Updated: October 30, 2024
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First Tech and PenFed are MoneyGeek's top personal loan picks for New Yorkers, with scores of 98 and 96 respectively. They shine in customer service, loan terms and transparent fees. M&T Bank is a standout regional lender in New York for personal loans with a perfect MoneyGeek score, offering competitive APRs and a wide range of loan amounts.
MoneyGeek weighs lender reputation, interest rates, credit score requirements and flexibility in terms, making it easier to compare personal loans.
Your credit score, how much you earn and your debt-to-income ratio will impact personal loan rate offers.
The average New Yorker's credit score is 7211. A typical borrower with a score over 700 will be in a good position for favorable loan terms.
MoneyGeek has analyzed dozens of lenders in New York to find the best options for you.
Best PersonalLoan LendersNew YorkBest Personal Loan Lenders in New York
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, including loan options and terms of installment loans. We use a point-based system, assigning scores according to the presence or absence of certain desirable features in various critical categories, like customer service and annual percentage rate (APR).
Our analysis was completed in March 2024 and considers banks and lenders that are licensed to do business in New York. We also consider loan companies who partner with federally insured institutions to offer competitive rates.
First Tech is MoneyGeek's top personal loan lender in New York with a score of 98 out of 100. Its APR range of 8.94% to 18.00% is notably lower than the highest APRs compared by MoneyGeek. First Tech provides a wide array of repayment terms from 6 to 84 months, offering considerable flexibility. They particularly excel in areas like competitive rates and a smooth application process, factors that significantly contribute to our recommendation.
PenFed Credit Union is MoneyGeek's runner-up for the best lender for personal loans in New York, scoring 96 out of 100. PenFed’s APR range from 7.99% to 17.99% stands out, with its lower bound being notably competitive. This lender offers customer-friendly repayment terms, up to 60 months, which are more flexible compared to others. MoneyGeek especially recognizes its excellent customer service and a proven track record for integrity and clarity.
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 and so approval may be more difficult, or your loan may come with higher interest rates.
— Alvin Yam, CFP®
Some local banks and credit unions offer personal loans in neighborhoods throughout New York. APRs among these loan companies range from 8% to more than 20%. Local lenders sometimes provide special discounts to community members that further reduce the overall cost of borrowing. M&T Bank stands out in MoneyGeek's analysis of New York personal loan providers, with a MoneyGeek score of 100 out of 100.
| Ridgewood Savings Bank | 8.50% to 16.99% | $5,000 to $30,000 | 95 |
| Apple Bank | Up to 24.99% | $3,000 to $50,000 | 92 |
| Municipal Credit Union | 7.99% to 17.99% | Up to $50,000 | 91 |
According to our analysis, lenders in New York offer personal loan products averaging about 52 months, which can vary based on the financial institution and the borrower's credit profile. Explore your loan options with our personal loan calculator, a simple tool to calculate monthly payments and total loan costs based on amount, interest rate and term length, helping you make informed decisions before committing.
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The best personal loan lender for low-credit borrowers in New York is Happy Money, with a MoneyGeek score of 94 out of 100. Although Happy Money is not a traditional lender, it stands out by partnering with different federally insured financial institutions to offer loans. It boasts a minimum credit score requirement of 640 and an APR range of 11.72% to 17.99%, which is competitive. The company excels particularly in transparency, providing clear upfront information to consumers, and in customer service, ensuring accessible assistance and educational resources.
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 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 lower than 580.
Getting a personal loan is still possible if you have a lower credit score than 580, but you will not have access to the best interest rates and terms available. Some lenders offer prequalification to help you understand what you might be eligible for without affecting your credit.
The best personal loan provider for debt consolidation in New York is Alliant Credit Union, with a MoneyGeek score of 96 out of 100. Alliant stands out due to its competitive APR range of 10.99% to 13.99%, lower than other rates analyzed by MoneyGeek. Furthermore, Alliant excels in providing detailed information for consumers and competitive interest rates and fees. Alliant is an online-only bank, and it requires membership for 90 days prior to eligibility for a personal loan.
How does MoneyGeek score lenders for debt consolidation?
We looked only at interest rates and fees (60% weight) and loan terms and flexibility (40% weight). If the winner in our analysis also won 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 their rates for general-use loans. When consolidating debt, finding the lowest interest rate possible will help you save the most money over the long term.
Interest on personal loans is generally not tax deductible because personal loans are considered consumer debt. But there are some exceptions where the interest may qualify:
— Alvin Yam, CFP®
When considering a personal loan in New York, you need to be aware of your creditworthiness, including your credit score, credit history, and debt-to-income ratio. These significantly impact the loan terms you may be offered. Lenders also value steady income and assess how much debt you currently carry relative to that income. MoneyGeek's best personal loan lenders in the state are selected based on their reputation and transparency, APR ranges, minimum credit scores required and flexibility in loan terms offered.
Your credit score is a critical factor in determining the terms of your loan; a higher credit score can lead to more favorable annual percentage rates (APRs), making it worthwhile to improve your score before applying. Use the table below to see how your credit score might influence your monthly loan payments.
| $348 | 6 |
| $180 | 12 |
| $97 | 24 |
| $69 | 36 |
| $55 | 48 |
| $47 | 60 |
| $42 | 72 |
| $38 | 84 |
This table approximates monthly payments, calculated using median personal loan interest rates typical for various credit score ranges. 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.
Personal loans offer the flexibility to consolidate debt into a more manageable single payment, and typically come with lower interest rates, which can be particularly attractive for qualified borrowers. The right lender could also provide rapid access to funds, making it easier to cover unexpected expenses or invest in life's important moments.
Despite their advantages, personal loans must be managed carefully because factors like origination fees and prepayment penalties can offset their initial appeal. First understand the benefits and drawbacks of personal loans before committing.
If you have questions about personal loans, MoneyGeek has answers to help you make an informed decision before applying for a personal loan.
According to MoneyGeek's analysis, First Tech is the best lender for personal loans in New York, with a MoneyGeek score of 98 and an average APR of 14%.
In New York, personal loans are available from a variety of loan companies such as online lenders, banks, and credit unions. For local access and in-person services, First New York Federal Credit Union, Island Federal Credit Union and Northern Credit Union offer personal loans. Lenders that offer competitive rates with fewer credit restrictions are ideal.
PenFed offers the lowest APR available on personal loans in New York, starting at 7.99% according to MoneyGeek's analysis. Keep in mind, the best option for you may vary based on your financial situation and securing a low rate usually requires excellent credit.
Generally, you can use personal loans for a variety of purposes. For example, you could use them for emergency circumstances, vacation or travel, and home or auto repair. Personal loans for home improvements are typical, but you can borrow money for other significant expenses. However, personal loans typically can't be used for college tuition and can never be used for illegal activity.
When considering personal loans, watch out for extremely high APRs, a lack of transparency about the lender's federal insurance, a high frequency of poor consumer reviews and an application process that requires no verification of identity or income.
Yes, lenders do consider your income level when you apply for a personal loan. They assess your debt-to-income ratio, credit score, employment history, the nature of your employment such as self-employment or W2 status and your overall credit history. Opening new lines of credit during the application process can impact your credit score and your chances of obtaining a personal loan.
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.
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.
