Rocket Loans Personal Loans Review 2024

Rocket Loans may be a good option if you have a fair credit score and want funds fast. Its origination fee is quite high, though, so you may be able to find a better deal with a lender that doesn’t charge additional fees. Even so, Rocket Loans’ maximum APRs are not as high as some other lenders, and the possibility of same-day funding may be worth the added fees.

Rocket Loans serves borrowers in every state except Nevada, Iowa and West Virginia.

Rocket Loans Personal Loan Purposes

Permitted uses	Prohibited uses
Debt consolidation; however, Rocket Loans will not pay third-party lenders directly	Student loans
Home improvement	Expenses related to illegal activities
Auto-related expenses
Travel and vacation
Other large expenses

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Loan Amounts & Terms

• Loan amounts. Rocket Loans offers borrowers unsecured, fully amortized loans from $2,000 to $45,000.
• Loan terms. Borrowers can choose from 36- or 60-month loan repayment terms.

Personal Loan Costs

• APR. APRs range from 8.416% (rate with the autopay discount) up to 29.99% (rate without autopay discount).
• Origination fees. Rocket Loans charges a loan origination fee of 1% to 7% that is in addition to advertised APRs. As with other lenders, the origination fee is deducted from the balance of the loan prior to funding. Therefore, if you need to borrow a specific amount of money, you should consider this when requesting a total loan amount.
• Late payment fees. Borrowers who are late with a payment must pay a $15 late fee for each payment cycle the payment is late. However, there is a 10-day grace period.
• ACH return/returned check fee. Likewise, borrowers whose payments are returned due to insufficient funds or other reasons are charged $15 per occurrence.
• Prepayment penalty fees. Rocket Loans does not charge borrowers a prepayment penalty for paying off their loans before the end of their loan term.

Perks & Features

Aside from the autopay discount Rocket Loans offers, it doesn’t provide additional perks or features that are seen on other top personal loan lenders. Some lenders provide perks like financial hardship assistance and flexible payments dates. Consider an alternative if you want to tap into similar bells and whistles.

Personal loan applications are approved or declined based on a number of factors. All lenders have their own unique underwriting requirements, but these typically include information from an applicant’s credit profile and other factors that demonstrate the ability to repay the loan, such as income. Meeting the requirements below won’t guarantee approval, but they can help you decide if a personal loan is the right fit for you.

Credit Score Requirements

The minimum credit score required for a Rocket Loans personal loan is 640, although the average credit score of a Rocket Loans borrower is 710.

Borrowers should have a minimum credit history of two years, but the average is 18 years. Borrowers without any credit history should consider a platform like Upstart that lends to those with no credit history.

Income Requirements

Rocket Loans requires borrowers to have a minimum annual income of $24,000 for approval, but the average income among borrowers is much higher—$85,000. Likewise, Rocket Loans considers each applicant’s debt-to-income (DTI) ratio with a maximum ratio of 40% and an average of 14% (exclusive of the applicant’s mortgage debt).

Co-signers and Co-applicants

Rocket Loans does not allow co-signers or co-applicants.

Applying for a personal loan typically involves prequalifying for a rate, submitting a formal application and awaiting loan approval. Follow these steps to apply for a Rocket Loans personal loan:

1. Find out your rate. To start the application process, provide basic information—name, address, income, Social Security number and birthday—to see the rate you’ll qualify for. This involves a soft credit check and will not negatively impact your credit.
2. Review your loan options. Once you enter that information, Rocket Loans will show you what loan options you qualify for so you can choose the loan amount, term and rate that fits your needs.
3. Submit the formal application. Next, submit your application by providing additional details like bank account information. This is also the point at which Rocket Loans will verify your personal information, including income. Rocket Loans may also need to request supplemental documentation, although the lender aims to validate borrower information in real time.
4. Sign your loan documents. Finally, you’ll be presented with a promissory note and loan terms that summarize everything you’ve entered and chosen throughout the application process. Once you sign the necessary documents, the loan is approved and funded.

Time to Receive Funds

Rocket Loans offers same-day loan funding for borrowers who complete their application and sign the promissory note before 1 p.m. Eastern time on a business day. Although this may result in same-day funding, the average time to receive funds is two to four days.

Rocket Loans receives 4.8 stars on TrustPilot based on over 3,000 reviews. It also boasts positive ratings on the Better Business Bureau (BBB) website, and the company has a 4.89-star customer rating and an A+ BBB rating.

Happy customers report that the online loan application process is easy and that the approval process is fast. While some borrowers complain about the origination fee, this complaint appears to be overshadowed by satisfaction with how quickly loans are funded. Purely negative reviews are less common but typically focus on interest rates and trouble during the qualification and approval process.

The best personal loans offer competitive rates, flexible loan amounts and a wide range of terms. Here’s how Rocket Loans personal loans stack up against other popular lenders:

Rocket Loans Vs. SoFi

SoFi offers loan amounts from $5,000 to $100,000, making it a good option for borrowers who need more money than is available through Rocket Loans. SoFi’s personal loans also offer competitive APRs starting around 6% with autopay and increasing to around 20%, much lower than Rocket Loans. SoFi also does not charge any origination fees, prepayment penalties or late fees.

Related: SoFi Personal Loans Review

Rocket Loans Vs. LightStream

Personal loans offered through LightStream range from $5,000 to $100,000—more than double the maximum loan amount available through Rocket Loans—depending on the loan purpose. LightStream APRs are also much more competitive, starting below 3% for eligible loan types with autopay and maxing out at around 20%, which is dependent on the purpose of your loan and creditworthiness.

What’s more, LightStream loan repayment terms are more flexible than those available to Rocket Loans borrowers, and extend from just two to 12 years, depending on your loan purpose. Borrowers are also not charged origination fees or prepayment penalties.

Related: LightStream Personal Loans Review

Rocket Loans Vs. Upgrade

Upgrade personal loans are available from $1,000 to $50,000, similar to the loan amounts offered by Rocket Loans. However, Upgrade’s APRs may be higher than those available through Rocket Loans, ranging from around 6% to around 36%. That said, Upgrade offers a much more extensive range of loan terms than Rocket Loans (24 to 84 months).

Related: Upgrade Personal Loans Review

	ROCKET LOANS	SOFI	LIGHTSTREAM	UPGRADE
Best for	Borrowers with fair credit	Large loan amounts and borrowers with high credit score	Low interest rates and lengthy loan terms	Borrowers with bad credit
Loan amounts (may vary by loan purpose)	$2,000 to $40,000	$5,000 to $100,000	$5,000 to $100,000	$1,000 to $50,000
Term length (may vary by loan purpose)	3 or 5 years	2 to 7 years	2 to 12 years	2 to 7 years

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We reviewed Rocket Loans based on 16 data points in the categories of loan details, loan costs, eligibility and accessibility, customer experience and the application process. We rated Rocket Loans based on the weighting assigned to each category:

• Loan cost: 35%
• Loan details: 20%
• Eligibility and accessibility: 20%
• Customer experience: 15%
• Application process: 10%

Within each category, we also considered several characteristics, including available loan amounts, repayment terms, APR ranges and applicable fees. We also looked at credit score requirements, whether the lender accepts co-signers or joint applications and the geographic availability of the lender. Finally, we evaluated Rocket Loans’ support tools, borrower perks and features that simplify the borrowing process—like prequalification options and mobile apps.

To learn more about how Forbes Advisor rates lenders, and our editorial process, check out our Loans Rating & Review Methodology.