You can use a personal loan for a variety of different expenses. You might use it to cover an unexpected car repair, consolidate your debts or finance a home renovation project. Usually, personal loans are unsecured, meaning they don’t require collateral. In most circumstances, you pay back the loan plus interest in installments over a set period with a fixed interest rate.
You can typically get a personal loan from a bank, credit union, or online lender. $5,000 is usually within the standard range for a personal loan – Citi offers personal loans from $2,000 up to $30,000 – but you need to meet the lender’s requirements.
How to apply for a $5,000 personal loan
First, decide where you’d like to apply for a personal loan. Research and compare lenders. Look for banks, credit unions or online lenders offering loans for the amount you want. Compare APRs and repayment terms to find a loan that best suits your needs. Some lenders will allow you to pre-qualify so you can see what your rate and terms could be.
Once you’ve selected your lender, it’s time to apply. In most cases, you can apply online or in person. Be sure to gather all the documentation you need beforehand.
If approved, you’ll accept the terms and receive your $5,000 personal loan as a lump sum, either by direct deposit or check. For Citi personal loans, customers with a Citi deposit account can receive their funds via direct deposit the same day. For applicants with non-Citi accounts, it may take up to 2 business days.1 After that, the repayment period begins.
What you need to apply for a personal loan
When applying for a personal loan, you’ll need documentation to verify your personal information. Your lender may require:
- Proof of identity: Your lender might require a passport, driver’s license, military ID or state ID to confirm that you are who you say you are and that you’re old enough to receive a loan.
- Proof of address: If your ID lists your current address, that will likely satisfy this requirement, but you can typically also use a recent utility bill or lease.
- Proof of income and employment status: Lenders need to ensure you make enough money to repay the loan. They might ask for a W-2, recent pay stubs, tax returns or bank statements. They may also need to contact your employer directly.