Personal loans offer flexibility for various expenses. TransUnion reports 25 million people had personal loans in 2025, averaging nearly $12,000 per borrower. However, overborrowing can lead to financial strain. High interest rates can result in thousands paid in interest, lower credit scores, delinquency, and increased stress. Plan carefully to avoid pitfalls.

Read more at Yahoo Finance: Taking out a personal loan? How to avoid overborrowing.