LendingPoint

3.5 out of 5

Funded by: LendingPoint

At A Glance

LendingPoint offers personal loans to low and high credit borrowers. The interest rates are competitive with other lenders, but the maximum loan amount is $25,000. It's possible to receive your funds the next business day.

Pros & Cons

Pros

  • Minimum 585 credit score to apply
  • Can receive funds the next business day
  • Can change payment due date
  • Biweekly payments

Cons

  • Maximum $25,000 loan amount
  • Longest repayment term is 48 months
  • No joint or co-sign loan options

LendingPoint Borrowers Qualifications

Annual income

$20,000

Credit history

At least 2 years

Credit score

585

Bankruptcy

No recent bankruptcy or delinquencies

State eligibility

Not available to borrowers in VT, WV, WY.

LendingPoint Key Details

Loan amount

$2,000 – $25,000

Loan term

2 to 4 years

Estimated APR

15.49 – 35.49%

Approval time

As fast as 2 days

Time to funds

As fast as 24 hours

Fees

Origination fee: Between 0 to 6%

Pre-payment option

Prepayment option available

Credit inquiry

Soft credit check

LendingPoint Review

Our Experts Take
Josh Patoka - Spade Business Team
Josh Patoka
November 11, 2020

LendingPoint is one of the relatively few lenders offering personal loans to borrowers with fair credit. A borrower needs a 585 personal credit score, earn at least $20,000 annually, and preferably have the same employer for 12 consecutive months. Self-employed borrowers can also apply if they meet LendingPoint’s minimum credit score and annual income requirements with their most recent tax return.

Personal loans are available for a variety of purposes with a balance between $2,000 up to $25,000 with a 24-month to 48-month repayment term. LendingPoint only requires a monthly payment but allows smaller biweekly payments if it is a more comfortable repayment option for borrowers. Regardless of the payment frequency, LendingPoint never charges a prepayment penalty and reports all payments to the major credit bureaus to help build the borrower’s credit score.

Where LendingPoint Stands Out

Lenient minimum qualifications: LendingPoint only requires applicants to have a personal credit score of at least 585 and at least $20,000 in annual income. Being with the same employer for at least 12 months is also strongly encouraged. Applicants with a higher credit score or income will qualify for better loan terms, but LendingPoint is one of the few lenders accepting applicants with fair credit.

Biweekly payments: Most LendingPoint borrowers choose monthly repayments, although it’s also possible to select biweekly payments. Smaller and more frequent payments can be more accessible to budget and help ensure you don’t miss a payment.

Funds can be available in 24 hours: After loan approval, loan funds can deposit the next business day. This makes LendingPoint convenient without charging higher fees or interest rates like other short-term lenders offering rapid financing.

Available in 47 states and District of Columbia: West Virginia, Vermont, and Wyoming are the only states LendingPoint doesn’t lend in. This means people with fair credit in most of the United States can qualify for a personal loan with competitive interest rates.

Where LendingPoint Falls Short

Loan amounts up to $25,000: LendingPoint only offers personal loans up to $25,000, which is low but can be enough for people with fair credit scores. Other lenders offering larger loans may require excellent credit and a low debt-to-income ratio to qualify for loans larger than $25,000. They may not provide large credit lines to people with fair credit because of these stricter qualifications.

High starting interest rates: Applicants with credit scores above 700 can qualify for lower interest rates at different lenders as LendingPoint interest rates start at 15.49%. However, borrowers with less creditworthiness can still qualify for a rate competitive with other lenders as their highest rate of 35.99% is similar to other personal loan lenders.

Origination fee up to 6%: LendingPoint’s origination fee is between 0% and 6% and is based on your credit profile and loan amount. The 6% origination fee is slightly above the industry’s 5% average. Well-qualified borrowers can qualify for a lower fee. Unlike most lenders, LendingPoint doesn’t deduct the origination fee upfront from the initial balance. They include the fee with the loan interest rate to determine your APR.

Is LendingPoint The Best Option For Me?

Applicants who need to borrow less than $25,000 or have a credit score between 585 and 640 are ideal candidates for LendingPoint. Borrowers with credit scores near or above 700 can find interest rates notably lower at other lenders. Well-qualified borrowers needing at least $25,000 in financing will also need to consider another lender to acquire all the money they need with a single loan.

Description

LendingPoint is one of the relatively few lenders offering personal loans to borrowers with fair credit. A borrower needs a 585 personal credit score, earn at least $20,000 annually, and preferably have the same employer for 12 consecutive months. Self-employed borrowers can also apply if they meet LendingPoint’s minimum credit score and annual income requirements with their most recent tax return.

Personal loans are available for a variety of purposes with a balance between $2,000 up to $25,000 with a 24-month to 48-month repayment term. LendingPoint only requires a monthly payment but allows smaller biweekly payments if it is a more comfortable repayment option for borrowers. Regardless of the payment frequency, LendingPoint never charges a prepayment penalty and reports all payments to the major credit bureaus to help build the borrower’s credit score.

Where LendingPoint Stands Out

Lenient minimum qualifications: LendingPoint only requires applicants to have a personal credit score of at least 585 and at least $20,000 in annual income. Being with the same employer for at least 12 months is also strongly encouraged. Applicants with a higher credit score or income will qualify for better loan terms, but LendingPoint is one of the few lenders accepting applicants with fair credit.

Biweekly payments: Most LendingPoint borrowers choose monthly repayments, although it’s also possible to select biweekly payments. Smaller and more frequent payments can be more accessible to budget and help ensure you don’t miss a payment.

Funds can be available in 24 hours: After loan approval, loan funds can deposit the next business day. This makes LendingPoint convenient without charging higher fees or interest rates like other short-term lenders offering rapid financing.

Available in 47 states and District of Columbia: West Virginia, Vermont, and Wyoming are the only states LendingPoint doesn’t lend in. This means people with fair credit in most of the United States can qualify for a personal loan with competitive interest rates.

Where LendingPoint Falls Short

Loan amounts up to $25,000: LendingPoint only offers personal loans up to $25,000, which is low but can be enough for people with fair credit scores. Other lenders offering larger loans may require excellent credit and a low debt-to-income ratio to qualify for loans larger than $25,000. They may not provide large credit lines to people with fair credit because of these stricter qualifications.

High starting interest rates: Applicants with credit scores above 700 can qualify for lower interest rates at different lenders as LendingPoint interest rates start at 15.49%. However, borrowers with less creditworthiness can still qualify for a rate competitive with other lenders as their highest rate of 35.99% is similar to other personal loan lenders.

Origination fee up to 6%: LendingPoint’s origination fee is between 0% and 6% and is based on your credit profile and loan amount. The 6% origination fee is slightly above the industry’s 5% average. Well-qualified borrowers can qualify for a lower fee. Unlike most lenders, LendingPoint doesn’t deduct the origination fee upfront from the initial balance. They include the fee with the loan interest rate to determine your APR.

Is LendingPoint The Best Option For Me?

Applicants who need to borrow less than $25,000 or have a credit score between 585 and 640 are ideal candidates for LendingPoint. Borrowers with credit scores near or above 700 can find interest rates notably lower at other lenders. Well-qualified borrowers needing at least $25,000 in financing will also need to consider another lender to acquire all the money they need with a single loan.

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