Best Debt Consolidation Loans in Pennsylvania 2024

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Updated: November 19, 2024

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Debt consolidation loans are unsecured personal loans that are used as part of a debt repayment strategy. They help you streamline and pay off debts you currently owe, such as student loan debt, at a lower interest rate than what you're currently paying.

MoneyGeek analyzed 28 lenders and found PenFed to be the top choice for debt consolidation loans in Pennsylvania, scoring 96 out of 100. Although PenFed stands out in our analysis, you may also want to contact local lending options like 1st Ed Credit Union and Members 1st Federal Credit Union to see if they fit your borrowing needs.

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2024

Best Debt Consolidation Loans in Pennsylvania

Best Overall - PenFed
Runner-Up - Alliant Credit Union
Best for Affordability - Wells Fargo
Best for Large Loans - PNC
Best for Fast Funding - Rocket Loans

Overall Best Debt Consolidation Loan Lender in Pennsylvania

Company logo for PenFed
PenFed
MoneyGeek Score:
96/ of 100
APR Range8.99% to 17.99%
Loan Amount RangeUp to $50,000
Repayment TermsUp to 60 months
Time to Receive Funds1 to 2 Business Days
Overview

PenFed offers the best debt consolidation loan in Pennsylvania, with a MoneyGeek score of 96 out of 100. Several features contribute to an ideal debt consolidation loan lender, such as competitive rates, how much you can borrow, how quickly you can get your funds, the quality of service it provides, and its reputation.

PenFed's APR range of 8.99% to 17.99% can benefit borrowers by offering lower interest rates, reducing the overall cost of the loan. Its loan amount range of up to $50,000 provides flexibility for those needing to consolidate larger amounts of debt. Additionally, the quick disbursement time of one to two business days ensures that borrowers can access their funds promptly, helping them manage their debt more effectively.

Runner-Up for Best Debt Consolidation Loan in Pennsylvania

Company logo for Alliant Credit Union
Alliant Credit Union
MoneyGeek Score:
95/ of 100
APR RangeFrom 10.49%
Loan Amount Range$1,000 to $100,​​​​​000
Repayment Terms12 to 60 months
Time to Receive FundsSame Day
Overview

Alliant Credit Union is another solid option for a debt consolidation loan in Pennsylvania, with a MoneyGeek score of 95 out of 100. One of its pros is a low APR starting from 10.49%, which can significantly reduce the interest you pay on your consolidated debt, saving you money in the long run.

Another benefit is its high loan amount range, from $1,000 to $100,000. This flexibility allows you to consolidate multiple debts into one manageable loan. Additionally, Alliant Credit Union offers same-day fund disbursement, so you can quickly pay off your existing debts and start fresh with a single monthly payment.

Best Debt Consolidation Loan in Pennsylvania for Affordability

Company logo for Wells Fargo
Wells Fargo
MoneyGeek Score:
94/ of 100
APR Range7.49% to 24.99%
Loan Amount Range$3,000 to $100,000
Repayment Terms12 to 84 months
Time to Receive Funds1 to 3 Business Days
Overview

Wells Fargo offers the best debt consolidation loan in Pennsylvania for borrowers who prioritize affordability, with a MoneyGeek score of 94 out of 100. It provides an APR range of 7.49% to 24.99%, making it a competitive option for those looking to consolidate their debts. One practical benefit is the absence of origination fees, which means you won't have to pay extra costs upfront, allowing you to focus on paying down your debt. Another advantage is the availability of rate discounts for automatic payments, which can lower your overall interest costs over the life of the loan.

Wells Fargo excels in affordability by offering no origination fees and rate discounts, making it easier for you to manage your debt without incurring extra charges. With loan amounts ranging from $3,000 to $100,000 and repayment terms between 12 to 84 months, it provides flexible options to suit your financial needs.

Best Debt Consolidation Loan in Pennsylvania for Large Loan Amounts

Company logo for PNC
PNC
MoneyGeek Score:
96/ of 100
APR RangeUp to 24.99%
Loan Amount Range$1,000 to $35,000
Repayment Terms6 to 60 months
Time to Receive Funds3 Business Days
Overview

PNC offers the best debt consolidation loan in Pennsylvania for borrowers who need a large loan amount or longer repayment terms. It has a MoneyGeek score of 96 out of 100. PNC provides loan amounts ranging from $1,000 to $35,000.

PNC's competitive interest rates can help you save money on interest payments over time. Flexible repayment terms, ranging from six to 60 months, allow you to choose a plan that fits your financial situation, making it easier to manage your monthly budget.

Best Debt Consolidation Loan in Pennsylvania for Fast Funding

Company logo for Rocket Loans
Rocket Loans
MoneyGeek Score:
95/ of 100
APR Range9.116% to 29.99%
Loan Amount Range$2,000 to $45,000
Repayment Terms36 or 60 months
Time to Receive FundsSame Day
Overview

Rocket Loans offers the best debt consolidation loan in Pennsylvania for borrowers who need funds quickly, with a MoneyGeek score of 95 out of 100. You can receive funds on the same day, making it an excellent choice for urgent financial needs.

One feature of this lender is its fast approval process, allowing you to quickly pay off high-interest credit card debt. Another feature is its flexible loan terms, enabling you to choose a repayment term that fits your budget.

Should You Get a Loan to Consolidate Debt in Pennsylvania?

Using a debt consolidation loan in Pennsylvania can simplify your finances by merging multiple payments into one. But it's not always the best option. For instance, if the interest rate on the new loan is higher than your current debts, it might not make sense. Consider your specific situation before deciding.

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    Good Credit

    Having good credit can get you better terms on a debt consolidation loan in Pennsylvania, affecting your interest rates and monthly payments.

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    High-Interest Debt

    If you have high-interest debt, a debt consolidation loan in Pennsylvania can lower your interest rates. For example, reducing 20% APR to 10%.

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    Multiple Payments

    Managing multiple monthly payments is easier with a debt consolidation loan in Pennsylvania. One payment is simpler than juggling several.

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    Lower Monthly Payments

    A debt consolidation loan in Pennsylvania can help lower your monthly payments. For example, reducing $500 to $300 per month.

When You Shouldn't Get a Debt Consolidation Loan

  • When your new monthly payment is higher: A higher monthly payment can strain your budget further, leading to more financial stress rather than relief.
  • When you can pay off debt in a year: If you can clear your debt within a year, a consolidation loan might not be necessary. Short-term sacrifices could save you interest.
  • When your income is unstable: Unpredictable income makes it hard to commit to fixed monthly payments. This could lead to missed payments and additional fees.
  • When your DTI ratio is high: A high debt-to-income ratio can result in loan denial or unfavorable terms. Improving your DTI before applying for a debt consolidation loan in Pennsylvania is a better strategy.

How to Get a Debt Consolidation Loan in Pennsylvania

The average amount of personal debt in Pennsylvania is $85,047, while the overall average debt for Americans across all states is $104,215. In Pennsylvania, the average monthly debt translates to around $7,087.

Using a personal loan to consolidate debt in Pennsylvania can simplify your payments and potentially lower your interest rates. Going into the process blindly can lead to higher interest rates and damage your credit score. To avoid these risks, follow these steps to apply for a debt consolidation loan.

  1. 1
    Review your debts and credit score.

    Account for existing debts to see which ones to consolidate, like credit card debt. Poor choices can lead to higher interest rates. Check your credit scores and improve your credit score by paying bills on time and reducing debt.

  2. 2
    Compare loan terms from lenders.

    Compare loan terms from multiple lenders. Contact lenders to ensure you can use the loan for debt consolidation. Look at APRs, loan limits, and how soon you can receive the funds.

  3. 3
    Check for extra benefits.

    Some lenders offer added benefits that could save you money. For example, in Pennsylvania, Santander and Upgrade offer rate discounts.

  4. 4
    Watch out for fees and penalties.

    Some lender features could be drawbacks. In Pennsylvania, LendingPoint charges an origination fee and Axos charges a late fee. These fees can impact your short- and long-term finances.

  5. 5
    Get prequalified.

    Prequalification helps you understand your chances of loan approval without affecting your credit score. It involves a soft credit check.

  6. 6
    Complete your loan application.

    Complete your loan application by preparing necessary documents like proof of income and identification. This makes the process faster and smoother.

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WHAT TO DO IF YOU'RE DENIED A DEBT CONSOLIDATION LOAN IN PENNSYLVANIA

Lenders might deny your loan application due to factors like a poor credit history or a high debt-to-income ratio. Before applying for a debt consolidation loan in Pennsylvania, consider reviewing your credit reports and working on improving your credit score. You can also reach out to credit counseling agencies such as Advantage Credit Counseling Service, Inc. and Credit Counseling Center to help manage your debts better.

Another option is to use a 0% APR balance transfer credit card. This type of card allows you to transfer existing debt to a new credit card with no interest for a promotional period, which can save you money on interest payments.

Local Lenders for Debt Consolidation Loans in Pennsylvania

One reason to consolidate debt is to benefit from lower interest rates, which can make managing payments easier. The average APRs you can qualify for vary between cities in Pennsylvania. For example, in Philadelphia, the average APR is 10.6%.

Another option to find the best debt consolidation loan in Pennsylvania is to consider other local lenders. Below is a table of local lenders to help you explore more options.

Freedom Credit UnionPhiladelphia9.99% to 17.99%6 to 72 monthsUp to $30,00099
Philadelphia Federal Credit Union PhiladelphiaFrom 9.99%Up to 60 months$500 to $25,00095
Police and Fire Federal Credit UnionPhiladelphiaFrom 12.90%Up to 72 monthsUp to $30,00093
Penn Federal Credit UnionPhiladelphiaFrom 9.90%Up to 60 monthsUp to $10,00091
Philadelphia Letter Carriers Federal Credit UnionPhiladelphiaFrom 9.99% UndisclosedUndisclosed91

FAQ: Debt Consolidation Loans in Pennsylvania

We addressed common questions borrowers have about debt consolidation loans in Pennsylvania to help you understand how debt consolidation can simplify your finances.

What is a debt consolidation loan in Pennsylvania?
What's the best debt consolidation loan lender in Pennsylvania?
Can I get a debt consolidation loan in Pennsylvania if I have bad credit?
Can a credit counseling agency in Pennsylvania help manage debt?
When should I get a debt consolidation loan in Pennsylvania?

MoneyGeek analyzed 28 national lenders licensed to do business in Pennsylvania, based on a rubric that includes APR ranges, loan amounts and repayment terms, among other key areas. We use a point-based system and assign scores according to the presence or absence of desirable features in various important categories.

We score lenders differently when recommending the best for affordability, loan amounts and fast funding.

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We conducted our analysis in September 2024.

28Lenders Analyzed

About Zachary Romeo, CBCA

Zachary Romeo, CBCA headshot

Zachary Romeo is a certified Commercial Banking and Credit Analyst (CBCA), and the Head of Loans and Banking at MoneyGeek. Previously, he led production teams for some of the largest online informational resources in higher education, with over 13 years of experience in editorial production.

Romeo has a bachelor's degree in biological engineering from Cornell University. He geeks out on minimizing personal debt and helping others do the same through people-first content.

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The content on this page is accurate as of the posting/last updated date; however, some of the rates mentioned may have changed. We recommend visiting the lender's website for the most up-to-date information available.

Editorial Disclosure: Opinions, reviews, analyses and recommendations are the author’s alone and have not been reviewed, endorsed or approved by any bank, lender or other entity. Learn more about our editorial policies and expert editorial team.

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