Discover only offers one type of personal loan with many different uses, such as paying for big life events and major purchases and consolidating debt, according to Discover. Some examples of big life events are vacations and weddings. Major purchases include new furniture and energy-efficient appliances.
A personal loan from Discover has a fixed interest rate and fixed minimum monthly payments, states Discover. As of October 2015, fixed rates range from around 7 percent APR to 30 percent APR. Discover personal loans have flexible payment plans with terms from 36 months to 84 months. Interest rates and payment options vary depending on the applicant's creditworthiness. Loans have no closing fees and prepayment penalties. Discover uses direct deposit of loan funds to any bank account.