Bank of America, being an influential bank chooses not to offer personal loans. But rather, it focuses on mortgages, auto loans, and credit cards. Why? With mortgages and car loans, the property acts as collateral to secure the loan, which makes the loans much less risky than unsecured personal loans.
Bank of America is one of the largest financial service providers in the United States (U.S), with operations in all 50 states that serve more than 67 million consumer and small business customers.
But despite its otherwise diverse offerings, Bank of America’s personal loans don’t exist.
Bank of America’s wide array of financial products includes credit cards, savings accounts, checking accounts, home equity lines of credit, and small business loans.
It also offers home and auto loans to buy a house or vehicle. But you’ll have to turn elsewhere for your personal loan needs.
This article gives you the alternatives for your Personal Loan;
Bank of America Personal Loan Alternatives
LightStream allows you to borrow more than many competitors and its starting APR is among the lowest of all personal loans.
They also provides a $100 guarantee that your borrowing experience will be the best ever. However, only borrowers with very good to excellent credit can qualify.
Some of the key features of LightStream personal loans include the following:
APRs ranging from 4.99% – 16.79% if you sign up for autopay
Loan amounts from $5,000 – $100,000
Repayment terms between 24 – 144 months
$0 origination fee
Loans funded as soon as the same day you apply
Wells Fargo is a popular bank and offers many of the same services as Bank of America. And its personal loan options are an added bonus.
It offers both secured and unsecured personal loans with competitive rates. Turnaround time is quick, and you may be eligible for a loan up to $100,000.
But you’ll need good to excellent credit to qualify. Current customers with qualifying accounts may receive an APR discount of 0.5%. However, if you aren’t a current customer, you’ll need to apply in person at your local branch.
Loan amounts: $3,000 to $100,000
APRs: 5.24% to 20.24%
Loan term: 1 to 7 years
Eligibility: Proof that you can pay back the loan, be 18+ years old and US citizen or permanent resident.
HSBC offers personal loans to borrowers with credit scores of 700 or higher — the lower end of the good-credit range. Its rates are capped at 22.99%, and its loans are open to residents of all states except Wisconsin. Same-day turnaround is also available.
But loans for new customers are capped at $30,000. And although you won’t have to make a payment for 50 days, interest starts accruing immediately. This means the sooner you make your first payment, the less you’ll pay over the life of your loan.
Loan amounts: $3,000 to $30,000
APRs: 6.99% to 22.99%
Loan term: 2 to 5 years
Eligibility: 680+ credit score, US permanent resident (Not Wisconsin or any US territory resident), ages 18+ — or 19+ in Nebraska and Alabama
Citizens Bank personal loans are a good choice for people looking for a longer repayment term and a loan with no origination fees from a big bank.
Interest rates are comparable with the rates offered by competitors and you can get your loan funds quickly. In fact, most Citizen Bank personal loans are funded within two days of the time of loan approval, and the entire process can be completed online.
While the interest rates are competitive, their APR range is typically slightly higher than some alternatives, such as SoFi, so you’ll need to shop around to ensure you get the best rate.
Some of the key features of Citizens Bank personal loans include:
APRs ranging from 6.77% – 20.86%
Loan amounts from $5,000 – $50,000
Repayment terms between 3 – 7 years
$0 application fee
Loans are funded within two business days from the time of approval
With a minimum loan amount of $1,000, PNC is an option if you want to borrow less than the minimum of many competitors. PNC is also a good choice if you are interested in borrowing from a large bank as opposed to a online lender like LightStream or SoFi.
Like the other options listed, you can expect to receive your money within a few days of being approved and there is no origination fee.
Some of the key terms of PNC personal loans include:
APRs ranging from 5.74% – 11.24%
Loan amounts from $1,000 – $35,000
Repayment terms of 6 – 60 months
$0 origination fee
Loans are funded within a few days of application
Types of Loans Offered by Bank of America
If you were hoping to borrow for a home or a car, or if you have enough equity in your home, you could consider the following Bank of America loans. Note that Bank of America also doesn’t offer student loans.
Mortgages & Mortgage Refinancing:
Bank of America offers mortgages for purchasing homes as well as home refinance loans for saving on existing mortgages. The house you buy or own will serve as collateral for the loan, and the interest you pay should be tax deductible up to federal limits.
Home Equity Lines of Credit:
When you want to borrow against the equity in your home, Bank of America has you covered. A home equity line of credit can allow you to tap into the equity you’ve built in your property for home improvements or other purchases.
Car loans are also secured loans because the car acts as collateral. The interest rate on a car loan is usually lower than the rate on a personal loan because the loan is secured.
Though not technically a loan, Bank of America also offers many credit cards that you may be interested in.
1. Are there other banks that offer personal loans?
Yes. If you’re interested in an online banking experience, Discover has personal loan options available. If you’d rather visit a branch in person, Citibank offers personal loans to its clients. Compare other banks that offer personal loans, and you may even be able to visit a local credit union to find an unsecured loan option.
2. Can get a loan from the providers listed above with bad credit?
No. You must meet the minimum credit score of the lender in order to be considered for a loan. However, there are still personal loan options for people with bad credit.
3. How do Bank of America’s auto loans, mortgages and credit cards work?
When you apply for a secured loan like an auto loan or mortgage, your home or car is used as collateral should you default. When you apply for a credit card, there’s no collateral, but you’ll likely have to pay a much higher interest rate on your balance than you would with a personal loan. Either option requires you to have good to excellent credit and a demonstrated ability to repay your loan.
4. Does Bank of America offer loans for businesses?
Yes. Bank of America offers business loans. The bank offers both secured and unsecured options for business owners including lines of credit, term loans, auto loans and commercial real estate loans.
Personal loans can be a necessary tool in handling expensive parts of life. Bank of America may not offer them, but that doesn’t mean you don’t have options.
No matter if you’re looking to compare lenders easily, are interested in a wider range of loan terms or want to try out p2p lending, a variety of alternative providers can help you get the financing you need.
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