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Personal Loans

LendingClub Personal Loans Review

at LendingClub’s secure website
Editorial Rating

Editorial Rating

What we like:

Credit score education resources

Rates (APR)6.95% – 35.89%
Loan Terms3 – 5 years
Loan AmountsUp to $40,000
FeesOrigination fee: 1% – 6%

Prepayment penalty: None

Late fee: Greater of $15 or 5% of payment after 15-day grace period
See how LendingClub’s personal loan product stacks up with other options

LendingClub was founded in 2006 and is now headquartered in San Francisco, California.

It was launched as part of a trend of technology companies that began servicing loans via an online interface instead of local bank branches—a trend that has become a staple in today’s peer-to-peer lending marketplace.

Since then, LendingClub has blossomed into an industry leader in peer-to-peer lending, fundraising more than a billion dollars in 2014 and securing its spot as the largest personal loan marketplace in the nation. This LendingClub review will help you decide if it’s the right option for you.

In this review:

LendingClub Personal Loans Overview

LendingClub Personal Loans
Min credit score600
Loan amounts$1,000$40,000
Term lengths36 or 60 months
Rates10.68% – 35.89%
Origination fee2% – 6%
Late payment fee$15 or 5%
Prepayment fee$0
View rates

LendingClub is a peer-to-peer lending platform, meaning that other individuals will be funding your loan rather than LendingClub itself.

LendingClub offers a full listing of different personal loans, which can be used to cover all sorts of purposes, ranging from debt consolidation and home improvements to medical expenses and more.

Here is a list of what a potential borrower can receive from LendingClub:

  • Credit Card Refinancing
  • Debt Consolidation
  • Home Improvement
  • Major Purchases
  • Homebuying
  • Auto Purchase
  • Starting a Business
  • Going on vacation
  • Relocation
  • Medical Expenses

That list isn’t all-inclusive, of course. One of the biggest benefits of peer-to-peer lending is that if you can make a solid case to investors for why you need the funds and they choose to take on your loan, you can do whatever you like with the money.

Based on our research, LendingClub’s personal loans tend to work best for fair-credit borrowers and some bad credit borrowers depending on how low your score is. If you have good credit, there are stronger options out there.

Pros & Cons of LendingClub Personal Loans


  • Quick and simple loan application process.

    The homepage has three simple questions with drop-down bars that lead to projected interest rates. The process takes a few minutes, and accepted applications often lead to loan disbursement in just a few days.

  • Prepayment allowed.

    If borrowers pay off their personal loans early, they won’t face prepayment penalties at LendingClub. Some companies charge this fee to make some money back on lost interest.

  • Educational resources.

    LendingClub provides several resources to help the average borrower learn more about personal loans and credit scores. For example, an entire page on the LendingClub website is devoted to credit score education.

  • Solid customer reviews.

    Trustpilot gives LendingClub a 4.3 rating, with most customer reviews providing positive testimony about their experiences as borrowers and investors.

  • Peer-to-peer (P2P) lending.

    Some borrowers prefer paying interest to an individual rather than a large bank with billions in its coffers.


  • Origination fees.

    The origination fee LendingClub charges is a large part of how it makes its money since the P2P investors get most of the interest you’ll pay on your loan. Some lenders don’t charge an origination fee, however, which can cut into your loan proceeds.

  • Late payment fees.

    There is a penalty of $15 or 5% for a late or unsuccessful payment, although this isn’t applied until after a 15-day grace period.

  • Self-employed borrowers may have problems.

    LendingClub is known for its flexibility and easy application process, but if you have irregular annual income, such as through self-employment, you may find LendingClub less easy to work with.

  • Paper check fees.

    If you don’t sign up for online or automated payments from your bank account, you’ll pay a $7 processing fee for paper checks.

Applying for a LendingClub Personal Loan

You can apply on LendingClub’s website in a matter of minutes by providing some basic information, such as your name, address, how much you need, and how you plan to use the money.

The online application triggers a soft credit inquiry, so it doesn’t affect your credit report. After that, you’ll receive a number of loan offers to choose from. Each one will show the loan amount, term, APR, and how much you can expect to pay each month.

You pick the loan package that best meets your needs, and then you’ll fill out the full application and provide any additional documentation required, such as bank account info. At this point, LendingClub will conduct a full credit check.

Once your loan is put into LendingClub’s marketplace, one or more investors can choose to back your loan request with funds. From beginning to end, the entire LendingClub loan process typically takes about seven business days.

Where to Find LendingClub Alternatives

If you have a steady job, fair credit (at least), and easily documented financials, then LendingClub is an excellent option for a personal loan. You’ll get your money quickly and enjoy solid customer service.

If, however, you have a bit more complex financial situation or prefer to talk to a banker face-to-face while working through the loan process, you may want to check out a more traditional lender. Our guide to the best personal loans can help you compare your options.

You can also see how LendingClub stacks up against other fair credit personal loans here or bad credit personal loans here.

Want to see how LendingClub stacks up against other lenders? Check out these other guides:

How We Rated LendingClub’s Personal Loans

LendingClub’s personal loans received an Editorial Rating of 4.5/5. LendEDU rates personal loans based on a variety of data points including rates, terms, fees, funding time, soft credit check availability, and more. You can learn more about our rating methodology here.

Ready to apply for a LendingClub Personal Loan? Check your rate without hurting your credit score with a soft credit inquiry.

  • Rates (APR): 10.68% – 35.89%
  • Loan Amounts: $1,000 – $40,000
  • Credit Score: 600+

All loans made by WebBank, Member FDIC. Your actual rate depends upon credit score, loan amount, loan term, and credit usage & history. The APR ranges from 6.95% to 35.89%*. The origination fee ranges from 1% to 6% of the original principal balance and is deducted from your loan proceeds. For example, you could receive a loan of $6,000 with an interest rate of 7.99% and a 5.00% origination fee of $300 for an APR of 11.51%. In this example, you will receive $5,700 and will make 36 monthly payments of $187.99. The total amount repayable will be $6,767.64. Your APR will be determined based on your credit at the time of application. The average origination fee is 5.49% as of Q1 2017. In Georgia, the minimum loan amount is $3,025. In Massachusetts, the minimum loan amount is $6,025 if your APR is greater than 12%. There is no down payment and there is never a prepayment penalty. Closing of your loan is contingent upon your agreement of all the required agreements and disclosures on the website. All loans via LendingClub have a minimum repayment term of 36 months. Borrower must be a U.S. citizen, permanent resident or be in the United States on a valid long term visa and at least 18 years old. Valid bank account and Social Security number are required. Equal Housing Lender. All loans are subject to credit approval. LendingClub’s physical address is: LendingClub, 71 Stevenson Street, Suite 1000, San Francisco, CA 94105.