Digital News Report – Today more people are using personal loans compared to last year, but that figure is still lower than the year before. The trend is still upward.
There was $2.410 trillion in outstanding consumer credit in the last quarter of 2010 compare to $2.404 trillion in the previous quarter.
Banks offer a variety of personal loan products. Some loans are unsecured while others may be secured with a car, furniture or other valuable.
The credit score of the borrower is important, but even borrowers with bad credit can receive a personal loan. A recent report found that banks have loosened standards slightly moving back into subprime lending.
HSBC had a rate of 9.69%. Their starting rate was 6.99% and their upper end was 12.39%.
SunTrust also offered personal loans today. Their rate is unchanged since our last survey. SunTrust had a personal loan rate starting at 3.99%. Their upper end rate was 12.99%.
Capital One Bank offers personal loans, along with their credit card products. They has secured personal loans starting at 2.99%. Unsecured rates were higher and the loan amount will affect the cost of the loan.
New car auto loans will typically carry the lowest personal loan rate. Some of the higher rates are available to customers with bad credit seeking an unsecured personal loan. These rates are still lower than payday loan.
By Tina Brown