Discover Personal Loan Amounts and Terms: A Complete Reference

Minimum and Maximum Loan Amounts

These figures represent the general advertised range; the exact amount you’re offered will depend on your creditworthiness and other factors in your application.

Before deciding how much to borrow, consider your monthly budget and how the loan fits into your overall financial picture. Borrowing only what you need can help keep repayments manageable and reduce the total interest you pay over the life of the loan.

• Minimum loan amount: $2,500

Sources: MoneyLion, Credible, Experian

Available Repayment Terms

Discover offers repayment terms of 36 to 84 months, which corresponds to 3 to 7 years. This range gives you flexibility to choose a monthly payment that fits your budget, but it also affects the total interest you’ll pay.

When you select a term, you’ll be balancing two competing goals: lower monthly payments versus lower total interest cost. Shorter terms generally come with higher monthly payments but lower total interest, while longer terms reduce the monthly burden but increase the total cost.

• Shortest term: 36 months (3 years)
• Longest term: 84 months (7 years)

Sources: MoneyLion, Credible, NerdWallet, Consumer Financial Protection Bureau

How Loan Amount and Term Affect Monthly Payments

The combination of loan amount and term directly determines your monthly payment. For a given interest rate, a larger loan will require a higher monthly payment, and a longer term will lower the monthly payment while increasing the total interest paid over time.

To illustrate, here are a few example scenarios based on typical rates and terms. These are estimates only; your actual rate and payment will depend on your credit profile and the specific offer you receive.

• A $5,000 loan at 10.99% APR with a 36-month term results in an estimated monthly payment of approximately $164.
• A $10,000 loan at 12.99% APR with a 48-month term results in an estimated monthly payment of approximately $268.
• A $20,000 loan at 9.99% APR with a 60-month term results in an estimated monthly payment of approximately $425.
• A $35,000 loan at 7.99% APR with an 84-month term results in an estimated monthly payment of approximately $545.

Sources: MoneyLion, NerdWallet, Consumer Financial Protection Bureau

Examples for common amounts

The examples above offer a quick sense of how monthly payments scale with amount and term. Notice that a larger loan with a longer term (like $35,000 over 84 months) can have a lower monthly payment than a smaller loan with a shorter term (like $10,000 over 48 months) if the interest rate is lower. However, the longer term also means more months of interest charges, so the total cost will be higher.

As you compare options, keep in mind that these figures are illustrative. The actual APR you receive will depend on your credit history and other factors, and it will directly affect your monthly payment.

Sources: MoneyLion, NerdWallet, Consumer Financial Protection Bureau

How to Choose the Right Amount and Term

Choosing the right loan amount starts with a realistic look at your monthly budget. Calculate how much you can comfortably afford to repay each month without straining your other financial obligations. Then borrow only as much as you need, because a larger loan will increase both your monthly payment and the total interest you pay.

For the term, the key is to balance affordable monthly payments with lower total interest cost. A shorter term typically means higher monthly payments but less interest over time, while a longer term spreads out the payments but costs more overall. Use your budget to decide what works best for you.

• Consider your monthly budget and how much you can comfortably repay.
• Weigh the total interest cost against the monthly payment amount.
• Choose the smallest loan amount that meets your needs.
• Select a term that keeps payments affordable without unnecessarily increasing total interest.

Sources: NerdWallet, Experian

Prepayment policy

Discover permits borrowers to prepay all or part of their loan at any time without penalty. This means you can pay off your loan early or make extra payments toward the principal, which can reduce the total interest you pay over the life of the loan.

The official terms and conditions state that there is no prepayment penalty, and multiple independent reviews confirm this policy. This flexibility can be a valuable tool if your financial situation improves and you want to reduce your debt faster.

• Prepayment of all or part of the loan is allowed at any time.
• There is no prepayment penalty, so extra payments go directly toward reducing your balance.
• Paying off your loan early can save you money on interest.

Sources: Discover, Credible