Happy Money Personal Loan: Comprehensive Review

Business Insider's personal finance team compared Happy Money personal loans to the best personal loan companies and found it to be in need of improvement, due to its poor customer reviews and limited availability.

Happy Money Personal Loan Overview

Features

A Happy Money personal loan is a good option for those with good credit scores who are eligible for the lender's lowest APR. However, borrowers can only use the funds to consolidate credit card debt. So if you want to get a personal loan for another purpose, you'll need to look elsewhere. The best personal loan for you depends on your credit score, which determines your eligibility and can help you get a lower rate.

You won't receive your money as quickly with the company as you would with other lenders, as it takes at least two business days to get your loan funded. The lender will also charge an origination fee of as much as 5%, depending on your loan terms. You won't pay any prepayment or late fees with Happy Money, though. Prospective borrowers with Happy Money must have a minimum credit score of 640 and can expect a loan term of two to five years.

Eligibility Requirements

Happy Money is a good loan company for borrowers who have multiple credit card balances and want to combine them into a single account with a fixed monthly payment. You may also be able to get a lower rate on your debt, reducing the overall amount you'll pay.

To be eligible for a loan with Happy Money, you cannot live in Maine, Massachusetts, Nebraska, or Nevada. You also must have a minimum credit score of 640, and must be using the loan on credit card debt consolidation.

Happy Money Personal Loan Rates and Terms

Interest Rates

When borrowing with Happy Money, expect interest rates ranging between 11.72% APR and 17.99% APR. Happy Money does not offer variable-rate loans.

Loan Terms

Borrowers can choose a loan amount between $5,000 and $40,000 depending on their eligibility and can choose a payback term between 2 years and 5 years.

Fees and Charges

The only fee you'll encounter with Happy Money personal loans is the origination fee, which can be up to 5% of the borrowed amount. There are no application fees, early or extra payment fees, late fees, check processing fees, returned check fees, or annual fees.

Application Process for Happy Money Personal Loan

Step-by-Step Guide

1. Prequalify for a loan on Happy Money's website. Submit an online form to find out your interest rate and terms. The company will ask you for your requested loan amount and purpose. You'll also need to input your basic contact information and income. The company will run a soft credit check, which won't impact your credit score. 

2. Review different loan offers and pick one. The company will offer multiple loan offers with different rates and term lengths. Change the loan amount to see different offers. Choose one you can afford to make monthly payments on. Once you submit your application, the company will perform a hard credit check, which may negatively impact your score.

3. Make a plan to repay your loan. Once you receive your money, figure out how to work your monthly payments into your budget, and make sure you have enough money to cover all of your financial responsibilities. 

Required Documents

When applying for a Happy Money personal loan, you'll need to have the following information on hand:

• Proof of identity: Driver's license, state-issued ID, passport, Social Security card, or visa or green card 
• Proof of income: Most recent pay stub, tax return, Social Security income award letter, or retirement award letter 
• Verified bank account: Most recent bank statement or canceled check 

Happy Money Personal Loan Pros and Cons

Advantages

• No prepayment or late fees. You won't be charged any fees for paying off your loan early or for making a late payment. 
• Low minimum APR. Happy Money's lowest APR is one of the better rates out there, though you'll only qualify for that rate with a good credit score. 
• Easier to qualify with worse credit. You'll need a minimum credit score of 640 to be eligible for a Happy Money personal loan, which is toward the lower end of the fair range of credit scores. 

Disadvantages

• High minimum loan amount. You'll have to borrow at least $5,000 with a Happy Money loan, which is more than other competitors require. You may be better off with a different lender if you need a small amount of cash to tide you over. 
• Slow access to funds. It will take between two and five business days to get your money, which is slower than many other fast personal loan offers. 
• Limited loan purpose. A Happy Money personal loan (marketed under the brand name Payoff Loan) is designed to help borrowers eliminate high-interest credit card debt. If you're looking to get a personal loan for another purpose, you'll need to find a different lender. 
• Origination fee. Some lenders don't charge an origination fee, so you may find better terms with another company. 
• Not available in all states. If you live in Maine, Massachusetts, Nebraska, or Nevada, you won't be able to get a loan from Happy Money.

Happy Money Loan Alternatives

Happy Money vs. SoFi® Personal Loan

Happy Money has a lower credit score requirement than SoFi® Personal Loan, but if your credit isn't in the best shape, the company may charge you a higher maximum APR. If you have excellent credit, you may be able to get a slightly lower APR with Happy Money than SoFi®, but the difference is marginal. 

You'll pay an origination fee with Happy Money, while you aren't required to pay any origination fee with SoFi. The Happy Money origination fee will be deducted from your overall loan proceeds.

Read our SoFi personal loans review.

Happy Money vs. Reach Financial

Both Reach Financial Personal Loan and Happy Money are for borrowers who are looking to consolidate their debt. Loans from Reach Financial can't be used for any other purpose and come with significant origination fees. Happy Money charges an origination fee but has no other fees associated with their loans.

Read our Reach Financial personal loans review. 

Happy Money Customer Reviews and Testimonials

While Happy Money is an accredited business with the Better Business Bureau (BBB), is only has 1.6 out of 5 stars, based on customer reviews. There are overwhelming reports of poor customer service response time, sluggish funding speed, and poor record keeping. 

The reviews on TrustPilot are slightly more positive, garnering 3.9/5 stars, with most reviews being either five stars or one star. A major point in the positive reviews is how Happy Money was able to help borrowers avoid life-changing amounts of debt. However, negative reviews on TrustPilot seem to echo the customer reviews on BBB, highlighting poor responsiveness, bad customer service, and slow funding speed.

Happy Money Personal Loan FAQs

Why You Should Trust Us: How We Rated Happy Money Personal Loans

In our reviews and guides, we rate all personal loan products on a 1-5 scale. The overall rating is a weighted average comprised of seven different categories, judging some more heavily than others. These categories are interest rate (20%), fees (20%), term lengths and loan amounts (15%), funding speed (15%), borrower accessibility (15%), customer support (7.5%), and ethics (7.5%).

See more on how we rate personal loans >>

Rebecca Potters

Rebecca Potters is a writer and editor with a background in personal finance, career guidance, e-commerce, and sexual wellness. Her work has been published in The Balance, Spy, Women, Scholastic, Slashfilm, and more.ExperienceRebecca began working in personal finance as an editor at The Balance in 2018, covering accessible budgeting, small businesses, and career guidance.Rebecca returned to personal finance in 2023 with Business Insider after leaving The Balance in 2020 to pursue other ventures. Her passion lies in creating accessible, digestible resources for marginalized communities facing barriers in their financial, mental, and sexual health. She works to maintain and update Business Insider’s personal finance reviews, roundups, and evergreen articles to ensure readers are provided with reliable, trustworthy information and advice.ExpertiseRebecca’s areas of personal finance expertise include: 

• Personal loans
• Student loans
• Banking 
• Savings
• Credit
• Budgeting

EducationRebecca is a graduate of McGill University, where she pursued a degree in English, focusing on how societal actions and pop culture inform one another through a lens of critical theory.

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Elias Shaya

Compliance and Operations Associate

Elias Shaya is a Compliance and Operations Associate on Business Insider's personal finance team in New York. He collaborates with the editorial team to provide timely, accurate, and impartial financial advice to readers ExperienceElias is a point person on multiple personal finance topics, from credit cards to investment products. He ensures editorial content is transparent and accessible through clear and precise language while also complying with regulatory and partner marketing guidelines. Since joining as a compliance fellow in 2022, Elias has played a crucial role in the team’s compliance efforts, ensuring no stone is left unturned. His close attention to detail and broad knowledge of various complex financial subjects help minimize risk for partners while protecting editorial independence so readers get the best possible advice. Expertise: Elias’ expertise includes:

• Credit cards
• Investing
• Loans
• Mortgages

Education: Elias graduated from the College of Staten Island with a degree in International Business.When he’s not reviewing or updating personal finance topics, Elias enjoys traveling, comedy shows, and binge-worthy TV shows.

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