A review of Happy Money personal loans for getting out of debt.

High interest rates on credit cards can make it difficult to pay off debt, but a personal loan with a lower interest rate and fixed payments can help you get out of debt.

Qualified borrowers can easily consolidate their debt with Happy Money's quick and simple application process. Additionally, Happy Money provides free tools to help users improve their FICO scores, as well as free personality tests and stress assessments to help borrowers better understand the impact of their financial and lifestyle choices on their wallets.

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How does Happy Money work?

Qualified borrowers can obtain loans ranging from $5,000 to $40,000 through Happy Money. The approval process typically takes between three and seven business days. Once approved, the funds will be deposited directly into the checking account provided in the application.

A debt consolidation loan from Happy Money's Payoff Loan™ can help borrowers combine their existing debts into one loan, potentially eliminating the need for multiple payments to different creditors.

A debt consolidation loan allows you to pay off multiple debts with one loan, making your financial life simpler and potentially saving you money if the interest rate on the consolidation loan is lower than your other debt rates.

Term lengths

Happy Money loan terms range from 24 to 60 months.

APR

The APR for Happy Money loans ranges from 11.72% to 17.99%, and the interest rate is determined based on factors such as your credit score, income, the total amount borrowed, and the term length.

Happy Money pros and cons

Pros

• You can track your FICO® Score updates monthly for free and monitor any changes.
• Doesn't charge application fees, prepayment penalties or late fees
• Doesn't charge returned check fees, check processing fees or an annual fee
• You can check what rate you'll receive without hurting your credit score

Cons

• Charges an origination fee
• The origination fee varies for each borrower depending on their loan amount, terms, and creditworthiness.

How much does Happy Money cost?

The interest rates on a Happy Money loan vary from 11.72% to 17.99%. Nevertheless, you will receive a minimum rate of 12.45% if you apply for a loan amount of $15,000 or more.

The origination fee charged by Happy Money ranges from 1.5% to 5.5%, based on loan amount, term, and credit.

Happy Money does not charge any application fees, prepayment penalties, or late fees.

How does Happy Money compare?

How does Happy Money compare to two other prominent personal loan lenders?

Happy Money vs. LightStream

Both Happy Money and LightStream provide debt consolidation loans to help borrowers reduce their debt faster. While Happy Money has a funding limit of $40,000, LightStream allows borrowers to apply for up to $100,000.

LightStream offers loan repayment terms ranging from 24 to 240 months, while Happy Money's loan repayment terms last up to 60 months.

LightStream also doesn't charge an origination fee, unlike Happy Money.

Happy Money vs. Upstart

While Upstart has a higher funding limit of $50,000 for borrowers, Happy Money only accepts applicants with a minimum credit score of 640.

While Upstart's origination fee can be higher than Happy Money's, Upstart's fee ranges from 0% to 12%, compared to Happy Money's range of 1.5% to 5.5%.

While Upstart charges a late payment fee, Happy Money does not.

Does using Happy Money hurt your credit?

Applying for a Happy Money personal loan may temporarily lower your credit score due to a hard inquiry on your credit. Nevertheless, making timely payments towards the loan each month can help your credit score recover since payment history accounts for 35% of your credit score.

How to apply for a Happy Money Personal Loan

You can apply for a Happy Money personal loan by visiting their website and submitting an online application. You will need to provide your basic information, such as your name, address, and contact details, and undergo a credit check.

Frequently Asked Questions (FAQs)

Why trust CNBC Select?

Our goal at CNBC Select is to deliver top-notch service journalism and in-depth consumer advice to our readers, enabling them to make well-informed decisions when it comes to their finances. Each article is the result of thorough reporting by our team of experienced writers and editors, who possess extensive knowledge of personal loan products. At CNBC Select, we are committed to maintaining our journalistic standards and ethics, even though we earn a commission from our affiliate partners on many offers and links.

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Our methodology

To find the best personal loans for refinancing debt, we analyzed dozens of U.S. loans offered by both online and brick-and-mortar banks, including large credit unions. We chose loans with no origination or sign-up fees, but loans for debt payoff and/or debt consolidation might charge fees typically ranging from 0% to 12% APR.

We prioritized the following features when evaluating and ranking personal loans.

• A fixed rate APR ensures that your monthly payment remains constant, making it easier to plan your budget. However, variable rates may fluctuate over the course of your loan.
• Each lender offers a range of financing options that you can tailor to your monthly budget and repayment timeline.
• Our list of lenders does not charge borrowers for paying off loans early.
• We evaluated lenders' same-day approval decisions and fast online application processes for a streamlined application process.
• Our customer support team offers customer service via telephone, email, or secure online messaging for every loan on our list. Additionally, we have chosen lenders with an online resource hub or advice center to help you educate yourself about the personal loan process and your finances.
• Disbursement of funds: Our loans provide prompt payment through electronic wire transfer or paper checks. Some lenders allow direct payment to creditors.
• Autopay discounts: We observed that certain lenders offer incentives for enrolling in autopay, which can result in a reduction of your APR by 0.25% to 0.5%.
• Lenders offer loans ranging from $1,000 to $100,000, and their respective payment limits and loan sizes are advertised. Completing a preapproval process can provide you with an estimate of your interest rate and monthly payment for a specific loan amount.

The interest rate and monthly payment for personal loans may change based on the Fed rate, but once you agree to the loan agreement, a fixed-rate APR will ensure consistency throughout the loan term. Your APR, monthly payment, and loan amount are determined by your credit history and creditworthiness. To obtain a loan, lenders will perform a hard credit inquiry and require a full application, which may include proof of income, identity verification, proof of address, and more.