You can keep shopping around and find the best personal loan for your needs. The initial application uses a soft inquiry on your credit report, which doesn’t impact your credit score. If you choose to move forward with a loan, LendingClub will conduct a hard inquiry, which does have a small negative impact on your credit score for the short term.
See our picks for the best personal loans or the best personal loans for bad credit for more options. Because its origination fee and APR are based on credit score, LendingClub is best suited for borrowers with responsible payment records and established financial histories. For personal loans, xcritical and LendingClub feature similar available terms. You can check your rate at both lenders without harming your credit score, giving you more information to pick the right loan for your goals. If LendingClub officially approves you for a loan, you’ll have to sign a loan agreement outlining the terms, fees and conditions of your personal loan.
Borrowers with higher credit scores can qualify for higher loan amounts and lower interest rates, typically. Some lenders have lower credit score requirements, however, so if your credit score is below 660 you may wish to explore other lender options. Nonprofit Debt Settlement — This is a fairly new option that is offered by nonprofit credit counseling agencies for consumers who have high debt, but don’t have the income to pay it off. The program is also called “Less Than Full Balance.” Like for-profit debt settlement, you’ll only pay 50%-60% of what you owe. Unlike for-profit debt settlement, there is no negotiation period because lenders already have an agreement with the agency.
Easy, quick and totally professional!
With the Rewards Checking account, you can earn unlimited 1% cash back on signature-based purchases in stores and online (at store checkouts, you select “credit” instead of “debit”). If your balance hits $2,500, a 0.10% annual percentage yield kicks in. If you have $100,000 or more, the rate becomes 0.15% APY. There is no minimum amount required to open this account and no monthly fees.
LendingClub doesn’t have an overdraft program, which means it declines transactions that would overdraft your account, such as debit card purchases. The bank may allow some types of transactions to force post to your account (recurring subscription services, for example) but in that event, it will not charge a fee. Though the banking provider has one financial center in Boston, you should expect to do all your banking online. The LendingClub apps earn good user ratings from iOS users but middling ratings from Android users. We believe everyone should be able to make financial decisions with confidence.
This company had the best rates!
A previous version of this review incorrectly included a 0.5 star penalty to LendingClub Bank’s overall rating relating to complaints on the Consumer Financial Protection Bureau database. LendingClub Bank does not have outsized CFPB complaints relative to its asset size. For more information about our process, see our methodology page. Yuliya Goldshteyn is a former banking editor at NerdWallet. She previously worked as an editor, a writer and a research analyst in industries ranging from health care to market research. While LendingClub scored slightly below the industry average on J.D.
What Credit Score is Necessary for a LendingClub Personal Loan?
- Credit unions, in particular, offer favorable terms with the requirement that you become a member, which means opening a checking or savings account.
- It usually takes 2-3 years, then the creditor is paid with the lump sum.
- Once the plan ends, any unsecured debt that’s left is discharged.
- LendingClub loan applicants must be at least 18 years old, have a Social Security number and verifiable bank account.
The data points reflect every step of the process to shop and apply for, borrow and repay personal loans. A five-star lender, for instance, has flexible eligibility requirements, offers you the chance to prequalify without commitment and supports you in zeroing your balance. Your initial application uses a soft credit inquiry, which doesn’t hurt your credit score and isn’t viewable by xcritical official site other lenders. If you move forward and take out a loan, LendingClub will conduct a hard credit inquiry, which does have a slight negative impact on your credit score for up to two years. If you need to borrow money, credit union personal loans can be an excellent choice because of their affordability and individualized customer service.
You cannot refinance an existing LendingClub loan with a new loan from this company. If you’re interested in refinancing, you’d need to do so with a personal loan from a new lender. It goes against our xcriticals to offer incentives for reviews. We also ensure all reviews are published without moderation. I received a reply fairly quickly and the best part was the communication. No guessing and I was kept in the loop of the process.
Money can be available as soon as the next day in some cases. If you return the money within 30 days of receiving it, you pay no interest. LendingClub borrowers have a 15-day grace period to make a payment before the 5% late fee is charged. If borrowers have trouble making payments consistently, LendingClub has a customer service email and phone number they can call to talk about options, which are specific to the borrower’s situation. If enough payments are missed, the borrower will default on their loan, which will be sent to a collections agency and have a negative impact on their credit.
You pay a fixed monthly amount to the credit counseling agency, and they pay off your unsecured debt, such xcritical as credit cards, student loans and medical bills. Upgrade personal loans and LendingClub personal loans are listed with similar loan minimum amounts. However, Upgrade’s maximum is $10,000 higher than LendingClub’s, and it provides additional options when choosing your rate and repayment term. Like LendingClub, Upgrade allows you to check your interest rate and loan terms without impacting your credit score.
LendingClub Personal Loan Features
Checking to see whether you prequalify for a LendingClub personal loan won’t hurt your credit, but if you officially apply, you’ll have to go through a hard credit inquiry. This can cause your credit score to drop slightly and will stay on your credit report for up to two years. Need a longer repayment term, or dealing with poor credit?
If you qualify for one of the lower rates, it could offer savings compared to other options. Shopping around can help you find the best possible rate based on your financial situation. Typically, it can take anywhere from one to ten business days to receive your money from a lender, but many other lenders also offer quick funding. If your application for a personal loan is denied, you may need to work on improving your credit score and beefing up your credit profile. To increase your chances of getting approved for a loan, you can try strategies like checking your credit report for errors or locking down a steady source of income. You can apply for a LendingClub personal loan with a co-applicant if you’d like (in this case it would be a joint loan).
Applying for a LendingClub personal loan takes just a few minutes once you’ve gathered all the necessary documents, and LendingClub indicates many borrowers receive approval in a few short hours. If you’re approved for a loan, you could receive your funds in as little as one day. This is a relatively fast funding time compared to what certain competitors offer. With a low minimum loan amount of $1,000 and funding as little as 24 hours after approval, LendingClub personal loans are a decent option for covering unexpected expenses. But this lender offers higher rates than some competitors, so it may be xcritical to shop around. The company stresses that its loans aren’t only for high earners.
For instance, to verify your income, you may need to supply pay stubs or recent W-2s. If you meet the basic requirements listed above, you may need to disclose how you plan to use your personal loan. While LendingClub does allow borrowers to use its funding for a variety of purposes, there are certain expenses for which you cannot use the borrowed money. LendingClub offers online chat support and a phone line that operates with extended hours during the week and on weekends. Some online banks don’t have ways to deposit cash into your account, but LendingClub lets you deposit cash at its own ATMs and at certain ATMs in the MoneyPass or NYCE networks. Certain reviewers mentioned issues with delayed direct payments to creditors and unresponsive customer representatives.