Lending Club Review

ByDerek PorterFeb. 16, 2020

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In a Nutshell

LendingClub is one of the most flexible lenders on the market. The company offers an online application process that can be finished in minutes, funding issued within a few days, and manageable, pre-agreed monthly payment schedules.

pros

  • Approval within minutes
  • Flexible repayment terms

cons

  • Good credit required
  • Healthy financial history required

LendingClub at a Glance

Loan typesSmall business loans, equipment financing
Loan amount$5,000-$300,000
Minimum monthly revenue$4,100
Minimum credit score600+
Age of business12 months to 5 years
Repayment terms3- or 5-years
Time until fundingAs little as a few days

Ideal For

  • Small businesses that need immediate access to capital
  • Borrowers that want transparent and simple repayment terms

Why Choose Lending Club?

Lending Club provides nearly immediate credit lines to businesses for use in covering a variety of expense types. Once approved, users will be notified of how much credit they are entitled to, and enjoy predictability with fixed, low monthly payments.

By taking out a line of credit with Lending Club, you enable your business to:

  • Purchase equipment, improve operations, and generate more revenue with new equipment
  • Hire new employees, invest in employees
  • Consolidate debt, move from high interest debt into a simple and transparent monthly payment
  • Expand your location, give your business the ability to expand its current location - or take another one

Lending Club prides itself on being a transparent organization, willing to share information about their company, and give straight answers to all inquiries. Whether users want more information about the company and its management team, the borrowing and investing process, news and updates, or help with specific issues, Lending Club will happily provide the information you are looking for.

What it Offers

  • 1 – 5 years repayment length
  • $1,000 to $300,000 loans
  • 5.99% - 25.90% APR
  • 620 FICO minimum
  • Get a quote within minutes
  • Funding in as little as 48 hours
  • No prepayment penalties
  • No teaser rates or hidden fees

More Reasons to Choose Lending Club

Lending Club is the world’s largest online credit marketplace, facilitating personal loans, business loans, and financing for elective medical procedures. Borrowers access lower interest rate loans through a fast and easy online or mobile interface. Investors provide the capital to fund the loans in exchange for earning interest.

The company operates completely online with no branch infrastructure, and uses technology to lower cost and deliver a superior experience. Cost savings are passed on to borrowers in the form of lower rates and investors in the form of attractive returns. They are transforming the banking system into a frictionless, transparent, and highly efficient online marketplace, helping people achieve their financial goals.

They offer an award winning approach to investing and borrowing. Below is a collection of awards and recognitions the company has accumulated over the years:

  • Economist Innovations Award, Winner: Consumer Products
  • Inc. 500, Ranked one of America’s Fastest Growing Private Companies
  • Best Place to Work in the Bay Area 2014, Best Places to Work Winner
  • Bay Area Tec & Innovations Awards 2014, Winner: Best CEO
  • America’s Most Promising Companies 2014, #5: Top 25 Companies


 Lending Club Conditions
How Lending Club Fares Against its Competitors

Minimum Qualifications

To apply for a Lending Club loan, you must be in business at least 12 months under the current ownership with at least $50K in annual revenues.

Information required by Lending Club and its investors will change depending on users individual circumstances, but will normally consist of their own personal details and their business metrics (gross sales, net profit, expenses and financials.)

If your business is registered in Idaho or Iowa, you cannot currently apply for a business loan from Lending Club. The safety of all applications is secured by TRUSTe Certified Privacy and DigiCert, dual-layer protection for all of the information you provide online.


 Lending Club Application Process
How to Receive a Lending Club Loan

What’s Unique About Lending Club?

They understand that your business is your lifeblood, recognizing how important access to funds are for a small business. They believe in full transparency, transforming banking to make it more efficient and consumer friendly. Additionally, they operate completely online with no branch infrastructure and uses technology to lower costs and provide exceptional customer service. With Lending Club, customers will never be charged for hidden fees or subjected to any prepayment penalties. Customers will have access to a dedicated client advisor who will guide users through the process and will always be a phone call away.

They are also America's largest online credit marketplace with over $20 billion in funds issued. With Lending Club, customers get the financial strength and stability of a publicly traded financial institution (NYSE: LC) but the dedication and attention of a local business.

Repayment Terms

When repaying a business loan from Lending Club, users have a number of options, but the monthly payments are always fixed. Requestors can select any length between 12 months and 5 years. There are no prepayment penalties either - you can reduce your interest payments by clearing the debt sooner. Interest rates start at 5.99% with up to 0.99% origination fee; and maxes out at 25.9% with up to 6.99% origination fee. You have a 30-day grace period for late payments.


 Lending Club Repayment Terms
Lending Club’s repayment terms are flexible and competitive

Lending Club Keeps You Safe & Secure

Lending Club is TRUSTe certified for customer privacy, so any information entered on the site is protected by TRUSTe’s security review process. Login information is never shared, and the company doesn’t sell customer data to third parties. Celtic Bank, the institution through which loans are provided, has a separate privacy policy listed on the Lending Club website for customers to review.

Help & Support Availability

Lending Club can be reached through a number of channels, whether you want to interact directly via social media, e-mail or phone support. Users can also grab a lot of their answers from the knowledgebase on their website, stocked with an indexed FAQ section and popular topics list. There’s a blog as well.

We contacted Lending Club via Twitter and e-mail to get some more information for this review – all responses were prompt and friendly, we had our questions answered the first time.


 Lending Club Help & Support
Easily get an answer to your questions at the help center

Summary

Lending Club is a highly praised marketplace lending company, with a long history of success and a vast amount of loans paid out. With online application in minutes, funding issued within a few days, and manageable, pre-agreed monthly payments – Lending Club offers a customer-friendly alternative to banks and traditional lending.

The A+ BBB accredited business provides up to $300,000 in funding, but will only accept loan requests over $5,000.

About Lending Club

Lending Club is the pioneer behind online marketplace lending. Offering an entirely different financial model to traditional loan providers, they serve as the middle-man behind investors looking to earn interest on their money and customers looking for more accessible loans.

As a fully online service with no physical branches, Lending Club prioritizes cost-saving above profit-making. Founded in 2006 in San Francisco, this provider has released more than $20bn in loans and employs more than 800 people.

Address

Lending Club Corporation

71 Stevenson St, Suite 300

San Francisco, CA 94105

Contact Details

Phone: 855-846-0153

Facebook: https://www.facebook.com/LendingClubTeam/

Twitter: https://twitter.com/lendingclub

Google Plus: https://plus.google.com/+lendingclub

LendingClub customer testimonials

ExcellentReviews 1,125
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Excellent
88%
Great
6%
Average
1%
Poor
1%
Bad
4%
  • author
    Courie E Bradshaw
    Aug 28, 2020
    2nd Loan Application

    I was approved for a loan last year of $5k. I filed bk in 2018 so I was happy to get a lender who would take a chance. After a year of on time payments I received an invite first a second loan. It just so happens that I am moving and going on maternity leave so I needed the money to bridge the gap. I apply and I get crickets. They sent me the invite and then nothing. My application online says my to-do list is complete, yet, it’s been pending review with no update for days. I don’t understand. Calling in is of little help. One person said it can take up to 45 days and that the issue is finding an investor to back the loan. Are you kidding me? Why tell me I’m approved, pull my credit, and not have funds to send?! This is crazy! It’s probably a sign from God to not take on the debt! I’m not struggling financially. It just would have helped to have the extra cushion. My first loan was approved & funded in days, but that was before Covid. I am going to probably end up taking the sign from God and canceling the app. I have enough anxiety on my plate!

    ...

  • author
    J Woot
    Sep 15, 2020
    Horrible Company

    I sent a cashiers check to pay off my loan which they recieved on August 31st @ 9:30 am. Since it was paid off from proceeds from the refinanced of my home it included an over-payment that is due back to me. I have made calls and the customer service said to allow 10 days. As of today I still haven't received by money. They keep saying it takes time. Really???? it should not take this long to receive your money back. When you email them for anything it takes 2 days for them to respond that is if they even respond. The customer service people do not know what they are saying they will say anything to get you off the phone. They stink! I will never do business with this company.

    ...

  • author
    LR
    Sep 14, 2020
    WILL RUIN YOUR LIFE

    READ THE INCREDIBLY FINE PRINT. This company will do absolutely everything within their power to tear your life apart. After you have to pay what is essentially your entire salary, they will send you emails like this: "You're doing a great job at making on-time payments on your loan, and we've noticed! Because we so appreciate you being a part of LendingClub, we have a new loan invitation for you. When you first applied for a loan through LendingClub, you wanted to consolidate your debt. Over 3 million members like you have used their loan to: Pay down credit cards Lower their monthly payments Start saving money Reach their financial goals Check Your New Rate Let us help you continue to reach your goals. Keep up the great work! LendingClub" You might apply, but they will just ruin your credit score and deny you. This company wants you to be miserable. They don't care about people at all, just their bottom line. Their customer service is awful and it is impossible to talk to anyone with any idea of what is going on.

    ...

  • author
    Skip Press
    Sep 05, 2020
    Lending Club is HORRIBLE

    Lending Club is HORRIBLE. At the beginning of 2020 I stopped allowing them automatic withdrawals from my bank. I called them and made a deal to pay things off on my fourth loan with them. I'd never had a problem. I was told it was all set up and the new withdrawals would be made and I gave them permission. It's been a dog's breakfast ever since. They have satellite operators who usually don't know what the hell anyone else has done. In the last loan I have with them, I have set things up FIVE TIMES with different operators and been told everything is good. But for a couple of months I thought things were being taken out and forget about it. They didnt. I called to find out what was going on and they said, oh, you were sent to collections. So I got that straightened out and paid. I wrote the CEO about it - NO REPLY, NOTHING. I called August 2020 and an operator in Houston told me it's all straightened out now. But guess what? IT WASN'T. I got a letter today 9/3/20 saying, oh, you didn't make your payment. STAY VERY FAR AWAY FROM LENDING CLUB, they're horrible.

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  • author
    Todd Saunders
    Aug 26, 2020
    The customer service stinks

    The customer service stinks - they have some script they speak from - while doing nothing to help you get to a solution. I’ve used them in the past - with no issues. THIS TIME AROUND - it was the worst experience possible. My current loan has been sitting in “review” status for weeks. Either approve it or no - stop wasting my time.

    ...

LendingClub