How To Get a $10,000 Loan
- You can get a $10,000 loan from an online lender or from your current bank or credit union.
- Your credit score and the term length you choose will determine how much you’ll pay to take out your loan.
- It’s possible to get a $10,000 loan with bad credit, but you’ll pay more than people with fair or good credit.
Getting a $10,000 loan in six steps
Knowing how to get a $10,000 loan is the first step toward securing the lowest APRs you’re eligible for.
1. Check your credit score
Your credit score can make or break your ability to get a loan for $10,000. People with credit scores below 640 will likely have a hard time meeting personal loan requirements for most traditional lenders. That doesn’t mean that it’s impossible, but you may need to stick to bad credit loans (which typically have higher APRs).
Check your credit score before shopping around to get a better idea of what lenders you should target and whether the loan offers you receive are competitive.
2. Review your budget
Make sure you can pay back what you borrow before taking out a personal loan. Just one missed payment can drop your credit score by 100 points or more, making it harder to take out another loan in the future.
You may also want to consider whether you need a loan at all. Check out personal loan alternatives like selling unwanted items for extra cash or saving up for your large purchase.
3. Prequalify with more than one lender
Prequalifying for a personal loan allows you to see what rates and terms you might qualify for without taking a hard credit hit. During the process, the lender will ask for basic information about you and the money you need.
4. Compare offers
After you’ve prequalified with a handful of lenders, it’s time to compare offers. When stacking up one lender against another, pay special attention to:
APRs: An APR measures the total cost of your loan, such as the interest and fees you have to pay on top of the amount you have to borrow. The lower the APR, the better.
Funding timelines: How long it takes to get your money is very important, especially if you need an emergency loan. If you’re taking out a $10,000 loan for an urgent expense, prioritize lenders that offer same- or next-day loans.
Fees: Some lenders charge an origination fee, which is an upfront fee that the lender will take from your loan before sending you your money.
Repayment terms: Your repayment term is the length of time you have to pay back your loan. A longer repayment term will give you a lower monthly payment, but you’ll pay more interest over the life of your loan. Two-to-five-year terms are fairly standard, but you may find loans with terms of seven years and beyond.
Customer service: Check your potential lender’s website and take note of their business hours and how you can contact them. If you prefer to handle your business online, you may want to go with a lender that offers live chat or a highly-rated mobile app.
5. Apply
Prequalification doesn’t guarantee that the lender will give you a loan. For that, you need to formally apply. The process is similar to prequalification, but you’ll need to provide some documentation. Application guidelines vary from lender to lender, but be prepared to give them copies of your:
- Driver’s license or other government-issued ID
- Pay stubs
- Tax forms, such as W-2s
After you apply, you’ll need to wait while the lender reviews your application. Some may get back to you in a few minutes, while others can take days or weeks.
If you’re approved, the lender will send you a contract to sign before sending you the money. Some lenders will directly deposit your loan into your checking account, while others may offer to send the funds to your creditors if you’re consolidating debt.
6. Repay what you borrowed
Your first loan payment will be due about 30 days after you’ve received the funds. Be sure to make on-time payments. If you can’t afford to pay, contact your lender immediately — they may allow you to postpone or temporarily lower your payment.
Where to find a $10,000 loan
Your current bank or credit union could be a great place to find a $10,000 personal loan, especially if you have excellent credit and prefer the in-person experience that a bank or credit union provides.
On the other hand, you can apply from the convenience of your own home if you’re working with an online lender. Online personal loan lenders also tend to have less strict eligibility requirements, which could be ideal if you have fair credit.
The personal loan lenders and lending platforms below are some of our favorites.
| Lender | APR range | Loan amounts | Repayment terms | Minimum credit score required | |
|---|---|---|---|---|---|
 | months | ||||
 | months | ||||
 | months | ||||
 | months | ||||
 | months |
If you need a $10,000 loan to consolidate debt, then
LightStream
While many lenders charge origination fees and prepayment penalties, LightStream stands out by not charging any fees. Their loans come with competitive rates, and they offer both short and long repayment term lengths.
Not everyone will qualify for a loan with LightStream. While LightStream doesn’t specify a minimum credit score, they only work with borrowers with good to excellent credit.
Getting a $10,000 loan with bad credit
Average rates are high on a $10,000 loan with bad credit, but there are some strategies you can use to get a cheaper loan.
Add a cosigner
Adding a cosigner to your loan can help you unlock lower APRs, but if you fail to pay your loan, your cosigner is then responsible. Late payments affect your cosigner’s credit score as well as your own.
To avoid damaging your relationship, make sure you can afford your monthly payments before getting a personal loan with a cosigner.
Get a secured loan
A secured loan is a type of personal loan that requires collateral. Because the lender can repossess your collateral if you default, lenders may be more willing to offer secured loans to bad-credit borrowers. APRs are typically lower on secured loans compared to traditional personal loans.
Secured loans can be risky, though. If you don’t want to lose your car, home or other collateral, it’s essential to make sure you can afford a secured loan before you sign your contract.
Improve your debt-to-income ratio
Lenders take into account your debt-to-income (DTI) ratio when considering you for a loan. Your debt-to-income ratio measures how much debt you have, compared to how much income you bring in.
A DTI ratio above 43% shows lenders that you don’t have much wiggle room in your budget, making it more likely that you’ll have a hard time keeping up with your loan payments. As a result, lenders may deny your loan application or charge higher APRs. If your ratio is close to or above 43%, pay off some of your current debt before taking on more.
Long-term costs associated with a $10,000 loan
Although your credit score has a significant impact on how much you’ll pay for a $10,000 loan long term, so do current market conditions.
Since market conditions fluctuate — and have been especially volatile in recent years — your APR will likely differ from the figures shown in the table below. Still, this data might give you an idea of how much interest you’ll pay on a $10,000 loan.
| Credit score range | Average APR |
|---|---|
| 720+ | 18.68% |
| 680-719 | 31.21% |
| 660-679 | 44.70% |
| 640-659 | 56.94% |
| 620-639 | 77.41% |
| 580-619 | 118.66% |
| 560-579 | 165.39% |
| Less than 560 | 184.89% |
To further drill this down, consider this hypothetical scenario: You have a 660 credit score, and the best APR you’ve qualified for is 40%. Here’s what you’d pay for a $10,000 loan monthly payment depending on the term length you choose:
| Loan term | Monthly repayment | Total interest paid over life of the loan |
|---|---|---|
| 12 months | $1,024.71 | $2,296.58 |
| 24 months | $611.88 | $4,685.06 |
| 36 months | $481.10 | $7,319.65 |
| 48 months | $420.47 | $10,182.47 |
| 60 months | $387.52 | $13,250.99 |
| 72 months | $368.06 | $16,499.96 |
As you can see, choosing a term length is a balance between affordable monthly payments and the total cost of your loan. For more personalized information, use our personal loan calculator to see how much a $10,000 loan will cost you per month, including interest.
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