Happy Money Review: Is It the Right Personal Loan Platform for You?

GOBankingRates Score

4.5
SCORE
GOBankingRates Best Banks 2023 scores and rankings are objectively determined by our research/editorial team. Our scoring formula weighs several factors that differ from category to category depending on what consumers want from varying products and banks.
Quick Take: Happy Money provides personal loans specifically for consolidating high-interest credit card debt. Happy Money isn't a bad-credit lender, but those with fair to excellent credit may qualify for up to $40,000. Borrowers can choose a repayment plan that best suits their budget and debt payoff goals.
  • Minimum Credit Score
    4.4
  • APR
    4.6
  • Fees
    4.7
  • Loan Amount
    4.2
How did we calculate this?

Pros

  • Fair-credit borrowers may qualify
  • No late payment fees 
  • Can choose loan options best suited to your budget

Cons

  • Cannot qualify with delinquencies on your credit report
  • The origination fee may be as high as 5%
  • Funds use is limited to credit card consolidation

Happy Money Overview

Happy Money is a financial services company that offers high-interest credit card consolidation loans, connecting borrowers with one of its many lending partners. Happy Money has funded over $5.2 billion in personal loans, helping over 285,000 borrowers find credit card debt relief. The Payoff Loan, the only type of personal loan offered by Happy Money, enables borrowers to get up to $40,000 to consolidate credit card debt into one fixed-rate loan and pay it back over 24 to 60 months.

Key Features

GOBankingRates gave Happy Money 4.5 out of 5 stars based on the following loan features.

Minimum Credit Score

Happy Money requires a minimum credit score of 640 and a credit report free of delinquencies. A delinquency is a past-due payment of 30 days or longer on your credit report.

APR

Borrowers can get a fixed-rate loan with a 7.99% to 29.99% APR depending on creditworthiness and loan terms. For instance, loan amounts greater than $15,000 have a minimum APR of 9.24%, although this will vary by state. Happy Money allows you to get preapproved with only a soft credit score inquiry. A hard inquiry is required for the application process.

Fees

Other than a one-time origination fee to cover the costs associated with loan processing, Happy Money has no fees. It doesn’t even have late or returned check fees and doesn’t charge prepayment penalties.

The origination fee ranges from 0% to 5% of the total loan amount and is deducted from the loan proceeds. A borrower’s creditworthiness and the loan terms determine the origination fee.

Loan Amount

Borrowers needing only a few thousand dollars will need to look to another personal loan lender since Happy Money loans start at $5,000. However, those looking to consolidate a large amount of credit card debt may be eligible for up to $40,000.

How Happy Money Stands Out

Happy Money’s eligibility requirements and minimal fees make it a stand-out option for high-interest credit card consolidation. Its flexible loan terms and borrowing amounts should accommodate most borrowers looking to save money while paying off credit card debt.

Comparable Personal Loan Options

Happy Money’s Payoff Loan was created for credit card debt consolidation. Those in need of another type of personal loan or who want to compare terms, rates and fees of other lending platforms may wish to consider the following Happy Money alternatives.

LendingClub

A personal loan from LendingClub can be used for various purposes, including financing a major purchase, home improvement, debt consolidation and more. Borrowers can get a loan for as little as $1,000 or as much as $40,000. Repayment terms are 24 to 60 months with 8.05% to 36.00% APR. All LendingClub loans have an origination fee ranging from 2.00% to 6.00% of the loan.

Upstart

Those in need of a large loan may be eligible to borrow up to $50,000 through Upstart, and the use of funds is not limited to credit card consolidation. Those with excellent credit may qualify for an APR as low as 6.50%, but those with less-than-good credit could end up with an APR as high as 35.99%. Upstart also has loan options for self-employed borrowers.

How To Apply for a Happy Money Loan

To apply for a Happy Money loan, you must be at least 18 years old and have a checking account and a valid Social Security number. You can apply on Happy Money’s site. To take a look at loan offers, you can click on any of the “Check my rate” buttons on the homepage.

If approved, you’ll receive multiple loan options and can choose a loan based on the best APR and the lowest monthly payment of the quickest repayment. Once you select a loan option, Happy Money will verify your information. Depending on lender requirements, Happy Money will pay off your credit cards directly with the loan proceeds or deposit the funds into your checking account.

Who Happy Money Is Best For

Happy Money’s eligibility requirements and lack of fees make it an ideal option for those with fair to good credit to consolidate high-interest credit card debt. Most borrowers looking for a choice in loan repayment terms will be able to choose a smaller monthly payment with a longer repayment term or elect to pay off the loan quickly with a higher monthly payment.

Final Take

If you’re struggling with high-interest credit card debt, Happy Money can provide financial relief with a consolidation loan that fits your budget and payoff goals. Be sure to compare loan offers carefully to find one that will save you money in interest and has manageable monthly payments.

Credit card consolidation will not close your credit card accounts, so it’s essential to limit credit card use to what you can pay off in full each month. Running up a credit card balance while trying to repay a consolidation loan can worsen your financial situation and possibly damage your credit score. 

FAQ

Here are quick answers to common questions about Happy Money.
  • Is Happy Money legitimate?
    • Yes, Happy Money is legitimate. The company was founded in 2009, has helped over 285,000 borrowers and has funded over $5.2 billion in personal loans. Happy Money also has a score of 4.3 out of 5 and a rating of "excellent" on Trustpilot, based on reviews from over 300 users.
  • Does Happy Money charge a fee?
    • Some Happy Money borrowers have a one-time origination fee of up to 5% of the total loan amount. It does not charge any other fees, including late fees or prepayment penalties.
  • Does Happy Money check your credit?
    • Yes, Happy Money will check your credit. A soft inquiry happens during the preapproval process. However, a hard inquiry is required to complete the application process and determines the available loan options.

Information is accurate as of Dec. 20, 2022.

Editorial Note: This content is not provided by any entity covered in this article. Any opinions, analyses, reviews, ratings or recommendations expressed in this article are those of the author alone and have not been reviewed, approved or otherwise endorsed by any entity named in this article.

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About the Author

Andrea Norris has been in the web publishing business for the past 15 years both as a content contributor and a copy editor specializing in personal finance, frugal living, home and auto topics. She writes both short and long-form content and is well-practiced in SEO keyword research and writing.
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