Best Personal Loan Recommondation

[jetsfan2013]

Hey everyone,

2014 has been quite an interesting year, full of ups and downs, but I find myself in an unique situation that I hope some can give direction. Due to some unexpected family medical bills and a loss of income in the home, credit cards that were previously "sock drawered" were used this spring and summer. As of 9/1, I sit with approx. 9100 in CC debt across 6 ccs, with 100% util on 5 of the 6, with the average interest rate being 22%. I have been making more than the min.payment on the 3 larger ones, but have tracked that approx 500/mo is going to this debt, and I am not making much progress in outpacing the interest.

I'm not living paycheck to paycheck, but the 500/mo that I used to be able to operate on which now goes to these cards has made things much tighter on the budget.  I don't have any expected windfall of funds coming in the next few months that would wipe out all of this, and with a possible year end bonus or tax refund months away, I am considering a personal loan to consolidate the debt.

From research here, aside from my local credit union, I see Discover offers personal loans. My most recent FICO (per my barclays app) was 647.

Aside from a local credit union (which I have an auto loan with since June but nothing else), and discover, are there any other viable options I am missing?

[princesstooth]

Have you looked at Lending Club or Prosper? It's peer to peer lending. It's typically a soft pull for both to see if you qualify. Do your homework on how this works. I actually just submitted a request yesterday.

[CreditDunce]

Do you have a CreditKarma account?  If so I would check their pre-qual offers for personal loans.  I doubt it will be that helpful, but it will give you an idea if you will qualify and at what rate for a personal loan without a HP.   There may be other pre-qual sites for personal loans, but I am not familiar with them.

You didn't mention it, but I am sure you have already thought about the option of getting a low interest credit card or balance transfer credit card.  Sadly, it is difficult to get one once you have high utilization.  However, it may be easier to get a low interest credit card from a credit union than getting a personal loan at a decent interest rate.

The best option is normally a secured loan.  However, you need home equity or car equity to qualify.

[jetsfan2013]

I have looked at Prosper and some of the other P2P lending, however I was under the impression there are stricter requirements on those loans than others?

[jetsfan2013]

I do have Credit Karma, and the only suggestions offered was a loan through the company formerly known as Citi Financial. I wont go through them.

[princesstooth]

I thought so too. I don't have the best credit. I just have to verify my bank acct by confirming a small deposit that should pop up tomorrow and hopefully the rest of the process will move forward without a hitch. I think it's worth looking into. The interest rates aren't the best but much better then what I'm paying now.

[Anonymous]

Hope you get out of this situation soon.

Good luck!

[jetsfan2013]

just a quick update - tried both my local cu and lending club - no go for both.

[Anonymous]

SInce you are running out of options, I would call your credit cards one by one, and request a "temporary," one year lowering of your current interest rates, hopefully in half, due to your present hardship circumstances.  I think the banks would like it if you say "I just need a year to get things back in order," so it would not be like they are going to take a loss on you or anything.  And, if one of the banks is not very cooperative, tell them, or lie to them, about other banks having already greed to your proposal.  

The point is, you have to do something.  This will not resolve by itself.  You need a breather and pronto!  Best of luck!