Personal loans aren't right for every situation, nor every person. They can often be difficult to qualify for, with high credit score requirements. Personal loans also carry high interest rates, which could mean there are better options out there.  Personal loans have higher interest rates than you'd see on car loans or student loans. For larger purchases that won't fit within a credit limit, a personal loan might be the right option. It's worth calculating the interest you'll pay, and carefully considering options like a secured loan to bring down the interest rate. However, personal loans should be used wisely, as they have high interest rates and could be risky when there's collateral involved.