent choice. Below, you can see how WalletHub rates Discover in our three major categories: Terms, Requirements & Application, and Reviews & Transparency.
Discover Ratings by Category:
|Requirements & Application||3.8/5|
|Reviews & Transparency||4.5/5|
These scores reflect how close a loan offer is to WalletHub’s definition of a 5-star loan. For more information, please read WalletHub’s full methodology.