SoFi began in 2011 as a student-focused lender but has since expanded to offer personal loans and other banking services. LendingClub was founded in 2006 as a peer-to-peer lending platform. In 2020, the company acquired Radius Bank and changed its business model to traditional banking and lending. Both online lenders are good alternatives if you’re looking for a personal loan, but they cater to different consumer needs.

SoFi vs. LendingClub at a glance

Both lenders offer solid personal loans that can help in various financial situations. However, there are key differences that may impact your choice.

SoFi LendingClub
Bankrate Score 4.8 4.4
Better for
  • Borrowers with strong credit
  • Large loan amounts
  • Smaller expenses
  • Borrowers looking to consolidate debt
Loan amounts $5,000-$100,000 $1,000-$40,000
APRs 8.99%-29.49% Fixed APR 8.98%-35.99% Fixed APR
Loan term lengths 24-84 months 24-60 months
Fees No origination fees, late payment fees or prepayment penalty
  • Origination fee: 1%-8%
  • Late payment fee: Lesser of 5% of the past due amount or $15
Minimum credit score 680 Not disclosed
Time to funding Same-day you’re approved Within four business days, on average

SoFi bank logo

SoFi personal loans

Rating: 4.8 stars out of 5
Learn morein our Bankrate review

LendingClub logo

LendingClub personal loans

Rating: 4.4 stars out of 5
Learn morein our Bankrate review

How to choose between SoFi and LendingClub

SoFi and LendingClub are both good choices if you need a personal loan, but excel in different scenarios.

Choose SoFi for large, flexible loans

If you need to borrow a large amount, SoFi is the better option. It offers loans up to $100,000, making it the better choice if you need to fund a large purchase or an expensive home improvement project.

SoFi also has more flexible terms. This lets you take more or less time to repay what you borrow, which in turn makes it much easier to customize your monthly payment to fit your budget.

Unlike many online lenders, SoFi doesn’t charge an origination fee or late payment fees. Its loans also have a lower rate cap than LendingClub’s. While not guaranteed, SoFi’s loan will be less expensive overall, especially if you have good or excellent credit.

Choose LendingClub for smaller expenses or to consolidate debt

LendingClub offers loans as small as $1,000, compared to SoFi’s $5,000 minimum. This makes it a better choice if you just need a small cash boost to cover a small expense, such as a car repair or replacing an appliance.

Though both LendingClub and SoFi offer direct payment to creditors, LendingClub’s starting APR is much lower than SoFi’s. Depending on your credit score and origination fee, LendingClub’s loans could provide greater savings than SoFi’s, making it a better alternative to consolidate high-interest debt.

Compare more lenders before applying

SoFi and LendingClub can be good choices for lenders, but SoFi may be the better option for most people. Its loans are more flexible and have fewer fees, along with an autopay discount and other member benefits. If you’re eligible for a SoFi loan, there’s a good chance it’ll be the better deal.

Still, applying for a loan from LendingClub isn’t bad because it will let you compare your offers. You may also find LendingClub a much cheaper option if you can secure the lowest APR and origination fee.

That said, these two lenders are not your only borrowing options. Compare rates from other lenders as well before committing to one. This will ensure you’re getting the best deal possible for your situation.