The best loans for refinancing credit card debt of June 2026

If you're stuck paying off credit card bills with high interest rates, refinancing with a personal loan can get you in the black faster. In addition to lower interest rates that are typically fixed, personal loans come with a set term, so you can budget each month with a fixed payment.

CNBC Select reviewed dozens of personal loan lenders and selected the best for refinancing debt. We looked for no-fee loans whenever possible, but also considered flexible options for people with fair credit. You can learn more about how we made our selections by reading our methodology.

Who's this for? SoFi considers applicants with good to excellent credit for loans that range from $5,000 to $100,000. Most other lenders on this list consider poor/fair to good credit, but SoFi can be a solid option for you if you have an optimal credit score and want to take advantage of some of the unique perks SoFi offers — like unemployment protection if you lose your job.

Standout benefits: If you're a DACA recipient and you need a loan, you can still apply if you have a creditworthy co-borrower who is a U.S. citizen/permanent resident.

Who's this for? LightStream offers some of the lowest starting rates for personal loans on this list. If you have good or excellent credit, you can take advantage of those low interest rates, making it less expensive to take out a loan.

Standout benefits: LightStream offers repayment terms as long as 240 months, depending on the purpose of your loan — that's up to 20 years. Personal loan lenders typically only offer repayment terms of up to seven years.

Who's this for? Upstart considers applicants with credit scores as low as 300 for its personal loan products. You may even apply if you have insufficient credit history, but you'll typically need a co-signer to do this.

Standout benefits: Upstart also offers some of the lowest interest rates of all the lenders on this list and eligible applicants can borrow up to $75,000.

Who's this for? Happy Money offers science-backed resources to help you alleviate financial stress. You can receive a six-week program created specially by their science team to help you gain new skills and reduce negative feelings around money, as well as access some opportunities to interact with their "peace psychologists."

Standout benefits: Happy Money loans are funded by community partners and you can apply in as little as two minutes, according to their website.

Who's this for? Discover typically provides applicants with a same-day decision and can fund as soon as the next business day.

Standout benefits: Discover doesn't charge any origination fees, prepayment penalties or late fees. If you're getting a debt consolidation loan, you can choose to have Discover pay your creditors directly from the funds you applied for.

If you carry a balance on a credit card (or multiple cards) with a high APR, you might want to consider debt refinancing. Simply put, you take out a new loan to pay off old debt, then repay the new loan according to the agreed terms. It makes sense to refinance if you can't afford your current bill payments and need to find a lower monthly plan, or if your credit score is good enough to qualify you for a lower APR, which makes paying off the debt cheaper.

For example, say you have a $10,000 balance on your credit card that charges interest at a rate of 24.99% APR. Assuming you can afford to make $400 monthly payments, it would take about three years to pay your balance off entirely. You'll also pay about $4,000 in interest, according to Experian's debt payoff calculator.

On the other hand, transferring that debt to a personal loan with a 9% APR, can save you more than $3,000. Experian's calculator estimates with the same monthly payment ($400) and the lower APR, you can pay off the balance in 22 months and only pay $875 in interest charges overall.

When you apply for a personal loan, you should consider the APR and the loan's term, or the length of time it will take you to pay it off. Make sure the monthly loan repayment amount fits into your budget, so you're able to comfortably pay off the loan and get your debt under control.

At its best, debt refinancing can boost your credit score by making your monthly payments more affordable and motivating you to pay off your balances. But they aren't entirely risk-free. Personal loan applications require a credit check, so you'll want to know your credit score before you apply. There's no direct penalty for getting denied a loan, but having too many applications on your credit record could be a red flag to future lenders.

For debt refinancing to work, you have to "plan your work and work your plan," so to speak. It helps to be honest about your money habits and the overall state of your personal finances before taking on any loan. Personal loans deliver cash directly to your bank account, making it easy to stay in debt if you're not careful. If you have concerns, opt for a loan that pays your creditors directly so that there's no opportunity for you to overspend. And before you agree to a new loan, make sure you have room in your budget to pay it back on time and in full according to the terms. A late payment on your personal loan can hurt your credit score just like if you miss a credit card bill.

Personal loan APRs average 11.57%, according to the Fed's most recent data, so we'd say a good rate is anything below the average. Take into account that the average credit card interest rate is around 22.25%. Your personal loan interest rate will be decided based on your credit score, credit history and income, as well as other factors like the loan's size and term.

Most personal loans come with fixed-rate APRs, so your monthly payment stays the same for the loan's lifetime. In a few cases, you can take out a variable-rate personal loan. If you go that route, make sure you're comfortable with your monthly payments changing as rates fluctuate.

Once you're approved for a personal loan, funds are usually deposited directly into your checking account. If you opt for a debt consolidation or refinancing loan, you can have your lender pay your credit card accounts directly. (Any extra cash will be deposited into your bank account or returned to the lender.)

Most loan terms range from six months to seven years. The longer the term, the lower your monthly payments will be, but the more interest you'll pay in the long run, so it's best to elect for the shortest term you can afford.

Your monthly loan bill will include your installment payment plus interest charges. If you think you may want to pay off the loan earlier than planned, be sure to check if the lender charges an early payoff or prepayment penalty. Sometimes lenders charge a fee if you make extra payments to pay your debt down quicker, since they are losing out on that prospective interest. The fee could be a flat rate, a percentage of your loan amount or the rest of the interest you would have owed them. 

Once you receive the funds from your loan, you must repay the lender in monthly installments, usually starting within 30 days.

As you shop for a low-interest loan or credit card, remember that banks are looking for reliable borrowers who make timely payments. Financial institutions will look at your credit score, income, payment history and, in some cases, cash reserves when deciding what APR to give you.

To get approved for any kind of credit product (credit card, loan, mortgage, etc.), you'll first submit an application and agree to let the lender pull your credit report. This helps lenders understand how much debt you owe, what your current monthly payments are and how much additional debt you have the capacity to take on.

Once you submit your application, you may be approved for a variety of loan options. Each will have a different term for repaying the loan (your term) and a different interest rate. Your interest rate will be decided based on your credit score, credit history and income, as well as other factors like the loan's size and term. Generally, loans with longer terms have higher interest rates than loans you bay back over a shorter period of time.

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 personal loan list 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 loans for refinancing credit card debt.

To determine which personal loans are the best for refinancing debt, CNBC Select analyzed dozens of U.S. personal loans offered by both online and brick-and-mortar banks, including large credit unions.

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

• Fixed-rate APR: Variable rates can fluctuate 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 more than one financing option 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 evaluated whether lenders offered same-day approval and a fast online application. 
• Customer support: Every loan on our list provides customer service via telephone, email or secure online messaging. We also opted for lenders with an online resource hub or mobile app.
• Fund disbursement: The loans on our list disburse funds promptly via electronic wire transfer to your checking account or as a paper check. Some lenders (which we noted) offer the ability to pay your creditors directly.
• Autopay discounts: We noted lenders that reward borrowers for enrolling in autopay by lowering your APR.
• Creditor payment limits and loan sizes: The lenders we chose advertise payment limits and loan sizes and allow borrowers to get preapproval to see their interest rate and monthly payment.

*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 three 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.