U.S. Bank Personal Loans Review | The Ascent

Top perks

Loans as small as $1,000

If you’re hit with a small emergency, like a broken water heater, a larger loan could leave you with money left over (and will need to repay). The fact you can borrow as little as $1,000 from U.S. Bank means it’s possible to take out only the amount needed.

Relatively low interest rates

Interest rates vary by lender, and U.S. Bank rates hit somewhere in the middle. There are other lenders with lower interest rates on the bottom end of the range, but much higher interest rates on the upper end.

No origination or prepayment fees

Whether you’re taking out a loan to consolidate debt or to remodel your kitchen, it’s important to save money where you can.

Credit scores as low as 660 acceptable

Although a borrower with a credit score of 660 is likely to be offered an interest rate at the higher end of the range, it’s far superior to most loans that require no credit check at all. For example, payday lenders routinely charge 400% or more for a two-week loan.

Fast funding

As long as U.S. Bank doesn’t run into any bumps in the road as it processes your loan application, you are likely to receive funds within one business day.

Better Business Bureau rating of A+

Whether you’re at a car dealership applying for an auto loan, at a mortgage lender applying for a mortgage, or taking out a consolidation loan, working with a well-respected lender is important.

What could be improved

Must be a U.S. Bank customer to have access to the best loan options

It is possible to become a U.S. Bank customer, but if you’re not looking for a new bank, it may not be something you care to do. However, it’s only U.S. Bank customers who qualify to borrow up to $50,000 and who can take care of the entire loan process online.

Lack of transparency

While U.S. Bank says that it makes loans to borrowers with credit scores as low as 660, it is unclear how the bank determines whether an applicant is qualified. Knowing in advance what U.S. Bank is looking for can help you decide whether it’s worth applying.

No opportunity to prequalify

Piggybacking on the fact that U.S. Bank does not make it clear what it’s looking for in a loan customer, the bank does not allow applicants to prequalify. That means U.S. Bank runs a hard credit check on each applicant, dinging their credit scores a bit in the process.