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Universal Credit is San Francisco-based fintech company. It is powered by Upgrade, Inc. — a technology company that has funded $24 billion in loans since 2017, servicing over 2.5 million customers nationwide.
With Universal Credit, borrowers can choose to have their payments sent directly to creditors, streamlining the debt consolidation process. The company also rewards borrowers who choose this option with an additional rate discount, which translates to bigger savings, making it a great option to consolidate debt, if you qualify for the lowest rates.
Low minimum credit score.
Quick application.
Direct payment to creditors.
High starting APR.
Hefty origination fee.
Limited repayment options.
To qualify for a personal loan with Universal Credit, you’ll need a minimum credit score of at least 550 or a co-borrower that meets this criteria. Besides that, you’ll need to satisfy the following:
You’ll also have to meet Universal Credit’s payment history and credit usage requirements to get approved for a loan.
Universal Credit doesn’t advertise any loan usage restrictions. However, most lenders don’t allow borrowers to use their personal loan proceeds to pay for tuition and fees, gambling and illegal activities.
Upstart doesn’t have a minimum credit score requirement and will check other factors, including your education background and job history to approve you for the loan. This can make its loans easier to access than those of Universal Credit. Upstart’s loans may also be more affordable than Universal Credit’s, as the lender features a much lower starting rate. That said, Upstart doesn’t offer direct payment to creditors — something you can get with Universal Credit.
Best Egg and Universal Credit’s loans are nearly identical when it comes to loan amounts and repayment terms. That said, Best Egg does have a higher credit score requirement than Universal Credit, plus you may be assessed a late payment fee or an insufficient funds fee — something Universal Credit doesn’t charge. On the other hand, Best Egg’s origination fees and starting APR are lower, so its loans could be more cost-effective than Universal Credit’s.
Borrowers can get in touch with Universal Credit through email at support-universal@upgrade.com. Additionally, borrowers can contact the company’s support team by calling 877-418-9765, from 5:00 a.m. to 6:00 p.m. PT Monday through Friday, and from 6:00 a.m. to 5:00 p.m. PT, Saturday through Sunday.
Universal Credit’s application process is done entirely online. To apply for a loan, follow these steps.
Unlike other lenders, which only allow individual applicants, Universal Credit allows borrowers to add a co-borrower to their loans, which could improve their approval odds. Borrowers also have the option to move their due dates once, and view their rates without damaging their credit.
The company offers a rate discount for enrolling in automatic payments and choosing direct payment to creditors. Borrowers also get access to free credit monitoring tools, to help them keep track of any changes to their scores.
Universal Credit does not charge an application fee or prepayment penalties. That said, it does have an unavoidable origination fee that is taken out of the proceeds of your loan. The fee can be between 5.25 percent and 9.99 percent of your requested loan amount.
If you fail to pay your loan on time, you may be charged a late fee. On its website, Universal Credit also lists "subsequent charges" my follow a late fee, though it doesn't specify what these might be or how hefty they are.
| Overall Score | 4.6 | Explanation |
|---|---|---|
| Availability | 5.0 | Universal Credit received a perfect score in this category due to its low minimum loan amounts, inclusive credit requirements and fast funding. |
| Affordability | 4.4 | Despite not charging any late fees or prepayment penalties, Universal Credit does charge a high origination fee and its starting APR is higher-than-average. |
| Customer Experience | 5.0 | Universal Credit offers customer support seven days a week, along with a convenient application process that can be completed entirely online. |
| Transparency | 4.2 | Universal Credit doesn’t advertise any of its credit requirements on its website. However, its reps do answer these questions over the phone. |
To select the top personal loan lenders, Bankrate considers 20 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 over 30 lenders and gave each a Bankrate rating, which consists of four categories:
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.