Simple loan from the American bank: 2022 balance sheet

When to consider: When you need cash urgently, before other high interest loans, but after exploring interest-free alternatives.

US Bank is one of the few mainstream banks to offer installment loans as an alternative to online or in-store payday loans. The simple loan is offered for amounts from $100 to $1,000 which are repaid in three monthly installments.

You must have a bank account with US Bank before borrowing. The bank reviews your transactions, banking history and credit information to qualify. A lender who assesses your ability to repay by checking your credit or examining your bank account is less likely to offer a loan you cannot afford.

US Bank‘s Simple Loan is a quick way to manage emergency expenses if you have bad credit (under 630 FICO scores) or a thin credit history. Compare this loan with alternatives before borrowing to make sure it’s the best option.

The simple US Bank loan at a glance

  • Reports payments to all three credit bureaus.

  • Offers other ways to build credit.

  • Does not charge three-digit APRs.

  • No late fees, set-up or prepayment fees.

  • Does not allow borrowers to choose or change their payment date.

  • Has no explicit difficulty plan.

  • Clearly states the costs and repayment term on the website.

  • The website includes a sample loan with interest and payment.

  • Offers multiple customer service channels.

US Bank Simple Loan Details


The simple loan costs $6 for every $100 borrowed and has a term of three months. This results in a annual percentage rate about 36%.

This is much cheaper than typical payday loans, where the average rate is almost 400%. The simple loan is also repaid over three months, not the two-week cycle that is common for payday loans. There are no origination fees, late fees or prepayment penalties with the US Bank Simple Loan.

Loan example: A $500 loan with an APR of 36% repaid over three months would provide:


To qualify, you must have a US bank account that is at least six months old and has at least three months of recurring direct deposit history.

You can only take out one simple loan at a time. Once your first loan is repaid, you must wait 30 days before requesting another one. With payday loans, there is generally no cooling off period between loans. A break between high-interest loans can help borrowers avoid overstretching themselves and slipping into a cycle of debt.

US Bank makes applying for credit difficult when evaluating a simple loan application. Although it only checks one of the three major credit bureaus, you may still see a temporary drop in your score.

How the US Bank Simple Loan Compares

Consumer advocates consider 36% to be the maximum APR for a loan to be affordable. The simple loan meets this threshold, unlike other low cost lenders.

Rates on Timely loans are also capped at 36% and amounts reach up to $10,000. The lender does not require borrowers to have a credit score or be existing customers. The company prides itself on helping consumers build credit.

Opp Loans also offers higher loan amounts than US Bank, but they also come with higher APRs. The lender does not check your credit score when you apply for a loan, but reports payments to all three credit bureaus for most loans.

US Bank Simple Loan is not a good idea if:

  • You can get interest-free money elsewhere: NerdWallet recommends exhausting cheaper alternatives first, even in an emergency.

Alternatives to Simple US Bank Loan

Here are some alternatives that may be cheaper than borrowing.

To get help with rent or utilities: Contact your utility company, landlord, or mortgage issuer for assistance in deferring a payment. If you need long-term help, consider looking for alternative accommodation or contact a housing counselor.

To cover other one-time emergency expenses:

If you take out a Simple Loan

If you decide to take out a Simple Loan, review your budget to ensure there is room to repay the loan on time. These loans can be much cheaper than other low amount loans, but they are still too expensive to be a long-term or repeat solution for your finances.

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