How Much Can You Borrow With a Personal Loan? Quick Guide

There are many different lenders that offer personal loans, including banks, credit unions and peer-to-peer online lenders. The minimum and maximum borrowing limits are set by each lender and the amount of your personal loan depends on your creditworthiness.

MoneyLion offers a service to help you find personal loan offers. Based on the information you provide, you can get matched with offers for up to $100,000 from our top providers. You can compare rates, terms, and fees from different lenders and choose the best offer for you.

Quick Take

• Loan amounts: Typically range from $2,000 to $50,000, though higher earners may qualify for $100,000 or more.

• Repayment terms: Terms usually range between two and seven years.

• Credit score: Your score helps determine how much you can borrow. To get a $50,000 loan, you’ll likely need a score of 740 or more.

• Debt-to-income (DTI) ratio: Most lenders look for a DTI level of 36% or less.

• Credit inquiry: Applying for a personal loan typically triggers a hard credit inquiry.

Personal Loan Amounts by Lender

Finding the right lender depends on how much money you need for your personal loan. Here’s a comparison table to help you decide:

What Determines Your Personal Loan Limit

Lenders look at these factors to determine how much of a personal loan you'll qualify for.

Credit Score

Your credit score determines your eligibility and your loan amount. Here’s a rundown on credit scores and how they can impact loan limits and annual percentage rates (APRs):

DTI Ratio

Lenders want to see how much of your income is already dedicated to other debts. To determine your DTI ratio, the lender will use the following formula:

• DTI = gross monthly income ÷ by total monthly debt payments × 100

DTI Thresholds

• 36% or higher: Strong

• 37% to 43%: Borderline

• 43%: Approval becomes difficult

Income and Employment Stability

Lenders are interested in how much you make, but more importantly, they want to know how long you’ve been employed. Most lenders like to see consistent employment of at least two years in the same field.

Gig or freelance workers may have to jump through more hoops to qualify since their income comes from multiple sources.

Existing Debt

Lenders look at the type of debt you have, even if your DTI is low, as part of the personal loan requirements they use to assess risk.

For example, if you’re carrying several credit card balances with high interest rates, this may lower your loan limit. However, if you have installment loans like a car loan and it shows a regular and on-time payment history, this may increase your loan limit.

Loan Amounts by Borrower Profile

Here’s how loan amounts can vary based on different borrower profiles:

How To Qualify for a Larger Loan

If you're not getting approved for the amount of money you need, you can:

• Reduce your debt: If you can lower your DTI ratio by paying off a significant amount of your debt, you may qualify for better loan terms.

• Increase your income: Making more money will also help lower your DTI ratio. You could do this by getting a side gig.

• Raise your credit score: To boost your credit score, try to make all of your payments on time. You can also reduce your credit utilization, which is how much of your available credit you've used.

Alternatives if You Need More Than You’re Approved For

If your loan offer falls short, you may want to explore these alternatives:

• 0% APR credit card promotions: You can finance an expense and save money on interest by getting a credit card with an intro APR promotion. Some promotions last up to 24 months.

• Home equity loan: This is a secured loan that uses your home for collateral purposes.

• Credit union loans: If you belong to a credit union, you can apply for a loan, typically up to $2,000. The interest may be lower than other options, like payday loans.

• Add a co-signer: Adding a co-signer may help you get approved for a higher amount.

Key Takeaways

• Personal loan amounts typically go up to $100,000, though higher earners can qualify for more.

• Your credit score will determine the amount of your loan. In general, you need a credit score of 740 or more to qualify for loans of around $50,000.

• You may qualify for a larger loan by reducing your debt and improving your credit score.

• Your DTI ratio also impacts your loan amount, with most lenders preferring 36% or lower.

• If a personal loan doesn’t cover your needs, there are other financing options to consider

Personal Loan Borrowing FAQs

Here are answers to common questions about how much you can borrow with a personal loan:

What credit score do I need for a $50,000 loan?

You’ll need a credit score of 740 or more to get a $50,000 loan. You could get the same amount with a lower credit score, but it may mean a higher interest rate.

What’s the maximum personal loan amount?

Many lenders will offer between $50,000 to $100,000. Some higher earners could qualify for even more.

How do lenders decide my loan limit?

To determine your loan limit, lenders will review the following information: credit score, credit history, income, DTI ratio, payment history and existing debts.

Can I get a large loan with high DTI?

With a high DTI, you could be denied a loan or receive a lesser amount. Lenders typically look for a DTI around 36%.

Does pre-qualification affect my credit?

No, pre-qualification doesn’t typically impact your credit.

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