LendingPoint Personal Loans Review December 2024

LendingPoint is a fintech lender that can help you consolidate debt or cover most expenses, from planning a vacation to paying for an emergency medical expense. The company looks beyond your credit score to make loan decisions, giving you a better chance of getting the money you need if your credit isn't the best.

However, LendingPoint isn't for everyone, especially those trying to avoid origination fees or those who need to borrow more than $36,500.

Who are LendingPoint personal loans best for?

Best for borrowers with near-prime credit scores

LendingPoint personal loans can help many people cover a planned or unexpected expense.They are best if you have good or almost-good credit, but have struggled to qualify elsewhere. This is because LendingPoint doesn't rely solely on the traditional FICO scoring model to make loan decisions. Instead, it approves borrowers by incorporating AI and studying data models to determine which are most likely to default.

LendingPoint personal loans are a good option for many different borrowers, including those who value the convenience of applying through a mobile app and those who don't need personal loans exceeding its borrowing limits of $36,500. However, it may charge an origination fee that can be as high as 10%.

Great for next-day loan approval

Once you've submitted all the required documents, LendingPoint says it can often provide a final review and loan approval in just a few hours, allowing you to get your funds as soon as the next day.

Although its loans aren't available in Nevada or West Virginia, LendingPoint operates in all other 48 states and Washington, D.C.

If your application is approved, your loan may be funded by one of several lenders, including:

• FinWise Bank
• Coastal Community Bank
• LendingPoint

FinWise and Coastal Community banks are FDIC members, while LendingPoint LLC is a limited liability company headquartered in Kennesaw, Georgia.

Pros and cons of LendingPoint personal loans

Pros

• Mobile app: LendingPoint offers a mobile app that you can use to apply for and manage your loan, as well as monitor your credit.
• Rate review after 6 months: After you've made six on-time monthly payments, LendingPoint will review your account to determine whether you qualify for a lower interest rate.
• Less reliance on FICO score: LendingPoint uses data technology and algorithms instead of relying solely on FICO scores to analyze information not reflected in traditional credit scoring models, which could make approval easier if your credit score is fair but not good.
• $1,000 loans available: If you need a $1,000 personal loan, LendingPoint is one of only 11 lenders we reviewed that offer them. Most lenders offer loans that start at $2,000 or higher.
• 6-year repayment terms available: Paying your loan off over an extended period of time can reduce your monthly payments. With LendingPoint, you can get a repayment term as long as six years, while many other lenders cap repayment terms at 5 years.
• No prepayment penalty: Like most lenders, LendingPoint doesn't charge a prepayment penalty for paying your loan back early.

Cons

• Smaller loan amounts: LendingPoint offers personal loans only up to $36,500. The maximum for many other lenders is $50,000.
• Potentially high origination fees: LendingPoint's origination fees vary by state, with charges of up to 10% of your loan amount.
• Minimum loan requirements in some states: LendingPoint requires higher minimum loan amounts in states including Georgia ($3,500), Colorado ($3,001), and Hawaii ($2,000).
• No joint or cosigned loans: If you have bad credit, applying with a cosigner or with a joint applicant with good credit can make loan approval easier. LendingPoint doesn't offer this option.

How to qualify for a LendingPoint personal loan

To be eligible for a LendingPoint personal loan, you'll need to meet basic eligibility requirements. These include:

• Being at least 18 years old
• Having a government-issued ID
• Having a Social Security number
• Having a minimum annual income of $35,000
• Having a verifiable bank account
• Not living in Nevada or West Virginia

Once you're sure you meet these basic requirements, consider the following requirements:

Your credit score and financial history

Although a good credit score could help LendingPoint decide if you qualify for a personal loan, it isn't the only thing LendingPoint looks at when making a decision on your loan. Instead of following the FICO scoring model, LendingPoint uses AI technology and data models to determine if you're eligible for a loan.

That said, your chances of being approved will increase the better your current finances and your financial history are.

Your income and employment status

LendingPoint requires an annual income of at least $35,000 to qualify for a personal loan. This income can come from many different sources, such as employment or retirement. It doesn't require you to disclose alimony, child support, or other maintenance payments unless you want this income to be considered when determining whether or not you can repay a loan.

LendingPoint personal loan purposes

You can use a personal loan from LendingPoint for most reasons, including:

• Paying medical bills
• Fixing your car
• Renovating your home
• Making a large purchase
• Covering financial emergencies
• Consolidating debt
• Planning a wedding
• Going on vacation

LendingPoint doesn't disclose any restrictions for what you can use your loan for, besides using it for illegal purposes. That said, you should refer to your loan agreement to learn of any restrictions that might be specific to your loan.

LendingPoint personal loan fees and penalties

Overall, LendingPoint doesn't charge many fees, including no charge for paying your loan off early and no application fee. However, it does charge an origination fee that could significantly raise the cost of borrowing.

Loan origination fees

LendingPoint charges origination fees as high as 10% of your total loan amount. How much you can expect to pay depends on your credit report and the state you live in.

Early repayment penalties

LendingPoint doesn't charge a prepayment penalty.

Other fees

LendingPoint does not publish late fees and other fees, such as insufficient funds fees, on its site. A call to customer service revealed that the late fee is $30 when you're more than 15 days late on a payment.

How LendingPoint compares to other lenders

Here's how LendingPoint compares to other lenders who specialize in serving borrowers with fair to good credit.

How LendingPoint compares to more lenders: The best personal loans

How to contact LendingPoint

LendingPoint doesn't have in-person branches, so you'll need to speak with representatives over the phone or through email to get your questions answered.

• E-mail: [email protected]
• Phone: (888) 969-0959

About LendingPoint personal loans

LendingPoint is a fintech lender that harnesses AI technology to make credit available to people who might be denied a loan with lenders that rely on the traditional FICO credit model.

LendingPoint personal loans are unsecured loans that can be taken out in amounts from $1,000 to $36,500. These loans come with fixed interest rates of 7.99% to 35.99% APR and loan terms of 24 to 72 months. LendingPoint offers loans to people in every state but Nevada and West Virginia.

However, origination fees can be high - up to 10%, depending on your state of residence and your credit report.

Rating LendingPoint personal loans

Credible evaluated 30 lenders and over 800 data points to find the best personal loans and lenders. Our team of experts considered internal proprietary data, including prequalification rates by lender, credit score minimums, and approved loans purposes. We also gathered information from each lender's website, customer service department, directly from our partners, and via email support. We chose the best lenders based on the following weighted categories:

• Rates and fees: 18%
• Loan terms: 18%
• Customer experience: 17%
• Eligibility: 14%
• Customer satisfaction: 10%
• Efficiency: 10%
• Options for poor credit and no credit: 9%
• Discounts: 4%

Each data point was sourced and verified by a senior editor to make sure it was accurate and up to date. Learn more about how Credible rates lenders by exploring our personal loans lender rating methodology.