Pros & Cons
- Competitive rates among bad-credit lenders.
- Soft credit check with pre-qualification.
- Reports payments to only one of the three major credit bureaus.
- Charges origination and late fees.
- No option to change your payment date.
- Borrowers have only one repayment term option.
Compare to Other Lenders
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Full Review of Peerform
To review Peerform’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.
Update July 15, 2021: Peerform no longer originates personal loans, but will still service existing loans, according to a spokesperson for the company. Information in this review may be outdated
» MORE: Compare bad-credit loans
Peerform provides personal loans to borrowers with less-than-perfect credit. The peer-to-peer lender connects borrowers with investors in their loans. Other peer-to-peer lenders may use a mix of humans and institutions to invest in their loans.
Peerform is best for borrowers who:
Have bad or fair credit (689 or lower FICO) and a thin credit history.
Want to consolidate high-interest credit card debt.
Have other ways to build credit.
Peerform at a glance
Where Peerform stands out
Thin credit history allowed: Peerform requires applicants to have at least one year of credit history, while other lenders may require three or more years. The lender doesn’t require a minimum number of accounts on a borrower’s history, either.
Soft credit check to pre-qualify: Like many online lenders, Peerform allows borrowers to pre-qualify to see their possible rate and loan amount without affecting their credit.
Where Peerform falls short
Reports to only one credit bureau: Peerform reports payments on its loans to TransUnion only, while many of its competitors report to three major credit bureaus. On-time payments can help you build credit so you can potentially qualify for better rates on future loans and credit cards. If a lender doesn’t report to all three, your good credit behavior could go unnoticed by lenders.
High minimum loan amount: The smallest loan you can get from Peerform is $4,000, which means you can’t get a loan for small expenses. Minimum loan amounts with other lenders tend to start at $2,000 or lower.
No option to choose or change your payment date: With a Peerform loan, you can’t choose your payment date at the outset of the loan or change it later on if, for example, you switch jobs and get paid on a different date. Most lenders let you do at least one or the other.
One repayment term option: Peerform has one available repayment term: three years. Other lenders let you choose from two or more repayment terms, which gives you some control over your monthly payments and how much interest you pay over the lifetime of the loan. For example, a longer repayment term would lower monthly payments, and a shorter one could reduce the overall interest you pay.
No co-signed, joint or secured loan options: Peerform doesn’t let you add a co-signer, apply with a co-borrower or secure the loan to potentially qualify for a lower rate or higher loan amount.
» COMPARE: Debt consolidation loans
How to qualify for a Peerform loan
Minimum credit score: 600. This lender uses the FICO credit scoring model.
Minimum credit history: one year.
Minimum annual income: $10,000.
Maximum debt-to-income ratio: 40%, excluding mortgage.
Must be a United States citizen or permanent resident.
Loan example: A three-year, $15,000 loan with an APR of 20.5% would have a monthly payment of $561. You’d pay $5,206 in total interest on that loan.
How to get a Peerform loan
Pre-qualify on NerdWallet
NerdWallet recommends comparing loans to find the best rate for you. Pre-qualifying may get you personalized rates from multiple lenders that partner with us. Pre-qualifying will not impact your credit.
NerdWallet’s review process evaluates and rates personal loan products from more than 35 financial institutions. We collect over 45 data points from each lender, interview company representatives and compare the lender with others that seek the same customer or offer a similar personal loan product. NerdWallet writers and editors conduct a full fact check and update annually, but also make updates throughout the year as necessary.
Our star ratings award points to lenders that offer consumer-friendly features, including: soft credit checks to pre-qualify, competitive interest rates and no fees, transparency of rates and terms, flexible payment options, fast funding times, accessible customer service, reporting of payments to credit bureaus and financial education. We also consider regulatory actions filed by agencies like the Consumer Financial Protection Bureau. We weigh these factors based on our assessment of which are the most important to consumers and how meaningfully they impact consumers’ experiences.
This methodology applies only to lenders that cap interest rates at 36%, the maximum rate most financial experts and consumer advocates agree is the acceptable limit for a loan to be affordable. NerdWallet does not receive compensation for our star ratings. Read more about our ratings methodologies for personal loans and our editorial guidelines.