A personal loan can be used for a variety of purposes. Whether it’s for debt consolidation, home renovation, or an emergency expense, how you use the funds is up to you. Most personal loan options on the market are unsecured, so you don’t need to put up any of your assets as collateral.
If you live in California, you can choose a local or regional bank or opt for an online lender. Generally, online loans tend to be faster than those from local banks, while smaller institutions may be able to offer more customized terms.
Here are our favorite national banks for personal loans in California:
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How to find the best personal loans in California
More or less, personal loans in California are the same as in any other state. However, California has a few rules and regulations lenders must follow, some of which include:
- State law prohibits lenders from charging prepayment penalties for any loan that is not a home loan.
- To loan in California, a lender must be licensed by the state to do business there.
- California law prohibits lenders from having interest rates above 10% for loans used for personal reasons, but most lenders are exempt since they are federally regulated financial institutions.
- Loans between $3,000 and $10,000 cannot have a repayment term longer than five years and 15 days.
- Loans of at least $2,500 may not have a repayment term shorter than 12 months.
Below, we take a closer look at national banks in California, but here’s a quick table that includes local lenders:
| Lender | Availability | Rates (APR) |
| Credible | All 50 states | 6.99% – 35.99% |
| LightStream | All 50 states | 7.49% – 25.49% |
| Upgrade | All 50 states | 8.49% – 35.99% |
| Happy Money | Multiple states | 11.72% – 24.67% |
| Northern California National Bank | Multiple counties | Not disclosed online |
| California Bank and Trust | Multiple counties | 12.25% – 27.96% |
| First California Federal Credit Union | Fresno County | Starts at 7.99% |
| California Coast Credit Union | Multiple counties | As low as 10.88% APR |
You may get more flexibility and customization with a local bank. Meanwhile, you may get faster processing with an online bank
Jim McCarthy, CFP®
Online unsecured personal loans in California
We rated each of the lenders below and determined which types of borrowers each is best suited for. Personal loans vary by state. While every lender may not be licensed to lend in all 50 states, all of the ones listed below are licensed in California.
Additionally, all of these lenders offer unsecured personal loans. Should you be unable to make payments, no assets are at risk of being seized. Using unsecured loans typically results in higher interest rates than secured loans, but they pose less of a risk to borrowers.
Credible
Why Credible is the best marketplace
You can see what rates you’d receive with one of Credible’s partnered lenders in only a couple of minutes. Plus, seeing these prequalified rates won’t affect your credit score. Once you formally apply with the lender you choose, you could receive your funds as soon as the next business day, but it can take longer for some lenders.
- Compare loans from multiple curated lenders
- Get prequalified loan offers in as little as 2 minutes
- Get funded within a few business days
- No option to apply for joint loans
| Rates (APR) | 6.99% – 35.99% |
| Loan amounts | $1,000 – $200,000 |
| Repayment terms | 1 – 10 years |
Eligibility requirements
- Soft credit check? Yes
- Minimum credit score: Varies
- Minimum income: Not disclosed
- States: Loan partners may not be available in all states
Repayment terms
Credible loans have repayment terms ranging from one to 10 years. Some lenders may charge a prepayment penalty if you pay your loan off early.
Upgrade
Why Upgrade is the best personal loan for fair credit
Upgrade is available in every state. If you’re in California and choose Upgrade, consider ways to get rate discounts. For example, you can save by signing up for autopay, securing the loan with collateral (such as a car), or using the loan to pay off other debts.
Upgrade also doesn’t charge any fees for paying off the loan early. It’s possible to get your funds as soon as the next day.
- Choose your monthly payment and loan term
- Joint applications accepted
- Loan funds may be available in as little as 1 day
- Smaller loan maximum limit
- 1.85% to 9.99% origination fee
| Rates (APR) | 8.49% – 35.99% |
| Loan amounts | $1,000 – $50,000 |
| Repayment terms | 2 – 7 years |
Eligibility requirements
- Soft credit check? Yes
- Minimum credit score: 580
- Minimum income: Not disclosed
- States: All 50 states and Washington, D.C.
Repayment terms
Upgrade loans have repayment terms from two to seven years, and your monthly due date is adjustable to fit your budget. A short-term financial hardship program is available if you’re temporarily unable to manage payments.
Happy Money
Why Happy Money is the best personal loan for credit card debt
Happy Money‘s loan is intended for people working to get out of credit card debt. The lender charges an origination fee, which is taken from your loan amount.
But you don’t need to worry about other fees, such as an application fee, prepayment fee, or late fee. You can view your rate in less than two minutes without it affecting your credit score.
- Send payments directly to creditors
- Choose your loan repayment term and due date
- Free monthly credit score monitoring
- Origination fee from 1.5% to 5.5%
- Not available for uses other than credit card debt
| Rates (APR) | 12.45% – 17.99% |
| Loan amounts | $5,000 – $40,000 |
| Repayment terms | 2 – 5 years |
Eligibility requirements
- Soft credit check? Yes
- Minimum credit score: 640
- Minimum income: Not disclosed
- States: Loans not offered in Nevada or Massachusetts
Repayment terms
Happy Money lets you choose personal loan terms ranging from two to five years, so you can get a payment that reflects your budget. There are no prepayment penalties, and you won’t be charged a fee if your payment is late. Happy Money doesn’t offer rate discounts at this time.
LightStream
Why LightStream is the best personal loan for excellent credit
Californians looking for a good rate on their personal loan may consider LightStream, which operates in all 50 states. However, the company only works with borrowers who have good credit scores. It’s because of its high standards that LightStream can offer low rates.
- Rate match guarantee ensures that you get the best rate possible
- Same-day funding may be available
- Take advantage of a longer repayment term if you need lower payments
- No option to prequalify or check rates with a soft credit pull
- Minimum loan amount is $5,000
| Rates (APR) | 7.49% – 25.49% |
| Loan amounts | $5,000 – $100,000 |
| Repayment terms | 2 – 12 years |
Eligibility requirements
- Soft credit check? No
- Minimum credit score: 660
- Minimum income: Not disclosed
- States: All 50 states and Washington, D.C.
Repayment terms
LightStream offers some of the longest repayment terms of any lender, giving you up to 12 years to repay your loan. You can pay your loan off early, without a prepayment penalty and rate discounts can help bring the cost of your loan down.
Local California personal loans
If you’re looking for a personal loan from a lender where you can actually talk to a real, live person, you may want to stick with local lenders. This way, you can ask questions and may even be able to get a loan more tailored to your needs.
However, the application and underwriting process won’t be as automated as it would be with an online lender, so things may take a bit longer.
| Lender | Availability | Rates (APR) |
| Northern California National Bank | Multiple counties | Not disclosed online |
| California Bank and Trust | Multiple counties | 12.25% – 27.96% |
| First California Federal Credit Union | Fresno County | Starts at 7.99% |
| California Coast Credit Union | Multiple counties | As low as 10.88% APR |
If you have bad credit and need a personal loan, consider a local lender. It might work with you on a credit improvement plan.
Jim McCarthy, CFP®
How to choose the best California personal loan
You must first determine your exact needs to choose the best California personal loan. What is the maximum amount of money you need, and how much money can you comfortably pay each month for the monthly payments?
While a bank or credit union may offer the best rates, the monthly payments may be too high for your budget if the loan terms are too short. However, if you choose a loan term that is too long, you’ll pay more in interest.
Once you know what you need, you can start aggressively comparing rates between lenders. We suggest you apply to financial institutions with the best terms and the lowest fees.
Recap of the best online personal loan lenders in California
About our contributors
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Written by Lauren WardLauren Ward is a personal finance writer who regularly covers topics like mortgages, real estate, tax relief, home equity, business loans, and investing.
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Edited by Amanda HankelAmanda Hankel is a managing editor at LendEDU. She has more than seven years of experience covering various finance-related topics and has worked for more than 15 years overall in writing, editing, and publishing.