Types of loans
Every loan is the same deal underneath: money now, a price for it later. Here is how the main types differ in cost, risk and who gets approved.
Personal loans, by what they pay for
Unsecured installment loans: nothing is pledged, so your credit and income set the rate.
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Unsecured loan · updated Oct 13, 2026
Personal loans
A lump sum repaid in fixed monthly payments over 1–7 years. APRs from about 7% to 36%, set by your credit.
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Unsecured loan · updated Oct 13, 2026
Debt consolidation loans
One fixed loan to pay off several debts. Worth it only if the APR clearly beats your cards, which averaged 22.36%.
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Unsecured loan · updated Oct 13, 2026
Home improvement loans
Unsecured loans vs. HELOCs (about 7.33% in Oct 2026) vs. FHA Title I loans of up to $25,000 for repairs.
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Unsecured loan · updated Oct 13, 2026
Medical loans
Check the bill and ask for charity care first. Medical credit cards run about 26.99% once deferred interest hits.
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Unsecured loan · updated Oct 13, 2026
Wedding loans
A personal loan for the big day. $15,000 over 3 years costs about $2,900 in interest at 12%, more at 20%.
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Unsecured loan · updated Oct 13, 2026
Emergency loans
Fast cash compared by cost: credit union loans capped at 28% APR vs. payday loans near 400%.
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Unsecured loan · updated Oct 13, 2026
Payday loan alternatives
Credit union PALs up to $2,000 at 28% APR or less, paycheck advances, payment plans and local help.
Loans backed by your car or home
Collateral lowers the rate and raises the stakes: miss payments and the lender can take it.
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Secured loan · updated Oct 13, 2026
Auto loans
Financing secured by the car. Banks averaged 7.17% on 72-month new-car loans in August 2026; used cars cost more.
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Secured loan · updated Oct 13, 2026
Auto loan refinancing
Swap your car loan for a cheaper one. Refinancers cut their average rate from 10.40% to 7.97% in Q2 2026.
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Secured loan · updated Oct 13, 2026
Home equity loans
A fixed-rate lump sum secured by your home. Average 10-year rate 8.66% in October 2026, plus 1%–5% closing costs.
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Secured loan · updated Oct 13, 2026
HELOCs
A credit line secured by your home, priced off the 7.00% prime rate. Average rate 7.33% in October 2026.
