Best Debt Consolidation Loan Companies

We compared 21 brands and chose the top debt relief companies

  • Upgrade
  • Marcus by Goldman Sachs
  • Achieve Personal Loans

Top Picks

See who reviewers like

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Achieve Personal Loans logo
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    Best Debt Consolidation Loan Companies

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    If you're struggling with high-interest credit card debt and other bills, a debt consolidation loan can help you pay it off. This is a type of personal loan that helps consumers eliminate their credit card balances while paying down debt with a fixed interest rate and a single monthly payment. The often lower rates help individuals pay less in interest each month, which makes the debt repayment process more affordable.

    The best debt consolidation loans come with the lowest possible rates, several repayment options to choose from and no hidden fees.

    To make our top choices, our research team evaluated 31 personal loan lenders and selected six based on factors including minimum credit score required, maximum annual percentage rate (APR) and if creditors are paid directly.

    Note that our picks may be Authorized Partners who compensate us. This does not affect our recommendations or evaluations but may impact the order in which companies appear.

    Why trust ConsumerAffairs?
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    Compare our top 6 debt consolidation loan companies

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    More details on our top picks for best debt consolidation loan companies


    Buyer's Choice Award Finalist
    Maximum loan amount
    Minimum credit score
    Not disclosed
    Repayment terms
    24 - 84 months

    Upgrade is an online lender that offers debt consolidation loans and other financial products to people with all credit profiles, including consumers with credit scores as low as Not disclosed. This means that even borrowers with poor credit are eligible for debt consolidation loans.

    You can borrow anywhere from $1,000 to $50,000, depending on your needs, and you can repay your loan over 24 to 84 months. The company will pay your creditors directly, and co-signers are permitted.

    As of this writing, APRs for loans from Upgrade fall between 8.49% to 35.99% based on creditworthiness, and it's worth noting that an origination fee applies. There is also a $10 failed payment fee. If you’re interested in a loan from Upgrade, you can check your rate with no impact to your credit before applying.

    Upgrade offers several advantages, including:

    • Personal loans are available to consumers with all credit scores.
    • Repayment terms are flexible.
    • Borrowers can access up to $50,000 for debt consolidation.
    • You can check your rate without it affecting your credit.

    Borrowers should know this about Upgrade:

    • Loans from Upgrade require an origination fee of up to 8.99%.
    • APRs for bad credit can be high (up to 35.97% APR).

    Positive reviews center on the fast and easy loan process and the company's helpful customer service representatives.

    Candice, a reviewer from New Jersey, reported this about the Upgrade experience: “I am extremely pleased with all my experiences with Upgrade! Excellent service and fast approval process all done online! Love this company! They really helped me when I needed it most on my financial goals. I highly recommend them with two thumbs up! Everything went so smoothly each time I reached out to qualify for a loan. Great communication throughout the process from the time I started until I received my funds. I also use their app for convenient auto payments.”

    Best for low or no fees
    Maximum loan amount
    Minimum credit score
    Repayment terms
    36 to 72 months

    Marcus by Goldman Sachs makes it possible for borrowers to access $3,500 to $40,000 in loan funds with the option to repay over 36 to 72 months. The minimum credit score is 660, which means applicants with good to excellent credit have the best chance to qualify. Borrowers are able to use loans for a variety of purposes, including debt consolidation. The company will issue payments directly to creditors, making it an easier process for borrowers.

    Loans from Marcus by Goldman Sachs do not have any origination, late, prepayment or other fees. However, consumers do need to sign up for auto-pay to secure the lowest advertised rates. As of this writing, rates range between 6.99% to 24.99% and are based on creditworthiness.

    Some highlights for Marcus by Goldman Sachs include:

    • Loans are fee-free.
    • Borrowers can qualify to skip a payment once they have made 12 consecutive on-time payments toward their loan.
    • Several repayment plans are available.

    Keep the following in mind when considering Marcus by Goldman Sachs:

    • Minimum loan amount starts at $3,500, which is higher than at many competitors.
    • Loans are only available for people with good credit.
    • Requires auto-pay for the best rates.

    Many reviewers have raved about the company's fast funding process and stellar customer service. Craig from New York City said: “My loan was able to pay off three accounts in full and pay off a large chuck of other balances that were haunting me every month. My one monthly payment along with not using these credit cards has made my credit score go from good to excellent in seven months!”

    However, several reviewers have also left negative remarks about poor customer service and payments posting too slowly to their accounts, such as Michael from Virginia, who stated, “If you value your time, sanity, money and expect good customer service which is necessary when dealing with an online account, I recommend looking elsewhere.”

    Buyer's Choice Award Winner
    Maximum loan amount
    Minimum credit score
    Repayment terms
    24 to 60 months
    3x Award Winner
    Selected for having one of the highest satisfaction rates for Best Customer Service, Best Experience with Staff and Best Loan Process

    Achieve Personal Loans lets borrowers access between $5,000 and $50,000 in loan funds for any reason, including debt consolidation. Repayment terms last from 24 to 60 months, and rates range from 7.99% to a maximum of 35.99%, depending on creditworthiness. An origination fee of 1.99% to 4.99% of the loan amount applies.

    While Achieve Personal Loans does publish a minimum credit score of 620, it says it goes beyond your credit report when evaluating your loan application. Borrowers may get approved as soon as the same day they apply, and loan funds can be sent in as little as 24 to 72 hours.

    In addition to flexible loan terms and competitive rates, those with a high amount of credit card or other unsecured debt can take advantage of the higher loan limit. Additionally, co-signers are allowed for borrowers with lower credit scores.

    Some of the highlights for Achieve Personal Loans include:

    • Rates are competitive, especially for borrowers who can qualify for the best terms.
    • Offers loan amounts up to $50,000 for debt consolidation and other purposes.
    • Applicants can get approved as soon as the same business day.
    • Allows applicants to apply with a co-signer.

    Consider the following if you choose Achieve Personal Loans:

    • Charges an origination fee between 1.99% and 4.99%.
    • The minimum loan amount is $5,000, which is higher than at many competitors.

    Many customers praise the company for its fast and easy loan process and knowledgeable loan experts, such as Mark from Texas, who said: “The application process at Achieve Loans was very easy. It took 20 minutes overall. We called one day and filled out all the paperwork and applied for the loan, and we got approved the next day. In less than a week, everything was being paid off. They sent the money straight to the credit card companies. They took care of all that for us.”

    Best for high loan amounts


    Maximum loan amount
    Minimum credit score
    Repayment terms
    24 to 84 months

    SoFi has been a leader in the student loan and student loan refinancing space since its founding in 2011, and the company also offers investment accounts and popular personal loans. Its loans come in amounts ranging from $5,000 to $100,000, so they can work for borrowers with considerable debts to consolidate. APRs range from 8.99% to 29.99% with autopay, and loan terms can last from 24 to 84 months.

    SoFi personal loans have no fees of any kind, including late and origination fees. Same-day funding is possible, and you can check your rate with no impact to your credit score.

    If you opt to use SoFi’s Direct Pay option, the company will pay your lenders directly and you’ll receive a 0.25% APR discount. Co-borrowers are allowed as long as they live at the same address.

    Things we like about SoFi include:

    • Loans come in higher amounts than other lenders offer.
    • There are no origination fees or hidden fees.

    Consider the following if choosing SoFi:

    • Minimum loan amounts start at $5,000 and may be higher in certain states.
    • Borrowers need good credit to qualify for the best rates.

    Its most satisfied customers say they got a loan with a great rate and are happy with their experience. One customer, Bob from Annapolis, Texas, commented on his experience with SoFi: “Opened a debt consolidation loan. Got offers from other lenders at 20% or more (how does a D/C loan at 20% make any sense?). Sofi came through with an offer at a reasonable rate, much to my surprise, and I jumped on it. All done through website and email. Speed, accuracy, ease, all words to describe transaction. Can't say enough good.”

    However, SoFi does receive its fair share of negative remarks, mostly around the quoted rates and customer service issues. For example, one reviewer in Georgia commented: “Once I had submitted my application, they change the terms including a higher interest rate. Bait and switch. I asked them to remove the credit pull from my credit report. They refused although they apologized for ‘misinformation.’ I will never do business with them and caution anyone else considering it. What interest rates they show you may not be the rate you get.”

    Best for quick funding


    Maximum loan amount
    Minimum credit score
    Not disclosed
    Repayment terms
    24 to 60 months

    LendingClub lets applicants borrow between $1,000 and $40,000 to reach their goals, and a low minimum credit score requirement of 600 means a broader range of consumers can qualify. Repayment terms can last from 24 to 60 months, and current rates offered range from 9.57% to 35.99%. Note that an origination fee of 3.00% to 8.00% of the loan amount applies to every personal loan from LendingClub.

    This lender also lets you check your rate with no impact on your credit score. Qualified borrowers may also get same-day funding, which is faster than at many other lenders. In fact, the company states that one-third of borrowers are funded within 24 hours of approval. To speed up the process, you can have funds deposited into your bank account or sent directly to your creditors.

    The application process is entirely online. And, like other lenders on this list, co-signers are permitted.

    Things we like about LendingClub include:

    • Loans are available to applicants with fair credit to good credit.
    • Quick funding is available for the majority of borrowers.
    • Repayment terms are flexible.
    • There is a low minimum loan amount.

    Consider the following if choosing LendingClub:

    • Origination fees range from 3.00% to 8.00%.
    • Rates are high for some borrowers (up to 36% APR).

    Most positive reviews revolve around the company's easy application process and fast funding. Justin, a reviewer in Florida, said: “The gentleman that I spoke with was very helpful and I appreciated the level of support that I got on the front side of things. The application process was very easy and smooth. LendingClub was great to work with.”

    However, other customers complain about high origination fees, and a few reported that the application process was not as easy as the company claims.

    Best for co-signer
    Maximum loan amount
    Minimum credit score
    Repayment terms
    24 to 60 months

    OneMain Financial accepts applicants with less-than-perfect credit scores, and it also lets you apply with a co-signer. This can make it easier to get a OneMain Financial loan for debt consolidation, particularly if you can find a co-signer who has a strong income and a good credit score.

    Loans from OneMain Financial are offered in amounts from $1,500 to $20,000, and rates range from 18% to 35.99% based on creditworthiness. Repayment terms can last from 24 to 60 months, so you can tailor your monthly payment and repayment plan. Note that OneMain Financial loans can charge origination fees of Varies by state: $25 to $500 flat fee or percentage-based at 1% to 10% of the loan.

    OneMain Financial also has about 1,400 branches nationwide, so you can get in-person assistance if you need it. You can consolidate debts including credit cards, medical bills and household bills.

    A few factors that stood out for us for OneMain Financial include:

    • You can consolidate different types of debts.
    • There are flexible repayment terms.
    • The company has physical locations for those borrowers who prefer an in-person experience.

    Before choosing OneMain Financial for your debt consolidation loan, consider the following:

    • Origination fees can be up to 10% of the loan amount.
    • Rates start much higher than at other lenders on our list.

    Positive reviews are mostly about the fast loan process and helpful customer service agents. Margaret of Cherry Hill, New Jersey, reported this experience with OneMain Financial: “Very satisfied with the service. … I love the direct deposit of my payment so it is never late monthly. If you need a loan I would recommend One Main Financial.”

    However, OneMain Financial has also received some negative reviews from  ConsumerAffairs readers, mostly regarding unexpected charges or fees.

    One reviewer from New York stated: “While the team was very nice and helpful, they left out important pieces to the loan process unfortunately. And they’re very busy so I can respect that Trying to get assistance through the company itself is nothing short of a joke. Fast forward to them reaching out to my review on another site and them asking me to contact them. I did immediately and have not heard a word since. Can’t say I’m shocked.”

    Compare Top Debt Consolidation Companies

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      What is a debt consolidation loan?

      A debt consolidation loan involves taking on a new unsecured personal loan and using the funds for paying off multiple other debts. Ideally, the new loan should have a lower interest rate than the other debts getting paid off —  but this isn’t always the case, so be sure to compare costs before you commit.

      With a debt consolidation loan, instead of managing multiple payments, you can streamline your monthly obligation into one loan payment.

      » MORE: What is debt consolidation and should I consolidate?

      How to get a debt consolidation loan

      According to financial planner Kyle McBrien, who works at Betterment, an online financial advice company, “Debt consolidation can be a helpful tool for consumers looking to overcome debt, since it helps them pay off multiple debts with a new loan that has a single monthly payment — often at a lower interest rate.”

      McBrien says applicants need to be sure the new monthly payments do not impact their ability to cover their basic living expenses first, and they should factor in any fees they have to pay. He also recommends checking your credit score before you apply, or at least considering how your current credit standing will impact your interest rates.

      Debt consolidation can be a helpful tool for consumers looking to overcome debt, since it helps them pay off multiple debts with a new loan that has a single monthly payment — often at a lower interest rate.
      Kyle McBrien, Betterment

      Fortunately, almost all lenders in the personal loan space let borrowers "check their rate" online before filling out a full loan application. This step makes it easy for you to find out how much you could potentially borrow, the rate you would have to pay and the monthly payment options.

      After finding a loan with a rate and monthly payment you’re comfortable with, you can move forward with a full loan application:

      • Submit application: You’ll need to provide information such as your Social Security number, date of birth, address, income, employer name and proof of address.
      • Receive funds: Once a loan application is approved, many lenders will deposit loan funds in an account as soon as the next business day. 
      • Pay off debts: Some lenders will pay your creditors directly, which can help avoid payment mishaps during the debt consolidation process.

      » MORE: How to apply for a personal loan in 5 steps

      Pros and cons of a debt consolidation loan

      Taking on a debt consolidation debt is a big financial decision and deserves careful consideration.

      While it does offer numerous advantages, such as making your monthly payments more manageable and predictable, these loans have drawbacks too. Many are riddled with fees, and if you’re not careful, it may take you longer to pay off the debt thanks to higher interest rates or longer repayment terms.


      • One monthly payment, versus several
      • Fixed, predictable repayment schedule
      • Pay off debt sooner


      • Monthly payment may be too high
      • Loan can have costly fees
      • May take longer to pay off debt

      » MORE: Pros and cons of debt consolidation

      Alternatives to debt consolidation loans

      Debt consolidation is not right for everyone, and the numbers may not work if the interest rate is too high. With that in mind, McBrien said the best solution might simply be "reviewing your personal expenses and creating a tighter budget for yourself.”

      However, there may be times when cutting expenses won't be enough to get out of debt. In that case, you can consider the following alternatives:

      • Use your home equity: McBrien recommends considering tapping into your home equity if you have some, either with a cash-out refinance, a home equity loan or a home equity line of credit (HELOC). "These strategies allow homeowners to leverage the equity they have built up in their home to create additional cash flow," he said.
      • Look into balance transfer cards: Some credit cards let consumers consolidate debt with 0% APR for a limited time, usually up to 21 months. While balance transfer fees apply, these offers can help you save on interest and pay down debt faster.
      • Work with a credit counselor: Most credit counseling agencies are nonprofits, and they can help you create a plan to pay off your debt without having to borrow more money.
      • Explore debt settlement options: Debt settlement companies help you settle your outstanding debts for less than you owe, although they charge fees for their services, and your credit score could suffer.

      » MORE: Best personal loan companies


      What is the difference between debt consolidation and debt settlement?

      With debt consolidation, all of your debt is folded into one loan. You’ll still pay the total amount of debt you owe but in one monthly payment. With a debt settlement program, you (or a third-party company) attempt to reduce the total amount of debt you owe by negotiating with creditors.

      Can I get a debt consolidation loan with bad credit?

      You can still get a debt consolidation loan with bad credit, but it’s more difficult. Your interest rates will be higher, which means you are less likely to save money.

      Are debt consolidation companies legit?

      There are many legitimate debt consolidation loan companies, including the lenders we ranked in this guide. Review our tips above for finding a reputable lender, and do your due diligence to better understand the results you can expect from a company.

      Does taking out a debt consolidation loan hurt your credit?

      When taking out any new line of credit, you may see a short-term effect on your credit score. However, taking out a personal loan for debt consolidation shouldn't have a long-term negative impact on your credit if you make your payments consistently and don’t default on the loan.

      How much does debt consolidation cost?

      The cost of your loan will vary based on the lender. Typical costs include the interest charged over the term of the loan and any origination or other fees the lender charges.


      To make our choices for the top debt consolidation loans, we collected 26 individual data points for 31 popular personal loan lenders, including over 10,000 customer reviews and overall ratings from ConsumerAffairs readers submitted between 2022 and 2023. We then used this data to examine the most impactful factors for borrowers.

      Customer feedback is a critical indicator when evaluating companies, and we made sure to consider those reviews when making our top picks. However, for those companies on our list with no ratings from ConsumerAffairs, there were other variables that made them stand out for borrowers with bad credit, which factored into our decisions.

      • Funding times: We examined how long it takes borrowers to get their money, with higher consideration given to lenders that take less than 48 hours to disburse funds.
      • APR: We looked for lenders that have maximum APRs below 36%.
      • Flexible repayment terms: We examined payment term ranges and noted which lenders offer repayment terms of at least 36 months (three years) or higher.
      • Co-signer allowed: We reviewed if the lender allowed co-signers, and we favored those that allow co-signers or co-borrowers. This is particularly important for borrowers with lower credit scores.
      • Pays creditors directly: We looked at all of the debt consolidation loan programs, and we gave a higher score to those that paid borrowers’ creditors directly.
      • Fees: We gave higher consideration to lenders with low to no fees, although some of our top picks do have higher origination fees.

      All of our top picks offer debt consolidation loans that pay creditors directly, have reasonable APRs, provide quick funding and allow co-signers.

      Not sure how to choose?

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        Article sources
        ConsumerAffairs writers primarily rely on government data, industry experts and original research from other reputable publications to inform their work. Specific sources for this article include:
        1. FICO, " What is a FICO Score? " Accessed Aug. 23, 2023.
        2. Federal Reserve, " Consumer Credit - G.19. " Accessed Aug. 23, 2023.
        3. Consumer Financial Protection Bureau, " What's the difference between a credit counselor and a debt settlement or debt relief company? " Accessed Aug. 23, 2023.

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