Prosper is an online lending platform that matches borrowers with investors that can fulfill their borrowing needs. In addition to personal loans, the lender offers home equity loans, credit cards and has serviced over 1.4 million customers nationwide since its inception in 2005. TD Bank is one of the nation’s 10 largest banks, servicing more than 9.8 million customers in select states throughout the Northeast and Mid-Atlantic areas, in addition to the Carolinas, Florida and Metro D.C.

Although both lenders are solid choices if you’re looking for a personal loan, they service very different consumer profiles. Make sure you understand the key differences between them before applying for a loan.

TD Bank vs. Prosper at a glance

TD Bank’s and Prosper’s personal loan offers are quite similar, but they cater to different credit profiles, as shown below.

TD Bank Prosper
Bankrate score 4.6 4.7
Better for Borrowers with good or excellent credit Borrowers with less-than-perfect credit
Loan amounts $2,000-$50,000 $2,000-$50,000
APRs 8.99%-23.99% 6.99%-35.99%
Loan term lengths 36-60 months 24-60 months
Fees Late payment fee of $10 or 5% of the amount due, whichever is less and a document stamp fee (Florida residents only) Origination fee of 1% to 5%, late payment fee of 5% of the amount due or $15 (whichever is greater), $15 insufficient funds fee and a check processing fee of $5 or 5% of your payment amount (whichever is greater)
Minimum credit score 700 640
Time to funding Next day after approval Next day after approval

TD Bank personal loans


  • Low interest rates
  • Autopay discount available
  • Few fees


  • Not available in every state
  • Good to excellent credit required
  • Limited repayment options

The TD Fit Loan, which is TD Bank’s personal loan product offers flexible loan amounts of up to $50,000 that can be used for a variety of purposes, including financing a major purchase, home improvement projects or expensive car repairs. Taking into account the lender’s few fees, competitive starting APR and autopay rate discount, these loans can be ideal if you’re looking to consolidate high-interest credit card debt, as you could slash your APR by half, all while getting out of debt in five years or less.

The only two major drawbacks to keep in mind are that TD Bank’s loans require borrowers to have good to excellent credit and that the lender doesn’t service every state.

Prosper personal loans


  • Next-day funding
  • Low starting APR
  • Joint applications allowed


  • High maximum interest rate
  • Many fees
  • No autopay discount

As a peer-to-peer lender, Prosper offers borrowers a unique lending model that’s more flexible compared to that of traditional lenders. Its loans have a relatively low credit score requirement and the lender currently has one of the lowest starting APRs in the market at 6.99 percent.

That said, the company does charge an origination fee that can be up to 5 percent of your total loan amount, plus has a high interest rate cap at 36.99 percent. If you have a lower credit score, this automatically translates into a higher cost loan. However, since the company offers a co-borrowing option, borrowers with fair credit scores that can apply for a joint loan can still secure an affordable loan.

How to choose between TD Bank and Prosper

If you take a look at TD Bank’s and Prosper’s loans, their offers are nearly identical when it comes to loan amounts, repayment terms and funding. But they differ greatly in terms of overall cost and eligibility requirements.

TD Bank is better for borrowers with good or excellent credit

TD Bank’s minimum credit score requirement is 700, which is on the higher side. That said, the lender charges fewer fees than Prosper, plus has a lower APR cap and a 0.25 percent rate discount for enrolling in autopay. So, if you have good or excellent credit, TD Bank’s loans could be an excellent fit for you, as its loans will probably be more affordable than Prosper’s — even if they have a higher starting APR.

Prosper is better for borrowers with less-than-perfect credit

Prosper requires its borrowers to have a credit score of 640 and over to qualify for its personal loans, making it a better fit for those with fair credit scores or better. Although the lender does charge more fees than TD Bank, its low starting APR of 6.99 combined with the ability to apply for a loan jointly can offset some of these costs. That means that even if your credit score needs some work, you can still get a loan that’s relatively low cost.

Compare lenders before applying

TD Bank and Prosper are great options to consider if you’re thinking about getting a small or midsize personal loan. If you have good or excellent credit, TD Bank should be your first choice as you could avoid paying origination fees, which can add up to the overall cost of your loan.

If you have fair credit, then Prosper’s loans may be a better fit as the lender offers more flexibility when it comes to eligibility requirements, plus you can add a co-borrower to your application. That said, if your credit score is on the lower end of the 600s and you don’t have a creditworthy co-borrower, you may end up with a hefty interest rate.

In the end, the best personal loan for you will depend on your particular financial situation, so make sure to compare rates from multiple lenders before deciding on one.