4 Best Personal Loans to Provide as Employee Benefits
Since employees today care more about employee benefits than salaries, it’s important to provide unique benefits. And since financial benefits are all the more popular, you can choose a practical benefit, such as a TJMaxx credit card, or a savings account.
One way to do that is to provide personal loans. The company itself doesn’t have to give a personal loan. You can choose among the best personal loans in the market and help your employees get it.
Personal loans work as an installment account, where the borrower receives a fixed amount of money. Employees may need such a loan when buying a new gadget, car, or when they’re simply paying for educational expenses.
Here are some of the best personal loans in the market.
SoFi Personal Loan
SoFi’s personal loan has relatively low-interest rates for borrowers with good credit scores. People with good credit scores can even get high loan amounts, provided they have a good income. Also, if you lose your job or source of income, you can get unemployment protection.
People with very good credit ratings can find even better interest rates with other lenders. In addition, the funding may take a few days or even a week, which is longer than other lenders.
The minimum amount you can borrow is $5,000 and the maximum is $100,000. The APR ranges between 5.99% and 17.88%. There are no fees involved.
SoFi will check your credit history, employment, income, and most importantly, your credit score, when reviewing your loan application.
The repayment period can be chosen, between 2 to 7-year options. To apply for a SoFi personal loan, you have to be a US citizen and above the age of 18, as well as, a resident of one of SoFi’s eligible states.
Marcus by Goldman Sachs
Marcus by Goldman Sachs is a unique personal loan that is known to work best for debt consolidation. It’s mostly due to the long repayment terms, which also reduce your monthly payments if you consolidate your debt.
There are no fees involved from the lender’s side and you can customize your payment due date and make it so that it coincides with your payment schedule.
However, the personal loan has much higher rates than its counterparts. Moreover, you need good credit to qualify for the loan, and no co-signers are accepted at any cost.
The minimum amount you can borrow is $3,500, with the maximum being $40,000. The APR ranges between 6.99% and 28.99%. For New York residents, the upper limit is at 24.99%.
To qualify for the loan, you need good credit, need to be older than 18, have a social security or Tax ID number, and a valid bank account.
The typical repayment terms range between 36 and 72 months. If you’re approved, you can receive the funds between one to four days. However, you can’t use the loan to refinance your student loan debt.
LightStream’s personal loan is best for people with good credit because they tend to get lower interest rates. You can get an interest rate that’s as low as 4.99% on unsecured loans for things such as home improvements. The rate may be 5.95% on unsecured loans for things such as debt consolidation.
There is a rate beat program that promises to beat any competitors’ rates by at least 0.10% points, however, you need to check the restrictions involved. There is also a loan experience guarantee where you may get up to $100 if you’re not satisfied with the loan process.
However, it’s hard to qualify for the loan if you don’t have a good credit rating. There is no preapproval process, which means you will be subject to a harsh credit inquiry on your Equifax and Experian credit reports. Lastly, you can only apply online because phone and face-to-face applications aren’t available.
The minimum amount you can borrow is $5,000, and the maximum is $100,000. The APR ranges between 3.99% and 16.79%. There are no fees involved and the typical repayment period ranges between 24 and 144 months.
You will most likely receive the funds on the same day, if approved. However, you can’t use the loan to refinance a student loan, fund a business, or pay for college.
Avant is one of the best personal loans for people with bad credit. You can get competitive interest rates compared to other lenders who give out loans to people with bad credit. You are likely to receive the amount on the same or the next business day if approved.
However, the interest rates may be higher since there is more risk involved for the lender. There may be an administrative fee on top of the interest costs, which may go up to 4.75%. You may also be subject to late fees if you’re late on your payments.
The minimum amount you can borrow is $2,000 and the maximum is $35,000. The APR ranges between 9.95% and 35.99%.
Other than your credit score, Avant will check your income to see whether you qualify for the loan. The typical repayment period is between 24 and 60 months. The funds are usually deposited in your account the next business day.
Overall, Avant’s personal loan is one of the best personal loans for the average consumer.