If you need to cover emergency expenses, consolidate your debt or fund urgent home renovations, a personal loan can help. These loans offer flexible financing, allowing borrowers to use the funds for a wide range of purposes.
In some situations, you may need quick access to funds to solve the issue at hand. So, how long does it take to get a personal loan? The timeline varies by lender, but it’s typically possible to get a personal loan within one to ten days. Here, we’ll cover the personal loan process and what to expect.
[Read: Best Personal Loans.]
What Is the Personal Loan Approval Process?
The personal loan approval process includes three phases.
1. Application
Length of time: 15 minutes or less
If you have your documentation ready, completing a personal loan application can take less than 15 minutes. And depending on where you work and bank, your lender may be able to access your payroll and bank statements with your permission, which can save you time.
2. Approval
Length of time: Same day up to three business days
Thanks to automated underwriting, some personal loan lenders offer “instant” or same-day approvals. For other lenders, approval may take several days.
3. Funding
Length of time: Same day up to seven business days
You may receive your personal loan funds as soon as the same day, while some lenders may take as long as five to seven business days for online applications. Electronic transfers to your checking or savings account are the speediest. But you may also be able to request a check or even a debit card. This can increase your funding time.
How Long Does It Take to Get a Personal Loan?
The time it takes to get a personal loan typically ranges from one to 10 days, and depends in part on whether you apply through a bank, credit union or online lender.
You can apply for a personal loan in person or by phone at your local branch or credit union. However, applying for a personal loan online is typically the fastest option. So if you’re concerned about timing, an online lender may be best.
While online lenders are generally faster with approval and funding timelines than brick-and-mortar banks and credit unions, that’s not always the case. If you have a relationship with the financial institution, it can make a major difference.
“Most of our loans are funded in under two hours,” says Derik Farrar, head of everyday banking and borrowing at U.S. Bank. Farrar notes that applying for a personal loan with your bank can be can be a quick process since the bank already has some of your information on file and can easily deposit the funds into your existing accounts.
Some credit unions also offer fast funding. So if you’re a member of a credit union, research your options.
“We prioritize getting our members access to the funds they need quickly, so our average approval timeline is around 2.5 hours, with funds received within 12.3 hours,” says Chris Keller, chief marketing officer at Empower Federal Credit Union. “In some cases, approval and funding can be processed in under 10 seconds.” He adds that, on average, the timeline for approval varies from a few hours up to five business days.
Many online lenders advertise that you can receive loan funding as soon as the next business day or within 24 hours.
What Can Delay How Long It Takes to Get a Loan?
If you’re in need of a personal loan because you’re in a pinch, time is of the essence. The speed at which your loan is approved matters, so it’s important to avoid delays. Some things that can slow down your personal loan application approval include:
— Incomplete information
— Insufficient documentation
— Discrepancies
— Manual underwriting vs. automated underwriting
— Not in good standing with the bank or credit union
— Large loan amount
Requesting a large loan amount can slow down the approval process as it may require manual review from a human underwriter.
“Oftentimes, if it needs to go to an individual, it might be because there’s a rule that certain loan amounts over x amount might require a person to look at it,” says Farrar. Lenders take extra precautions when funding a large loan amount to ensure the borrower can afford to repay it.
[Read: Best Online Loans]
Ways to Improve Your Personal Loan Application
To boost your chances of getting approved for a personal loan, take these steps before applying.
— Check your credit score. Personal loan lenders have different minimum credit score requirements. Even if you have bad credit, some lenders may still work with you. However, having a good FICO credit score of 700 or higher may help your chances and could lead to lower interest rates. Currently, the average personal loan rate is 11.57% for 24-month terms as of May 2025, according to Federal Reserve data. Check your credit score through your bank or a credit monitoring site to see where you stand.
— Review your credit report. Go to AnnualCreditReport.com to check your credit reports from the three major credit bureaus: Experian, Equifax and TransUnion. If there are any errors, dispute them directly with the credit bureaus. Before applying for a loan, make sure there isn’t a freeze on your credit report, which could lead to delays or rejection.
— Reduce your debt-to-income ratio. Lenders review your debt-to-income ratio, or DTI, to assess your eligibility and determine whether you can afford the personal loan. DTI is a percentage that shows how much of your income is currently going toward paying debt. For the best shot at approval, your DTI should typically be below 36%. However, some lenders may allow a DTI of up to 50%.
How to Apply for a Personal Loan
If you’re ready to take the next steps to get funding, here’s how to apply for a personal loan.
1. Determine the Loan Amount
Whether you want to pursue a home improvement project, consolidate debt or pay for an emergency, identify how much you need and only apply for that amount. Your personal loan lender will evaluate both your loan amount and loan purpose.
It’s important to consider how much you can afford as well. “Always run your numbers so you’ll know what terms you’ll be comfortable paying,” says Keller.
2. Review Eligibility Requirements
Research multiple lenders, including your bank or credit union and online lenders. Check the eligibility requirements to ensure you qualify. For example, Discover requires borrowers to be at least 18 years old with an income of at least $25,000. Avant has a minimum credit score of 550.
3. Compare Offers
Once you know that you meet their minimum loan requirements, compare offers from various lenders. Review the loan terms, interest rates, and the minimum and maximum amounts you can borrow. Many personal loan terms are between one and seven years, with loan amounts from $1,000 to $100,000. Typically, personal loans have fixed interest rates. Your rate will depend on your creditworthiness and the lender. Upstart offers personal loans with APRs from 6.7% to 35.99%, for example.
Note any origination fees, which are the costs incurred to process or originate the loan. For example, Discover personal loans and U.S. Bank personal loans don’t have any origination fees, while Upstart’s origination fees range from 0% to 12%. origination charges are included in the loan’s APR. If you’re comparing two personal loans with the same term, but different interest rates and fees, the one with the lower APR is the cheapest.
4. Get Prequalified
To help speed up the loan approval process, get prequalified. Lenders generally allow you to check your rate with only a soft inquiry, which doesn’t impact your credit. This can help you see if you’re eligible and check your potential rate.
5. Collect Documentation
You will need to provide personal information and various documentation when applying for a personal loan to confirm your identity and income. Typically, this can include:
— Full name
— Address
— Email address
— Date of birth
— Social Security number
— Phone number
— Driver’s license
— Loan amount
— Loan purpose
— Pay stubs or tax returns
— Employment status
— Employer
— Monthly income
If you’re self-employed or have nontraditional employment, it may take more time to get a personal loan.
“The more diverse, the more complex, the more variable your employment and income profile, the more complex it is for the lender to make a decision,” says Kyle Enright, president of lending at Achieve, a digital consumer finance company.
6. Complete Personal Loan Application
After you have everything ready, complete the personal loan application. Applying online is usually the fastest option, especially if you’re concerned about processing time. To avoid delays, complete all required fields and double-check for errors. Keep in mind that submitting a loan application and giving permission for a credit check generates a hard inquiry on your credit report, which temporarily drops your credit score by a few points. That’s why you should prequalify before applying. .
7. Start Repayment
After your loan is funded, you can use the money to consolidate debt or cover major expenses. To stay in good standing, you must repay the loan based on the terms of your loan agreement. Consider signing up for autopay so you never miss a payment.
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How Long Does It Take to Get a Personal Loan? originally appeared on usnews.com
Update 08/14/25: The story was previously published at an earlier date and has been updated with new information.
