LendingPoint Personal Loans: 2023 Review

While it offers quick funding and relatively low loan amounts, LendingPoint also has an origination fee — something many personal loan lenders don’t charge anymore. LendingPoint is best for borrowers with bad or fair credit, who need a loan right away and don’t want to resort to payday loans.

Do you qualify?

• Credit score requirements: 600
• Income requirements: $35,000 or higher
• Co-signers and co-borrowers: Not permitted

If you don’t have much credit to your name, or you’re having trouble getting approved with other lenders, you might get approved through LendingPoint. You can even get approved if you have a bankruptcy on your credit report, as long as it was discharged at least 12 months ago. LendingPoint offers loans in 48 states and Washington, D.C. The only states where residents can’t apply are Nevada and West Virginia.

You also need to:

• Be at least 18 years old
• Have a photo ID issued by a federal, state or local government
• Have a Social Security number
• Have a verifiable personal bank account in your name

Of the three major credit bureaus, LendingPoint only reports to Experian and TransUnion. If improving your credit is your priority, find a lender that will report to all three national credit reporting agencies.

What LendingClub doesn't allow loan funds to be used for

You can use a LendingPoint personal loan for any legal purpose, such as consolidating debt or paying for a wedding.

LendingPoint: in the details

What we like and what we don’t like

What we like

• Options for people with low credit scores: LendingPoint’s personal loans are accessible to fair credit borrowers — applicants can qualify for a loan with a score as low as 600.
• No prepayment penalties: LendingPoint doesn’t charge prepayment penalties. This means you can repay your loan early to avoid interest without worrying about paying a fee.
• Quick funding: If you qualify for a loan, funds can be deposited into your bank account as quick as the next business day.

What we don’t like

• No joint loans: If you need to apply for a personal loan with a co-borrower or co-signer, you’ll have to choose another lender.
• High maximum APR: If you have bad credit and qualify for a LendingPoint loan, you can receive an APR greater than 35 percent — which is relatively high compared to other lenders.
• Origination fee: LendingPoint charges origination fees as high as 8 percent, depending on what state you live in. This can greatly increase your borrowing costs.

How to apply for a personal loan with LendingPoint

To apply for a LendingPoint personal loan, you’ll start with the lender’s prequalification process. During this part, you’ll provide your:

• Desired loan amount
• Purpose for the loan
• Date of birth
• Email address and phone number
• Income information
• Last four digits of your Social Security number

Then click the button that says “Check My Options.” LendingPoint will run a soft credit check and provide a few offers based on the information you provided.

After you choose the offer that best suits your needs, you’ll need to provide some additional information to get approved, including your driver’s license, proof of income, bank statements and a voided check. LendingPoint will then run a hard credit check — which will show up on your credit report — to finalize its offer.

Before you complete this process, take a few minutes to compare the offers LendingPoint provides with other personal loan rates from top lenders you might qualify with.

Features and additional perks

You can manage your loan via LendingPoint’s mobile app and track your credit score for free. Plus, after six months of on-time payments, LendingPoint says it will review your loan to see if it’s possible to lower your rate.

Fees and penalties

LendingPoint charges an origination fee of up to 8 percent of the loan amount. You can have this upfront fee deducted from your loan disbursement instead of paying it out of pocket. If you choose this option, you may have to borrow more than you need to make sure you don’t come up short on your funds.

There’s no application fee, and you won’t get penalized if you choose to pay your loan off early. But it’s not stated on LendingPoint’s website whether there are any late fees or returned check fees, so be sure to fully review your loan agreement before signing.

LendingPoint frequently asked questions

Methodology

To select the top personal loan lenders, Bankrate considers 15 factors. These factors include credit requirements, APR ranges, fees, loan amounts and flexibility to account for a wide range of credit profiles and budgets. Bankrate reviewed 41 lenders and gave each a Bankrate rating, which consists of three categories:

• Availability: What the minimum loan amounts are, its eligibility requirements and loan turnaround are considered in this category.
• Affordability: The interest rates, penalties and fees are measured in this section of the score. Lower rates and fees and fewer potential penalties result in a higher score.
• Customer experience: This category covers customer service hours, if online applications are available, online account access and mobile apps.

Editorial disclosure: All reviews are prepared by Bankrate.com staff. Opinions expressed therein are solely those of the reviewer and have not been reviewed or approved by any advertiser. The information, including rates and fees, presented in the review is accurate as of the date of the review. Check the data at the top of this page and the lender’s website for the most current information.