$40,000 Loans: Find the Best in 2025
— Comparison updated Jun 2025
- Choose between several top $40,000 loan lenders
- Find the best one for your financial needs
All unsecured personal loans through Upstart offer a fixed rate and range between 6.6% - 35.99% APR based on 5-year rates offered in March 2025. The lowest rates are only available to the most qualified applicants. Your APR will be determined based on your credit, income, and certain other information provided in your loan application. Not all applicants will be approved.
Looking for a substantial personal loan? A $40,000 loan could be the financial boost you need for major expenses or debt consolidation. This comprehensive guide will help you navigate your options and find the best $40,000 loan for your needs in 2025
Let's dive into our top loan options for a $40,000 loan:
Remember, the best loan for you depends on your unique financial situation and credit profile. It's essential to compare multiple offers from various lenders before making a decision.
To help you out, we've prepared a table with the top $40,000 lenders available for you:
In-Depth Analysis of $40,000 Loan Top Options
Let's take a closer look at our top two options for $40,000 loans: Upstart and Upgrade. Each offer unique features that may suit different borrower needs.
Upstart uses artificial intelligence and machine learning to evaluate loan applications, potentially offering better rates to borrowers with limited credit history.
How Much Would a $40,000 Loan With Upstart Cost?
Let's look at a potential cost breakdown for an Upstart loan, assuming the minimum APR of 7.80% and a mid-range origination fee of 3%:
| Upstart: $40,000 Loan | Origination Fee (3%) | Monthly Payment (APR 7.80%) | Total Payment |
|---|---|---|---|
| 12 months | $1,200 | $3,520 | $43,440 |
| 24 months | $1,200 | $1,822 | $45,528 |
| 36 months | $1,200 | $1,257 | $47,652 |
| 48 months | $1,200 | $975 | $49,800 |
Keep in mind that this is just an illustrative example. Your actual loan terms may differ based on your financial profile and Upstart's evaluation.
Upgrade offers personal loans with the potential for lower rates when you use the funds to directly pay off existing creditors.
How Much Would a $40,000 Loan With Upgrade Cost?
Here's an example of potential costs for an Upgrade loan, assuming the minimum APR of 9.99% and a mid-range origination fee of 5.92%:
| Upgrade: $40,000 Loan | Origination Fee (5.92%) | Monthly Payment (APR 9.99%) | Total Payment |
|---|---|---|---|
| 12 months | $2,368 | $3,592 | $45,472 |
| 24 months | $2,368 | $1,878 | $47,640 |
| 36 months | $2,368 | $1,305 | $49,948 |
| 48 months | $2,368 | $1,019 | $52,280 |
As with any loan, it's crucial to understand that this is just an example. Your actual loan offer from Upgrade will depend on various factors specific to your financial situation.
How To Get a $40,000 Loan
Now that we've explored some top options, let's look at the process of obtaining a $40,000 loan.
What To Consider Before Applying for a $40,000 Loan
When evaluating loan options, pay attention to:
Interest rates and APR: These determine the true cost of your loan over time, including fees and other charges.
Loan terms (length of repayment): Longer terms mean lower monthly payments but more interest paid overall, while shorter terms have higher payments but less total interest.
Origination fees and other charges: These upfront costs can significantly impact the amount you receive actually so factor them into your calculations.
Prepayment penalties: Some lenders charge fees for paying off your loan early, which could limit your flexibility if your financial situation improves.
Funding speed: If you need the money quickly, consider lenders who offer fast approval and disbursement processes.
Customer service reputation: Good customer support can be crucial if you encounter issues or need to make changes to your loan in the future.
How To Get a $40,000 Loan With Bad Credit
If your credit is less than stellar, consider these strategies:
Improve your credit score before applying
Offer collateral for a secured loan
Find a co-signer with good credit
Look for lenders specializing in bad credit loans
Consider a credit union, which may have more flexible terms
What To Do Now
Finding the right $40,000 loan requires careful consideration and comparison. Use our LoanFinder™ tool to compare personalized offers from multiple lenders and find the best rates and terms for your situation.
Disclosures
1. Your loan amount will be determined based on your credit, income, and certain otherinformation provided in your loan application. Not all applicants will qualify for the fullamount. Minimum loan amounts vary by state: GA ($3,100), HI ($2,100), MA ($7,000).
2. Although educational information is collected as part of Upstart's rate check process,neither Upstart nor its bank partners have a minimum educational attainmentrequirement in order to be eligible for a loan
3. The full range of available rates varies by state. A representative example of paymentterms for an unsecured Personal Loan is as follows: a borrower receives a loan of$10,000 for a term of 60 months, with an interest rate of 18.60% and a 8.51%origination fee of $851, for an APR of 23.07%. In this example, the borrower will receive$9149 and will make 60 monthly payments of $258. APR is calculated based on 5-yearrates offered in December 2024. There is no downpayment and no prepayment penalty.Your APR will be determined based on your credit, income, and certain otherinformation provided in your loan application. Not all applicants will be approved.
4. If you accept your loan by 5pm EST (not including weekends or holidays), you willreceive your funds the next business day. When the funds will be available to you willdepend on your bank’s transaction processing time and policies.
5. While most loans through Upstart are unsecured, certain lenders may place a lien onother accounts you hold with the same institution. There may be an option to secureyour personal loan through Upstart with your vehicle, which will require a lien to beplaced on the vehicle. It is important to review your promissory note for these detailsbefore accepting your loan.
6. When you check your rate, we check your credit report. This initial (soft) inquiry will notaffect your credit score. If you accept your rate and proceed with your application, wedo another (hard) credit inquiry that will impact your credit score. If you take out a loan,repayment information may be reported to the credit bureaus.
Frequently Asked Questions
What credit score do I need for a $40,000 loan?
Most lenders prefer a credit score of 660 or higher for a $40,000 loan. However, some lenders may consider scores as low as 580, though rates will likely be higher.
How long does it take to get approved for a $40,000 loan?
Approval times vary by lender. Online lenders often provide decisions within minutes to hours. Traditional banks may take a few days. Once approved, funds are typically disbursed within 1-5 business days.
Can I get a $40,000 loan with no credit check?
It's unlikely to get a $40,000 loan without any credit check. Some lenders offer "no credit check" loans, but these are usually for smaller amounts and come with very high interest rates.
What can I use a $40,000 personal loan for?
Personal loans can typically be used for any legal purpose. Common uses include debt consolidation, home improvements, major purchases, or unexpected expenses. Some lenders may have restrictions, so always check the terms.
Is it hard to qualify for a $40,000 loan?
Qualifying for a $40,000 loan can be challenging if you have poor credit or low income. Lenders typically want to see a good credit score, stable income, and a manageable debt-to-income ratio. Improving these factors can increase your chances of approval.
How much would the monthly payment be on a $40,000 loan?
Monthly payments depend on the interest rate and loan term. For example, a 5-year $40,000 loan at 10% APR would have monthly payments of about $849. Use a loan calculator or check our example tables above for more specific estimates.
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