How to Avoid Paying High Interest on Personal Loans

Interest rates on personal loans vary depending on the lender, the amount of the loan, and the borrower’s credit history. Generally, personal loans have higher interest rates than other types of loans, such as auto loans or home equity loans. Before you do anything, make sure to compare personal loan rates so you get the best deal.

Taking personal loans

The average interest rate on a personal loan is about 10%, but rates can range from around 6% to 36%. Borrowers with good credit can usually qualify for personal loans with lower interest rates. Those with bad credit may have to pay higher rates, sometimes as high as 30% or more.…

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