Individuals can take out a personal or instalment loan and repay the principal plus interest over a set number of monthly payments. The interest rates on these loans may be significantly lower than those on credit cards, and the funds may be available the same day you apply.

A personal loan can be used for everything from debt consolidation to paying for a wedding or a once-in-a-lifetime vacation. Let's check out some of the best low-interest personal loans available today.

1. LightStream

LightStream, SunTrust Bank's online lending division, offers borrowers excellent credit or better competitive interest rates and customizable repayment plans. LightStream is well-known for its wide variety of lending options, except student and business financing. The website for LightStream states that borrowers have used personal loans for things like car purchases, home improvements, debt consolidation, medical bills, and even weddings.

If you apply on a banking business day, have your application approved, electronically sign your loan agreement, and verify your direct deposit banking account information, you may receive your funds on the same day. LightStream's APRs are the lowest on this list, and they provide a further reduction for customers who sign up for automatic payments. LightStream offers a wide choice of interest rates shown on its website. As Fed rates shift, this could change.

If you prefer to be billed instead of having payments automatically deducted from your account, your annual percentage rate will increase by 0.50%. With a fixed APR, you can count on the same amount every month for the duration of your loan. This loan has the most significant available term length among the loans we recommend (24 months to 144 months).

2. SoFi

SoFi could be a fantastic choice if you require a sizable unsecured loan. If your credit is good enough, you can borrow up to $100k. Furthermore, loan terms of up to seven years may be available. If you can extend your payments over a longer period, you can keep your monthly amount down. Other important aspects of a personal loan from SoFi are:

• Once approved, same-day funding is possible if you qualify.
• The "unemployment protection" offered by SoFi can assist you in temporarily adjusting your loan payments if you lose your job.
• Money can be borrowed between $7,000 and $100,000.

3. Happy Money

Consolidate your credit card debt into one manageable monthly payment with a lower interest rate using a Happy Money personal loan.

Credit card debt is a significant barrier to financial stability, and Happy Money wants to assist clients in overcoming this by providing debt consolidation loans. No important purchases, home upgrades, education upgrades, etc., can be funded with a Happy Money loan.

Loan amounts can be as high as $40,000, and repayment periods can last 24 to 60 months. Your credit score won't take a hit if you use the website's soft inquiry function to research loan choices based on your credit report.

There are no fines for paying your loan off early or making payments late, but there is an origination cost of up to 5%, depending on your credit score and application. A higher credit score means a reduced loan interest rate and origination charge.

4. Wells Fargo

If you have a Wells Fargo checking account, you may qualify for a lower interest rate on a personal loan with the same bank. Wells Fargo offers a "relationship discount" of 0.25% off your interest rate if you meet specific requirements.

• There are no up-front costs or interest charges for paying off the loan early.
• Borrow between $3,000 and $100,000
• One- to seven-year repayment periods are available.
• Be aware that only some applicants will be offered promotional pricing.

5. PenFed

PenFed is a federal credit union that accepts anyone as a member and offers a wide variety of unsecured loans to cover everything from large purchases like a car or a house to smaller, more everyday costs like paying off credit card debt or making necessary home repairs.

PenFed offers loans with durations ranging from one to five years with a low minimum loan amount of $600, while other lenders require a minimum loan amount of at least $1,000. While membership is not required for application, you must join PenFed and maintain a $5 balance in a savings account to receive your funds. Although PenFed loans are viable for smaller sums, the funds must be physically deposited into a bank account. You can get your check from the nearest PenFed branch if one is available. However, if you don't reside near a component, you'll have to shell out extra cash for overnight check delivery.