Prosper Competitors and Alternatives for Loans

Peer-to-peer lending is a relatively new way for consumers to borrow and invest money. These types of lending platforms remove the barrier of the traditional financial institution from the lending process and directly match borrowers with investors.

Prosper was the first peer-to-peer lender in the United States. Founded in 2006, Prosper has helped over 800,000 individuals borrow over $12 billion. Over the last few years, however, there have been an increasing number of Prosper competitors when it comes to personal loans.

To review some of those options, continue on below.

Prosper Alternatives for Personal Loans

Here are a few personal loan alternatives to Prosper to consider.

LightStream

View Rates

Rates (APR): 7.99% – 25.49%
Loan Amounts: $5,000 – $100,000
Credit Score: 660+

LightStream is an online-only lender providing a wide variety of personal loans. It doesn’t charge any fees or prepayment penalties and offers low rates. If you need cash quickly and have a good credit score, LightStream is an excellent option.

Credit score category: Excellent, good
Soft credit pull to check rates: Not available
Deposit time: As soon as the same day
Origination fee: 0%
Late fee: None
Discounts: 0.50% interest rate reduction for enrolling in autopay
Repayment terms: 24 – 144 months^**

Upgrade

View Rates

Rates (APR): 8.49% – 35.99%
Loan Amounts: $1,000 – $50,000
Credit Score: 580+

Upgrade’s personal loans are best suited for borrowers with fair or bad credit. It offers flexible repayment terms that allow customers to fit their loan payments with their monthly budget. You can check rates without affecting your credit score, and eligibility is based more on free cash flow than other lenders.

Credit score category: Fair, bad
Soft credit pull to check rates: Yes
Deposit time: As soon as the next day
Origination fee: 2.9% – 8%
Late fee: $10
Repayment terms: 36 or 60 months

Upstart

View Rates

Rates (APR): 6.12% – 35.99%
Loan Amounts: $1,000 – $50,000
Credit Score: 580+

Upstart is an online lending platform that partners with banks to provide personal loans that can be used for almost anything. Upstart’s lending model considers education, employment, and many other variables when determining eligibility.³ This model leads to 27% more approvals and 16% lower rates than traditional models.⁴

Credit score category: Fair, bad
Soft credit pull to check rates: Yes
Deposit time: As fast as one business day
Origination fee: 0% – 8%
Late fee: $15 or 5% of payment
Repayment terms: 36 or 60 months

Not interested in any of these options? Check out some of our other guides to find Prosper personal loan alternatives:

^*Your loan terms, including APR, may differ based on loan purpose, amount, term length, and your credit profile. Excellent credit is required to qualify for lowest rates. Rate is quoted with AutoPay discount. AutoPay discount is only available prior to loan funding. Rates without AutoPay are 0.50% points higher. Subject to credit approval. Conditions and limitations apply. Advertised rates and terms are subject to change without notice.

^**Payment example: Monthly payments for a $10,000 loan at 5.95% APR with a term of three years would result in 36 monthly payments of $303.99.

¹The full range of available rates varies by state. The average 3-year loan offered across all lenders using the Upstart platform will have an APR of 21.97% and 36 monthly payments of $35 per $1,000 borrowed. For example, the total cost of a $10,000 loan would be $12,646 including a $626 origination fee. APR is calculated based on 3-year rates offered in the last 1 month. There is no down payment and no prepayment penalty. Your APR will be determined based on your credit, income, and certain other information provided in your loan application.

²Your loan amount will be determined based on your credit, income, and certain other information provided in your loan application. Not all applicants will qualify for the full amount. Loans are not available in West Virginia or Iowa. The minimum loan amount in MA is $7,000. The minimum loan amount in Ohio is $6,000. The minimum loan amount in NM is $5100. The minimum loan amount in GA is $3,100.

³Although educational information is collected as part of Upstart’s rate check process, neither Upstart nor its bank partners have a minimum educational attainment requirement in order to be eligible for a loan.

⁴Approval numbers compare the 2020 loan approval rate by the Upstart model and a hypothetical traditional credit decision model. The APR calculation compares the two models based on the average APR offered to borrowers up to the same approval rate. The hypothetical traditional model used in Upstart’s analyses was developed in connection with the CFPB No Action Letter access-to-credit testing program, is trained on Upstart platform data, uses logistic regression and considers traditional application and credit file variables.