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Options for borrowers with low credit scores
Low minimum APR
Fast funding
Origination fee
High maximum APR
Certain states have higher borrowing minimums
To qualify for an Upstart personal loan, borrowers must meet several requirements.
It's also required that borrowers meet Upstart's minimum credit requirements, which include:
You can use an Upstart personal loan for almost every legal purchase, like debt consolidation, to make home improvements or to pay down medical debt. However, the use of the loan proceeds for education-related expenses are prohibited in California, Connecticut, Illinois, Washington or Washington D.C.
Both Upstart and Best Egg have similar rates and terms; however, Upstart's minimum APR is lower, coming in at 6.70 percent while Best Egg's APR range starts at 8.99 percent. Borrowers with a more established credit history or good credit score should first consider Upstart to potentially score the most competitive rate.
SoFi and Upstart are polar opposites when it comes to terms and eligibility qualifications. While Upstart does offer a lower APR for the most creditworthy borrowers, SoFi has a higher borrowing maximum of $100,000 and offers best-in-class perks and benefits. However, it is harder to get approved for a SoFi loan, so borrowers should keep that in mind prior to applying.
There are plenty of reasons to borrow a personal loan from Upstart, especially if you have a thin credit history. But like every company, there are both pros and cons to borrowing with Upstart; here are a few things we like and a few things we would change.
Upstart’s application process is relatively simple. You’ll start by providing some basic details about yourself and register to get a rate quote. The lender does a soft credit check for this part of the process, which means that the inquiry won’t impact your credit score.
If you like what you see, you’ll review the information you shared, add your Social Security number and bank account information and finalize the application.
Once you submit the official application, Upstart will run a hard credit check, which can knock a few points off your credit score.
Before you apply, though, compare the rate quote you receive with other personal loan rates from top lenders.
One of the biggest fees Upstart charges is the origination fee — which can be up to 12 percent of the loan amount. The origination fee is deducted from your loan funds before you receive them, so it’s important to borrow enough to ensure that you get the amount of money you need.
Upstart charges a late fee of 5 percent of the past-due amount or $15, whichever is greater, if you’re more than 10 calendar days past your due date. There’s also an ACH return or check refund fee of $15 if a payment from your bank account or by check is returned due to insufficient funds. Finally, if you request to switch from getting records electronically to getting paper copies, there’s a $10 fee.
That said, Upstart doesn’t charge a prepayment penalty, so you don’t have to worry about incurring an extra fee for paying the loan off early.
Overall Score | 4.7 | Explanation |
---|---|---|
Availability | 5.0 | Same-day approval and no credit score requirement. |
Affordability | 4.2 | Competitive minimum APR, but charges several fees. |
Customer Experience | 5.0 | Online application and account access, and seven-day customer support. |
Transparency | 4.6 | Not all requirements are listed, but all rates and fees are. |
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.