Article
Best Debt Consolidation Programs in 2026
Compare the best debt consolidation programs and loans to simplify your payments and save on interest. Our experts reviewed lenders for rates, terms, fees, and customer satisfaction.
Managing multiple high-interest debts can be overwhelming and expensive. Debt consolidation programs combine your debts into a single loan with one monthly payment, potentially saving thousands in interest while simplifying your financial life.
Our team researched the leading debt consolidation lenders, evaluating interest rates, fees, credit requirements, and customer satisfaction. Here are the best debt consolidation programs for 2026.
Quick Comparison
| Lender | Best For | APR Range | Rating |
|---|---|---|---|
| 1. Upgrade | Best Overall Debt Consolidation | 7.99-35.99% APR | ★4.7/5 |
| 2. LightStream | Best for Low Rates | 6.49-25.99% APR | ★4.8/5 |
| 3. SoFi | Best for No Fees | 7.99-23.43% APR | ★4.6/5 |
| 4. Discover | Best Customer Satisfaction | 7.99-24.99% APR | ★4.5/5 |
| 5. Marcus by Goldman Sachs | Best for Flexibility | 6.99-24.99% APR | ★4.5/5 |
| 6. PenFed | Best for Small Loans | 7.74-17.99% APR | ★4.4/5 |
| 7. LendingClub | Best for Co-Borrowers | 6.53-35.99% APR | ★4.3/5 |
| 8. Upstart | Best for Fair Credit | 7.80-35.99% APR | ★4.2/5 |
| 9. Avant | Best for Average Credit | 9.95-35.99% APR | ★4.1/5 |
| 10. Achieve | Best for Lower Credit Scores | 7.99-35.99% APR | ★4/5 |
Our Top Picks in Detail
Upgrade
Upgrade is Bankrate's top pick for debt consolidation with wide-ranging loan options, competitive rates, and low credit score acceptance. Their direct creditor payoff feature sends funds straight to your lenders, and you can customize terms to fit your budget with no early payoff penalties.
Pros
- ✓Accepts credit scores as low as 580
- ✓Funds available in 1 business day
- ✓Direct creditor payoff option
- ✓Multiple rate discounts available
- ✓Flexible loan terms 2-7 years
Cons
- ✗Origination fee of 2.9-8%
- ✗APR range goes up to 35.99%
- ✗Not available in all states
LightStream
LightStream offers some of the lowest rates for high-dollar debt consolidation loans up to $100,000 with terms extending to 7 years. As a zero-fee lender with a Rate Beat Program, they're ideal for borrowers with excellent credit seeking the most competitive rates available.
Pros
- ✓Starting rate as low as 6.49% APR
- ✓Zero fees on personal loans
- ✓Loan amounts up to $100,000
- ✓Rate Beat Program (0.10% discount)
- ✓0.50% autopay discount available
Cons
- ✗Requires excellent credit
- ✗Strict qualification criteria
- ✗Several years credit history needed
SoFi
SoFi eliminates all fees—no origination, late, or prepayment penalties—while offering valuable member benefits including financial planning tools, travel offers, and unemployment protection. Their dual 0.25% discounts for debt consolidation and autopay make rates even more competitive.
Pros
- ✓No origination, late, or prepayment fees
- ✓0.25% rate discount for debt consolidation
- ✓0.25% autopay discount available
- ✓Unemployment protection program
- ✓Member benefits and financial tools
Cons
- ✗Requires good to excellent credit
- ✗Not available in all states
- ✗Higher minimum loan amount
Discover
Discover's low minimum APR of 7.99% and high customer satisfaction ratings make it a top choice for debt consolidation. Ranking third in the 2026 J.D. Power Consumer Lending Satisfaction Study, they offer fee-free loans with direct creditor payment options.
Pros
- ✓Highly competitive minimum APR of 7.99%
- ✓Third in J.D. Power satisfaction study
- ✓No origination or closing fees
- ✓Send funds directly to creditors
- ✓Flexible payment date options
Cons
- ✗$2,500 minimum loan amount
- ✗Lower maximum loan limit ($40K)
- ✗Best rates require excellent credit
Marcus by Goldman Sachs
Marcus by Goldman Sachs provides exceptional flexibility with the ability to change your payment due date up to three times. Their no-fee structure, autopay discount, and on-time payment rewards make managing debt consolidation easier and more affordable.
Pros
- ✓No-fee loans with competitive rates
- ✓Change payment date up to 3 times
- ✓0.25% autopay discount available
- ✓On-time payment rewards
- ✓No prepayment penalties
Cons
- ✗$3,500 minimum loan amount
- ✗Maximum loan capped at $40K
- ✗Good credit required
PenFed
PenFed Credit Union offers the lowest minimum loan amount at just $600, making debt consolidation accessible for smaller debts. As a federal credit union with competitive rates and high customer satisfaction, membership is easy to obtain during the loan application process.
Pros
- ✓$600 minimum loan (lowest among lenders)
- ✓No origination fees
- ✓Competitive rates for members
- ✓High customer satisfaction ratings
- ✓Credit union member benefits
Cons
- ✗Must become credit union member
- ✗Membership process required
- ✗May require account opening
LendingClub
LendingClub stands out for accepting co-borrowers, helping applicants qualify with someone else's help. With loan amounts from $1,000 to $60,000 and flexible terms, they offer direct creditor payment to simplify the consolidation process.
Pros
- ✓Co-borrower option available
- ✓Minimum loan as low as $1,000
- ✓Direct creditor payment option
- ✓Longer repayment terms available
- ✓Joint application accepted
Cons
- ✗Origination fee of 3-6%
- ✗Wide APR range up to 35.99%
- ✗Fees reduce loan proceeds
Upstart
Upstart uses artificial intelligence to evaluate applications beyond just credit scores, considering education history and work experience. This makes them ideal for borrowers with lower credit scores or thin credit histories seeking fair debt consolidation rates.
Pros
- ✓AI evaluation beyond credit score
- ✓Considers education and employment
- ✓Fast funding (next business day)
- ✓Accepts lower credit scores
- ✓Loan amounts up to $50,000
Cons
- ✗Origination fees up to 12%
- ✗Only two repayment term options
- ✗APR can be high for fair credit
Avant
Avant specializes in serving borrowers with fair credit who may not qualify for the best advertised rates elsewhere. With fast approval and funding, their transparent fee structure and flexible payment options make debt consolidation accessible to more consumers.
Pros
- ✓Accepts fair credit scores
- ✓Fast approval and funding
- ✓Loan amounts $2,000-$35,000
- ✓Flexible payment options
- ✓Transparent fee structure
Cons
- ✗4.75% administration fee
- ✗Higher APRs for fair credit
- ✗Lower maximum loan amount
Achieve
Achieve (formerly Freedom Financial Network) approves debt consolidation loans for borrowers with FICO scores as low as 620. With several rate discounts available, flexible payment dates, and free financial coaching, they help lower-credit borrowers consolidate successfully.
Pros
- ✓Approves FICO scores as low as 620
- ✓Multiple rate discount options
- ✓Flexible payment dates
- ✓Free financial coaching available
- ✓Dedicated debt solutions team
Cons
- ✗Origination fees up to 6.99%
- ✗$5,000 minimum loan
- ✗Higher rates for lower credit scores
How We Evaluate Debt Consolidation Programs
Our expert team uses a rigorous methodology to evaluate debt consolidation lenders. Here’s what we measure:
Interest Rates and APR
We analyze competitive pricing:
- Minimum APR: Lowest rate offered to best-qualified borrowers
- Maximum APR: Highest rate to understand full range
- Average rates by credit tier: What typical borrowers actually pay
- Rate discounts: Autopay, debt consolidation, or other reductions
- Comparison to alternatives: How rates stack up against credit cards
Fees and Costs
We evaluate the complete expense:
- Origination or administration fees
- Prepayment penalties
- Late payment charges
- Application or closing costs
- Total cost of borrowing over loan term
Qualification Requirements
We assess accessibility:
- Minimum credit score required
- Income requirements
- Debt-to-income ratio limits
- Employment verification needs
- Co-borrower or co-signer options
Loan Terms and Flexibility
We compare structural options:
- Loan amounts available (minimum to maximum)
- Repayment term options
- Payment date flexibility
- Direct creditor payment option
- Early payoff penalties or benefits
Frequently Asked Questions
What is a debt consolidation program?
A debt consolidation program combines multiple debts (typically high-interest credit cards) into a single personal loan with one monthly payment. The goal is to simplify payments and potentially save money through a lower interest rate than your current debts.
Does debt consolidation hurt your credit?
Initially, your credit may dip slightly from the hard inquiry and new account. However, debt consolidation can improve credit long-term by reducing credit utilization, preventing late payments, and demonstrating responsible repayment. Your score typically recovers within months if you make on-time payments.
How much can I save with debt consolidation?
Savings depend on your current interest rates and the consolidation loan rate. For example, consolidating $20,000 in 22% APR credit card debt into a 10% APR loan could save $5,000+ in interest over 4 years while paying off debt faster.
What credit score do I need?
Most lenders require a minimum credit score of 580-640, though the best rates go to borrowers with 700+. Some lenders like Achieve and Upstart approve scores as low as 620, while premium lenders like LightStream require excellent credit (720+).
Can I consolidate all my debts?
Debt consolidation works for unsecured debts like credit cards, personal loans, medical bills, and some private student loans. It typically doesn’t work for secured debts (mortgages, auto loans), federal student loans, or tax debts.
How long does approval take?
Many lenders offer instant prequalification that doesn’t affect your credit score. Full approval typically takes 1-3 business days, and funding can occur as quickly as the next business day with lenders like Upgrade or Upstart.
Should I consolidate with a loan or balance transfer card?
Debt consolidation loans work best for larger debts ($5,000+) you’ll pay off over 2-5 years. Balance transfer cards (0% APR for 12-21 months) work better for smaller debts you can pay off during the promotional period. Consider both options.
What are the fees for debt consolidation?
Most lenders charge origination fees of 0-8% of the loan amount, deducted from proceeds. For example, a $20,000 loan with a 5% fee gives you $19,000. Some lenders like SoFi and LightStream charge no fees at all. Avoid prepayment penalties.