OneMain Financial is one of the oldest and largest personal loan providers in the US, specializing in serving borrowers who are often turned away by banks and online lenders due to poor credit. With branches in 44 states and both secured and unsecured loan options, OneMain offers a human touch in the loan approval process that many find reassuring.
Pros & Cons
✅ Pros
- No minimum credit score — lends to borrowers with severely damaged credit
- Secured loan option (using car as collateral) for better rates
- In-person branch support available in 44 states
- Quick decision — often same day at branch
- Wide range of acceptable income sources (employment, benefits, retirement, etc.)
- Fixed rate — payment never changes
❌ Cons
- Very high APR: 18%–35.99% — among the highest of major lenders
- Origination fee: flat fee $25–$500 or 1%–10% of loan
- Maximum loan amount is only $20,000
- Secured loans put your vehicle at risk if you default
- Not available in Alaska, Arkansas, Connecticut, Massachusetts, Rhode Island, Vermont
Secured vs Unsecured Comparison
| Feature | Unsecured Loan | Secured Loan (vehicle) |
|---|---|---|
| Collateral Required | None | Vehicle title |
| Typical APR | 25%–35.99% | 18%–30% (lower risk) |
| Risk to Borrower | Credit score damage if default | Vehicle repossession if default |
| Approval Likelihood | Based on income + credit | Higher — collateral reduces lender risk |
| Maximum Loan | $20,000 | $20,000 (limited by vehicle value) |
Rates & Fees
| Feature | Details |
|---|---|
| Loan Amount | $1,500 – $20,000 |
| APR Range | 18.00% – 35.99% |
| Loan Terms | 2 to 5 years |
| Origination Fee | Flat $25–$500 or 1%–10% |
| Prepayment Penalty | None in most states |
| Late Payment Fee | Varies by state ($5–$30 or 1.5%–15%) |
| NSF Fee | $10–$50 depending on state |
| Minimum Credit Score | None stated |
Who Should Apply
OneMain is a last-resort lender of choice — meaning it is best for borrowers with seriously damaged credit (below 580) who have been rejected everywhere else. It is also appropriate for people who prefer face-to-face financial interactions over online-only processes. If you have a car you can offer as collateral, do so to get a meaningfully lower rate.
How to Apply
- Apply online at onemainfinancial.com or visit your nearest branch.
- Provide personal information, income sources, and employment details.
- For a secured loan, bring your vehicle for an in-person appraisal at the branch.
- A loan specialist reviews your application and may call to verify information.
- Receive a decision — often same day for branch applications.
- Sign your loan agreement in-person or via e-sign.
- Funds deposited or provided via check within 1–2 business days.
Frequently Asked Questions
Does OneMain Financial check your credit?
Yes — OneMain performs a hard credit inquiry when you submit a full application. However, they approve borrowers that most lenders decline, so a low score alone will not automatically disqualify you.
What can I use a OneMain loan for?
Medical expenses, home repairs, debt consolidation, vehicle repairs, or any personal purpose. Business use and post-secondary education are not permitted.
Is OneMain Financial a legitimate lender?
Yes — OneMain Financial is a licensed, FDIC-regulated lender that has been in business since 1912 (originally American General Finance). It is publicly traded on the NYSE.