Finding the best personal loans with low interest rates in 2025 can help you save money while meeting your financial needs. Whether you want to consolidate debt, cover medical expenses, or fund a big purchase, getting a personal loan with the lowest possible interest rate is crucial.
In this guide, we will explore the best personal loans in 2025, the banks offering the lowest interest rates, and answer common questions like “Which bank has the lowest interest rate on personal loans?” and “What bank is best for personal loans?”
What is a Personal Loan?
A personal loan is a type of unsecured loan that allows you to borrow money from a bank, credit union, or online lender without needing to provide collateral. You can use a personal loan for various purposes, including:
- Debt consolidation
- Home improvement
- Medical expenses
- Wedding costs
- Education fees
- Travel expenses
Since personal loans do not require collateral, lenders determine your eligibility based on factors like your credit score, income, and repayment history.
Why Choose a Low-Interest Personal Loan?
Choosing a loan with a low interest rate helps you:
- Save money on monthly payments
- Pay off your loan faster
- Reduce the overall cost of borrowing
The best personal loans with low interest rates in 2025 will have competitive APRs (Annual Percentage Rates), flexible repayment terms, and low fees.
Best Personal Loans with Low Interest Rates in 2025
Here are some of the top personal loan providers in 2025 that offer low-interest rates and flexible repayment options:
1. SoFi Personal Loans (USA)
- Interest Rates: Starting from 6.99% APR
- Loan Amount: $5,000 – $100,000
- Repayment Terms: 2 – 7 years
- No origination fees or prepayment penalties
- Great for high-credit-score borrowers
2. LightStream (USA)
- Interest Rates: Starting from 6.49% APR
- Loan Amount: $5,000 – $100,000
- Repayment Terms: 2 – 12 years
- No fees, same-day funding available
- Best for borrowers with good credit scores
3. HSBC Personal Loan (UK & Global)
- Interest Rates: Starting from 5.9% APR
- Loan Amount: £1,000 – £25,000
- Repayment Terms: 1 – 8 years
- Low-interest rates for HSBC customers
- Best for UK residents
4. Standard Chartered Personal Loan (Asia & Middle East)
- Interest Rates: Starting from 3.89% APR
- Loan Amount: $5,000 – $100,000
- Repayment Terms: 1 – 5 years
- No collateral required
- Best for borrowers in Asia and the Middle East
5. Citi Personal Loan (Global)
- Interest Rates: Starting from 4.5% APR
- Loan Amount: $2,000 – $50,000
- Repayment Terms: 1 – 5 years
- Available in multiple countries
- Best for international borrowers
6. NAB Personal Loan (Australia)
- Interest Rates: Starting from 5.99% APR
- Loan Amount: $5,000 – $55,000
- Repayment Terms: 1 – 7 years
- No early repayment fees
- Best for Australians
7. HDFC Personal Loan (India)
- Interest Rates: Starting from 10.5% APR
- Loan Amount: ₹50,000 – ₹40,00,000
- Repayment Terms: 1 – 5 years
- Fast approval process
- Best for salaried professionals in India
Which Bank Has the Lowest Interest Rate on Personal Loans?
One of the most common questions is, “Which bank has the lowest interest rate on personal loans?” The answer depends on your location, credit score, and income. Here are some of the banks offering the lowest interest rates in 2025:
| Bank Name | Country | Starting Interest Rate |
|---|---|---|
| Standard Chartered | Global | 3.89% APR |
| Citi Bank | Global | 4.5% APR |
| HSBC | UK/Global | 5.9% APR |
| NAB | Australia | 5.99% APR |
| SoFi | USA | 6.99% APR |
| HDFC | India | 10.5% APR |
To get the lowest rate, you must have a good credit score, stable income, and a low debt-to-income ratio.
What Bank is Best for Personal Loans?
The best bank for personal loans depends on various factors, such as:
- Your credit score – Some banks offer lower rates to those with high credit scores.
- Loan amount required – Some banks have minimum or maximum loan limits.
- Repayment terms – Some lenders offer longer repayment periods for flexibility.
- Fees and charges – Check for origination fees, late fees, and prepayment penalties.
Here’s a breakdown of the best banks for personal loans in different regions:
| Best Bank | Best For | Country |
|---|---|---|
| Standard Chartered | Lowest interest rates | Global |
| Citi Bank | International loans | Global |
| SoFi | No fees & fast funding | USA |
| HSBC | UK borrowers | UK |
| NAB | Long repayment terms | Australia |
| HDFC | Quick processing | India |
How to Get a Personal Loan with a Low Interest Rate
If you want to get the best personal loans with low interest rates in 2025, follow these tips:
- Maintain a High Credit Score – A credit score above 700 improves your chances of getting a low-interest loan.
- Compare Multiple Lenders – Don’t accept the first offer. Always compare loan rates from at least 3–5 lenders.
- Check for Hidden Fees – Some banks offer low interest rates but charge high processing fees.
- Opt for a Shorter Loan Term – Shorter terms often come with lower interest rates.
- Show Stable Income – Lenders prefer borrowers with steady employment and a reliable income source.
Conclusion: Choosing the Best Personal Loan in 2025
Getting the best personal loan with a low interest rate in 2025 requires research and comparison. By choosing the right lender, maintaining a good credit score, and understanding the loan terms, you can secure a low-cost personal loan that fits your needs.
If you’re wondering “Which bank has the lowest interest rate on personal loans?” or “What bank is best for personal loans?”, check the comparison tables above and apply with a lender that matches your financial goals.
Are you ready to find the best personal loan for 2025? Start comparing today and get the lowest interest rate possible!