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Discover Personal Loan Review: Great for Debt Consolidation and No Origination Fees

Review Updated
Dana George
By: Dana George

Our Loans Expert

Nathan Alderman
Check IconFact Checked Nathan Alderman
Many or all of the products here are from our partners that compensate us. It’s how we make money. But our editorial integrity ensures our experts’ opinions aren’t influenced by compensation. Terms may apply to offers listed on this page.

Discover provides a long list of things its personal loans can be used to finance. For example, the company suggests using a loan to remodel your home, adopt a child, undergo in-vitro fertilization (IVF), make auto repairs, or fund the opening of a small business. One of the most popular uses of a Discover Personal Loan, though, is debt consolidation. That may be because Discover makes the process so easy. Find out if a Discover Personal Loan is right for you in our full review.

Discover Personal Loan

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5.0/5 Circle with letter I in it. Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor. We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
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Minimum Credit Score
Loan Amounts
$2,500 - $40,000
APR Range
7.99% - 24.99%
Term Length
36 - 84 months

Discover is a consumer-friendly lender that offers competitive rates to qualified applicants. Discover knows that financial decisions are complex; if you change your mind and return your loan within 30 days, it won't cost you a thing.

  • Competitive APRs
  • No origination or prepayment fees
  • Debt consolidation support
  • Long repayment term

No cosigners accepted

Compare the best personal loans

Get the best rates and terms to fit your needs. Here are a few loans we'd like to highlight, including our award winners.

Lender APR Range Loan Amount Min. Credit Score Next Steps
Fixed: 8.99%-29.99% APR (with all discounts)
$5,000 - $100,000
5.20% - 35.99%
$1,000 - $50,000

Full Discover Personal Loan review

This personal loan is a good fit for: Those with strong credit scores looking for debt consolidation support and long repayment terms.

Top perks

Low APR: Discover's lowest APR is in line with several of our top lenders. Because of this, highly qualified applicants can save money -- particularly those who plan to consolidate high-interest debt.

No origination fee or prepayment penalty: A lot of lenders make money upfront by charging a loan origination fee, which can be as high as 8% of the amount borrowed. Discover does not charge this fee -- and it also doesn't charge a prepayment penalty (a fee for paying off your loan early). This sets a good precedent for how it treats borrowers. A couple of lenders don't even charge late payment fees, but note that Discover is not one of them.

Debt consolidation support: If you're approved for a debt consolidation loan with Discover, it will pay your creditors for you -- a nice perk. In addition, a Discover Personal Loan gives you a free credit scorecard that shows your FICO® Score, the number of recent credit inquiries, and more. It's a great way to watch your credit score improve as you take greater control over your debt.

Small loans available: Discover allows borrowers to take out loans for as little as $2,500. That's not the lowest loan amount, but it may be enough to cover unexpected expenses. Say your car breaks down and you don't want to borrow more than you need or can afford. Discover's relatively low minimum might help.

Flexibility: Discover offers personal loans for $2,500 to $40,000 with loan repayment terms of 36 to 84 months. This range allows you to target a specific monthly payment that you know you can afford. It also allows you to tackle large projects or small projects with the same ease of application. While the ability to control your monthly payment is a nice perk, keep this in mind: The longer the term, the more interest you will end up paying over the life of the loan.

Available for a variety of needs: Discover Personal Loans can be used for more than paying off high-interest debt. A Discover loan may also come in handy when it's time to pay off taxes or medical bills, finance home repairs, or pay for big-ticket items.

Getting a quote won't hurt your credit score: Discover can offer you a loan quote by conducting a soft credit check, which won't hurt your credit score. It's not until you accept the loan that it orders a hard pull to verify your information.

What could be improved

Cosigners not accepted: The minimum household income required for a Discover Personal Loan is $25,000, and the minimum credit score is 660. However, neither of those minimums qualify you for the best personal loan interest rates. If you need a cosigner to qualify for better rates, make it a point to look at other lenders.

Upper interest rate: Discover's upper interest rate is actually similar or even lower than many lenders, but it is a high rate, nonetheless.

Personal loan calculator


  • Enter the amount you plan to borrow in the "Loan Balance" box.
  • Enter the rate you expect to get in the "Interest Rate" box.
  • Either:
    • Enter the number of months you'd like to take to pay off the loan in the "Desired Payoff Timeframe" box.
    • Enter your desired monthly payment in the "Expected Monthly Payment" box.
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How to qualify for a Discover Personal Loan

  • Have a FICO® Score of at least 660
  • Be a U.S. citizen or permanent resident
  • Have a minimum income of $25,000
  • Be as least 18 years of age
  • Have a physical street address
  • Have an active email account and access to a computer or mobile device to finalize your loan application

Application process

You can apply for a Discover Personal Loan online or by phone. Here's how.

  • Gather the documents you'll need: Social Security number, recent pay stubs, bank statements, and photo identification.
  • Enter some basic personal information and the amount of money you want to borrow. Discover will do a soft credit check, which will not affect your credit.
  • Take time to review the proposed interest rate and terms. If you decide they are acceptable, complete your loan application.
  • If you're approved, electronically sign the loan agreement and tell Discover where you want funds deposited. If you are using the loan for debt consolidation, provide Discover with the names of your creditors, the creditors' addresses, and your account numbers. According to Discover, it's able to make deposits as early as the next business day.

This personal loan is right for you if:

  • Your income and credit score are high enough to qualify for Discover's lowest interest rate.
  • You have high-interest debt to pay off and will benefit from a loan designed to walk you through the process.
  • You have an emergency and only need to borrow a small amount of money for a short time.

The decision to take out a personal loan can feel huge. Compare lenders, determine precisely what you want to do with the funds, and make a plan for repaying the loan as quickly as possible. The more thought you put into it, the happier you're likely to be with the experience.


  • The most common use for a Discover Personal Loan is debt consolidation. Discover makes it easy by paying off your creditors directly.

  • As with all loans, the lowest rates are reserved for highly qualified applicants. If your credit score is excellent, you have a chance of landing the lowest rates available.

  • One of the first things Discover will ask is how you plan to use the funds. You will then be asked to provide your Social Security number, recent pay stubs, bank statements, and photo identification.

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