LendingPoint Personal Loans: 2019 Review

Whether your credit score is in fair shape or less-than-stellar, you may be able to qualify for a personal loan with LendingPoint. The lender offers quick funding and relatively low loan amounts but also has an origination fee and shorter-than-average repayment terms.

If you’re looking for a personal loan from $2,000 to $25,000, here’s what you need to know about LendingPoint and whether it makes financial sense.

• Is a LendingPoint personal loan right for you?
• Lending terms
• Fees and penalties
• How to apply
• What to do if you’re turned down

Is a LendingPoint personal loan right for you?

If you’re considering applying with LendingPoint, it’s important to know whether it’s a good fit before you submit your application and get a hard inquiry on your credit report. The lender may be right for you if:

• You have a credit score of 585 or higher.
• You need money fast.
• You don’t mind paying an origination fee or above-average APR.

Lending terms

LendingPoint offers fixed-rate personal loans ranging from $2,000 to $25,000. Repayment terms range from 24 to 48 months. Some similar lenders offer up to five years to repay what you owe, giving you a little more time and a lower monthly payment.

LendingPoint offers loans in 49 states and the District of Columbia. The only state where residents can’t apply is West Virginia. Interest rates range from 9.99% to 35.99% APR, depending on your creditworthiness.

You can use a LendingPoint personal loan for anything you want, such as debt consolidation or to pay for a wedding, as long as it’s legal. To qualify, you need to have a credit score of at least 585, as well as an annual income of $20,000 or higher. You also need:

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

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.

Unfortunately, the lender doesn’t currently allow co-signers. So, if you can’t get approved on your own, you will need to find a different lender. You also can’t include income from someone else in your household when filling out that portion of the loan application.

If you get approved for a loan, you can receive the funds as soon as the next business day, making it a great option if you’re experiencing an emergency and need quick access to cash.

If you’re hoping to use the loan to improve your credit, though, keep in mind that LendingPoint promises only to report to one or more of the three national credit reporting agencies. If that’s your priority, find a lender that will report to all three.

Here’s how LendingPoint compares with a similar lender, LendingClub:

	LendingPoint	LendingClub
Loan amounts	$2,000 to $25,000	$1,000 to $40,000
APR range	9.99% to 35.99% APR	6.95% to 35.89% APR
Origination fee	0% to 6%	1% to 6%
Minimum credit score	585	600
Time to funding	As soon as the next business day	A week or longer
Soft credit check with application?	Yes	Yes

Fees and penalties

LendingPoint charges an origination fee of 0% to 6% of the loan amount. If you like, you can have this upfront fee deducted from your loan disbursement instead of paying it out of pocket. If you choose this option, though, you may need to borrow more than you need to make sure you don’t end up with a shortfall.

The lender doesn’t charge an application fee, and also won’t penalize you if you choose to pay off your loan early.

How to apply

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
• Name
• Date of birth
• Email address and phone number
• Address
• Income information
• Last four digits of your Social Security number

Then click the button that says “Find My Loan 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 and 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, though, take a few minutes to compare the offers LendingPoint provides with other personal loan rates from top lenders you might qualify with.

What to do if you’re turned down

If LendingPoint doesn’t have any offers for you during the prequalification process or ultimately rejects your application based on the hard credit check, you may have other options.

For starters, reach out to the lender to learn about the specific reasons for the denial. If it’s because your credit score is too low, you still may have a few other reasonable options, as Avant, for example, requires a minimum score of 580, and OneMain Financial doesn’t have a minimum credit score requirement. But some other lenders that accept lower credit scores than that either charge steep APRs or offer only short-term loans.

A brief history of LendingPoint

LendingPoint was founded in 2014, offering loans only in the state of Georgia. Since then, it has grown quickly, expanding to all but one state in the U.S.. While the lender focuses on what it calls “near-prime” borrowers, or people with credit scores below 700, it offers a much better alternative to short-term payday loans that people with lower credit scores would do well to avoid.

How Bankrate Rates LendingPoint

Overall Score	3.6
Availability	3.9
Affordability	3.3
Customer Experience	3.0

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.