Avant Personal Loans: 2020 Review

Avant loans are geared toward borrowers with low credit scores who want to consolidate debt or need money for essential expenses.

Amrita JayakumarJuly 7, 2020
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Our Take

4.5

NerdWallet rating 

The bottom line: Avant accepts low credit scores and offers payment flexibility. This lender lets borrowers pre-qualify but doesn't have a co-signed loan option.

Avant

on Avant's website

on Avant's website

Min. Credit Score

580

Est. APR

9.95 - 35.99%

Loan Amount

$2,000 - $35,000

Pros & Cons

Pros

  • Able to fund loans within one business day.

  • Soft credit check with pre-qualification.

  • Option to change your payment date.

Cons

  • Charges origination fee.

  • No option to include co-signer.

Compare to Other Lenders

Avant
OneMain
Upgrade
NerdWallet rating 
NerdWallet rating 
NerdWallet rating 
Est. APR

9.95 - 35.99%

Est. APR

18.00 - 35.99%

Est. APR

7.99 - 35.97%

Loan Term

2 to 5 years

Loan Term

2 to 5 years

Loan Term

3 to 5 years

Loan Amount

$2,000 - $35,000

Loan Amount

$1,500 - $20,000

Loan Amount

$1,000 - $50,000

Min. Credit Score

580

Min. Credit Score

None

Min. Credit Score

580

Compare estimated rates from multiple lenders

Compare Rates

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Full Review

To review Avant, NerdWallet collected more than 30 data points from the lender, interviewed company executives, and compared the lender with others that seek the same type of customer or offer a similar personal loan product. Loan terms and fees may vary by state.

Avant is one of the largest online lending platforms to focus on consumers with low credit scores. The Chicago-based company caters to the “typical middle-class American consumer,” says Avant president Adam Hughes. The lender requires a minimum credit score of 580, while most of its customers have a credit score of between 600 to 700.

According to the company, about half of Avant’s borrowers take out loans for debt consolidation. Its loans can also be used to fund home improvements and cover unexpected expenses. Available loan terms are between two and five years.

Best for: NerdWallet recognizes Avant among our list of best personal loans for bad to fair credit borrowers.

Refinancing option: Avant says some customers may be eligible to refinance their loans to get a higher loan amount and possibly a reduced rate. Customers need at least six months of on-time payments on a loan to qualify for refinancing.

Credit reporting: The lender reports payments to all three major credit bureaus. On-time loan payments can help your credit score.

Flexible payment options: Borrowers can make additional monthly loan payments and can change their payment date during the lifetime of the loan.

Customer service: Avant has a phone number and email address for customer service. The company says it measures response times and tries to improve them.

In April 2019, Avant agreed to pay $3.85 million to settle a Federal Trade Commission lawsuit alleging the company withdrew unauthorized payments from consumers’ bank accounts and collected additional money even after a loan had been paid off.

"Our focus and commitment have always been on providing our customers with transparent and complete information that helps them make smart financial choices and borrow money responsibly," said Avant CEO Al Goldstein in an emailed statement.

Mobile app: Avant offers a mobile app for iOS and Android. The company says borrowers can use the app to make payments, see upcoming payments and their payment history.

No co-signed loan option: Avant doesn't allow borrowers to add a co-signer. Co-signers can help borrowers who can't qualify for a loan on their own get access to credit.

Fees:

  • Origination fee: up to 4.75%.

  • Late fee: $25 after 10-day grace period.

  • Unsuccessful payment fee: $15.

How to qualify:

  • Minimum credit score of 580.

  • At least $20,000 in gross annual income.

Avant borrower averages:

  • Household income of $40,000 to $100,000 (varies based on loan purpose).

  • 650 credit score.

  • Debt consolidation loan for $6,800 with a 36-month term.

Loan example: For a borrower with average credit, an $7,000 personal loan with a repayment term of 36 months at 21.8% APR would carry monthly payments of $267, according to NerdWallet’s personal loan calculator.

Before you shop for a personal loan

Pre-qualify on NerdWallet

NerdWallet recommends comparing loans to find the best rate for you. Click the button below to pre-qualify on NerdWallet. You may receive personalized rates from multiple lenders that partner with us, including Avant. Pre-qualifying will not impact your credit.

How to apply for an Avant loan

You can apply on Avant’s website by providing your name, address, Social Security number and other details.

on Avant's website

Personal Loans Rating Methodology

NerdWallet's ratings for personal loans award points to lenders that offer consumer-friendly features, including: soft credit checks, no fees, transparency of loan rates and terms, flexible payment options, accessible customer service, reporting of payments to credit bureaus, and financial education. We also consider the number of complaints filed with agencies like the Consumer Financial Protection Bureau. This methodology applies only to lenders that cap interest rates at 36%, the maximum rate financial experts and consumer advocates agree is the acceptable limit for a loan to be affordable. NerdWallet does not receive compensation of any sort for our reviews. Read our editorial guidelines.