person loan

A personal loan is an installment loan offered by banks, credit unions, or online lenders, delivering a fixed lump sum that is paid back in regular monthly installments over a set term.

These loans are generally unsecured, meaning no collateral is required. Approval is based on credit score, income, and debt-to-income ratio

Common uses include:

• Financing large purchases, medical bills, home improvements, vacations, or weddings.

• Debt consolidation—combining multiple debts into a single lower-rate loan.