Avant vs. OneMain Financial: Which offers better personal loans?

Written by

Edited by

Katie Lowery

Published on February 03, 2025 | 4 min read

Bankrate is always editorially independent. While we adhere to strict , this post may contain references to products from our partners. Here's an explanation for . Our is to ensure everything we publish is objective, accurate and trustworthy.

Delmaine Donson/ Getty Images; Illustration by Austin Courregé/Bankrate

Key takeaways

Both Avant and OneMain Financial are strong options for those with poor or little credit who require a personal loan.
Of the two lenders, Avant offers more competitive rates for its borrowers.
OneMain Financial stands out for its fast funding timeline and small minimum loan amounts.

Avant and OneMain Financial cater to borrowers with less-than-perfect credit. They have higher rates than some other lenders on the market, but both can be reasonable options if you are unable to qualify with banks or more competitive online lenders and need a personal loan for bad credit. Still, there are some key differences to consider when weighing Avant vs. OneMain Financial for your personal loan.

Avant vs. OneMain Financial at a glance

Avant and OneMain Financial have similar offers, both fitting options for bad credit personal loans, though Avant may cost slightly less for some borrowers.

	Avant	OneMain Financial
Bankrate score	4.5	4.3
Better for	Lower potential APR	Smaller loans
Loan amounts	$2,000–$35,000	$1,500–$20,000, depending on state of residence
APRs	9.95%-35.99%	18.00%-35.99%
Loan term lengths	24–60 months	24–60 months
Fees	Administrative fee up to 9.99% $25 late payment fee $15 returned payment fee	Origination fee: Flat rate of $25-$500 or percentage up to 10% Late payment fee: Flat rate of $5 to $30 or percentage ranging from 1.5% to 15% $10 to $50 returned payment fee
Minimum credit score	550	No minimum
Time to funding	As soon as the next business day	As soon as the same day
Co-borrowers permitted	No	Yes

Avant personal loans

Better for a lower starting rates

Avant

4.5

Learn more in our Bankrate review

Avant’s personal loans are more competitive than those from OneMain Financial. Although this lender has a high administrative fee, it may still be lower than what you could qualify for with OneMain. The starting annual percentage rate (APR) is nearly half of OneMain Financial’s starting rate.

These features make Avant a good option if you have a credit score on the lower end of the fair credit range. But Avant doesn’t accept co-borrowers, so you must qualify on your own.
Pros

Reasonable starting APR

10-day late payment grace period

Low minimum credit score requirement
Cons

High top-end APR

Steep administrative fees

No joint applications

OneMain Financial personal loans

Better for smaller loan amounts

OneMain Financial

4.3

Learn more In our Bankrate review

OneMain Financial offers personal loans for borrowers with poor or no credit history. It stands out for its fast funding, which can be especially challenging to find if you have bad credit. It also allows you to secure your loan with collateral to potentially reduce your APR.

However, OneMain charges high APRs, so even if you have excellent credit, you’ll receive a credit card-like rate. Plus, this lender only offers loans in 43 states.
Pros

Same-day funding available

Secured options available

In-person and online options
Cons

High APRs

Higher late payment fee

Not available in all states

How to choose between Avant and OneMain Financial

Ultimately, Avant and OneMain Financial are similar enough that it doesn’t hurt to apply with both lenders. Since they both allow you to prequalify for a loan, you can see your potential rates without impacting your credit score.

This means you can make an informed decision and choose the lender that offers you the better deal. But even with poor credit, compare personal loan rates from a range of lenders to ensure you get the best deal.

APR range

Both lenders offer the same maximum interest rate of 35.99 percent, which is higher than the current average personal loan interest rate of 12.48 percent — but falls in line with poor credit rates.

Of the two lenders, Avant is the better choice if you meet its credit requirements because of the lower potential APR. OneMain, on the other hand, has a minimum APR almost double that of Avant — 18.00 percent.

If you don’t meet Avant’s minimum eligibility requirements, OneMain may be a good option. And unlike payday loans, which charge rates as high as 400 percent, OneMain’s APR is capped at 36 percent. While that does mean high monthly payments, it is a less predatory rate than other lenders that work with bad credit.

Minimum credit score

Both of these lenders cater to those with poor credit, but OneMain Financial doesn’t set a minimum credit score requirement. Avant accepts credit scores as low as 550, which falls within the very poor category, according to FICO. Many other lenders, even those that claim to accept bad credit, have a minimum credit score of at least 600, including Best Egg and LendingPoint — Avant stands out for this reason.

Repayment terms

Repayment terms for personal loans tend to range between one and seven years. While you can secure a lower monthly payment with a longer term, it will result in more interest overall. Both lenders have terms available for up to 60 months.

If you can secure a lower rate with Avant, it can be a good option — even with slightly higher monthly payments for a shorter term.

Time to receive funds

The primary benefit of borrowing with OneMain is its same-day funding. If you are able to pick up a check at a local branch, you can have your funds the same day you apply. Avant, on the other hand, falls more in line with most personal loan companies — usually one to two business days.

Loan amount

OneMain is the better fit when you want a smaller loan. Its loan amounts range from $1,500 to $20,000, depending on where you live. Avant offers larger loans than OneMain, with amounts ranging from $2,000 to $35,000.

If you have big expenses, Avant is better able to meet those demands than OneMain.

Fees

When comparing two fairly similar lender options, considering fees can help you determine which option will save you the most money. Avant charges a steep administrative fee — similar to an origination fee — of about ten percent. OneMain takes a different approach, assessing either a flat rate or percentage of your loan amount as an origination fee. The best way to determine the fees associated with borrowing with these lenders is to get prequalified.

Both lenders also have late payment and returned payment fees — with OneMain’s running higher than those from Avant. If you choose to secure your loan with collateral, you must pay a fee for adding OneMain as a lienholder.

Bottom line: Which lender is better?

Both Avant vs. OneMain Financial are solid borrowing options, but they aren’t the only available choices. Selecting the best lender for you depends on your credit profile and borrowing needs. There are a wide range of bad credit loans available, so keep searching and comparing bad credit personal loan rates until you find a lender that works for you.

As with any loan, calculate the cost — with fees — before you borrow to ensure you are getting a loan that fits your budget.

Compare more lenders before applying

Upgrade

Best for consolidating debt

Upstart

Best for bad- and no-credit borrowers

Best Egg

Best for