Best Personal Loans in Maryland for 2024

Q: What are some personal loan red flags to look out for?

When considering personal loans , red flags include extremely high APRs, lack of transparency about loan origination and a high number of poor consumer reviews. Make sure you can afford the new debt before applying.

First Tech delivers the best personal loans in Maryland and has a MoneyGeek score of 98. It excels in customer service, competitive interest rates and broad repayment options.

By Zachary Romeo, CBCA

Reviewed by Alvin Yam, CFP

Edited by Rae Osborn

Updated: November 21, 2024

Advertising & Editorial Disclosure

First Tech and PenFed are MoneyGeek's top choices for personal loans in Maryland, scoring 98 and 96, respectively. These lenders offer exceptional customer service, competitive interest rates and clear application processes.

We selected these personal loan lenders after considering important factors, such as their reputations, loan term flexibility and required credit scores. When searching for a loan, your credit score and income play big roles in your eligibility and the terms you'll get. The average credit score in Maryland is 716, per Experian data from 2023, which typically offers good rate and term options. But keep in mind a lower score may mean a tougher time getting great rates.

Best Personal Loan LendersMaryland

2024

Best Personal Loan Lenders in Maryland

Best Overall - First Tech

Runner-Up - PenFed

Best for Bad Credit - Happy Money

Best for Debt Consolidation - Truist

MoneyGeek's personal loans scoring system is designed to give a comprehensive overview of each lender’s performance in key areas that matter to borrowers. We use a point-based system, assigning scores according to the presence or absence of certain desirable features in critical categories.

Our analysis was completed in April 2024 and considers banks and lenders who are licensed to do business in Maryland. We also consider financial companies that partner with federally insured institutions to offer competitive rates.

34Lenders Analyzed

Overall Best Personal Loan Lender in Maryland

First Tech

98MoneyGeek Score
8.94% to 18.00%APR Range
UndisclosedMinimum Credit Score
$500 to $50,000Loan Amount Range
6 to 84 monthsRepayment Terms

First Tech is MoneyGeek's pick for the best personal loan lender in Maryland with a score of 98 out of 100. Offering an annual percentage rate (APR) range between 8.94% to 18.00%, First Tech's rates are lower than many competitors, making financing more affordable. The lender stands out for its flexibility, offering repayment terms that extend up to 84 months, which is longer than many other lenders. Excellence in customer service and education, paired with top ratings in rates and fees, ensures borrowers receive valuable support and competitive financial offerings.

Pros

Insured by the National Credit Union Administration (NCUA)
No early repayment penalty
Provides granular APR data for a variety of loan terms

Cons

Need to be a member to apply
Could provide more detail on the loan application process
Little published information about credit score requirements

Runner-Up for Best Personal Loan Lender in Maryland

PenFed

96MoneyGeek Score
7.99% to 17.99%APR Range
UndisclosedMinimum Credit Score
Up to $50,000Loan Amount Range
Up to 60 monthsRepayment Terms

PenFed Credit Union is ranked by MoneyGeek as the runner up for the best personal loan lender in Maryland with a score of 96 out of 100. Offering competitive APRs ranging from 7.99% to 17.99%, its rates are favorable compared to industry averages. PenFed particularly excels in terms of loan terms and flexibility, allowing for repayment periods up to 60 months, as well as reputation and transparency which ensures borrowers have clear and comprehensive information upfront.

Pros

Offers some of the lowest APRs available
Insured by the National Credit Union Administration (NCUA)
Explicitly mentions that debt consolidation is available

Cons

No information provided about credit score requirements
$50 minimum monthly loan payment

UNDERSTAND YOUR DEBT-TO-INCOME RATIO

The amount of monthly debt payments you have relative to your monthly gross income is called your debt-to-income ratio, or DTI.

Most lenders prefer to see a debt-to-income ratio of 35% to 40% or below for secured loans and 40% to 45% or below for unsecured personal loans. Debt includes items like mortgages, car loans, credit cards, and existing personal loans. A debt-to-income ratio above 50% is considered high, so approval may be more difficult, or your loan may come with higher interest rates. — Alvin Yam, CFP®

Calculate Your Monthly Loan Payment

According to our analysis, lenders in Maryland offer personal loan products averaging about 56 months, but this can vary based on the financial instution and the borrower's credit profile. Explore your loan options with our personal loan calculator. This simple tool calculates monthly payments and total loan costs based on the amount, interest rate and term length, helping you make informed decisions.

Personal Loan Calculator

Estimate the monthly payment for your loan.

Updated: Dec 21, 2024

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5 Years

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Although MoneyGeek partners with some of the companies we recommend, our content is written and reviewed by an independent team of writers, editors and licensed agents. Learn more about our editorial policies and expert editorial team.

Best Personal Loan Lender in Maryland for Bad Credit

Happy Money

94MoneyGeek Score
11.72% to 17.99%APR Range
640Minimum Credit Score
$5,000 to $40,000Loan Amount Range
24 to 60 monthsRepayment Terms

Happy Money is MoneyGeek's pick for the best personal loan provider for borrowers with low credit in Maryland, with a MoneyGeek score of 94 out of 100. Happy Money partners with multiple federally insured financial institutions to offer loans, ensuring competitive rates. Its APR range of 11.72% to 17.99% stands out against others, considering the average rates. With a minimum credit score requirement of 640, the company excels in providing up-front information and in its application process, making it straightforward for customers to obtain loans.

Pros

Works with 10 federally insured lenders to originate installment loans
Transparent eligibility requirements, including credit score minimum
No application fee

Cons

The lenders they work with charge an origination fee
Longer time to wait for loan approval compared to other lenders analyzed

How does MoneyGeek score lenders for bad credit loans?

We use our standard methodology and weights, but we limit our analysis to lenders that explicitly mention their minimum credit score requirements on their public websites. Only 12% of lenders that offer personal loans fit this criteria.

We filtered our analysis to include lenders with minimum credit score requirements between 580 and 640, which happens to meet Experian's definition of fair credit. Our research did not find any published minimums below 580.

Getting a personal loan is a possibility even with lower credit than this, but you will not have access to the best interest rates and terms available. Some lenders offer prequalification, which doesn't affect your credit score, to help you understand what you might be eligible for.

Best Personal Loan Lender in Maryland for Debt Consolidation

Truist

96MoneyGeek Score
8.74% to 17.39%APR Range
UndisclosedMinimum Credit Score
From $3,500Loan Amount Range
24 to 60 monthsRepayment Terms

MoneyGeek's pick for the best personal loan provider for debt consolidation in Maryland is Truist, with a MoneyGeek score of 96 out of 100. While not a traditional lender itself, Truist recommends multiple credit options that can suit a variety of needs for potential borrowers. The company stands out for its competitive APR range of 8.74% to 17.39%, which, when compared to other rates analyzed, starts lower on average, offering more affordable borrowing costs. Truist excels particularly in interest rates and fees, alongside the application and approval process, signifying its commitment to providing value and a smooth customer experience without the prerequisite of a minimum credit score disclosure.

Pros

FDIC insured
No origination fees

Cons

High minimum loan requirement compared to competitors
Difficult to qualify for the lowest rates

How does MoneyGeek score lenders for debt consolidation?

We looked only at interest rates, fees, loan terms and flexibility, with a 60% and 40% weighting. If the winner in our analysis also won as Best Overall or Runner-Up, we selected the next best winner for diversity.

Some lenders have minimum interest rates that are higher for debt consolidation loans compared to general-use loans. When consolidating debts, finding the lowest interest rate possible will help you save the most money over the long term.

IS INTEREST ON PERSONAL LOANS TAX DEDUCTIBLE?

Interest on personal loans is generally not tax deductible as personal loans are considered consumer debt. But there are some exceptions where the interest may qualify:

When consolidating high-interest qualifying debts like credit cards or student loans, if used to pay off those debts.
If used for home improvements that increase the home's value.
If the loan proceeds can be demonstrated as used exclusively for business expenses or starting a business.
In some cases, if the loan is used for investment purposes related to income-generating assets.

— Alvin Yam, CFP®

Impact of Credit Score on Loan Repayment in Maryland

If you are thinking of getting a personal loan in Maryland, be mindful of your credit score, credit history, income and debt-to-income ratio. These factors determine your creditworthiness and loan terms. MoneyGeek's evaluation of Maryland's best personal loan lenders involves studying their reputation and transparency, APR ranges, minimum required credit scores and the flexibility of loan terms offered.

A higher credit score typically results in more favorable loan terms, such as lower APRs; therefore, enhancing your credit score before applying may be beneficial. Use the table below to see how your credit score might influence your monthly loan repayments.

Data filtered by:Results filtered by:

Credit Band

Select

Credit Band:690 to 719

Loan Amount

Select

Loan Amount:$2,000


$348	6
$180	12
$97	24
$69	36
$55	48
$47	60
$42	72
$38	84

This table offers an approximation of monthly payments, calculated using median personal loan interest rates typical for various credit score ranges. Please remember that these numbers are median estimates, provided for general guidance. They should not be taken as precise rates for everyone in each credit score category. Actual interest rates can differ due to lender-specific policies, prevailing market conditions and unique borrower profiles.

Pros and Cons of Personal Loans in Maryland

Personal loans offer significant advantages, such as potentially lower interest rates than credit cards and the ability to consolidate debt into one manageable payment, giving borrowers financial flexibility and a way to manage finances. It's important to be aware of possible downsides, including origination fees and the risk of collateral damage in the event of default on a secured personal loan. For a better understanding, consider the pros and cons of personal loans.

The good and bad of personal loans

Competitive interest rates compared to credit cards
Consolidation of multiple high-interest debts into one payment
Rapid funding following approval for immediate financial needs
Potential for more favorable loan terms with the addition of a qualified co-signer

Potential for additional costs resulting from origination fees
Risk of penalties for early loan repayment
Possibility of asset loss with secured personal loans
Risk of accumulating unnecessary debt

FAQ About Personal Loans in Maryland

MoneyGeek has answers to questions you may have about personal loans, to help you make an informed decision before applying.

Who is the best lender in Maryland for personal loans?

According to MoneyGeek's analysis, the best lender in Maryland for personal loans is First Tech. This lender has a MoneyGeek score of 98. Their average APR is approximately 13.5%.

Where is the best place to get a personal loan in Maryland?

In Maryland, personal loans are offered by banks, online lenders and credit unions. For local in-person services, the Central Credit Union of Maryland is one of the local credit unions where you might acquire a personal loan.

Who has the best personal loan interest rates in Maryland?

PenFed offers the lowest starting APR at 7.99% for personal loans in Maryland. However, the best rates for individual borrowers can vary and securing a low rate often depends on having an excellent credit score.

What can I use a personal loan for in Maryland?

In Maryland, you can use personal loans for various reasons, including medical expenses, home or auto repair and vacations or travel. Typically, they cannot be used for college tuition or illegal activities.

What are some personal loan red flags to look out for?

When considering personal loans, red flags include extremely high APRs, lack of transparency about loan origination and a high number of poor consumer reviews. Make sure you can afford the new debt before applying.

Do lenders consider income level when applying for a personal loan?

Yes, lenders do consider income level when evaluating a personal loan application. They assess your debt-to-income ratio, employment history and credit report to determine eligibility. Opening new credit lines during the application process can affect your chances of getting a loan.

Personal Loans

Best Debt Consolidation Loans in Maryland 2024

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Best Personal Loans for Bad Credit in Maryland

About Zachary Romeo, CBCA

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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sources

Experian. "What is the Average Credit Score in the US?." Accessed October 13, 2024.

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.