5 Best Personal Loans for H-1B Visa Holders

An H-1B visa personal loan can be used for urgent purchases, house renovations, or other pressing needs. For H-1B visa holders, a personal loan is an excellent approach to establishing and building a credit history and score in the US. In comparison to lenders in their home countries, American lenders commonly provide personal loans to H-1B visa holders at lower interest rates and as a result, savings greatly increase. Our guide includes detailed information on top U.S. lenders if you are looking for the best personal loan as an H-1B visa holder. We also included key considerations such as processing time, advantages, and disadvantages of getting an H1B loan to help you in your decision-making. 

Upgrade, SoFi, and Stilt are the top 3 personal loans for H-1B visa holders. Upgrade is a wonderful option for H-1B Visa holders who want to establish credit and consolidate high-interest debt. On the other hand, SoFi is an online lending platform that provides user-friendly features for H1B visa holders with good and exceptional credit. Lastly, Stilt specializes in providing financing options to underrepresented groups including immigrants and visa holders. The company’s web portal allows H-1B visa holders to check their rates without having their credit scores impacted.

We have helped several H1B Visa holders in the USA obtain a Green Card through investment immigration. Learn more about how you can become a US permanent resident using your H-1B Visa loan by going through our guide.  

1. Upgrade (Best Overall)

Upgrade is a good choice for H-1B visa holders who want to consolidate high-interest debt and establish credit. Loans can be funded as soon as the following business day and range from $1,000 to $50,000. The money can be used for anything from debt consolidation to house renovations and other substantial expenditures. The Annual Percentage Rates (APRs) for personal loans obtained through Upgrade range from 7.46% to 35.97%. The origination charge on all personal loans ranges from 1.85% to 8% and is taken out of the loan proceeds. The lowest rates necessitate Autopay and partial direct debt repayment. Repayment periods for loans range from 24 to 84 months. 

Upgrade also offers no origination costs, a predetermined payoff schedule to make your financial flow more predictable, and the option to apply for credit lines between $500 and $25,000 if you meet the requirements. Another good feature of Upgrade is its adjustable credit limits. You have four options for Upgrade credit cards from which you can draw your credit line based on your creditworthiness and preferences.

1. The traditional Upgrade Card, which offers free draws
2. The Upgrade Cash Rewards Card, which provides unlimited 1.5% cash back on all purchases
3. The Upgrade Triple Cash Rewards Card, which provides limitless 3% cash back on qualifying purchases (draws) in automobiles, houses, and health classifications
4. The Upgrade Bitcoin Rewards Card, which provides an unlimited 1.5% Bitcoin rebate on all payments

For H-1B visa holders to be eligible for an Upgrade personal loan, they must present a valid visa and be a permanent resident of the United States, are older than 18 years old (or 19 years old if required by law in their state), have a verified bank account, and a valid email address. Check out the pros and cons of Upgrade to determine if this type of personal loan suits your circumstances and preferences.

Pros

• Upgrade offers direct payments to third-party creditors.
• Upgrade offers various rate discounts.
• Upgrade’s minimum loan amounts are low.
• Upgrade has no prepayment penalty charges.
• Upgrade has a mobile app where you can manage your loan payments.
• Upgrade permits joint applications.
• Upgrade offers long repayment periods for loans for house improvements.

Cons

• Upgrade’s maximum loans are only available up to $50,000.
• Upgrade has no option to pick the initial payment date.
• Upgrade has high APRS in contrast to competitors.

2. SoFi (Best for Higher Borrowing Limits)

SoFi is an online lending platform that offers consumer-friendly features for H1B visa holders with good and exceptional credit. Available loans range from $5,000 to $100,000, with durations of two to seven years. Personal loans issued through SoFi have annual percentage rates (APRs) ranging from 7.99% to 23.43%. Although there is a 650 minimum credit score, highly qualified applicants can obtain sizable loan amounts and the lowest interest rates. Borrowers normally receive their funds a few days after their loan application has been approved, and it can be utilized for personal, family, or home needs. There are additional features that SoFi offers including zero origination fees, financial and investment services, and accessibility to a variety of other credit products, such as student loans.

For H-1B visa holders to be eligible for a SoFi personal loan, they must be able to present a photocopy or scan of their valid H1B visa as well as evidence that their application for a Green Card has been accepted. These documents may include an I-140 approval notice (Immigrant Petition for Alien Worker) or proof that an I-485 has been received or approved (Application for registration of permanent residence). Additional requirements used to determine an H1B visa holder’s eligibility for a SoFi personal loan are their credit score, financial history, monthly income compared to their expenditures, ability to enter into a legally binding contract, must be the age of majority in your state, and living in a state where SoFi is permitted to lend.

Below are the pros and cons of SoFi that can help you decide whether SoFi is a good option for your personal loan.

Pros

• SoFi offers high loan amounts and long terms.
• SoFi funds can be received as early as two days.
• SoFi offers a point rate discount of 0.25% when setting up autopay.
• SoFi has no origination fees.
• SoFi provides unemployment insurance.
• SoFi offers prequalification with a soft credit check.
• SoFi has a mobile app for managing loans.

Cons

• SoFi has a high minimum loan amount.
• SoFi doesn’t offer joint or secured loans.
• SoFi doesn’t allow co-signers.
• Some SoFi applicants complain about difficult qualification standards.

3. Stilt (Best for Good Credit)

Stilt specializes in offering credit options to immigrants, visa holders, and the underserved. H-1B visa holders can verify their rates on the company’s online platform without having their credit scores affected. Approval will be made within 24 hours of receiving the application, which is submitted online. The maximum loan period for Stilt personal loans is 36 months, with loan amounts ranging from $1,000 to $35,000. You can pay off your loan early without incurring additional fees and save money on interest because there are no prepayment penalties. The lowest APR is 7.99%, and your state will determine the maximum APR. Stilt also offers various loan purposes, such as helping a family member back home or paying a security deposit on a rental, and non-credit variables are taken into account if you don’t have a credit score. An H-1B visa holder can be eligible for a Stilt personal loan if he is physically present in the U.S., has a U.S. address and a U.S. phone number, owns a bank account in the U.S., and has a valid visa for at least six months.

Here are the advantages and disadvantages of Stilt.

Pros

• Stilt offers loans for people with limited credit histories.
• Stilt has no prepayment charges.
• Stilt allows the checking of rates without impacting your credit score.
• Stilt doesn’t require a cosigner.
• Stilt pays in advance with no additional fees.
• Stilt’s online platform is easy to navigate.

Cons

• Stilt’s maximum loan amount of $35,000 is insufficient for some borrowers.
• Stilt loans used for education do not offer the same benefits that federal student loans offer.
• Stilt’s two-year repayment period can be difficult for borrowers who use the money for studying.

4. Earnest

Earnest is a loan service provider known primarily for its student loans. Earnest has partnered with Fiona, a lender matching platform, to help borrowers find, compare, and choose from qualifying lenders. This means that Earnest does not lend directly. Instead, borrowers fill out an application with Earnest to get matched with lenders they qualify for. Earnest matches borrowers with lenders offering loans from $1,000 to $250,000. Rates vary by lender but the minimum annual percentage rate starts at 3.24% while the loan repayment terms range from 5 to 7 years. Since Earnest does not lend directly, the time it takes to receive funding varies. There are also other features that Earnest offers including getting loans without origination fees, finding lenders who underwrite loans using non credit factors, and offering the most affordable interest rates possible your borrower profile allows.

You must reside in one of the 45 states that Earnest operates in or the District of Columbia to be eligible for an Earnest loan. Other requirements for an Earnest personal loan are proof of income and being at least 21 years old. Learn more about the benefits and risks of applying for an Earnest personal loan below.

Pros

• Earnest has a low minimum APR.
• Earnest has no fees on its personal loans.
• Earnest is able to provide advantageous rates and terms to a wide range of borrowers thanks to its extensive network of lenders.
• Earnest provides personal loans for a variety of purposes, including home improvements, weddings, vacations, debt consolidation, relocation, and other personal expenditures.
• Earnest looks at your financial profile more than just your credit score.

Cons

• Earnest doesn’t directly offer loans.
• Earnest doesn’t have a mobile app.
• Earnest has no assurance of qualifying.
• Earnest personal loans are not available to borrowers with FICO credit ratings below 680.

5. Marcus by Goldman Sachs

Marcus by Goldman Sachs is an auxiliary of The Goldman Sachs Group, Inc. Although a variety of lending purposes are acceptable, Marcus by Goldman Sachs focuses on debt consolidation and home renovation loans as well as provides personal loans to clients with good credit. Loans that range between $3,500 and $40,000 are available with terms of 3 to 6 years. Personal loans issued through Marcus by Goldman Sachs have annual percentage rates (APRs) ranging from 6.99% to 24.99%. Marcus personal loans stand out from the rest of its competitors with its consumer-friendly features like direct payment to creditors, a rate discount for autopay, and a payment delay option. Marcus is the best option for personal loans with fair rates if you have a credit score. Marcus by Goldman Sachs offers an extraordinarily low-interest rate range, despite being variable and linked to prevailing benchmark rates. Moreover, Marcus is well known for offering advantageous pricing to customers with FICO scores above 660. Marcus by Goldman Sachs accepts H-1B visa holders as long as they are physically present in the United States, have a valid U.S. bank account, and have an Individual Tax I.D. Number. To know more about the pros and cons of Marcus by Goldman Sachs, read below.

Pros

• Marcus by Goldman Sachs offers flexible repayment terms.
• Marcus by Goldman Sachs doesn’t charge origination, insufficient fund, late payment, or prepayment fees.
• Marcus allows borrowers to adjust their payment date up to three times over the course of the loan.
• Marcus by Goldman Sachs has rate discounts for autopay.
• Marcus offers direct payments to third-party creditors.
• Marcus by Goldman Sachs offers prequalification with a soft credit check.

Cons

• Marcus by Goldman Sachs doesn’t offer joint or co-sign loans.
• Marcus cannot be utilized to refinance a student loan that already exists.
• Marcus by Goldman Sachs requires good to outstanding credit scores.

Which Personal Loan is Best for H1-B Visa Holders?

Upgrade is the best personal loan option for H1-B visa holders. This is because Upgrade offers no origination fees, adjustable credit limits, various rate discounts, low minimum loan amounts, no prepayment penalty charges, long repayment periods for house improvement loans, a predetermined payoff schedule to make your financial flow more predictable, and the option to apply for credit lines between $500 and $25,000 as long as you meet the requirements. Furthermore, loans can be funded as soon as the following business day. Upgrade has a mobile app where you can manage your loan payments for your convenience.

Which Personal Loan Has the Low Interest Rate for H1-B Visa Holders?

Earnest provides low-interest personal loans for H1-B visa holders depending on their particular financial profile. The annual percentage rate starts at 3.24% while the loan repayment terms range from 5 to 7 years. Earnest is able to provide advantageous rates and terms to a wide range of borrowers thanks to its extensive network of lenders.

What is H1-B Visa Loan?

An H1-B visa loan can be used for emergencies, home improvements, or necessary purchases. A personal loan is a fantastic way to start and grow credit, especially for H1-B visa holders. American lenders frequently offer personal loans to H1B Work Visa holders at lower interest rates in comparison to lenders in their native nations which can greatly increase your savings.

When is the Best Time to Apply for an H1-B Visa Loan?

It’s important to assess your present financial situation, including your income and employment, before applying for an H1-B Visa loan. Moreover, having a good credit history and score in the US is advantageous since lenders want to know that you are accountable for paying off your debts. Having a U.S. citizen as a cosigner can help you be approved for an H1B Visa personal loan if you don’t have a long credit history. It’s also critical to understand that lenders who do offer personal loans to H-1B visa holders want to know if you’ll remain in the US for the duration of the loan. Consider extending or renewing your visa if it is about to expire so that you can prove to lenders that you will stay in the country while the loan is being repaid.

How Long Does it Take to Process an H1-B Visa Loan?

The duration of processing an H1-B Visa loan will depend on which personal loan you applied for. In Upgrade, it usually takes 1 to 4 business days to approve your loan application. However, it may take longer if the company requires additional documentation to confirm your information. Once your application is authorized, it may take a few more days before you receive the money. Upgrade will send your funds via electronic bank transfer. The process can take longer if you choose Upgrade to directly pay off your other debts. 

Can I Use My H-1B Visa Loan to Apply for an EB-5 Visa?

Yes, loans obtained while you are on H-1B Visa can be used as investment funding for your EB-5 Visa application. You need to make sure that the H1B Visa loan meets the source of funds requirements for an EB5 Visa. Loans used for EB 5 investments must be secured by your personal assets and you must be the primary borrower of the H-1B loan. Ultimately, your EB 5 Visa capital must be proven to come from lawful sources.

Changing your H1B Visa to EB5 Visa is a faster way of obtaining a US Green Card without the need for employer sponsorship. You and your family become permanent residents through a minimum investment and job creation for U.S. workers with an EB-5 Visa. You will no longer be subject to visa validity and employment restrictions by transferring from an H1B Visa to EB5 Visa. 

Can I Use my H-1B Visa Loan to Invest?

Yes, you are able to invest in the United States using your H1B Visa loan. Your options for H1B investing include trade stocks and property purchases. The basic requirements for H1B Investing are your passport, your social security number, your I-94 (Arrival/Departure Record), and your H-1B Visa stamp. 

What are the Advantages of an H1-B Visa Loan?

• H1-B visa loan consolidates existing debts with a better interest rate.
• H1-B visa loan enables you to build a US credit history.
• H1-B visa loan covers one-off expenses
• H1-B visa loan allows you to pay directly to third-party creditors.
• H1-B visa loan allows online application for convenience.
• H1-B visa loan enables you to manage your loan payments via a mobile app.
• H1-B visa loan enables the usage of funds for a variety of purposes, including home improvements, weddings, vacations, debt consolidation, relocation, and other personal expenditures.

What are the Disadvantages of an H1-B Visa Loan?

• Traditional lenders may not consider H-1B visa holders for loan applications.
• The best APRs may not be available for an H1-B visa loan.
• A valid visa covering the entire loan period is typically needed.
• Some H1-B visa loan providers have a high minimum loan amount.
• Certain H1-B visa loan providers only offer a low maximum loan amount that is insufficient for some borrowers.
• Some H1-B visa loan providers have difficult qualification standards.
• Certain H1-B visa loan providers don’t offer joint or co-sign loans.

What Other Visa Holders are Eligible to Apply for a Personal Loan?

• F-1 Visa Personal Loan. The F-1 Visa loan is intended for F-1 students who require additional funding for their studies in the US. You can apply for a short-term or installment F-1 Visa personal loan if you are an F-1 student.
• EB-5 Visa Loan. A means for qualified immigrant investors to apply for a personal loan is provided through EB-5 Visa personal loans. However, it is vital to show how the lender obtained the loan funds legally. It must also be shown the funds were transferred from the legal source to the borrower or EB-5 investor, and from the EB-5 investor to the EB-5 project.
• H3 Visa Loan. An H-3 Visa loan enables non-U.S. citizen trainees or special education exchange visitors to apply for a personal loan. H3 Visa holders must present the required documentation, such as a copy of their current visa.
• H4 Visa Loan. H4 Visa loan is for the children and spouses of H1B Visa holders. It is difficult for H4 Visa holders to obtain a personal loan because they lack a credit history in the US and are dependent on the temporary status of their significant other. Nevertheless, H4 Visa holders can still apply for personal loans through online lenders or secured loans.
• E-1 Visa Personal Loan. E-1 Visa Personal Loan allows foreign nationals or workers of companies that engage in international trade to apply for a personal loan in the US. E-1 Visa holders should provide the necessary requirements and documents that vary for each lender.
• E-2 Visa Loan. An E-2 Visa loan enables an eligible E-2 Visa holder to obtain a personal loan in the US as long as the E-2 Visa holder satisfies specific requirements that differ from lender to lender.
• L1 Visa Loan. A personal loan is much simpler to obtain for an L1 Visa holder than it is for someone with another type of visa. An L1 Visa holder only has to have a passport for identity and visa verification reasons, at least two years of work experience in the US, an Individual Tax Identification Number (ITIN), and proof of assets.
• O-1 Visa Personal Loan. O-1 Visa loan is for individuals who have remarkable talent, a track record of extraordinary success, or have received national or worldwide recognition but are short on funds. O-1 Visa holders can obtain personal loans, but they must fulfill specific criteria, which differ from lender to lender.

FAQs about H-1B Visa Personal Loans