Recent college graduates face a unique financial challenge: limited credit history, entry-level income, and often significant student loan debt. Despite these hurdles, several lenders specifically cater to new graduates by considering education, degree, and career potential alongside traditional credit metrics.

Upstart, in particular, was built with recent graduates in mind — its AI underwriting model considers your school, field of study, and employment history, making it one of the most accessible options for borrowers with thin credit files.

Best Lenders for Recent Graduates

Market Rate Context
National average personal loan APR: 12.35% — The national average is 12.35% APR. Source: Federal Reserve G.19 Consumer Credit Report, May 2026.
Rates verified May 2026 · Updated weekly
LenderMin. Credit ScoreConsiders Education?Max LoanBest For
UpstartNo minimumYes — school and major$75,000Thin credit file, new grad
SoFi680Yes — degree preferred$100,000High-earning new grad
LendingClub600No$40,000Fair credit new grad
Avant580No$35,000Lower credit new grad
Marcus660No$40,000Good credit, no-fee preference

Common Uses for Recent Graduate Personal Loans

Relocation costs
Security deposit
Professional wardrobe
Laptop or equipment
Emergency fund
Credit building
Debt consolidation
Car purchase

Important Note: Personal loans are not a substitute for student loan repayment. If you have federal student loans, explore income-driven repayment plans and Public Service Loan Forgiveness before taking on additional debt.

Upstart ALSO CONSIDER
Upstart — Best for Fair Credit & Thin Files
Upstart's AI model approves borrowers that traditional lenders reject — no minimum credit score required. Rates from 6.20% APR, up to $75,000, funded in 1 business day.
Check My Rate on Upstart → Soft pull · No credit score impact
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Who Should Look Elsewhere

A personal loan is not the right tool for every situation. Consider alternatives if any of the following apply to you:

  • You have home equity: A HELOC typically offers rates 5–10% lower than personal loans. If you own your home, compare HELOC rates before taking a personal loan.
  • Your debt is primarily credit card debt: A balance transfer card with a 0% intro APR (typically 12–21 months) will cost less than a personal loan if you can pay off the balance within the intro period.
  • You need less than $1,000: Most personal loan lenders have minimum amounts of $1,000–$2,000. For smaller needs, a credit union payday alternative loan (PAL) or a 0% APR credit card may be more appropriate.
  • Your credit score is below 500: Most personal loan lenders — including those that accept "bad credit" — have practical minimums around 500–560. Below this, secured loans, credit-builder loans, or co-signer arrangements are more realistic options.
  • You are in active bankruptcy: Personal loan lenders will decline applicants in active Chapter 7 or Chapter 13 proceedings. Resolve your bankruptcy first.
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WiseIQ Editorial Team
Reviewed by Certified Financial Planners & Industry Experts

Our editorial team consists of financial writers, CFPs, and former banking professionals dedicated to providing accurate, unbiased financial guidance. All content is fact-checked and updated regularly. Learn about our editorial standards →

Frequently Asked Questions

Can recent graduates get personal loans? +
Yes. Lenders like Upstart specifically consider education and career potential alongside credit scores, making them accessible for recent graduates with limited credit history.
What credit score do I need as a recent graduate? +
Upstart has no minimum credit score. Most other lenders require 580–680. If you have a thin credit file, Upstart or a co-signed loan are your best options.
Should a recent graduate take out a personal loan? +
Only if you have a specific, necessary purpose and a clear repayment plan. Personal loans for moving costs, emergency expenses, or professional equipment can make sense. Avoid borrowing for discretionary spending.
Can I get a personal loan with student loan debt? +
Yes, but your debt-to-income ratio matters. Lenders typically want your total monthly debt payments (including the new loan) to be below 40–45% of your gross monthly income.
What is the best personal loan for recent graduates? +
Upstart is generally the best option for recent graduates because it considers your education and career trajectory, not just your credit score. SoFi is a strong option if you have a higher income and credit score.

Advertiser Disclosure: WiseIQ may earn a referral fee from some lenders and financial products on this page. This does not influence our editorial ratings or recommendations. Our reviews are independently researched and editorially independent.

Sources & Methodology: WiseIQ's editorial team researches and fact-checks all content using primary sources including the Consumer Financial Protection Bureau (CFPB), Federal Reserve G.19 Consumer Credit Report, myFICO Credit Education, and lender websites for current rates and terms. Last reviewed: April 2026. How we rank products.