Whether you’re looking to consolidate debt, finance a major purchase, or fund a life event, a personal loan often sounds like a good idea. When you decide to take out a personal loan, the key is finding the right lender for your circumstances.
If you’re in the market for a personal loan, should you consider the loan from Citizens Bank?
We’ll explain the details on the loan from Citizens Bank, so that you can make your borrowing decision with confidence.
Make sure you see how Citizens Bank compares to our top personal loan lenders. We also recommend the Credible comparison tool to shop around for the best personal loan in minutes. Think of Credible like Kayak - you enter your information once, and they shop the best lenders for you. If you like the offer, you can apply right there on the platform. Check out Credible here, enter your information, and start applying for a personal loan today.
- Citizens Bank offers unsecured fixed rate loans
- Competitive interest rates for qualified borrowers
- Loan terms from 3 to 7 years
What Types of Personal Loans Does Citizens Bank Offer?
Citizens Bank offers unsecured personal loans, with fixed interest rates. The repayment period on Citizens Bank personal loans ranges from three to seven years.
No matter how you use a personal loan from Citizens Bank, it won’t place a lien on your assets. That means that Citizens Bank cannot repo your vehicle or foreclose on your home if you fail to pay the loan.
However, that doesn’t mean a personal loan from Citizens Bank is free money. If you don’t pay back the loan, Citizens Bank can sue you for the unpaid balance of the loan. Plus, the record of nonpayment will remain on your credit report for seven years.
Who Qualifies for a Personal Loan from Citizens Bank?
To qualify for a personal loan from Citizens Bank you need to be 18 years old or older in most states. You must also be a U.S. citizen or permanent resident. Finally, you need a strong credit history (680+ in most cases, though there isn’t a firm cutoff), and you need to earn at least $24,000 per year.
You can apply for loans as an individual borrower or as a co-borrower. Co-borrowers may combine their incomes and use the better credit score to get a better interest rate. However, both borrowers take full responsibility for the repayment of the loan.
What Are the Rates and Terms on Loans from Citizens Bank?
Personal loans from Citizens Bank have no origination fees, and are fixed-rate loans. You’ll pay back the loans in equal monthly installments over a period of 36 to 84 months (3 to 7 years). Borrowers don’t face prepayment penalties for paying off the loan early.
You can borrow between $5,000 and $50,000 on a personal loan from Citizens Bank.
As of October 12, 2018, the rates are: 5.99% to 19.48% APR.
To get a rate quote, you can use a soft pull from Citizens Bank. The rate quote tells you the rate you’ll be offered if your information is validated and the loan is approved.
Borrowers are eligible for a 0.25% “loyalty” discount if they have an account open at Citizens Bank prior to applying for a personal loan from the bank. You can also earn a 0.25% discount for setting up your loan on auto-pay.
Citizens Bank does not charge late fees on its loans.
Is There Any Concerning Fine Print on Citizens Bank Personal Loans?
Personal loans from Citizens Bank are straightforward, but you should always read a loan disclosure before taking out the loan. In particular, you should look at late fees and penalty interest rates on your loan disclosure. Right now, you shouldn’t find any, but Citizens Bank could change its practices at any time.
People considering co-borrowing should also be very careful. If either one of you misses a payment, the negative mark will go on both of your credit reports.
Final Take on Citizens Bank Personal Loans
Borrowers with excellent credit might find good rates on personal loans from Citizens Bank. But, these same borrowers may find better rates elsewhere. Before deciding on a particular lender, shop around to find the best possible rates on personal loans.
Even more importantly, spend time assessing why you want to take out a personal loan in the first place. Paying for a wedding or honeymoon, braces for your kids, or a new boat are all worthy goals, but taking out debt to pay for these purchases is usually not a great idea. Most of the time it’s better to save money rather than take on debt. Learn more about how you can save more money by increasing your income and spending less.
Every once in a while a personal loan makes sense as a business or investment loan or to help you consolidate debt. However, you should look into every other option (negotiating with medical providers, 0% balance transfer credit cards, and saving in advance) before opting for a personal loan from any lender, including Citizens Bank.