The idea of getting a loan to buy a new car or refinancing an older car is pretty straight forward, but if you need a personal loan (for emergency car repairs or debt consolidation), Lending Club is a popular option. Since 2007, Lending Club has helped provide loans to more than four million Americans, and many former and current customers of this financial institution have provided their feedback on their experience. Learning about this can help you determine whether this lender suits you, so keep reading to find out more about Lending Club loan reviews.
What Is a Lending Club Loan?
Lending Club is a financial institution that provides a variety of banking and lending services, and its loan facility connects personal loan seekers and entrepreneurs to the necessary capital. Unlike many other organizations in the banking and finance industry, this one is a fintech enterprise that operates as a digital platform without any brick and mortar branches and uses new technologies. Its loan products are primarily for people with fair to good credit, so it caters to those with relatively strong financial records.
Personal loans are offered for a range of client requirements, including debt consolidation, credit card consolidation, medical bills, home repair, and balance transfer loans. Loan amounts can range from $1,000 to $40,000. Business loans are offered between $5,000 and $500,000. Additionally, entrepreneurs can avail themselves of equipment financing loans between $1 million and $10 million or commercial real estate financing with a typical loan amount of $10 million. Key features of Lending Club loans include:
Here are the key features of Lending Club’s personal loans:
- Soft credit check: You can expect a soft credit check with a preapproval process when you apply for a loan. This credit check type can enable a customer with a relatively low credit score to get approved. The minimum credit score to qualify is 600.
- Joint applications: You can apply for a personal loan with a cosigner. This enables you to benefit from their credit record as well as qualify for better rates and a higher loan amount.
- High annual percentage rate (APR): While Lending Club’s APR range is on par with its key competitors, such as Avant and Prosper, it’s relatively high at 15.95% on average.
- Process fees: You may have to pay fees such as origination fees and late fees. While there is no discount for automatic payment, there are no application fees and no prepayment penalties.
Here are the key features of Lending Club’s business loans.
- Small businesses: Lending Club is a Small Business Administration (SBA) preferred lender, offering 504 loan products from $400,000.
- Service and conditions: Business loan applicants benefit from personalized service and transparent terms.
- Collateral: Typically, Lending Club does not require collateral for business loans, which is an advantage for people who do not have the necessary disposable assets.
What Are Lending Club Loan Reviews?
Lending Club Loan reviews are a collection of customer reviews that communicate their experience with the company in relation to the loan facility. Each is a brief summary that communicates a customer’s satisfaction, or lack thereof, with the product and service experience. These testimonials contain genuine client evaluations of the company’s timeliness, loan specifications, credit checks, and customer service. As a part of primary or secondary market research, these reviews can be an effective method to assess Lending Club’s brand, customer loyalty, and loan specifications.
A Summary of Lending Club Loan Reviews
Taking a look at Lending Club loan reviews can help you to identify the strengths and weaknesses of the company and the financial product quickly and conveniently. As these include customer comments about their experience with the lender, you can also use them to clarify many of your questions. Here’s what clients had to say about their experience with Lending Club:
Customers can benefit from a streamlined, quick process where on average, personal loans can be approved and funded within 24 hours and business loans within one week.
Business and personal loan seekers found the loan products to be accessible. For example, eligibility requirements contribute toward an easier application process than the average. For personal loans, you’re likely to qualify for a loan based on your citizenship, income, employment, and credit record. If you’re above 18, a U.S. citizen, and have a legitimate bank account, you can apply. For a successful application, you will need a better-than-average credit score and credit history.
Business loan customers found that Lending Club asked for less information on their finances than competitors, which indicated that loans were relatively more accessible. For example, information in areas such as the amount of money in the college fund of the loan applicant’s child, which required professionals to spend more time on the application process, was not required.
Overall Gain and Profit
Clients of both business and personal loan products indicated that getting a loan through the financial platform was rewarding and profitable. Personal loan customers reported gains such as successful home repairs and credit card debt repayment, while entrepreneurs reported sales increases and reductions in operational costs due to their successful loan applications.
Lending Club customers across loan products approved of the payment rates. They found that the rates matched their expectations. For example, a business loan customer reported a personalized service where the Lending Club’s client advisor matched his desired rate and loan amount which no other lender could match.
Lending Club reviews indicate that personal and business loan customers are satisfied with their service experience. Key areas of satisfaction are knowledgeable client advisors, an online platform that’s easy to use, and an efficient loan approval and repayment process.
Consequently, Lending Club is a financial institution with a strong customer base of loyal customers, for personal loan and business loan products. In relation to accessibility, timeliness, and overall gains, the lender stood out from the crowd. As it’s a fintech enterprise, customers can benefit from technologies that simplify and improve their interactions with the loan provider.
If you’re considering applying to this lender for either a personal or a business loan, you can use this article as a base for your search. Try to use the Lending Club loan reviews to find out more about the experiences of others whose preferences and circumstances are similar to yours. Start preparing to obtain the funds you need with a lender that suits you.
At FIXD, our mission is to make car ownership as simple, easy, and affordable as possible. Our research team utilizes the latest automotive data and insights to create tools and resources that help drivers get peace of mind and save money over the life of their car.