If you’re looking for a loan that can cover a large expense or even a smaller one like a minor car repair, you need to learn more about TD Bank.
Personal loans from TD Bank range from $2,000 to $50,000 and come with a competitive APR for borrowers with good to great credit.
With no origination fees, a soft credit pull to start, and the opportunity to choose your own payment due date, TD Bank is an option to consider for those who live in the states in which the bank operates.
Pros and Cons of TD Bank Personal Loans
TD Bank Top Features At-a-Glance
What Is TD Bank?
TD Bank was founded in 1955 as the merger between The Bank of Toronto and Dominion Bank.
Today, they are known as the “most convenient bank” and have a wealth of financial products available, including personal loans.
TD Bank currently lends up to $50,000 to customers who have good credit (with a minimum score of 660) and want to obtain a loan with no joint or co-signing options, as well as flexible terms of 12 to 60 months.
It lends money for a wide variety of needs, including home improvements, personal vacations, debt consolidation, and more.
While TD Bank only serves users in a handful of states, they offer a significant brick-and-mortar presence in those states as well as a robust online option.
Compare TD Bank to Other Lenders
TD Bank offers a wealth of advantages for those who want to obtain a personal loan to handle everything from paying down debt to getting that much-needed dental procedure to improving their vehicle or home.
See how TD Bank compares to some other popular online personal loan companies.
SoFi
The low APR offered by TD Bank for personal loans is among the best on the market today, but SoFi personal loans come pretty close to the same rates.
While TD Bank offers loans up to $50,000, SoFi will lend up to $100,000 to qualified borrowers.
Upstart
While you will see some lenders that only offer $35,000 or $40,000 as the highest amount you can borrow, Upstart personal loans match TD Bank by offering up to $50,000 to borrowers.
Happy Money
One of the biggest differences between TD Bank and other lenders is the availability of funding across the nation.
While some lenders, such as Happy Money, have restrictions on where they can lend money, TD Bank has more restrictions than many of its competitors. While Happy Money is not available in only four states, TD Bank has only a few states in which they operate, which makes it not an option for borrowers across most of the nation, especially out west.
See more personal loan lenders, compare rates, and see how they all stack up.
Who Is TD Bank For?
TD Bank is a robust option for those who have relatively good credit and need a loan of up to $50,000.
The funds can be used for almost anything you might need, from consolidating high-interest credit card debt to making repairs and upgrades to your home to paying for that once-in-a-lifetime vacation.
TD Bank works for those who want a shorter commitment of term between 12 and 60 months and need their funds quickly, as this lender often delivers within one business day.
How Does a Personal Loan From TD Bank Work?
You don’t have to be a banking customer to qualify for a TD Bank personal loan, and the initial prequalification happens with a soft credit check, which doesn’t affect your credit score.
How Much Can You Borrow?
Unlike some other lenders, you can borrow as little as $2,000 with TD Bank, which is perfect for those who need emergency cash for a small home repair or vehicle issue. The terms can range from 12 months to 60 months.
How Fast Can You Get Approved?
The approval process for the loan is very quick, sometimes happening within only minutes, and same-day funding is possible; however, the next business day is more typical.
Additional documentation requests mean the loan approval can take longer, but it’s typically within only a few days from application to approval.
Can You Use a Cosigner?
There are no joint loan options or co-signers allowed with TD Bank personal loans. Unsecured personal loans are the only option.
That’s great if you have good credit and don’t want to put up any collateral for the loan; it’s bad if your credit score or income is lacking and you need someone to help you bridge the gap.
This also means that you might get a higher rate than you would like for the loan amount you need.
How Is Your Payment Due Date Determined?
Once the personal loan is approved, you can choose your payment due date to make it easier to keep your finances under firm control.
The money goes straight to your designated account, which can be great for those who want to handle their payments on their own, but not good for those who want to reduce the hassle of dealing with their creditors.
How to Get Started
Getting started with a personal loan from TD Bank is easy.
Prequalification: Getting prequalified is done through the website by answering brief questions, including how much money you need and why, as well as personal information that will allow a soft credit pull. This doesn’t affect your credit score.
Loan offers: If you meet the requirements for prequalification, you will see potential loan offers. These offers will provide you with information on how much you can borrow and what your payments would be.
Apply for your loan: Once you choose which one you want to go with, you will be prompted to submit a personal loan application. This application requires certain documentation, such as bank statements, proof of income, employment history, mortgage or rent payments, and identification information.
Credit check: Once the application is done, the bank will do a credit check. This is a “hard” hit on your credit report and depending upon your financial situation, your credit score might take a small hit.
The bank will look at your credit score, income, and debt-to-income ratio, among other points, to ensure you qualify.
Receiving funds: Once you are approved, you can receive funds within one business day. You will be given information on when and how to begin paying back your loan.
Rating the Features
The top features of TD Bank shine with the personal loan options. Here’s what to expect.
User Experience
Applying for a personal loan at TD Bank is very easy, with prequalification taking only minutes and the actual application taking a little longer than that.
The funds are sent to your bank immediately upon approval, which means you might have them during the next business day. Customer service is available via phone and at branches if you need assistance.
Fees and Rates
There are no origination fees at TD Bank, which can allow borrowers to keep a big chunk of their cash that might otherwise go right back to the bank. The APR rates are good for those who have excellent credit, with the lower end reserved for those who have the best possible credit, income, and debt-to-income ratios.
Transparency
The application for a loan through TD Bank is relatively easy, requiring the same information that any lender might request.
Since the eligibility criteria aren’t listed on the website, it can be tough to know if you might qualify without a full application, which can mean a hit on your credit score.
The website and app are intuitive and make it easy to make payments and keep track of the loan.
Flexibility
For people who prefer their banking, including their personal loans, to be handled at a branch rather than entirely online, that’s an option with TD Bank, as there are branches in many states.
On the other hand, the lender only operates in a handful of states, which can put it out of reach of great loan candidates.
Those who do work with TD Bank have the option of choosing their own payment date.
Customer Support
Customer service is available during extended banking hours at branches in the states where TD Bank has a physical presence.
Customer service over the phone is available 24/7, complete with operators who speak Spanish or English, as well as translation services available. A robust app and online interface make it easy to handle money online.
What You Should Know About TD Bank Personal Loans
Now that you’ve had a chance to learn about TD Bank personal loans, we’ve gathered all the information into the most important things you’ll need to know when deciding if TD Bank is right for you.
Benefits
Here are the things we like about TD Bank’s personal loans.
Soft credit check
There is only a soft credit check for prequalification, which means no hit on your credit score. This can be a good thing for those whose credit scores might be on the fence; a higher score could mean a difference in APR.
No origination fees
TD Bank charges no origination fees, which allows you to use more of the funds you’re borrowing.
Payment flexibility
Payment due dates can be changed by the borrower easily through the website or app.
Loan amounts
Loan amounts are available for as little as $2,000 and 12 months, or up to $50,000 with 60 months to pay it back. That wide range allows you to keep better control of your financial life.
Funding time
In most cases, funds are released within one business day of final loan approval. This gets the funds into your hands quickly, allowing you more flexibility.
Drawbacks
Every personal loan has drawbacks, and here are some we found with TD Bank.
Availability
TD Bank is currently available only in Connecticut, Delaware, Florida, Maine, Maryland, Massachusetts, New Hampshire, New Jersey, New York, North Carolina, Pennsylvania, Rhode Island, South Carolina, Vermont, Virginia, and Washington, D.C. Borrowers who live outside of those states won’t be able to apply.
No rate discounts
There are no rate discounts offered for autopay, which is a service many other lenders provide.
No direct payoff option
If you are paying off high-interest credit loan debt, you will have to pay the creditors yourself.
That can lead to a delay of a few days from funding to payment, which can mean a few extra days of paying interest on the credit card balances.
No cosigners or join borrowers allowed
Joint loans can allow borrowers to have a better credit history, which can then lead to a better APR. TD Bank doesn’t offer joint loans, which means that a person’s credit score and history can’t be “softened” by someone else who has a better situation.
A co-signer can be a safety net for the borrower, in that they might have help in making payments when money gets tight. Since TD Bank doesn’t allow co-signers, this isn’t an option.
Frequently Asked Questions (FAQs)
Didn’t TD Bank run into regulatory trouble recently?
In August 2020, TD Bank settled with the Consumer Financial Protection Bureau concerning overdraft fees. Though the lender paid a fine and restitution to customers, the situation did not affect their personal loan division.
What am I prohibited from using TD Bank personal loans for?
You can’t use a loan from TD bank for business or educational expenses. For those needs, you will need to obtain a business loan or a dedicated student loan (both of which fall under different regulatory rules than personal loans do).
What is a TD Bank “Fit” Loan?
That’s simply the name of the personal loans offered by TD Bank. No questions about fitness are involved!
Bottom Line
TD Bank is great for those who live in the states where the bank has a business presence.
The low APR options mean that your money can go much further, and the ability to take out even small amounts means you have more control over your financial future.
