Discover Personal Loans Review

Rating: 9.4 / 10 (Excellent)
16 Customer Comments & Reviews - see all comments
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Discover personal loans are a product of Discover Financial Services, Inc., an Illinois-based company that is best known for its credit cards. The firm is one of America's financial giants, with over $93 billion in assets. In additional to personal loans, the company offers home loans, student loans, banking, credit cards, and debit cards.

How is Discover rated?


Loan Specifics
Cost of Loan
Lender Reputation

Overall Rating: 9.4 / 10 (Excellent)

Many of Discover's personal loan practices are strongly pro-consumer. The company's comparatively low interest rate range, its refusal to charge origination fees, and its lack of prepayment penalties set it above most of the competition. These policies may be behind the company's positive reputation with its customers. All told, Discover is an excellent choice for consumers who want a flexible personal loan from a solid company.

Discover Loan Specifics

Loan Specifics - 9.1 / 10

Discover offers consumers a lot of flexibility in how it structures its personal loans. Decision and disbursement times are near-instantaneous. Consumers can choose repayment terms of between 36 and 84 months and can use the funds for a variety of purposes. It should be noted, though, that if the purpose of a personal loan is to pay off credit cards or consolidate debt, at least 70% of the loan must go to the applicant's creditors. The company caps personal loan amounts at $35,000, which is not as high as some of its competitors, but is likely high enough to serve most people's needs.

Loan Uses

Debt/Credit Card Consolidation
Buy Home
Major Purchase
Home Improvement
Medical Expenses
Start Business
Loan Minimum
Loan Maximum
Term Length
36 - 84 months
Pay Creditors Directly
Decision Time
Same day
Disbursement Time
Next business day, assuming no errors on your application

Discover Qualification

Qualification - 9.5 / 10

Discover doesn't provide much information about how it goes about assessing whether a personal loan applicant is qualified. Prospective borrowers fill out a form that includes annual income, housing payments, a yes/no question about bank accounts, and personal identifying information. The company affirms that it does use FICO scores in the qualification process, but does not publish a minimum acceptable score. In this regard, its practices are very similar to those of most other direct lenders.
Personal Income Considered
Verify Bank Account
U.S. Citizen
Hard Credit Pull

Discover Cost of Loan

Cost of Loan - 10 / 10

Unlike many of its competitors, Discover does not charge an origination fee and does not impose a penalty for early repayment. Its highest APR is a full 11 points lower than the highest APR of many other companies. These pricing policies put Discover well ahead of most of the personal loan industry.
APR Range
6.99% to 24.99%
Origination Fee
Missed Payment Penalty

Discover Reputation

Lender Reputation - 9.5 / 10

Discover enjoys a solid reputation for treating its personal loan customers fairly. While any company as large as Discover Financial Services will inevitably be on the receiving end of some consumer complaints, what's striking about Discover's is how few of them concern its personal loan business. What few complaints do concern personal loans don't suggest any kind of pattern of bad conduct or carelessness. In fact, many of the complaints are from people upset because they couldn't become a Discover customer. The company does not appear to have been involved in any reported consumer litigation concerning its personal loan operations. All in all, this is the profile of a firm that enjoys an excellent reputation with its customers.
Type of Lender
Other Financial Institution
Year Founded
BBB Rating
Number of BBB Positive Reviews
Number of BBB Negative Reviews
Trust Pilot Rating
8.3 out of 10
Consumer Financial Protection Board (CFPB) Complaints
There are only a small handful of CFBP complaints about Discover's personal loan services, none of which suggest any dishonesty.
Date Collected

Company Profile

Full Name
Discover Personal Loans
Company Website
P.O. BOX 6105, Carol Stream, IL, 60197

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16 Customer Comments & Reviews

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Jeff M
Richmond, Indiana
They claim you can apply without affecting your credit score, so I did and was pre-approved pending employment and income verification. So I accept and allow them to post a hard inquiry because I know I can verify my employment and income reported. They pulled 2 hard inquiries! After forwarding them proof of income, proof of employment and last years tax returns I hear nothing for 1 week after being told I would hear within 48 hours, I follow up with them and they tell me they cannot do my loan. Their reason given was due to my current monthly obligations. I have a 90 day personal loan for $5000 that is a 1 time payment which they included in my monthly obligation. My credit score is 676... Read More

Allendale, Michigan
Hi. Bear with me through my story to explain why I will never use a Discover product again (I will be cancelling my card soon). I am a soon-to-be college graduate. I just accepted a job offer for 72.5k with a 10k signing bonus. Then my car broke down and needed an engine swap. The signing bonus wouldn't come in until a month after I signed (three weeks after my car broke down). But I need my car to get to class. So I applied for a loan. I was approved initially but they needed to confirm my job. So, I uploaded my offer letter and received an email stating that I should wait up to 2 business days for them to call back with more information. I waited 4 business days and no call. I... Read More

Detroit, Michigan
This is the worst company ever. I received a statement in May after I paid Discover $6400.00, which was the payoff balance and 3 months later I received another bill from Discover with a balance of $515.90. I truly believe, Discover has lost it. They are only interested in keeping people in bondage. If you are vacillating whether to obtain a loan from discover, please do not. It is not worth the headache.

Ann Arbor, Michigan
I had an excellent experience with Discover Loans. I'd been receiving the pre-approved letters for awhile but only recently decided to contact them to see what they could offer - and I was pleasantly surprised how easy the process was. I received a better rate than I expected and the application was very straightforward. I'd done a Prosper loan in the past, which was also relatively straightforward, and my experience with Discover was slightly better in terms of simplicity in the process, but both were great. I'm not certain why others have had negative experiences, but mine was excellent (I don't have perfect credit, but I've never had a late payment and have a long credit history, so... Read More

Wheaton, Illinois
Quick and easy process auto-pay and no surprises works good for me

Credit A
Broken Arrow, Oklahoma
I was quickly approved for a loan that I will be using to consolidate of a couple of credit cards. Process went very smoothly! I will be able to make one payment at a much lower interest rate now! Very happy with that. For those that are not getting approved, it is not the is more than likely your credit history. If you are someone who pays your bills on time and have a decent income to debt ratio you should be just fine. If you have a crappy credit score.....good luck.

Our Partner
9.4 / 10
  • Fixed-rate personal loans up to $35,000
  • Check your rate with no impact to your credit
  • No origination fees, closing costs, or pre-payment penalties
  • Loan terms from 36 to 84 months
  • Rates ranging from 6.99% to 24.99% APR
  • Funds sent the next business day after you accept loan