Best credit unions for personal loans of September 2026

While people often turn to their existing bank for a personal loan, credit unions can have more flexibility with creditworthiness and charge fewer (or no) upfront origination fees.

Federal credit unions cap most loan annual percentage rates (APRs) at 18%, while the maximum APR from most commercial banks can range from 24% to 36%, depending on the institution and your credit profile.

CNBC Select has named the best credit unions for personal loans, looking at key factors, including interest rates, loan amounts, funding speed and customer service. For more on how we made our selections, read our methodology below.

Who's this for? PenFed Credit Union boasts low rates and no origination fee In addition, you can apply with a co-applicant, which can help with approval and more advantageous interest rates

Standout benefits: You can be approved for as little as $600 in financing, less than any lender on this list. Membership in PenFed only requires opening a savings account with a $5 deposit.

Who's this for? If you need money quickly, Alliant Credit Union can often fund loans the same day.

Standout benefits: Alliant doesn't charge an origination fee and borrowers can access unsecured loans ranging from $1,000 up to $100,000, the widest range we've found.

Who's this for? First Tech Federal Credit Union (FTFCU) offers competitive interest rates and no origination fees, and borrowers have up to seven years to pay off their balance. It approves loans for as little as $500 or as much as $50,000.

Standout benefits: You can delay your first payment for up to 45 days after your funding date. Membership in the credit union only requires an $8 donation to the Financial Fitness Association, and the fee may be covered by FTFCU.

Who's this for? If you don't have great credit, you can secure your Connexus Credit Union loan with a CD or savings account and be eligible for more favorable terms.

Standout benefits: Connexus doesn't charge an origination fee and borrowers can earn up to 2% off their APR by enrolling in paperless banking and autopay. Debt protection is also available, allowing borrowers to pause or cancel payments if they face job loss, death or other hardships,

Who's this for? Navy Federal Credit Union approves personal loans for just $250, the smallest minimum we've seen in the market. There's no application or origination charge, either, so your funding isn't swallowed up by fees.

Standout benefits: You can use a savings account or CD as collateral to secure better terms. Same-day funding is often available and you can opt to repay your loan in as little as six months.

Note: Membership in Navy Federal Credit Union is limited to active and retired service members, employees of the Department of Defense, and their family members.

A credit union is a financial institution that works much like a bank, but it is not-for-profit and owned by its members rather than by investors. As a result, profits are often funneled back into financial products and credit unions often offer higher savings/CD rates or lower loan rates than traditional banks.

Credit unions have membership requirements — some are strictly limited to a particular location or employer, while others only require a donation to a foundation or small deposit in a savings account. While funds in banks are guaranteed by the FDIC, money deposited in a credit union is protected by the NCUA up to $250,000 per depositor.

There are benefits and drawbacks to borrowing from either kind of financial institution.

When a credit union personal loan makes more sense

• Potentially better rates: The National Credit Union Administration (NCUA) has capped most loan APRS at 18%, considerably lower than bank rates.
• Lower fees: Some credit unions charge fewer or lower fees than traditional banks.
• Personalized service: Smaller, member-focused credit unions can often provide more individualized support.
• Less-than-perfect credit: Some credit unions consider more than just credit scores when evaluating applications and may allow collateral or co-borrowers.
• Membership: If you meet a credit union's eligibility requirements, it's worth reviewing its rates and terms.

When a personal loan from a bank makes more sense

• Convenience: Banks often offer robust web and mobile platforms and many l allow you to apply for and manage personal loans completely online..
• Physical branches: Traditional banks provide easier access to in-person services and large ATM networks.
• Strong credit: Banks may have more competitive rates but require good or excellent credit for approval.
• Multiple financial products: Banks are more likely to offer checking, savings, mortgages, credit cards and other financial services.

At CNBC Select, our mission is to provide our readers with high-quality service journalism and comprehensive consumer advice so they can make informed decisions with their money. Every personal loan review is based on rigorous reporting by our team of expert writers and editors with extensive knowledge of loan products. While CNBC Select earns a commission from affiliate partners on many offers and links, we create all our content without input from our commercial team or any outside third parties, and we pride ourselves on our journalistic standards and ethics.

In determining the best personal loans from credit unions, CNBC Select evaluated loan products offered by more than 20 top U.S. credit unions. We focused on a variety of factors, including:

• Interest rates and APRs
• Membership requirement
• Eligibility requirements
• Loan amounts
• Term offerings
• Collateral and co-applicant options
• The application process
• Funding speed
• Fees and discounts
• Customer support

We also considered CNBC Select audience data when available, such as general demographics and engagement with our content and tools.

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