LightStream Personal Loans: 2021 Review
LightStream offers consumer-friendly features and large enough loans to cover big expenses like home improvement projects.
Our Take
5.0
The bottom line: LightStream’s low rates and zero fees make it one of the top lenders for borrowers with good or excellent credit.
Full Review
Best Personal Loan for Good Credit, Best Personal Loan for Home Improvement
on LightStream's website
on LightStream's website
Min. Credit Score
660
Est. APR
4.49 - 20.49%
Loan Amount
$5,000 - $100,000
Pros & Cons
Pros
No fees.
Competitive rates among online lenders.
Rate discount for autopay.
Special features including rate beat program and satisfaction guarantee.
Cons
No option to pre-qualify on its website.
Requires several years of credit history.
Compare to Other Lenders
Est. APR4.49 - 20.49% | Est. APR5.99 - 18.85% | Est. APR6.99 - 19.99% |
Loan Term2 to 7 years | Loan Term2 to 7 years | Loan Term3 to 6 years |
Loan Amount$5,000 - $100,000 | Loan Amount$5,000 - $100,000 | Loan Amount$3,500 - $40,000 |
Min. Credit Score660 | Min. Credit Score680 | Min. Credit Score660 |
Compare estimated rates from multiple lenders
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Full Review
To review LightStream’s personal loans, NerdWallet collected more than 40 data points from the lender, interviewed company executives and compared the lender with others that seek the same customer or offer a similar personal loan product. Loan terms and fees may vary by state.
LightStream, the online lending arm of Truist Bank, offers personal loans that can be used for almost any purpose, including debt consolidation, home improvement, auto or boat purchase and medical costs.
Starting interest rates for excellent-credit borrowers are low — around 5% if you use autopay — and vary based on the loan purpose, term, amount and your credit profile.
LightStream allows borrowers to choose when they’re funded. It can deposit funds in your account as early as the same day, or up to 30 days after approval. Scheduling a later fund date can allow time to plan for your first payment or give you flexibility in aligning your loan with the start of a home improvement project or other large expense.
LightStream is best for borrowers who:
Have good or excellent credit (690 FICO or higher) and several years of credit history.
Are considering a personal loan for home improvement.
Want a large loan at a competitive rate.
LightStream at a glance
Credit building |
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Affordability |
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Loan flexibility |
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Transparency |
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Customer experience |
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» COMPARE: Best online lenders
Where LightStream stands out
No fees: LightStream does not charge an origination fee, late fee or prepayment penalty fee.
Term availability: LightStream’s wide window of available repayment terms (two to seven years for most loans) gives borrowers the option to prioritize less overall interest with a shorter term or lower monthly payments with a longer term.
Special home improvement features: Borrowers with good or excellent credit looking to finance a home improvement project may qualify for extended loan terms up to 12 years, with no appraisals or home equity requirements. Longer repayment terms can make monthly payments more affordable on expensive home projects, like a kitchen remodel, solar panel installation or swimming pool addition.
Rate beat program: LightStream says it will beat a competitor’s interest rate by one-tenth of a percentage point, assuming you can show you are approved by the competitor for an unsecured, fixed-rate loan with the same amount, terms, purpose and payment method.
Satisfaction guarantee: LightStream offers $100 back for unhappy borrowers who have had their loan for less than 30 days. You must contact the company and fill out a questionnaire to receive the $100.
» MORE: Best good-credit lenders
Where LightStream falls short
Hard credit check: LightStream displays annual percentage rate ranges for each loan purpose on its website, but the lender does a hard pull on applications that originate on its website. However, the lender uses a soft credit check to pre-qualify applicants through NerdWallet.
No direct payment to creditors: Unlike other lenders, LightStream does not send payments directly to creditors when you consolidate debts with a loan. Instead, borrowers have to keep track of their own repayments.
Limited customer service options: Borrowers who have questions are directed to an email form on the lender’s website. LightStream does not provide a phone number, chat option or social media account to contact.
How to qualify for a LightStream loan
Minimum credit score: 660.
Several years of credit history; excellent-credit borrowers have at least five, according to LightStream.
Multiple account types within your credit history, like credit cards, a car loan or other installment loan and a mortgage.
Strong payment history with few or no delinquencies.
Investments, retirement savings or other evidence of an ability to save money.
Enough income to pay existing debts and a new LightStream loan.
Loan example: A four-year, $20,000 loan with an 11.8% APR would cost $525 in monthly payments. You’d pay $5,200 in total interest on that 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 LightStream. Pre-qualifying will not impact your credit.
Apply on LightStream
You can fill out an application on LightStream’s website. After entering some personal information, you’ll be presented with loan options.
on LightStream'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.