From time to time, each of us is faced with major expenses, such as renovating or buying a house, medical assistance, urgent purchase. Also, we cannot always plan these expenses, since the need may appear unexpectedly. Unfortunately, we cannot predict when we will need funding to cover unexpected expenses.

However, if you find yourself in a situation where you need a large amount of money, like $ 20,000, you can hardly borrow it from friends or family. Also, you will not be able to earn this money quickly. Thus, a personal loan may be a good option for you. However, before submitting an application, consider proposals from different lenders, weigh the pros and cons, and then make a decision.

Table of Contents:

Where to get a $ 20,000 loan?

Online Lenders offering $20,000 loans


Credit Unions

Is it possible to get a $ 20,000 loan with a bad credit history?

What to consider before applying for a $ 20,000 loan?

$20,000 loan repayment terms

How much will a 20,000 Dollar Loan cost?

Where to get a $ 20,000 loan?

Of course, the first question asked by borrowers who want to get a $ 20,000 loan is where you can get that amount of money. Of course, not every lender runs the risk of providing such a loan, but there are many options that you can consider before making a decision. You can contact banks, credit unions, and even online lenders. Explore each option in order to understand which one suits you best.

Online Lenders offering $20,000 loans

Obviously, the most popular way to get a loan right now is an online lender of guaranteed Personal Loans. It is not only fast but also convenient, as you can apply at any time of the day or night sitting on your own sofa. All you need is to go to the lender's website, fill out an application and wait for a response. Typically, you will get approval on the day you apply, which is great if you need money in an emergency. Online lending is safe as your personal data is encrypted and not passed on to third parties. Also, the advantage of online lenders is that they can offer better interest rates than banks or credit unions.

Online lenders work with borrowers with bad credit. This way, even if you have missed payments in the past, you can still get the loan. As a rule, the minimum acceptable credit score for most lenders is 580-660. Also, by comparing interest rates, you can find a more or less advantageous offer. Some lenders offer interest rates from 3.99%, others from 18.00%. Be careful as some online lenders charge huge interest rates of up to 39.99%. Loan amounts from online lenders also range from $ 1,000 to $ 100,000, so it shouldn't be difficult for you to find a lender who can offer a $ 20,000 loan.

It is also important to remember that if you are turned down by one lender, it does not mean you will receive a refusal from another. This way, it is important to compare offers and have additional options in case of rejection. If you compare offers, look for the best interest rates and have options, you will definitely get a loan.

Compare the best direct lenders for a $20,000 loan:


Banks can also be an option for borrowers looking to get a $ 20,000 loan. However, it is worth remembering that not all banks offer personal loans. For example, you will not be able to get a personal loan from Bank of America or Chase, but by contacting Wells Fargo you may be approved fast. Thus, it is important to know which banks provide this type of loan in order not to waste your time.

It is also worth remembering that banks have higher requirements for a borrower than an online lender. Thus, you better have a good credit rating in order to have a better chance of being approved. Some banks offer online lending; however, others may ask you to complete an application at a branch.

Credit Unions

Credit unions are non-profit organizations that offer low interest rates to their members. Thus, if you are considering options for obtaining a personal loan, you should pay attention to credit unions.

Of course, to get the best rates, you must be a member of the union. Membership is easy enough - usually a small donation is enough to get full access.

Is it possible to get a $ 20,000 loan with a bad credit history?

Many borrowers worry that they cannot get a $ 20,000 loan because they were previously refused. As a rule, banks refuse to lend money to unreliable borrowers. However, if you have been rejected in the past, this does not mean that you cannot apply for a loan. Now you can find lenders who lend money to borrowers even with bad credit, so if you thought you could not get approval with a rating of 670 or lower, you were wrong.

Of course, you don't have many options if your credit rating is below 670, but there are still some you should pay attention to. Some lenders understand that even a person with bad credit may need money, so they are willing to offer their services. Thus, explore the options available to borrowers with bad credit history. You can contact LendingClub, OneMain Financial, or Upstart to get a $ 20,000 bad credit loan.

However, it should be understood that lenders offering loans to borrowers with bad credit have higher interest rates. Since lenders take the risk of lending big money to unreliable borrowers, they have high interest rates in order to get some kind of loan repayment guarantee. Thus, before contacting a lender, find out what interest rates and loan repayment terms he offers. Moreover, some lenders ask for collateral if you want to borrow a large amount of money. Discuss this with your lender before making a decision.

What to consider before applying for a $ 20,000 loan?

Of course, in order to choose the best deal, you need to consider options from different lenders. Thus, you should pay attention to eligibility criteria, loan repayment terms, interest rates, and commissions and discounts.

Eligibility criteria. Most lenders have the same eligibility criteria that you must meet in order to receive a loan. As a rule, all you need is to be at least 18 years old, have a government-issued ID, be a US citizen or an official resident, have a source of income and an active bank account (if you are applying online). If you qualify, you will most likely be approved and receive a $ 20,000 loan.

Of course, in order to get such a large loan, you need to meet additional requirements. As a rule, lenders pay attention to the following:

  • Credit rating. Of course, lenders prefer to lend money to reliable borrowers with good credit, but there are options for people with bad credit. Of course, borrowers with bad credit will receive less favorable rates than those with good credit.
  • Debt-to-income ratio. Typically, many personal lenders check your debt to monthly income ratio to make sure you can repay your loan on time. If you have a large income, then you will most likely be approved.
  • Proof of income. Of course, the $ 20,000 lender wants to know that you have a stable source of income in order to cover your monthly loan debt.

Personal Loans Calculator


Estimated Payment


Total Principal Paid:$ 1,000.00
Total Interest Paid:$ 387.42
Loan Term:471.36 %
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Amortization Schedule

Estimated Payoff Date:Mar 17, 2024

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Select the amount for the loan you want in order to get the principal, which is the basis that we use to calculate the interest and the total cost of the cash advance.

The number of days within that you will be ready to repay the loan. It’s used to count the total cost of cash advance by multiplying the days by the amount of interest.

To calculate the total cost of your loan, we take the minimal average APR legal in all States, which is 36%. This figure is only a representative, providing you with general information on how much the loan may cost. To find out a more accurate total, fill in the Annual Percentage Rate required by the lender you want to apply to.

It’s the money charged by the lender for doing all the necessary paper work, bank transactions, etc., connected with lending you the money.

$20,000 loan repayment terms

Repayment terms are the time frame for the repayment of your loan. Typically, personal lenders will offer you loan repayment terms of 2 to 7 years.

Most people prefer to choose a long payout period in order to have small monthly payments, but this is often a mistake. Long repayment period entails additional interest on the loan. In other words, the shorter the repayment terms, the lower the interest rate. If you choose a short repayment period, it will save you a lot of money as you will not pay additional interest.

Of course, each borrower has the right to choose the repayment terms that are convenient for him. Thus, if you cannot repay a large amount on a monthly basis, you will be better off taking a longer loan repayment period. This way, you can have more money to cover your needs. However, if you can pay off the loan quickly and have the funds to pay off the debt, you better do it as quickly as possible. Remember, the faster you pay off your loan, the lower your interest on the loan will be.

Also, before applying for a $ 20,000 loan, find out if your lender is charging any prepayment fees for the loan. Some lenders do not allow borrowers to repay the loan in advance. Therefore, you better find someone who is ready for early repayment that will help you save money.

How much will a 20,000 Dollar Loan cost?

The cost of your 20,000 dollar Personal Loan will include the interest and additional fees and charges. To get a clear idea of the total cost of the loan you'd better use an online Personal Loan Calculator.

Interest rates

Personal loans, like any other loans, have an interest rate. Typically, interest rates are fixed, so you pay the same monthly interest on the loan until you cover it in full. Also, lenders may offer you a loan with a variable rate, and in this case your loan payment may increase or decrease in this or that month. It's up to you to decide which interest rates are convenient for you.

Typically, bad credit personal loans have high interest rates. In this way, a person with good credit will get a better deal than a person with bad credit. If you want to reduce your interest rate, you can consider a secured loan. A secured loan is a type of loan that uses your property as collateral for the loan. For example, your car can be collateral for a $20,000 Title Loan, you temporarily transfer its title to a lender and receive money. Despite the fact that your car is collateral, you can continue to drive it. The title will be returned to you when you repay the loan in full. This secured loan has lower interest rates because the lender has your car as a guarantee that you will repay the loan. However, otherwise, if you do not pay off the debt, you risk losing your collateral.

Thus, it is best to apply for a $ 20,000 loan with good credit, however if you have bad credit you still have several options for getting money.

Fees and discounts

Before you apply, make sure that the lender you choose does not charge any commissions that can greatly affect your loan and increase its value. Some lenders may charge origination fees, however, you shouldn't have trouble in finding someone who doesn't have it. Also, some lenders charge late fees. Thus, if you miss a payment, the lender will oblige you to pay additional funds, which can be a problem if you are in a difficult financial situation. The prepayment penalty can also be a problem if you want to pay off the loan as soon as possible in order not to overpay the extra interest. Since some lenders charge a fee, it is important for you to find someone who agrees that you want to repay the loan early.

Thus, when contacting a particular lender, find out if he charges commissions. Remember that you can find another lender that has no commissions or penalties at all.

Some lenders offer discounts if you agree to automatic payment. Thus, the money is debited from your card every month and the lender receives an additional guarantee that you will repay the loan on time.

A $ 20,000 loan is your opportunity to make a big purchase or get rid of financial problems. However, you should choose your lender carefully in order not to get unimaginably high interest rates or early repayment fees. Before applying for such a large loan, make sure you can repay it, otherwise, you will have to face consequences that will aggravate your financial situation and harm your credit report. Choose a loan with minimum interest rates and no commissions, and also try to pay it out in advance so as not to overpay the interest on the loan. Use your loan wisely.

Other Personal Loan amounts available

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$5,000 Loan

$10,000 Loan

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