Finding the right personal loan can be a game-changer, whether you’re planning a home renovation, consolidating debt, or funding a major life event. In Europe, the options are diverse—but not all banks offer the same terms, rates, or accessibility.
In this guide, we highlight the best banks for personal loans in Europe, including what makes them stand out, who they’re best suited for, and what to consider before applying.
What Is a Personal Loan?
A personal loan is a type of unsecured credit that allows you to borrow a lump sum and repay it in monthly installments, usually over 12 to 84 months.
Key features include:
- Fixed or variable interest rates
- No collateral required
- Predictable repayment schedule
- Usable for almost any purpose
What to Look for in a European Loan Provider
When choosing a bank for your personal loan, consider:
- Interest rates (APR)
- Loan amount range
- Repayment period flexibility
- Fees (origination, early repayment, late penalties)
- Approval speed and documentation
- Digital banking features
Best Traditional Banks for Personal Loans in Europe
🏦 Santander (Spain, UK, Portugal)
- Competitive interest rates
- Flexible repayment terms
- Quick approval process (especially for existing customers)
- Wide availability across Europe
Best for: Existing Santander customers and those seeking trusted, traditional banking.
🏦 BNP Paribas (France, Belgium, Italy)
- Offers online and branch-based loan applications
- Transparent fees and terms
- Known for solid customer service
Best for: Borrowers looking for reliability and a well-established financial institution.
🏦 Deutsche Bank (Germany, Italy, Spain)
- Wide range of personal finance solutions
- Long repayment periods available
- Loan calculator available online for estimates
Best for: High-income borrowers or those with stable employment in Germany or Southern Europe.
🏦 Intesa Sanpaolo (Italy)
- Low interest rates for customers with direct deposit
- Popular in Italy and expanding across Europe
- Flexible payment postponement options
Best for: Residents of Italy or those banking in Southern Europe.
🏦 CaixaBank (Spain)
- Quick online applications
- Fixed or variable interest rate options
- Loan consolidation available
Best for: Spanish residents and digital-savvy applicants.
Best Digital Banks & Fintech Lenders
💻 N26 (Germany, EU)
- 100% digital loan application
- Real-time approval (for eligible users)
- Integration with mobile banking
Best for: Freelancers, expats, and those comfortable with digital platforms.
💻 Revolut (Across Europe)
- Personal loan offerings available in select countries
- Fast approval and fund disbursement
- No hidden fees, transparent rates
Best for: Revolut users looking to manage loans within the app.
💻 Younited Credit (France, Italy, Spain)
- Peer-to-peer model
- Fast processing and lower rates
- Transparent contracts
Best for: Borrowers looking for lower rates and flexible repayment options.
Country-Specific Loan Notes
- Germany: Most banks require Schufa credit reports. N26 offers loans to qualified users with solid payment histories.
- France: Banks often require proof of income for the past three months. Online lenders like Younited offer alternatives.
- Spain: Expats and residents can often qualify for loans with local bank accounts and employment contracts.
- Portugal: Local banks offer competitive rates; expect to provide tax ID and income documents.
- Italy: Most banks require residency and proof of employment or pension to approve personal loans.
Tips for Getting Approved
✅ Have a Stable Income
Regular income or long-term employment greatly increases your chances of approval.
✅ Keep Your Debt-to-Income Ratio Low
The lower your monthly debt payments relative to your income, the better.
✅ Check Your Credit Score
Even in Europe, local credit history matters—especially in Germany, the UK, and France.
✅ Borrow Only What You Need
Lenders are more likely to approve manageable amounts. Don’t overextend.
✅ Use a Loan Calculator
Estimate monthly payments before applying using your bank’s online calculator.
Final Thoughts
Whether you’re based in Germany, Spain, France, or anywhere else in Europe, choosing the right bank for a personal loan can save you time, money, and stress.
Traditional banks offer stability and in-person service, while digital lenders provide speed and convenience. Evaluate your needs, compare interest rates, and make a well-informed decision.