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Guide to Getting a $30,000 Personal Loan

Guide to Getting a $30,000 Personal Loan
Jason Steele
Jason SteeleUpdated January 6, 2023
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Editor’s note: Lantern by SoFi seeks to provide content that is objective, independent and accurate. Writers are separate from our business operation and do not receive direct compensation from advertisers or partners. Read more about our Editorial Guidelines and How We Make Money.
If you have a major expense coming up, such as a wedding, you may want to consider taking out a personal loan to cover the cost. Personal loans are available in many different amounts, including a $30,000 personal loan. Taking out such a large personal loan does come with risks and drawbacks, however. Our guide will walk you through the pros and cons of getting a personal loan for $30,000 to help you decide if it's the right option for you. 

Can You Get a $30,000 Personal Loan?

It is possible to get a $30,000 personal loan. Banks, credit unions, and online lenders can all provide this kind of large personal loan. But before applying for a $30,000 personal loan, you should consider a few factors, including the interest rate, the terms of the loan, and any fees you may be charged. Some common personal loan fees are origination fees, late fees, and prepayment penalties. Also, be aware that you won’t just be paying back the amount of the loan, you will also be paying interest on the money you borrow. It’s wise to think about whether you really need the loan and if it’s worth the cost. You should also find out whether the loan is unsecured or secured. Personal loans are typically unsecured, which means you don’t have to put up collateral to take out the loan. However, some personal loans are secured and do require collateral to back them. If you are considering a secured loan, you’ll need to know what can be used as collateral before applying.

Common Uses for $30,000 Personal Loan

There are many reasons you may be considering a $30,000 personal loan or even a large personal loan of 100k or more. One of the benefits of a personal loan is that it can be used for a variety of purposes. Here are some of the reasons you may want to take out a personal loan for $30,000. 

Wedding

The average cost of a wedding is approximately $34,000. A $30,000 personal loan can help cover a big chunk of the expense upfront so you don’t have to drain your savings account to pay for it.

Debt Consolidation

You can use a personal loan to consolidate debt. For instance, if you have different debts you’re trying to pay off, you could consolidate all the debt into one new loan with a lower interest rate. Doing this may make it easier and less overwhelming to repay what you owe.

Home Renovations

Many homeowners use personal loans for home improvement.  A personal loan can help pay for a remodeling project or necessary renovations such as installing a new roof on your house or redoing your electrical wiring. 

Medical Bills

If you have large medical bills that you need to pay off, especially in the case of a medical emergency, you could use a personal loan to pay the amount not covered by insurance. Contact the medical provider first, though, to see if they would be willing to negotiate what you owe. 

Vehicle Financing

When you’re buying a car, you may want to consider taking out a personal loan. For instance, a personal loan could be a good option if you’re buying a used vehicle from another owner. For a new car or a used car from a dealership, however, an auto loan may be a better choice. Auto loans often offer lower interest rates than personal loans. 

What Types of Lenders Offer $30,000 Personal Loans?

Banks, credit unions, and online lenders offer large personal loans.If you already have a checking or savings account with a bank, you might even qualify for a loyalty discount if you apply for a personal loan with them. Be sure to ask about this. Credit unions generally have lower maximum loan amounts than other types of lenders do. But some credit unions do offer personal loans for $30,000. Credit unions tend to have better rates and terms compared to banks, but you will need to join the credit union and meet their qualification requirements to be eligible for a loan. Online lenders also offer $30,000 personal loans. Applying for a loan online can be quick and convenient. It typically takes five days or less to get the funds with an online personal loan. Some lenders may even provide the money as soon as the next business day after approval. 

What Is Required for a Personal Loan of $30,000?

Every lender has different requirements to get a personal loan. However, most will require a certain credit score. Generally, you will likely need to have a good credit score (about 690-719) to qualify for a loan of this size. Typically, the lender will do a hard credit inquiry to check your credit score as well as your credit history to see if you’ve made past payments on time. Your credit score may be impacted during the hard inquiry process, so it’s important to understand how a personal loan may affect your credit scoreYou will also need to provide proof of income when applying for a personal loan of $30,000. Lenders want to make sure you’re earning enough money to be able to afford a large loan. Each lender will have different income requirements. Lenders will also look at your debt-to-income ratio. Debt-to-income ratio is calculated by adding up your monthly debt and dividing it by your gross monthly income. Generally, keeping your debt-to-income ratio below 36 percent is ideal.It’s worth noting that some lenders charge an origination fee for large personal loans, which is a fee for the costs of processing your loan application. Not all of them charge this fee, and some will waive the fee for applicants with a good credit score

Typical Interest Rates on a $30,000 Personal Loan

Most personal loans have fixed interest rates, but some lenders offer variable rates. Fixed interest rates stay the same over the life of the loan, while variable rates can fluctuate over time. The average personal loan interest rate can vary depending on the lender, your credit, the loan amount, and whether the loan is secured or unsecured. The stronger your credit, the lower the interest rate you are likely to get. Currently, personal loan interest rates range from about 8% to 36%.It’s smart to shop around and compare personal loans from multiple lenders to find the best rates and terms you may qualify for.

Example of the Interest on a $30,000 Personal Loan

To help determine how much interest you’ll pay when taking out a $30,000, let’s say you qualify for a loan with 14% APR. If your loan term is for 10 years, your monthly payment will be $466. At the end of the loan term, you will have paid a total of $55,895 for a $30,000 loan, including $25,896 in interest. Making extra payments on the loan, if you’re able to do so, could help lower the amount of total interest you’ll pay.

Personal Loans With Lantern

Used responsibly, a $30,000 personal loan can have many beneficial uses, such as adding to the value of your home with renovations, or helping you consolidate debt to make it easier to pay off. Just make sure you can afford the payments on a loan of this size. Weigh all the pros and cons carefully. If you do decide to take out a personal loan for $30,000, shop around to find the best rates and terms. Lantern by SoFi can help make this process easier and more convenient. By filling out one simple application, you’ll get offers from multiple lenders in our online marketplace. This can help you find the best fit for your needs.

Frequently Asked Questions

What is the monthly payment on a $30,000 personal loan?
Is it possible to get a $30k personal loan?
What credit score is needed for a $30,000 personal loan?
Photo credit: iStock/Chawalit Banpot
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About the Author

Jason Steele

Jason Steele

Jason Steele has been writing about credit cards and award travel since 2008. One of the nation's leading experts in this field, he has contributed to dozens of personal finance and travel outlets and has been widely quoted in the mainstream media.
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