Recent data shows a decline in personal loan rates, presenting an opportunity for qualified borrowers to secure favorable financing for various needs. From September 16 to September 21, the average fixed rate for a three-year personal loan decreased to 15.01% for borrowers with a credit score of 720 or higher, down from 15.23% the previous week. Similarly, the average rate for a five-year personal loan fell to 21.63%. The rate you receive will depend on factors such as your creditworthiness and the specific loans available from lenders. Prequalifying for loans online can help you understand potential rates without impacting your credit score. However, prequalification does not guarantee approval, and a hard credit check will occur upon formal application, which may slightly affect your credit score. To secure the best rates, borrowers are encouraged to check their credit reports and improve their scores before applying.
Read the full article here.