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Introduction to Discover

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For those borrowers that maintain a faultless credit rating and wish to consolidate their debts with a low interest loan, Discover is a supreme choice. But debt consolidation isn’t the final word with Discover’s personal loans. The company offers those that qualify loans to accommodate a range of larger purchases, from home renovation and medical costs to vacations. Discover also provides ‘green loans’ to help provide funds for the construction of energy-efficient and eco-friendly additions to people’s homes, and is one of the few lenders to do so. 

The Types of Procedures Loans Can Be Used For

Healthcare providers rarely cater to exactly what’s needed by everyone at all times. Especially for non-emergency procedures. But there are a number of medical operations that are vital, should they be recommended by a professional, that is also not generally covered by medical care providers and the costs for those operations can be an intimidating concept. Those that qualify for a Discover medical loan can remove one aspect of the stress, however, by enjoying a flexible, low-interest loan that can be paid back over a very generous period. If one was to find themselves in need of any of the following, a Discover personal loan could be a financial boon.

Life-altering operations and treatments such as bariatric surgery and fertility treatment are not a matter of question for some, and the choice between paying to save one’s sight, hearing or even teeth, need not be entertained. But despite the importance of these elements that we all share, these are often not covered by our medical insurance and if they are, the check-ups, maintenance, and aftercare that follows are not. For the right borrower, a Discover personal loan could be key to moving forward. 

Non-emergency procedures can be considered with a Discover loan too. Most borrowers will struggle to find a care provider that’ll cover hair-restoration or plastic surgery expenses so a Discover personal loan could be the answer when considering lenders. The more common surgeries can range from $5000 to $15,000, with plastic surgery in a similar range. A Discover personal loan of up to $35,000 can provide cover where the insurance won’t.

A pet’s health is valued just as important as our own but unfortunately, the majority of banks won’t qualify a loan to cover pet illness. A call to Discover can be all it takes to keep your pet healthy as possible. 

Discover Refinancing Options

Discover offers specific refinancing options for students. The loans offer flexible repayment options over either a ten or twenty-year period and provide refinancing for those without having attained a degree. There are a few limitations of the loans, however. Only hard credit checks are conductive for applicants, meaning their scores will be impacted in some way. There’s also no option for a cosigner release.  

Discover also offers low rates and flexible repayment terms for those wishing to consolidate debts provided that 70% of the loan is spent towards debt repayment. 

Discover Customer Service

Discover can be contacted in the following ways:

  • A dedicated telephone line for customers to call to speak to one of Discovers’ loan specialists. The operating hours for this phone line are:
     - 8 am ET – 11 am ET Monday to Friday.
     - 9 am ET – 6 pm ET Saturday and Sunday.
  • A separate telephone line for those customers with hearing impairment. Operating within the same hours.
  • An automated telephone line for the making of payments with a separate automated telephone line for those with hearing impairment wishing to make payments.
  • PO Box for payment via mail with a separate address for overnight payments.
  • A telephone line for general queries with a separate telephone line for those with hearing impairment operating between the hours of 8 am ET – 8 pm ET.
  • A PO Box for queries sent via mail.
  • An FAQ page reached via the ‘Contact Us’ page on the Discover website. 

Discover Fees

Discover loans feature very few applicable fees and, unlike many of their competitors, Discover will not charge an origination fee. Similarly, there will be no additional charge for early repayment deposits and there’s the option to pay zero interest on the loan if the user is able to pay back the full amount within 30 days of taking it out.

There will, however, be a fee of $39 for late payment, including standing orders to the bank having insufficient funding.

Discover Pros and Cons

Pros:

  • Fixed Rate APR: All of the Discover personal loans are fixed-rate, meaning there can be no unpleasant surprises with a sudden increase in interest. Additionally, Discover’s rates can be as low as 6.99%.
  • Pay no interest with a fast repayment: With Discover personal loans there’s the opportunity to pay no interest on the loan amount provided the full amount is repaid within 30 days of the loan’s withdrawal. This may be impossible for most but for those that have the means to make that payment it’s a huge bonus.
  • High loan amounts: While perhaps not the highest on the market, Discover personal loans still offer larger loans with an upper ceiling of $35,000.
  • Direct to creditor payments: For those seeking to consolidate debt, Discover personal loans are an ideal option. The combination of direct to creditor payment, flexible repayment plans, and low-interest rates make debt consolidation and refinancing a Discover specialty.
  • Few fees: With the exception of the $39 late payment fee, Discover makes no other charges for personal loans. There’s no origination fee and there are no penalty fees for early repayment deposits. 
  • Flexible repayment plans: Discover aims to design its personal loans and terms around the customer. Thus, payment plans can be adjusted to fit most budgets and can even be altered partway through. Plans can range up to 84 months.

Cons:

  • Minimum credit score transparency: Discover is not particularly forthcoming with the minimum credit score needed to qualify for a personal loan. Research has shown the figure to be between 660 and 700.
  • Higher APR: While the lower end of APR offered by Discover is a very reasonable 6.99%, the rates can climb as high as 24.99%.
  • Late fee: Discover offers very few fees on its personal loans but the charge for late payments is a relatively steep $39.

How to Apply for Discover

A prospective loanee can apply online or via telephone. A citizen or permanent resident of the United States of 18 years or older can apply for a Discover personal loan if they meet certain prerequisites. As with most lenders, the applicant will need a Social Security number but Discover will also require a minimum income of at least $25,000. This will discount close to a third of U.S. adults. Discover will use a ‘soft pull’ to check your eligibility for a loan, followed by a hard credit check if you proceed, which could affect the applicant’s credit score.

Applying to Discover with Bad Credit 

Although Discover claims to take into account more than just an applicant’s credit, applying for a personal loan with Discover will be difficult for those with a poorer credit rating. Discover is generally understood to accept only a minimum credit score of around 660 or above, with its average user scoring much higher. Depending on the reason for requiring the loan, those who have been declined eligibility may wish to examine a credit union personal loan or the terms of a home equity loan or a balance transfer credit card to see if they could be more befitting of their medical needs. 

Conclusion about Discover

While borrowers can apply for a personal loan for larger purchases such as medical bills, a vacation or home renovation, Discover accommodates best to those borrowers with higher credit ratings aiming for low interest and flexible debt consolidation. Discover’s direct to creditor loan repayment plans and adjustable terms, in addition to no early repayment fees, make Discover the perfect lender for those that would benefit from the option of a little more freedom with the terms of their loan.