With roots dating back to 1863, U.S. Bank is currently the fifth-largest bank in the country. The bank has more than 2,700 branches and 4,400 ATMs spread across 27 states, along with many of the bank’s products and services offered online.
U.S. Bank personal loans are designed for a wide variety of borrowers who want to use loans big and small for things like paying off credit card debt, meeting monthly expenses, or funding a big purchase.
- APR Range 2.99% to 16.49%
- Recommended Min Credit Score 700+
- Loan Amounts $1,000 to $25,000
- Loan Terms 12 to 60 months
- Pros and Cons
No prepayment or origination fees
Small minimum loan amount
Generous AutoPay discount available
Maximum loan amount is $25,000
Some borrowers will need to visit a branch in person
Only available to U.S. Bank customers
- Origination fee: No origination fee
- Late fee: $29 if your monthly payment is more than five days late
Pros of U.S. Bank Loans
- No prepayment or origination fees: You won’t incur any application or origination fees when applying for or receiving your personal loan through U.S. Bank. As of June 2020, there aren’t any penalties for prepaying your loan, either. You can pay any amount extra toward your balance at any time.
- Small minimum loan amount: While some lenders like SoFi or Peerform require you to take out at least $4,000, U.S. Bank allows you to borrow as little as $100 through its Simple Loan, and as little as $1,000 with its traditional personal loan.
- Generous AutoPay discount available: You may be able to save up to 2% on loans of $5,000 or more when you set up AutoPay through your U.S. Bank personal checking or savings account.
- Competitive APRs: U.S. Bank’s lowest annual percentage rate (APR) is 2.99%, which is lower than all other major personal loan lenders. Its high APR of 16.49% is better than nearly every other lender on the market, too.
Cons of U.S. Bank Loans
- Maximum loan amount is $25,000: U.S. Bank’s $25,000 loan limit makes it a poor fit if you’re looking for a loan above that amount. Many other lenders offer bigger loans.
- Some borrowers will need to visit a branch in person: While many borrowers will be able to complete the process entirely online, others may need to go into a local U.S. Bank branch in order to close their loan.
- Only available to U.S. Bank customers: You need to be a U.S. Bank customer for at least 120 days or 180 days, depending on the loan you want. This type of requirement is restrictive compared to many non-bank lenders that don’t require you to be a past or current customer to get a loan.
- No prequalification: While some banks will allow you to prequalify for a loan with a soft credit inquiry before proceeding with your official application, this isn’t an option at U.S. Bank. You’ll have to apply and trigger a hard credit check to see if you qualify.
- Late fee: U.S. Bank charges a late fee for loans paid more than five days late, whereas there are several online-only lenders that don’t charge late fees.
U.S. Bank Personal Loan Rates & Terms
U.S. Bank traditional personal loans are offered with a fixed interest rate that ranges from 2.99% to 16.49% APR, depending on creditworthiness. Repayment terms range from 12 to 60 months. The lowest APR is only available on loans under $5,000 with repayment terms of 12 to 48 months.
U.S. Bank offers what it calls its "Simple Loan," too. Whereas the bank’s traditional personal loans have longer repayment terms and a fixed interest rate, Simple Loans have a three-month repayment term and a $6 fee for every $100 you borrow. Loan amounts range from $100 to $1,000. You repay your loan in three equal installments, which you can pay manually each month or set up as an auto-draft from your existing U.S. Bank consumer checking account. For example, if you take out a $400 Simple Loan, you’ll pay back a total of $424 ($400 plus $24 in fees) over three months with three payments of $141.33.
While the $6 fee may seem manageable, its APR equivalent is just over 35%, which is considerably higher than U.S. Bank’s traditional personal loan option.
How Much Can You Borrow With U.S. Bank?
Borrowers are able to apply for between $1,000 and $25,000 in personal loan funding through U.S. Bank. Funds may be available as soon as one business day after the loan is approved and closed.
For a U.S. Bank Simple Loan, loan amounts range from $100 to $1,000. You can choose your loan amount in $100 increments.
U.S. Bank Personal Loan Fees
There are no application or origination fees for a traditional U.S. Bank personal loan. Also, you won’t have to worry about prepayment fees through U.S. Bank. According to a U.S. Bank representative, the prepayment penalty was eliminated from U.S. Bank personal loans in June 2020. Borrowers can prepay their loan ahead of schedule, in any amount and at any time, without penalty.
The one fee you may incur is a $29 late fee, though, if you make your monthly payment on your personal loan more than five days past your due date.
For Simple Loans, there are no late fees or prepayment fees. You will only pay $6 for every $100 you borrow.
How to Get a Personal Loan From U.S. Bank
U.S. Bank personal loans are only available to existing customers, who’ve held checking and/or savings accounts for at least 120 days. The personal loan application is offered online, and the bank usually provides a funding decision in less than a minute. To finalize the loan, however, some borrowers will need to make an in-person visit to a local U.S. Bank branch.
If you want to open a U.S. Bank account so you can get a personal loan, student checking is the only free option. The U.S. Bank Safe Debit Account has a $4.95 monthly fee that can’t be waived, though it does not charge overdraft fees. If you aren’t a student or don’t need another checking account, you can open a savings account and waive the monthly fee by keeping an average daily balance of at least $300.
U.S. Bank typically makes your loan available within one business day of closing the loan.
Simple Loans have slightly different eligibility rules but equally fast funding. Only customers of six months or longer can get them, and you need at least three months of recurring direct deposits. Also, you have to wait for 30 days after you pay off your Simple Loan before you can apply for a new one.
U.S. Bank personal loan interest rates are very competitive with no application or prepayment penalties, and a loan decision is usually provided within minutes. The 2% AutoPay discount is a rare perk, too, making the traditional personal loan a good option for existing customers who can qualify.
If you’re looking to take out a smaller loan, with easy-to-calculate interest rates and repayment options, the U.S. Bank Simple Loan might be the answer. With no late or prepayment fees, quick decisions on loans up to $1,000, and a flat $6 fee per $100 borrowed, you know exactly what you’re getting from the start.
However, borrowers who aren’t already U.S. Bank customers may balk at having to open an account and wait at least 120 days to get a personal loan. Also, while the bank doesn’t specify which customers may have to close their loan in person, this could be a drawback if you don’t have a U.S. Bank in your state or locations are limited. Finally, the bank reserves its best interest rates for certain loans, so it may not be best if you have excellent credit and want to borrow more than $5,000.