A personal loan is one way to consolidate financial debt or to finance major expenses. It provides a fixed interest rate and fixed monthly payments for the life of the loan. A personal loan is best for one-time financing, or if you need the entire cost of a project up front. You receive the loan in one lump sum to use towards your expense. Whether you use it to consolidate debt, finance a purchase or use it towards home improvement, a personal loan will help cover the expense with easy monthly repayments on the loan.