Digital News Report – Personal loan rates are higher today with some changes at Harris Bank and U.S. Bank.
The Federal Reserve reports that outstanding credit card debt is declining while personal loan debt is increasing. In January, the amount of personal loans, including auto and unsecured personal loans, increased 6.9%. That is on an annual basis.
Harris Bank raised their base personal loan rate one percentage point since our last survey. The bank is offering personal loans starting at 6.5%.
The final rate will depend on several factors. The borrower’s credit score plays a big role. The loan amount and lender are also important in determining the final interest rate.
U.S. Bank also raised their interest rate today. The bank is charging 4.79% on their personal loans.
Typically banks will charge a lower rate for secured personal loans. New car loans have a lower rate than used car loans.
BBVA Compass had a rate of 6.49%, Northern Trust Co. was charging 7.5% and Nationwide Bank was charging 6.45% today.
By Tina Brown