How to Get a $1,000 Personal Loan

Are you in a tight financial spot? Sometimes all you need is a little boost to wiggle yourself free – $1,000 extra boost to be exact.

You can get this money as a personal loan from several places: your local bank, a credit union, an online lender, or your credit card.

Which is the best option? It depends on several factors, such as how long you need to borrow for, where you already have accounts, and what form of funding you need. Compare your options below and make an informed decision.

Traditional lending options

If you have less-than-perfect credit, you can get a $1,000 personal loan from traditional lenders, such as local banks and credit unions. Set a meeting with a bank employee and discuss your needs in person. It helps if you already have an existing account there because they can easily check your finances and help you get approved faster.

Fixed APRs will start under 10%, depending on your credit history. Repayment terms may vary from two to seven years, and you may or may not have to pay fees. There is also a chance that you will receive the funds the same day!

Online lenders

No time to visit a bank near you? Get your $1,000 at an online lender instead. It is easier to apply and compare rates and fees.

Open your computer and type in your personal information like your Social Security Number and the amount you want to borrow and you can get quotes that are specific to you and your credit score.

Remember two things before hitting the submit button: Verify that you are using legitimate and secure websites and make sure the online lender specifies that getting a quote will not hurt your credit score.

Unlike with traditional lenders, you may have to wait several business days to receive your funds. Also, check the minimum loan amount. Some online lenders have a minimum set of over $1,000. Watch out for origination fees of up to 8%, too.

Credit cards

Compared to all previous options discussed, credit cards have the highest interest rates. The lower your credit score, the more you have to pay, too. However, it is an easy way to get $1,000, especially if you can repay the loan fast and take advantage of an introductory rate.

But if you need the loan in cash, this option may not be the best. Cash advances have high-interest rates. Even if you get an introductory rate on a convenience check, there is often a 3% or 5% fee.

Whatever method you choose to get your $1,000 personal loan, make sure you can pay off your debt early to avoid additional charges. Weigh in on all your options and go with the one that best suits your needs.