Best Secured Personal Loans of 2025 – Most personal loans are unsecured and don’t need any collateral to be pledged by the borrower. However, unsecured loans may be difficult to obtain or have unreasonably high interest rates. A more convenient option in 2025 is secured personal loans. Secured personal loans of 2025 may make it simpler for less creditworthy borrowers to be approved for credit. This is because they are secured by assets such as the borrower’s house or car. These loans carry greater risk for the borrower since the lender has the right to seize the collateral in order to recover its losses if you default. The best secured personal loans of 2025 have competitive interest rates, flexible repayment terms, and large borrowing limits.
Best Secured Personal Loans of 2025
Almost anything can be financed with a personal loan, including home improvements and unforeseen costs. For people who struggle to qualify for loans due to bad credit or high interest rates, secured personal loans of 2025 may be helpful. Shop around and compare options from multiple lenders, as secured loan rates vary amongst lenders. Based on factors like interest rates, fees, repayment terms, and other important considerations, these are our top choices for the best secured personal loans of 2025.
Upgrade
Upgrade provides online credit and banking services, offering personal loans ranging from $1,000 to $50,000. It allows co-signers and has a low credit requirement of 580. However, loans only reach $50,000, and origination fees can decrease the total borrowed amount. Additionally, Upgrade is best for borrowers with poor credit histories. Upgrade’s personal loans require a minimum credit score of 580, a minimum income of none, and co-applicants. Furthermore, its mandatory automatic payments may not suit everyone.
OneMain Financial
OneMain Financial offers secured personal loans for borrowers with bad credit, helping them qualify for personal loans even with low scores in 2025. An authorized vehicle may be accepted as collateral by OneMain. In addition to current insurance, the lender demands a first lien on the vehicle titled in the borrower’s name.
Additionally, the car needs to fit OneMain’s loan-to-value specifications. Vehicles such as trucks, cars, and motorcycles are common collateral. However, other vehicles can also be taken into consideration, like boats, trailers, and RVs. OneMain doesn’t charge penalty fees and offers loans up to $20,000. Origination and late fees vary by state, with origination fees ranging from 1% to 10% and late fees from 1.5% to 15%.
First Technology Federal Credit Union
First technology Federal Credit Union is a secured loan certificate that offers a viable option for both borrowing and investing. The money in your certificate account will keep earning dividends while you repay your loan. Also, certificate accounts typically yield higher interest rates, but a savings-secured loan would also benefit from this.
Furthermore, you may be eligible for a loan of up to $500,000 based on your credit history and the amount in your certificate account. It offers extra-large loans available with First Tech certificates, earning dividends as payment with a highly rated mobile app. Furthermore, it requires a First Tech certificate account, membership eligibility, and availability in California, Oregon, and Washington.
Best Egg
With the exception of Iowa, Vermont, West Virginia, and Washington, D.C., borrowers in every state can access the lending platform Best Egg. Cross River Bank offers personal loans with amounts ranging from $2,000 to $50,000. Best Egg can be a great way to combine your other debts and spread the payments over time. However, loan proceeds can be used for debt consolidation and payment terms range from three to five years.
That said, you will be responsible for overseeing the repayment process, as Best Egg does not pay creditors directly. Additionally, origination fees ranging from 0.99% to 5.99% of the loan amount are payable by borrowers. When figuring out how much you can save by combining your debts with a Best Egg personal loan, this fee is crucial to take into account. However, there is no penalty for borrowers who repay their loans early.
Digital Federal Credit Union
Slightly secured loans are available from Digital Federal Credit Union (DCU). Notably, its 120-month Savings-Secured Loan has one of the longest loan terms available. This loan has a fixed annual percentage rate (APR) that starts at 3.50% and is secured by your DCU savings account. Lower credit score borrowers may be qualified because, according to DCU, timely repayment of a savings-secured loan can help you build credit. The Skip-A-Payment program offers financial assistance, live chat support, and a 120-month loan term. However, it requires a DCU savings account, available in 50 states, and membership fees.
Navy Federal Credit Union
Members of the National Guard, the Department of Defense, and the armed forces, as well as their families, are served by Navy Federal Credit Union. It provides secured loans that you can repay with a certificate of deposit or savings account. Navy Federal personal loans have no origination fees, and active duty personnel may be able to receive an interest rate reduction of 0.25%. Navy Federal Credit Union offers small loans starting at $250 with interest rate discounts for active duty service members. It also offers no origination fees and the lowest APR on 36-month terms, with no early payoff penalty.
Patelco Credit Union
Patelco Credit Union is a Northern California institution that offers secured personal loans backed by savings accounts and CDs in 2025. Additionally, its savings-secured loans have a low APR of 2.50%, while CD-secured loans have an APR equal to the CD rate plus 2.25%. Also, membership is required for application and approval. Patelco offers low APRs, no origination fees, and 100% of savings account balance. Membership is required, and FFA membership auto-enrollment is required. Lastly, qualifying individuals can be from Northern California, Patelco sponsor companies, or FFA members.
Final Thought
A loan that is backed by collateral is called a secured loan. A vehicle, savings account, or even fixtures in your house can serve as collateral. Any asset you select must fulfill the criteria set forth by the lender and have enough value to support the loan. Your needs will determine which secured personal loan is best for you. Upgrade is the best option available due to its flexible loan terms and simple application procedure. Remember that if you are not eligible for an unsecured loan, the only asset you may pledge as collateral is a passenger car.
