Best Personal Loans for Fair Credit of January 2022

Key facts

Pros

• Accepts borrowers new to credit.

• Able to fund loans within one business day.

• Offers direct payment to creditors with some debt consolidation loans.

• Allows borrowers to choose and change payment date.

Cons

• Borrowers can choose from only two repayment term options.

• Charges origination fee.

• No mobile app to manage the loan.

Qualifications

• Minimum credit score: None.

• Minimum credit history: None, this lending platform accepts borrowers with credit history too limited to produce a FICO score.

• Minimum gross income: $12,000.

• Employment: Full-time job, full-time job offer starting in 6 months, a regular part-time job, or another source of regular income.

• Must have U.S. residential street address where borrower resides (unless military personnel on active duty).

• Must be at least 18 years old.

• Valid email account required.

• Personal bank account with U.S. routing number required.

Available Term Lengths

3 to 5 years

Fees

• Origination fee: 0% - 8%.

• Late fee: 5% of past due amount or $15, whichever is greater.

Disclaimer

Your loan amount will be determined based on your credit, income, and certain other information provided in your loan application. Not all applicants will qualify for the full amount. The minimum loan amount in MA is $7,000. The minimum loan amount in Ohio is $6,000. The minimum loan amount in NM is $5,100. The minimum loan amount in GA is $3,100. This offer is conditioned on final approval based on our consideration and verification of financial and non-financial information. Rate and loan amount are subject to change based upon information received in your full application. This offer may be accepted only by the person identified in this offer, who is old enough to legally enter into contract for the extension of credit, a US citizen or permanent resident, and a current resident of the US. Duplicate offers are void. Closing your loan is contingent on your meeting our eligibility requirements, our verification of your information, and your agreement to the terms and conditions on the www.upstart.com website.The full range of available rates varies by state. The average 3-year loan offered across all lenders using the Upstart platform will have an APR of 21.97% and 36 monthly payments of $35 per $1,000 borrowed. For example, the total cost of a $10,000 loan would be $12,646 including a $626 origination fee. APR is calculated based on 3-year rates offered in the last 1 month. There is no down payment and no prepayment penalty. Your APR will be determined based on your credit, income, and certain other information provided in your loan application. Not all applicants will be approved.If you accept your loan by 5pm EST (not including weekends or holidays), you will receive your funds the next business day. Loans used to fund education related expenses are subject to a 3 business day wait period between loan acceptance and funding in accordance with federal law.

Key facts

Pros

• Offers co-signed and joint loan options.

• Offers direct payment to creditors with debt consolidation loans.

• Soft credit check with pre-qualification.

Cons

• Borrowers can only choose from two repayment term options.

• Rates are high compared to other fair-credit lenders.

• Charges an origination fee.

Qualifications

• Minimum credit score of 600. LendingClub uses FICO 8 credit scoring model.

• Minimum credit history of three years.

• Debt-to-income ratio of less than 40% for single applications, 35% combined for joint applicants.

Available Term Lengths

3 to 5 years

Fees

• Origination fee: 1% to 6%.

• Late fee: Greater of $15 or 5% of payment after 15-day grace period.

Disclaimer

A representative example of loan payment terms is as follows: you receive a loan of $13,411 for a term of 36 months, with an interest rate of 12.16% and a 5.30% origination fee of $711, for an APR of 15.99%. In this example, you will receive $12,700 and will make 36 monthly payments of $446.46. Loan amounts range from $1,000 to $40,000 and loan term lengths are 36 months or 60 months. Some amounts and term lengths may be unavailable in certain states. APR ranges from 7.04% to 35.89% and is determined at the time of application. Origination fee ranges from 3% to 6% of the loan amount. Lowest APR is available to borrowers with excellent credit. Advertised rates and fees are valid as of 7/1/21 and are subject to change without notice. Loans are made by LendingClub Bank, N.A., Member FDIC (“LendingClub Bank”), a wholly-owned subsidiary of LendingClub Corporation, NMLS ID 167439. Loans are subject to credit approval and sufficient investor commitment before they can be funded or issued. Certain information that we subsequently obtain as part of the application process (including but not limited to information in your consumer report, your income, the loan amount that your request, the purpose of your loan, and qualifying debt) will be considered and could affect your ability to obtain a loan from us. Loan closing is contingent on accepting all required agreements and disclosures at Lendingclub.com. “LendingClub” is a trademark of LendingClub Bank.

Key facts

Pros

• Allows secured and joint loans.

• Offers a wide range of repayment terms.

• Offers 0.5 percentage point rate discount for setting up autopay.

• Offers significant rate discount for checking account customers.

• Offers rate discount with direct payment to creditors on debt consolidation loans.

Cons

• Charges origination fee.

• No co-signed loan option.

Qualifications

• Minimum credit score: 560; borrower average is 678.

• Minimum annual income: None; borrower average is $78,000.

• Minimum number of accounts on credit history: Two accounts.

• Maximum debt-to-income ratio: Less than or equal to 75%, including mortgage and calculating in your new personal loan.

Available Term Lengths

2 to 7 years

Fees

• Origination fee: 2.9% to 8%.

Disclaimer

Personal loans made through Upgrade feature APRs of 5.94%-35.47%. All personal loans have a 2.9% to 8% origination fee, which is deducted from the loan proceeds. Lowest rates require Autopay and paying off a portion of existing debt directly. For example, if you receive a $10,000 loan with a 36-month term and a 17.98% APR (which includes a 14.32% yearly interest rate and a 5% one-time origination fee), you would receive $9,500 in your account and would have a required monthly payment of $343.33. Over the life of the loan, your payments would total $12,359.97. The APR on your loan may be higher or lower and your loan offers may not have multiple term lengths available. Actual rate depends on credit score, credit usage history, loan term, and other factors. Late payments or subsequent charges and fees may increase the cost of your fixed rate loan. There is no fee or penalty for repaying a loan early. Personal loans issued by Upgrade's lending partners. Information on Upgrade's lending partners can be found at https://www.upgrade.com/lending-partners/. Accept your loan offer and your funds will be sent to your bank or designated account within one (1) business day of clearing necessary verifications. Availability of the funds is dependent on how quickly your bank processes the transaction. From the time of approval, funds should be available within four (4) business days. Funds sent directly to pay off your creditors may take up to 2 weeks to clear, depending on the creditor.

Key facts

Pros

• Offers wide range of loan amounts.

• Provides secured loan option for homeowners.

• Offers direct payment to creditors with debt consolidation loans.

Cons

• Charges origination fee.

• No rate discount for autopay.

Qualifications

• Minimum credit score: 600; borrower average is 700.

• Minimum credit history: 3 years and 3 accounts.

• Minimum income requirement is $3,500; borrower average is $80,000. Borrower must have enough cash flow to cover current financial obligations.

• Minimum debt-to-income ratio: 40% or 65% including a mortgage; borrower average is 40%.

• Employment: Must provide proof of income; part-time employees are eligible.

• Must provide valid U.S. address and Social Security number.

Available Term Lengths

2 to 5 years

Fees

• Origination fee: 0.99% - 5.99%.

• Return fee: $15 if payments are not processed.

Disclaimer

*Trustpilot TrustScore as of June 2020. Best Egg personal loans, including the Best Egg Secured Loan, are made by Cross River Bank, a New Jersey State Chartered Commercial Bank, Member FDIC, Equal Housing Lender or Blue Ridge Bank, a Nationally Chartered Bank, Member FDIC, Equal Housing Lender. “Best Egg” is a trademark of Marlette Holdings, Inc., a Delaware corporation. All uses of “Best Egg” refer to “the Best Egg personal loan”, “the Best Egg Secured Loan”, and/or “Best Egg on behalf of Cross River Bank or Blue Ridge Bank, as originator of the Best Egg personal loan,” as applicable. The term, amount, and APR of any loan we offer to you will depend on your credit score, income, debt payment obligations, loan amount, credit history and other factors. Your loan agreement will contain specific terms and conditions. About half of our customers get their money the next day. After successful verification, your money can be deposited in your bank account within 1-3 business days. The timing of available funds upon loan approval may vary depending upon your bank’s policies. Loan amounts range from $2,000– $50,000. Residents of Massachusetts have a minimum loan amount of $6,500 ; New Mexico and Ohio, $5,000; and Georgia, $3,000. For a second Best Egg loan, your total existing Best Egg loan balances cannot exceed $50,000. Annual Percentage Rates (APRs) range from 4.99%–35.99%. The APR is the cost of credit as a yearly rate and reflects both your interest rate and an origination fee of 0.99%–5.99% of your loan amount, which will be deducted from any loan proceeds you receive. The origination fee on a loan term 4-years or longer will be at least 4.99%. Your loan term will impact your APR, which may be higher than our lowest advertised rate.  You need a minimum 700 FICO® score and a minimum individual annual income of $100,000 to qualify for our lowest APR. To help the government fight the funding of terrorism and money laundering activities, Federal law requires all financial institutions to obtain, verify, and record information that identifies each person who opens an account. What this means for you: When you open an account, we will ask for your name, address, date of birth, and other information that will allow us to identify you. We may also ask to see your driver’s license or other identifying documents.

Key facts

Pros

• Soft credit check with pre-qualification.

• Competitive rates among fair-credit lenders.

• Offers a 0.3% rate discount for setting up autopay.

• Able to fund loans the same day.

• Offers small loans of $2,000.

Cons

• Charges origination fee.

• Does not offer direct payment to creditors with debt consolidation loans.

• No option to choose or change your payment date.

• Borrowers can choose from only two repayment term options.

• No co-sign, joint or secured loan option.

Qualifications

• Minimum credit score: 640; borrower average is 710.

• Minimum credit history: Over two years.

• Minimum annual income: $24,000; borrower average is $85,000.

• Maximum debt-to-income ratio: 40% or 70% including mortgage; borrower average is 14%.

• Must be at least 18 years old (19 in Alabama and Nebraska).

• Must provide Social Security number.

Available Term Lengths

3 to 5 years

Fees

• Origination fee: 1% to 6%.

• Late fee: $15 after 10-day grace period.

• Unsuccessful payment fee: $15.

Disclaimer

All personal loans are made by Cross River Bank, a New Jersey state chartered commercial bank, Member FDIC, Equal Housing Lender. All loans are unsecured, fully amortizing personal loans. Eligibility for a loan is not guaranteed. Please refer to our Disclosures and Licenses page for state required disclosures, licenses, and lending restrictions. Borrower must be a U.S. citizen or permanent U.S. resident alien at least 18 years of age (in Nebraska and Alabama a borrower must be at least 19 years of age). All loan applications are subject to credit review and approval. Offered loan terms depend upon your credit profile, requested amount, requested loan term, credit usage, credit history and other factors. Not all borrowers receive the lowest interest rate. To qualify for the lowest rate, you must have excellent credit, meet certain conditions, and select autopay. Rates and Terms are subject to change at any time without notice. Please refer to RocketLoans.com and our Terms of Use for additional terms and conditions.

Key facts

Pros

• Soft credit check with pre-qualification.

• No origination or prepayment fees.

• Offers joint and secured loan options.

• Offers mobile app to manage your loan.

Cons

• No discount for autopay.

• Does not offer direct payment to creditors with debt consolidation loans.

• No option to choose or change your payment date.

Qualifications

• Minimum credit history: Two years.

• Debt-to-income ratio: Below 55%.

Available Term Lengths

1 to 5 years

Fees

• Late fee: $29

• Returned payment fee: $30

• Membership fee: $5

Key facts

Pros

• Offers co-sign, joint and secure loan options.

• Able to fund loans within one business day.

• Offers direct payment to creditors with debt consolidation loans.

• Offers wide range of loan amounts and repayment terms.

• No origination or prepayment fees.

Cons

• Exclusive to credit union members.

• Reports payments to only one of the three major credit bureaus.

• No rate discount for autopay.

Qualifications

• Minimum credit score: 660.

Available Term Lengths

2 to 7 years

Fees

• Origination fee: None.

• Prepayment fee: None.