When you deal with a trustworthy provider, intend to be using the loan for the best purposes and can commit to the agreed repayment, then a personal loan will be a wise choice. When you use it to meet a financial target, such as paying down debt by consolidation or refurbishing your house to raise its value, a personal loan may be a smart investment. Using a personal loan for big purchases that you don't want to put on your credit card can make sense too.
On the other hand, if the loan you are considering comes with a huge interest rate, and you have limited or unstable means of repayment, then a personal loan is definitely not a good idea.
