Secured personal loans are an excellent option for individuals looking for lower interest rates while using collateral such as savings accounts, vehicles, or property.
These loans are ideal for covering larger purchases or managing emergency expenses. However, it’s crucial to weigh the pros and cons of various lenders before choosing the best one for your needs.
Below is a comparison of the best secured personal loans available in May 2025, highlighting the features, advantages, and disadvantages of each lender.
Comparison Table: Best Secured Personal Loans for May 2025
| Lender | Best For | APR Range | Loan Amount | Loan Terms | Minimum Credit Score | Origination Fee | Key Benefits |
|---|---|---|---|---|---|---|---|
| Patelco Credit Union | Best Overall, Best Credit Union | 9.30% – 17.90% | $300 – $100,000 | 6 months – 84 months | 640 | 0.00% | Low APR, No origination fees, Flexible funding, Credit Union membership perks |
| Upgrade | Best for Fair or Bad Credit | 7.99% – 35.99% | $1,000 – $50,000 | 24 months – 84 months | 580 | 1.85% – 9.99% | Lower minimum credit score, Multiple discounts, Joint applications available |
| OneMain Financial | Best for Range of Vehicles | 18.00% – 35.99% | $1,500 – $20,000 | 24 months – 60 months | Not disclosed | $25 – $500 (1% – 10%) | Accepts various types of collateral, Works with non-prime borrowers |
| Best Egg | Best for Homeowners | 6.99% – 35.99% | $2,000 – $50,000 | 36 months – 60 months | 640 | 0.99% – 9.99% | Average 20% homeowner discount, No foreclosure risk |
| First Tech Federal Credit Union | Best for Large Loan Amounts | 7.89% – 18.00% | $500 – $1,000,000 | 6 months – 84 months | Not disclosed | 0.00% | No origination fees, Multiple secured loan types, High loan limits |
Detailed Breakdown of the Best Secured Personal Loans for May 2025
1. Patelco Credit Union – Best Overall, Best Credit Union
- APR Range: 9.30% – 17.90%
- Loan Amount: $300 – $100,000
- Loan Terms: 6 months – 84 months
- Minimum Credit Score: 640
- Origination Fees: 0.00%
- Why We Chose It: Patelco Credit Union offers an exceptional combination of low-interest rates and flexible loan amounts. The ability to borrow up to 100% of your savings balance makes this an ideal option for those with Patelco savings accounts. Additionally, there are no origination fees, saving you money. Pros:
- Minimum APR as low as 9.30%
- No origination fees
- Wide loan term options (6 to 84 months)
- Flexible borrowing limits
- Requires membership with Patelco
- Only savings accounts can be used as collateral
2. Upgrade – Best for Fair or Bad Credit
- APR Range: 7.99% – 35.99%
- Loan Amount: $1,000 – $50,000
- Loan Terms: 24 months – 84 months
- Minimum Credit Score: 580
- Origination Fees: 1.85% – 9.99%
- Why We Chose It: Upgrade provides secured loans that are accessible even to individuals with fair or bad credit. The ability to apply with a co-signer and various rate discounts makes it a valuable choice for those seeking lower rates. Pros:
- Low minimum credit score of 580
- Multiple rate discounts available (autopay, debt consolidation)
- Joint applications permitted for better rates
- Maximum APR can be high at 35.99%
- Limited to auto-secured loans
3. OneMain Financial – Best for Range of Vehicles
- APR Range: 18.00% – 35.99%
- Loan Amount: $1,500 – $20,000
- Loan Terms: 24 months – 60 months
- Minimum Credit Score: Not disclosed
- Origination Fees: $25 – $500 or 1% – 10% of the loan amount
- Why We Chose It: OneMain Financial is unique in accepting various types of collateral, such as cars, trucks, motorcycles, RVs, and more. It is an ideal choice for those with less-than-perfect credit who can provide valuable collateral. Pros:
- Accepts multiple types of collateral
- Works with non-prime borrowers
- No prepayment penalties
- High minimum APR (18%)
- High origination fees
- Only available for borrowers who have vehicles to use as collateral
4. Best Egg – Best for Homeowners
- APR Range: 6.99% – 35.99%
- Loan Amount: $2,000 – $50,000
- Loan Terms: 36 months – 60 months
- Minimum Credit Score: 640
- Origination Fees: 0.99% – 9.99%
- Why We Chose It: Best Egg offers a safe alternative to home equity loans by allowing homeowners to use fixtures or their vehicle as collateral. The 20% discount for homeowners is a strong incentive to consider Best Egg. Pros:
- No foreclosure risk
- 20% homeowner discount
- No prepayment penalties
- Maximum APR and origination fee can be high
- Home must be sold before the loan is fully paid
5. First Tech Federal Credit Union – Best for Large Loan Amounts
- APR Range: 7.89% – 18.00%
- Loan Amount: $500 – $1,000,000
- Loan Terms: 6 months – 84 months
- Minimum Credit Score: Not disclosed
- Origination Fees: 0.00%
- Why We Chose It: First Tech Federal Credit Union is ideal for borrowers looking for large loan amounts, offering up to $1,000,000 with various collateral options. The absence of origination fees further increases the affordability of this lender. Pros:
- Extremely high loan limits (up to $1 million)
- No origination fees
- Multiple collateral types
- Membership required
- High minimum loan amount for stock-secured loans
Final Thoughts
Secured personal loans are a practical option for borrowing large amounts at lower interest rates. By using valuable assets such as savings accounts, cars, or property as collateral, borrowers can qualify for loans they might not otherwise be able to obtain.
Each lender has unique features, including different loan terms, interest rates, and collateral options, so it’s essential to consider your needs and circumstances before choosing the right loan for you.
If you’re looking for flexibility, low APR, or have fair credit, you’ll find that there are several excellent secured personal loan options available in May 2025.
Always take the time to compare rates, fees, and loan terms to ensure you select the best lender for your financial situation.
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