Best Loans for Credit Card Refinancing in September 2025
| Lender | User rating | APR | Term | Amount | Min. credit score | |
|---|---|---|---|---|---|---|
|
7.49% – 24.14% | 24 to 84 months | Starting at $1.6M | 499 | ||
|
|
7.99% – 24.99% | 36 to 84 months |
$2.5k – $40k |
202 |
Credit card refinancing lenders at a glance
Best For: no-fee refinancing loans
- Can borrow up to $100,000 (lenders typically offer up to $50,000)
- No fees
- 0.50% autopay discount
- Must have good to excellent credit
- Can’t check rates without hurting credit
- Will not send your money to your creditors for you
While most lenders charge an upfront fee to consolidate debt, LightStream stands out from competitors by skipping fees altogether. You should consider LightStream if you have a lot of debt to pay off or need extra-long repayment terms.
Note that LightStream won’t send your loan directly to your creditors. And unlike most other lenders, you can’t prequalify for a LightStream loan.
LightStream doesn’t specify its minimum credit score requirements. It does make clear that it only lends to borrowers with good to excellent credit. The lender also advises that many of its approved applicants have:
- At least five years of credit history
- Retirement and investment accounts, as well as liquid assets in a checking or savings account
- An acceptable DTI ratio
- No delinquencies or blemishes regarding payment history
Best For: excellent customer service
- Hardship programs available if you fall behind
- High customer service scores from LendingTree users
- Competitive rates
- No live chat
- Must have good credit
If you’re having trouble keeping up with your loan, you may have options with Discover. This lender may allow you to delay your payments, temporarily reduce them or extend your loan term.
You’ll need to meet these eligibility criteria to get a Discover loan:
- Age: Be at least 18
- Citizenship: Have a Social Security number
- Administrative: Have a physical address, email address and internet access
- Income: Minimum income of $40,000 (individually or as a household)
- Credit score: 720+
What is credit card refinancing?
Think of credit card refinancing as trading in many smaller credit card debts for one larger debt. This is also called consolidation, and it can help some borrowers pay less interest.
Refinancing can help you:
Save money on interest. Compared to credit cards, credit card consolidation loans typically come with lower interest rates. At least, as long as you have excellent credit.
Simplify your budget. Credit card refinancing can also make budgeting easier. Instead of juggling multiple credit card bills, you’ll only have one loan bill to pay.
Plus, unlike credit cards, the bill for your consolidation loan will be the same each month, thanks to fixed interest rates.
Personal loan rates for people with 720+ credit scores currently have an average APR of 17.43%. Credit cards, on the other hand, currently sit at an average interest rate of 24.43%.
Pros and cons of credit card refinancing
Pros
-
Lower APRs
If you have good credit, personal loans generally come with better rates than cards. -
Streamlines your budget
After you consolidate, you’ll only have one monthly bill to pay. -
Predictable billing
Credit card consolidation loans have fixed rates, so your payment will be the same each month.
Cons
-
Is another form of debt
Credit card consolidation restructures your credit card balances, but doesn’t eliminate them. -
Takes willpower
If your lender doesn’t pay your creditors directly, you may be tempted to spend the loan on other things. -
Could cost more overall
If you choose a long loan term, you may end up paying more interest than if you didn’t consolidate. Some consolidation loans also come with origination fees.
When does a credit card consolidation loan make sense?
Taking out an installment loan to pay off credit card debt can be a solid way to save money on interest. Still, this approach isn’t best for everyone.
When a credit card consolidation loan makes sense
- If the loan has a lower APR than your credit cards
- If you’re having a hard time keeping track of multiple credit card payments
- If you’ll have a lower monthly payment after consolidating
When a credit card consolidation loan doesn’t make sense
- If the loan has a higher APR than your credit cards
- If you only have a small amount of debt across a couple of cards
- If you won’t be able to afford your monthly payment after consolidating
- If you aren’t ready to slow down using your credit cards
How to compare credit card refinancing loans with LendingTree
Shopping around for the lowest loan rates can help you save even more money on your credit card debt. We help make the process fast and easy. Here’s how it works:
1. Fill out a form
Answer a few questions about yourself and your current debts. This should take about two minutes.
2. Compare your offers
We could send you offers from up to five lenders from the nation’s largest network of lending partners. You can easily compare your offers to make sure you’re getting the best rates.
3. Get your money
Choose a lender, fill out the formal loan application and sign on the dotted line. Many lenders will send your money directly to your credit card company, but you can also choose to do this yourself.
If you have fair or good credit, you can save up to $3,138 by getting six or more personal loan offers. With LendingTree, you don’t have to fill out several loan applications to get your offers. We’ll do the shopping for you.
Will credit card refinancing hurt my credit score?
It could, but the hit will be temporary and small as long as you make payments on time. Here are the different ways refinancing can affect your score:
-
Small dip (around a few points) when you apply
When you apply for a loan, you’ll have to take a hard credit hit, which will cause your score to drop by around five points. -
Small boost when you take out the loan because you’re adding another type of credit
A debt consolidation loan could boost your credit by diversifying your credit mix. Credit mix is one of the five factors used to calculate your credit score. It accounts for 10% of your score. Having a healthy variety of up-to-date loans and cards can show that you’re a responsible borrower. -
Steady increase if you make on-time payments
When you make payments on time (every time), you’ll likely improve your credit score. -
Significant damage to your score if you miss a payment
A single late payment can cause your score to dip by up to 180 points, so make sure your loan payments fit in your budget.
Alternatives to credit card consolidation loans
Everyone’s financial situation is different, and maybe consolidating isn’t right for you. The alternatives below could be better fit:
Work out a payment plan
Some credit card companies (Discover, for instance) have assistance programs designed to help during financial hardship. Whether you’re in danger of missing a payment or already behind, call your credit card company to see if they can help.
Redo your budget
There are budget strategies that can help you pay off your debt faster.
If you use the debt snowball method, you’ll pay off your smallest debts first. Knocking out your lower-balance cards might empower you to continue eliminating your debt.
The debt avalanche method, on the other hand, will focus your attention on your debt with the highest APRs. By paying off your highest-interest debt first, you could save on interest over time.
Balance transfer card with 0% APR
Like consolidating, you won’t get rid of your debt with a balance transfer card. Instead, you’ll shift your existing debt to a different card (hopefully one with introductory 0% APR). Credit card issuers design these cards specifically to help borrowers manage debt.
Consider a debt management plan
If you’re in a lot of debt, consider a debt management plan. A credit counselor will negotiate with your creditors on your behalf.
You could get your cards paid off in three to five years with a debt management plan. However, while you’re paying off your debt, you won’t be able to use the cards that are under your plan.
Frequently asked questions
You could qualify for a debt consolidation loan for bad credit with a score as low as 300 (see Upstart). But just because you qualify with a lower score doesn’t mean it’s a wise move.
To refinance credit card debt with a credit card consolidation loan, you’ll probably want at least good credit (680 or higher). It also depends on the APR you’re paying across your cards. Calculate the average credit card APR, prequalify for a few loans and see which option works out in your favor.
By trading in high-interest credit card debt for lower-interest personal loan debt, credit card refinancing can save you money. But there are a few pitfalls to avoid.
A long loan term could result in more overall interest, even if the APR on your loan is lower than your cards. The longer it takes you to pay off your debt, the more interest you may pay.
Also, if you continue to charge your cards, refinancing is only a band-aid. Along with refinancing, review your budget and your financial habits so you don’t find yourself in a cycle of debt.
Personal loans are versatile and you can use them for almost anything, including consolidating debt. However, you may want to target personal loan lenders that offer extra perks on credit card refinancing. For instance, you could get an APR discount from SoFi if you allow it to pay your credit cards directly.
Our methodology
We reviewed more than 30 lenders to determine the overall best seven credit card consolidation loans. To make our list, lenders must offer credit card consolidation loans with competitive APRs. From there, we prioritize lenders based on the following factors:
Accessibility: Lenders are ranked higher if their personal loans are available to more people and require fewer conditions. This may include lower credit requirements, wider geographic availability, faster funding and easier and more transparent prequalification and application processes.
Rates and terms: We prioritize lenders with more competitive fixed rates, fewer fees and greater options for repayment terms, loan amounts and APR discounts.
Repayment experience: For starters, we consider each lender’s reputation and business practices. We also favor lenders that report to all major credit bureaus, offer reliable customer service and provide any unique perks to customers, like free wealth coaching.