Debt Consolidation Loans - Apply | Discover Personal Loans (2024)

FAQs

How hard is it to get approved for a Discover personal loan? ›

On the other hand, Discover is not the best choice for consumers who want to apply for a loan with a co-borrower or co-signer. Also, it's not the best option if you have bad credit since most approved applicants have FICO scores of at least 660.

Are you having trouble paying your bills? Not being able to pay your bills has a significant impact on your credit rating. It gives lenders a bad impression. And it's one reason a bank will refuse your consolidation loan application, since the bank will consider you at risk of not repaying the loan.

Borrowers must have a minimum credit score of 660. Co-signers are not allowed. There's a $39 late fee.

Lenders might not advertise it, but most of them have a minimum credit score required to get a loan. If your score is less than 670, you might be out of luck for a debt consolidation loan. Even if you're over 670, a problematic debt-to-income ratio (more on that below) or payment history could derail your loan.

Discover uses multiple resources to confirm income and employment status: To verify income: Documents like recent pay stubs or bank statements can serve as income verification. In certain situations, we may use third-party vendors to confirm that information.

The minimum credit score needed to secure a debt consolidation loan ranges from 580 to the mid-600s, depending on the lender. The best terms and rates go to borrowers with scores that are around 700 or higher.

Lenders like to see a credit score of at least 670 for a debt consolidation loan, but probably closer to 700 just to be safe. It's not the only factor that matters, but a low credit score could stop you from getting a debt consolidation loan with reasonable interest rates and terms.

Borrowers with good to excellent credit scores (690 to 850 credit score) are more likely to be approved and get a low interest rate on a debt consolidation loan. If you have bad credit (300 to 629 credit score) and can take some time to build your credit, you may qualify for a lower-rate loan.

The minimum credit score needed to get most Discover credit cards is 700 or above. There are a few Discover cards for which there's no minimum credit score requirement, such as the Discover it® Secured Credit Card which you can get with a bad credit score (below 640).

Is Discover easy to get approved? ›

If you want to get a Discover® credit card, you may be wondering how hard it is to get approved. Your credit score plays an important role here. The best Discover credit cards are aimed at consumers with FICO® Scores of 670 or above. If you have good or excellent credit, that helps quite a bit.

A secured credit card from Discover can help you build credit with responsible use. For students looking to start their credit journey, Discover offers student credit cards. All Discover credit cards let you earn rewards on eligible purchases. Discover doesn't require a specific credit score.

A personal loan can make a lot of sense for debt consolidation, but make sure to consider all the options and tools that may be available to you. Getting out of debt requires you to stop racking up more bills you can't pay.

Insufficient income, a high debt-to-income ratio, and a poor credit score are just some of the many reasons why a debt consolidation loan application may be rejected. Each lender has different eligibility criteria and takes different factors into account – and some specialise in helping customers with bad credit.

If you want to get a Discover® credit card, you may be wondering how hard it is to get approved. Your credit score plays an important role here. The best Discover credit cards are aimed at consumers with FICO® Scores of 670 or above. If you have good or excellent credit, that helps quite a bit.

The minimum credit score needed to get most Discover credit cards is 700 or above. There are a few Discover cards for which there's no minimum credit score requirement, such as the Discover it® Secured Credit Card which you can get with a bad credit score (below 640).

The better your credit score and history, the better your chances of approval. Income: Lenders check your income to determine your ability to repay the loan. Debt-to-income ratio: It compares your monthly debt payments to your monthly income. Lenders use it to determine how much you can afford to borrow.

A personal loan for $5,000 can be relatively easy to find since they often range from $1,000 to $100,000 or more. Loans in this range, like with all personal loans, can be used for just about anything from covering emergency expenses, consolidating high-interest credit card debt or even funding home improvements.