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Personal Loans

Home Depot Project Loan Review

Home Depot Project Loan

  • Not a traditional personal loan: Must use Project Loan card for Home Depot purchases or its Home Services
  • Repayment terms up to 114 months
  • No ability to prequalify

Unlike traditional personal loans, Home Depot’s Project Loan offers a specialized financing option for home improvement projects. Due to its unique nature, we haven’t assigned it an editorial rating or a best-for designation. 

This product is a blend of a personal loan and a credit card. It allows borrowers to finance purchases at Home Depot stores or through its online platform.

The Home Depot Project Loan might make sense for those planning significant home renovation projects who are frequent Home Depot shoppers. The loan provides the convenience of a one-stop shop for all home improvement needs, from materials to services. Its fixed APR and the ability to spread costs over a set period offer a predictable and manageable repayment plan. 

About Home Depot and its Project Loan

Home Depot, founded in 1978, has grown into one of the largest home improvement retailers in the United States. It provides do-it-yourselfers and professional contractors with a wide range of home improvement products and services. 

Home Depot assists prospective borrowers in realizing their home improvement dreams by offering the Project Loan. This financial product is designed to make larger home renovation projects financially attainable, with its competitive fixed APRs and high borrowing limits—up to $55,000. 

Ideal borrowers for this product might be planning significant renovations and prefer the convenience of a single dedicated line of credit for their purchases at Home Depot. Home Depot caters to those who value convenience and financial clarity in their home improvement endeavors by simplifying the funding process and providing a straightforward repayment structure.

Home Depot Project Loan at a glance

The following table provides a snapshot of the terms and details of the Home Depot Project Loan. We’ll explore these terms in more detail below, so keep reading.

Fixed rates (APR)7.42% – 19.96%* depending on repayment term (More on this below)
Loan amountsUp to $55,000
Repayment period5 ½ years to 9 ½ years
Unsecured or secured?Unsecured
Allows joint loans?Yes; submit co-borrower information at the time of application
Time to funding after approvalIf approved in store, get a temporary shopping pass the same day
Online approvals may not have access to the full credit line before receiving the card in the mail (often in 3 – 5 business days)
Unique featuresCan only use at Home Depot stores or online, and for Home Depot Home Services
*Rates in March 2024

How does a Home Depot Project Loan work?

The Home Depot Project Loan offers a unique borrowing experience tailored to home improvement projects. 

We’ll explore how each term influences the borrowing process:

If you’re approved, your APR is based on your repayment term, with longer terms paying a higher rate. This fixed rate ensures predictable monthly payments, essential for budgeting during a home improvement project:

  • 66 months (5 ½ years): 7.42% APR
  • 78 months (6 ½ years): 12.86% APR
  • 90 months (7 ½ years): 16.24% APR
  • 114 months (9 ½ years): 19.96% APR

(Rates in March 2024)

Here’s how the remaining terms work:

  • Loan amounts and repayment period: Offering up to $55,000, with repayment periods ranging from 66 to 114 months, this loan allows you to match your borrowing to your project. Monthly payments are designed to be affordable, not exceeding $20 per $1,000 spent.
  • Unsecured loan: This loan does not require collateral, making it more accessible for many homeowners.
  • Joint loans: The option for joint loans allows sharing the responsibility and can improve your chances of approval.
  • Time to funding: Immediate access via a temporary shopping pass for in-store approvals. Upon receiving their card in the mail, online approvals can access their full credit line, often in three to five business days.
  • Unique features: This loan is just for use at Home Depot stores or online and for Home Depot Home Services, focusing on home improvement expenses.

Managing the Home Depot Project Loan is convenient and user-friendly. The primary management platform is Home Depot’s online portal, where borrowers can view balances, and statements, and make payments. 

The Home Depot Project Loan can be a comprehensive and accessible financial tool for those undertaking significant home improvement projects, offering a structured and straightforward approach to financing.

What can a Home Depot Project Loan be used for?

The Home Depot Project Loan comes with specific usage restrictions, making it unique compared to general personal loans, which you can often use for almost anything.

The loan is only for purchases at Home Depot stores or its website, and for Home Depot Home Services, encompassing products and services for home renovations. These restrictions ensure borrowers use the loan for its intended purpose: home renovations and improvements, allowing Home Depot to offer fixed APRs and high credit limits that cater to home improvement projects.

This loan is designed for those undertaking significant home improvement projects and ensures all expenses are consolidated within Home Depot’s offerings, providing a focused financial solution for renovation needs.

Who’s eligible for a Home Depot Project Loan?

Eligibility for the Home Depot Project Loan is geared toward those embarking on home improvement projects. Home Depot doesn’t disclose certain criteria, but applicants must meet its conditions to be approved.

Co-applicants are accepted, which can benefit those looking to strengthen their application. A co-applicant’s credit and financial standing might help approval, allowing borrowers with less-than-ideal credit to access financing.

Here are the main eligibility requirements Home Deport discloses about its Project Loan:

Use of the loanMust be used for Home Depot store or online purchase and for Home Depot home services
CitizenshipU.S. citizenship required* 
State of residenceNo exclusions disclosed
Minimum ageAge to apply for a credit card (18 in most states)
*Based on 2013 documentation

What are the costs and fees of a Home Depot Project Loan?

The cost of a Home Depot Project Loan is influenced by its fixed interest rates and the lack of additional fees. 

Here’s a breakdown of these costs:

  • Interest rates: The APR is based on the repayment term. These fixed rates affect the overall borrowing cost, with a lower APR translating to lower total costs.
  • Rate calculation: Credit history, loan amount, and repayment term often affect traditional personal loan rates—but with the Home Depot Project Loan, if you’re approved, the only factor that affects your APR is the repayment term you choose. The shortest term available is 66 months, resulting in the lowest APR (7.42%).
  • Fees: The Home Depot Project Loan does not include origination fees, application fees, or prepayment penalties, which could make it a more cost-effective choice than credit cards and several personal loan lenders.

The absence of fees and the potential for lower fixed APRs can make this loan more affordable for home improvement projects, especially if you choose the repayment term with the lowest rate.

The example below illustrates how APR and repayment terms are crucial in evaluating the overall cost of a $10,000 Project Loan:

APR and termMonthly paymentTotal cost over loan term
7.42% over 66 months$170$11,220
19.96% over 114 months$125$14,250

With the nine-and-a-half-year term, you’d have a lower monthly payment, but you’d spend around $3,000 more.

The Home Depot Project Loan stands out for its clear and predictable cost structure, offering fixed APRs without hidden fees, which can appeal to those seeking straightforward financing for their home improvement projects.

How do you repay a Project Loan from Home Depot?

Home Depot structured repayment as straightforward as possible, offering flexibility and convenience.

  • Repayment options: Make payments online through Home Depot’s loan management portal, over the phone, or by mailing a check. These options cater to different preferences and needs.
  • Repayment terms: Terms are fixed and consistent for all borrowers, based on the chosen loan amount and term. The fixed APR and repayment period (ranging from 66 to 114 months) influence the monthly payment amount and the total cost at the end of the term.
  • Early repayment: Borrowers can pay off their loans early without prepayment penalties. This can reduce the total interest cost, making it a beneficial choice if feasible.

This structure offers clarity and flexibility in loan repayment, providing borrowers with options to align with their financial strategies while completing their home improvement projects.

Pros and cons of a Home Depot Project Loan

The Project Loan from Home Depot offers several benefits and downsides.


  • Fixed APR

    The fixed APR provides predictable monthly payments, making budgeting easier for borrowers.

  • High loan amount

    With a maximum loan of $55,000, it caters well to extensive home improvement projects.

  • No fees

    The absence of origination, application, or prepayment fees makes this loan more cost-effective than several other lenders.


  • Restricted use

    You can only use loan funds at Home Depot stores or for Home Depot services, limiting flexibility compared to traditional personal loans.

  • No prequalification option

    You can’t prequalify with a soft credit check, so applying could affect your credit score.

  • Limited customer service ratings

    Trustpilot and Better Business Bureau reflect low ratings for Home Depot—but these are more reflective of the retail aspect than the loan service.

The Home Depot Project Loan’s advantages can make it an attractive option for substantial home improvement projects. However, its restrictive use and the lack of a prequalification option are significant limitations. The loan is most suitable for frequent Home Depot customers undertaking large-scale home renovations.

Offering a broader range of uses and introducing a prequalification process with a soft credit check could enhance its appeal. In comparison, several competitors offer traditional personal loans that might be better options for anyone seeking more versatile personal loan products, such as:

LenderRates (APR)Credit profileOrig. fee?
SoFi8.99% – 25.81%Good
Upstart6.40% – 35.99%Thin (little to none)
LightStream does not offer the ability to prequalify with a soft credit check, which doesn’t lower your credit score, so we think this lender is best for borrowers with excellent credit who are confident they’ll be approved.

A loan marketplace, such as Credible, can let you see offers from several personal loan lenders at once with a soft credit check. You can see our top home improvement loans for more.

Is Home Depot a reputable lender?

Consulting customer reviews can help you evaluate financial companies or services, offering a glimpse into the company’s reliability, customer service quality, and product satisfaction. 

We considered the nature of the reviews and the company’s longstanding accreditation to assess Home Depot’s reputation as a lender. 

Check out the customer review scores for Home Depot from three sources:

SourceCustomer ratingNumber of reviews
Trustpilot1.6 out of 55,667
Better Business Bureau (BBB)1.12 out of 52,746
Google2.7 out of 5955
Reviews collected on December 26, 2023

On Trustpilot and Google, the ratings are low. BBB lists an even lower rating. But Home Depot has been BBB-accredited since 1989, a significant indicator of its commitment to resolving customer complaints and adhering to certain business standards.

Most reviews center around Home Depot’s retail services, focusing on product quality and customer service rather than the Project Loan. This distinction suggests that the lower ratings are more reflective of the retail aspect of Home Depot’s business, not its financial services.

We use Trustpilot and Google because they’re accessible to a broad audience, allowing a diverse range of customers to share their experiences. BBB’s accreditation process and its focus on dispute resolution further lend credibility to its ratings, but most reviews don’t pertain to Home Depot’s Project Loan.

While Home Depot’s overall customer ratings on these platforms are low, most of the feedback pertains to its retail operations. Consider this context if you evaluate Home Depot’s reputation as a lender.

Does Home Depot have a customer service team?

Home Depot provides specific customer support for its Project Loan, ensuring borrowers can access assistance throughout their borrowing experience.

Here are the ways to contact Home Depot’s customer service for Project Loan inquiries:

  • Email: [email protected] 
  • Phone number: 877-476-3860, available Monday through Friday, 8 a.m. – noon Eastern, and Saturday and Sunday, 8 a.m. – 11 p.m.

How to apply for a Home Depot Project Loan

Applying for a Home Depot Project Loan results in a hard credit inquiry, affecting your credit score. For this reason, we recommend contacting Home Depot for more information about eligibility if you’re unsure you’ll qualify.

Are you applying with a service provider present or on your own? 

For applications with a provider, use the online application that requires the vendor’s number and, if applicable, store information.

Application from Home Depot's website requesting vendor information
Source: Home Depot

If approved, you’ll get a shopping pass you can use the same day while you wait for your Home Depot Project Loan card to arrive in the mail.

If you’re applying without a provider, access the separate online application. Enter personal information such as your name, Social Security number, contact details, and income. You can specify the loan amount or leave it blank.

Image from Home Depot's website requesting borrower information
Source: Home Depot
  • Co-applicant and language preference: Indicate whether you’re applying with a co-applicant and your preference for receiving the loan agreement in Spanish.
  • Credit check and offer review: Home Depot will conduct a credit check. If you’re approved, it will send you an offer to review.
  • Offer activation and card delivery: If you agree to the terms, activate the offer. Then await the arrival of your Project Loan card, often in three to five business days.

The entire process, from applying to getting the card, may take a week or longer. This time frame depends on the speed of completing the application steps and Home Depot’s processing time. 

What if I’m denied a Project Loan from Home Depot?

If Home Depot denies your application, it will explain the denial by mail, as required by the Fair Credit Reporting Act. This explanation can give insight into what aspects of your financial profile need improvement.

You can reapply with Home Depot, but we recommend waiting until you’ve addressed the reasons for the initial denial. Reapplying without any changes might result in repeated denials, further harming your credit score. 

Here are common reasons for loan denial and several options or resources:

  • Low credit score: If a low credit score is the reason, focus on credit-building strategies, including paying debts on time, keeping credit card balances low, and avoiding new credit inquiries.
  • Insufficient income: For denials due to insufficient income, consider reapplying with a stable co-applicant—or reapply after you increase your income or experience a period of income stability.
  • High debt-to-income ratio: Reducing debt or increasing income can help lower this ratio. Strategies might include paying off debts or finding ways to boost income.
  • Incomplete application or missing documents: Ensure you filled in all the required fields accurately and submitted all necessary documents. Double-check the application for any errors or omissions before reapplying.
  • Recent negative items on your credit report: Focus on resolving any outstanding issues in your credit report, such as late payments or collections, before reapplying.

Understanding the reasons for denial and working to improve these areas can increase the chances of approval in future applications. 

Exploring other lenders with different eligibility criteria might be a suitable alternative for those who continue to face challenges in securing a loan from Home Depot.

Home Depot Project Loan FAQ

Can you have more than one Home Depot Project Loan?

We couldn’t find Home Depot’s policies regarding multiple personal loans. Typically, whether a borrower can have more than one loan at a time depends on several factors, including their creditworthiness and financial standing. 

Home Depot assesses each loan application individually, considering the borrower’s credit history, income, and debt obligations. Borrowers interested in having more than one Project Loan should contact Home Depot to understand its policies.

Can you pay off a Home Depot Project Loan early?

Yes, borrowers can pay off their Home Depot Project Loan early without penalties. This feature allows greater flexibility in managing debt and can lead to significant savings on interest costs over time. Early repayment is terrific for borrowers who find themselves in a position to clear their debt ahead of schedule. By paying off the loan early, you can reduce your overall financial burden and free up resources for other financial goals or needs.