LendingPoint Personal Loans 2020: What You Should Know

LendingPoint Personal Loans:

If you need cash quickly and have fair credit, a LendingPoint personal loan might be an option to consider. But you may be charged an origination fee depending on where you live, and interest rates might be higher than you’d find with other lenders.

LendingPoint Personal Loans 2020: What You Should Know

Unlike some other lenders in the online space, LendingPoint doesn’t just focus on borrowers with excellent credit; they offer personal loans for consumers with credit scores as low as 585.

While LendingPoint unsecured loans can be used for any reason, many of their customers use their funds to consolidate high-interest debt.

If your credit isn’t great but you need to borrow money for whatever reason, LendingPoint may be one of the only lenders willing to grant you a personal loan.

In this article:

How Does LendingPoint Work?

LendingPoint loans can be used for practically any personal use, from debt consolidation to home improvements, car repairs or a vacation. The loans are fixed-rate installment loans, and people with credit scores as low as 600 can qualify.

The loan application process only takes a few minutes, and applicants receive an answer within moments of completing the form.

Once approved, funds are deposited directly into the borrower’s bank account, usually within 24 hours of submitting the loan application. Transfers are not done on weekends, so you may have to wait longer if you apply on a Friday or Saturday.

LendingPoint does not perform a hard credit check when you apply for a loan, so checking your rates will not affect your credit score. As with most lenders, if you accept the loan, LendingPoint will perform a hard credit check that could cause your credit score to hurt a little.

Who Are LendingPoint’s Loans Designed For?

If you have excellent credit or assets, this is not the lender for you. Prime borrowers can find much better rates with companies such as Sofi or LendingClub.

On the other hand, they can be an excellent option if your credit score is not great, but you still want:

  • Access to fair rates
  • Fixed payments
  • Fast access to your cash
  • A loan that improves your credit rating

LendingPoint is also a good choice if you are trying to rebuild your credit. They report your loan payments to Experian and TransUnion, two of the three credit reporting bureaus.

If you are regular and on time with your payments, your credit score may improve over time.

How to Apply For a Personal Loan With LendingPoint

To qualify for a personal loan from LendingPoint, you must meet the following requirements:

  • Be at least 18 years of age.
  • Be able to provide a government-issued photo ID.
  • Have a valid Social Security number.
  • Earn at least $20,000 per year from employment, retirement, or another source.
  • Have a verifiable bank account in your own name.
  • Live in a state LendingPoint operates in.

If you meet the minimum requirements for a LendingPoint loan, you can start the process by getting pre-qualified for one of their loans.

To check which offers you may qualify for, all you need to provide is your desired loan amount, your name, your birth date, your email, your address, your income, and the last four digits of your Social Security number.

If you like the offers you’re matched with, you can move forward with a full loan application by submitting your full Social Security number, driver’s license, bank account information, a voided check, and pay stubs or proof of income.

Based on the information you submit, your credit score, and your income, LendingPoint may be able to approve your loan within a few minutes.

After all loan documentation is verified, it’s possible you could have your loan funds deposited in your bank account as soon as the next business day.

Fees and Penalties

LendingPoint charges an origination fee of 0% to 6% of the loan amount. If you like, you can have this upfront fee deducted from your loan disbursement instead of paying it out of pocket.

If you choose this option, though, you may need to borrow more than you need to make sure you don’t end up with a shortfall. The lender doesn’t charge an application fee, and also won’t penalize you if you choose to pay off your loan early.

Pros and Cons of LendingPoint


  • Quick turnaround times – Has a quick process and an easy application. Many borrowers are approved with money in their accounts by the end of the next business day.
  • Soft Pull Inquiry – LendingPoint allows for an initial soft pull inquiry online so the borrower can get an idea of the options for which they may qualify. A soft pull does not affect your credit.
  • Good for borrowers with poor credit – LendingPoint targets borrowers without perfect credit. Many other providers will not service borrowers with poor credit.
  • Flexible repayments –You can customize your repayments. You can choose a payment due date and schedule your payments every other week, every 28 days, or monthly. You can also request one loan modification during the term of your loan.
  • No Prepayment Penalty –LendingPoint does not have a prepayment penalty.


  • Origination Fee –LendingPoint deducts a one-time origination fee of 0% to 6% of your loan amount directly from your loan funds.
  • Smaller max amount –The LendingPoint maximum amount is smaller than many other personal loan providers. If you need more, you will have to go to another provider.
  • Not Available in All States –LendingPoint is available in 40 states. See list here.
  • Large late payment fee –LendingPoint has a late fee of $30, which is higher than most other providers.
  • High rates –LendingPoint has high rates. If you have a good credit history there are more competitive rates in the market.

What Can a LendingPoint Personal Loan Be Used For?

Debt Consolidation

Since LendingPoint focuses on borrowers with average or poor credit, it is a good provider for those wanting to pay down their debts.


LendingPoint offers a way to get money for your vacation without having to deal with credit cards, or worry about every dime during your travel.

Moving Expenses

LendingPoint loans can be used to help with moving expenses. For example, a LendingPoint loan could help you take the risk of moving across the country for a new job.

Medical Expenses

Medical expenses can be unexpected but LendingPoint can help with that burden.

Home Improvement

LendingPoint loans can be used for home repairs or renovations. The advantage of using a personal loan for home improvement is the promptness of receiving the funds. Typically, it takes a month or more to get an equity line of credit on your home.

Car or Car Repairs

LendingPoint allows their personal loans to be used for car purchases without using the car as collateral. Many times car loans are cheaper but if you are unable to get credit, LendingPoint may be a good option.


1. Why is my credit score important?

Your credit score can affect the price you pay for large purchases and important services such as insurance. According to Investopedia.com, your credit report is much like a report card for adults.

2. I didn’t get the loan. What can I do?

If you’re not sure why your application was rejected, reach out to LendingPoint to find out why. It might be as simple as an inconsistency on your application.

3. How does LendingPoint keep my personal and banking information safe?

LendingPoint safeguards your information through robust industry procedures and encryption. If you have any questions about safety, you can contact LendingPoint via email.

4. Can I apply for a LendingPoint personal loan with a cosigner?

Currently, no. LendingPoint only takes your personal information into account when you apply for a loan, even if you file jointly with your spouse.

5. Can I payoff my loan early?

Absolutely and there are no prepayment penalties.

lendingpoint personal loans

The Bottom Line

LendingPoint is a great option for borrowers with poor credit that need money fast. They service an underserved market that many of the big banks do not. It is great for borrowers who have high amounts of debt and want to consolidate and simplify life.

However, if you need credit fast, LendingPoint is a good option but you should keep your options open and shop around for a better rate.

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