The best installment loans of June 2026

An installment loan allows you to borrow a fixed amount and pay it back in regularly scheduled payments — or installments. Installment loans often have lower interest rates than credit cards and their predictable repayment terms can make them easier to budget for. They're also a better alternative to payday loans, which are both extremely risky and costly.

Several types of loans fall under the installment loan category, from personal loans to mortgages to car loans. Here, CNBC Select breaks down the best installment into six categories, so you can choose the best one for your needs. (Read more about our methodology below.)

Compare offers to find the right loan

Who's this for? LightStream is ranked as the best personal loan thanks to its flexibility, quick funding and low interest rates for borrowers with good credit. The lender offers loans for just about any purpose, from debt consolidation to auto financing. Whether you're looking to remodel your kitchen, pay medical bills or get rid of your credit card balances, LightStream can be an excellent choice.

To unlock LightStream's lowest interest rates, you need to sign up for autopay. Otherwise, your APR will be 0.50% higher. The best rates are also usually reserved for borrowers with excellent credit.

Another feature that makes LightStream a great option for personal loans is the lack of fees, including origination fees, administration fees and early payoff fees. Terms range from 24 to 144 months, which is the longest-term option among the lenders on our list.

Finally, LightStream can fund your loan as soon as the same day, provided your application is complete and approved on a business day and you electronically sign your loan agreement and verify your direct deposit banking account information by 2:30 p.m. ET.

Who's this for? Upstart is a good personal loan option if you have no credit history or your credit score is low. When determining your eligibility, the company looks at factors beyond your credit, such as education, employment and work experience.

You can prequalify and check the APR you're likely to get before applying with a soft credit check with no impact on your credit. Once you apply, however, the lender will perform a hard inquiry.

You can borrow between $1,000 and $50,000 and take between three and five years to pay off the loan. Upstart can fund your loan as soon as the next business day if you accept it before 5 p.m. EST Monday through Friday. 

The tradeoff is potentially high fees. Upstart charges up to 12% in origination fees and of 5% of the last amount due or $15, whichever is greater. Still, if your credit leaves you with few financing choices, Upstart might be your best bet.

Who's this for? PenFed is our top pick for auto loans, whether you're buying a new or used car or looking to refinance an existing car loan. PenFed boasts low interest rates and offers flexibility in term lengths and loan amounts.

You don't need to be a member to apply but to receive the funds, you'll have to sign up for a membership. Anyone can become a member. The only requirements are to open a PenFed savings/share account with a $5 deposit and maintain a $5 account balance so that your membership remains active.

The credit union provides a prequalification tool that lets you see estimated terms with a soft credit check. Further, if you're using PenFed's car buying service, powered by TrueCar, you can score members-only cash-back incentives and special loan discounts. That said, you can also go with any other car dealer of your choice.

If you're looking to refinance your auto loan, PenFed allows you to apply online — and the process is simple and transparent. Note that the credit union doesn't refinance its own loans.

Who's this for? Rocket Mortgage is one of our top choices for mortgages as it works with applicants with lower credit scores, making buying a home accessible to more borrowers. While most mortgage lenders require a minimum credit score of 620, Rocket Mortgage accepts homebuyers with scores as low as 580.

Whether you're buying a single-family home, an investment property or a condo, Rocket Mortgage is worth considering. The lender also advertises several mortgage loan options, including conventional loans, FHA loans, VA loans and jumbo loans. Unfortunately, Rocket Mortgage currently doesn't offer USDA loans, HELOCs, construction loans or mortgages for mobile homes.

It only takes a few minutes to prequalify with Rocket Mortgage without hurting your credit. However, remember that preapproval is essential to the home buying process since it gives you a more accurate estimate of how much you can afford and on what terms. Plus, it shows sellers and listing agents that you're a serious buyer. To preapprove your loan, the lender will need to run a hard credit check which can impact your credit.

Who's this for? SoFi can be a solid choice if your goal is to consolidate credit card debt. SoFi ranked as the best personal loan provider for credit card refinancing thanks to its affordable interest rates, flexible terms and lack of fees.

With SoFi, you can borrow as little as $5,000 or as much as $100,000 and take 24 to 84 months to repay the loan. The lender doesn't charge origination fees, late fees or early payment penalty fees. SoFi's interest rates are also on the affordable side when compared to other personal loan lenders. To add to that, SoFi will give you a rate discount if you opt for DirectPay, allowing the lender to pay your credit card issuers directly. You can view your estimated APR with a soft credit check.

To qualify for a loan from SoFi, you need at least good credit. If your credit requires some work, it may be a good idea to look into debt consolidation loans for bad credit.

Who's this for? Discover is ideal for borrowers looking to refinance their student loans. The lender might allow you to consolidate up to the whole amount of your student debt, depending on your credit profile. This can be especially helpful if you have a large student loan balance other lenders may not be able to cover.

Discover works with both federal and private student loans and allows you to choose from variable and fixed interest rates. You'll also get a 0.25% rate reduction if you enroll in automatic payments. Additionally, the lender can help you save on fees as Discover charges no application, origination or late fees.

Note that not all types of student loans are eligible for refinancing through Discover. Examples of ineligible loans include post-graduate loans, loans for K-12 education and others.

Whether you're looking to buy a car or a house, remodel your kitchen or get rid of credit card debt, you can find an installment loan that suits your needs. Plus, as you're making on-time payments, an installment loan can help you build credit. Just like with any type of debt, make sure you approach it responsibly and strategically, shop around for the right lender and understand the terms.

At CNBC Select, our mission is to provide our readers with high-quality service journalism and comprehensive consumer advice so they can make informed decisions with their money. Every loan review is based on rigorous reporting by our team of expert writers and editors with extensive knowledge of loan products. While CNBC Select earns a commission from affiliate partners on many offers and links, we create all our content without input from our commercial team or any outside third parties, and we pride ourselves on our journalistic standards and ethics. See our methodology for more information on how we choose the best installment loans.

To compile a list of the best installment loans, CNBC Select analyzed dozens of loans offered by online and brick-and-mortar banks, including large credit unions, virtual marketplaces and other lenders that come with no origination or signup fees, fixed-rate APRs and flexible loan amounts and terms to suit an array of financing needs.

When narrowing down and ranking the best installment loans, we focused on the following features:

• Fixed-rate APR: Variable rates can go up and down over the lifetime of your loan. With a fixed rate APR, you lock in an interest rate for the duration of the loan's term, which means your monthly payment won't vary, making your budget easier to plan.
• Flexible minimum and maximum loan amounts/terms: Each lender provides a variety of financing options that you can customize based on your monthly budget and how long you need to pay back your loan.
• No early payoff penalties: The lenders on our list do not charge borrowers for paying off loans early.
• Streamlined application process: We considered whether lenders offered quick approval decisions and a fast online application process. 
• Customer support: Every loan on our list provides customer service available via telephone, email or secure online messaging. We also opted for lenders with an online resource hub or advice center to help you educate yourself about the personal loan process and your finances.
• Fees: We evaluate fees in addition to other features when determining the overall offer from each lender. Though some lenders on this list do not charge these fees, we have noted any instances where a lender does charge such fees. 
• Other factors: Each type of installment loan has unique characteristics we also include in our evaluations. For example, for mortgage lenders, we look at closing timelines and types of mortgage loans offered. For auto loan lenders, we consider whether the lender offers the option to add a co-signer or co-borrower.

The rates and fee structures advertised for car loans are subject to fluctuate in accordance with the Fed rate. However, once you accept your loan agreement, a fixed-rate APR will guarantee your interest rate and monthly payment will remain consistent throughout the entire term of the loan. Your APR, monthly payment and loan amount depend on your credit history and creditworthiness. To take out a loan, many lenders will conduct a hard credit inquiry and request a full application, which could require proof of income, identity verification, proof of address and more.

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*Your LightStream loan terms, including APR, may differ based on loan purpose, amount, term length, and your credit profile. Excellent credit is required to qualify for lowest rates. Rate is quoted with AutoPay discount. AutoPay discount is only available prior to loan funding. Rates without AutoPay are 0.50% points higher. Subject to credit approval. Conditions and limitations apply. Advertised rates and terms are subject to change without notice. Payment example: Monthly payments for a $10,000 loan at 7.99% APR with a term of 3 years would result in 36 monthly payments of $313.32

Fixed rates from 8.74% APR to 35.49% APR. APR reflect the 0.25% autopay interest rate discount and a 0.25% SoFi Plus interest rate discount. SoFi Platform personal loans are made either by SoFi Bank, N.A. or, Cross River Bank, a New Jersey State Chartered Commercial Bank, operating from its Delaware branch, Member FDIC, Equal Housing Lender. SoFi may receive compensation if you take out a loan originated by Cross River Bank. These rate ranges are current as of 02/23/26 and are subject to change without notice. Not all rates and amounts available in all states. See SoFi Personal Loan eligibility details at https://www.sofi.com/eligibility-criteria/#eligibility-personal. Not all applicants qualify for the lowest rate. Lowest rates reserved for the most creditworthy borrowers. Your actual rate will be within the range of rates listed above and will depend on a variety of factors, including evaluation of your credit worthiness, income, and other factors.