Personal LoansLender Reviews
How Does LendingTree Get Paid?
LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.

How Does LendingTree Get Paid?

LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.

Upstart Personal Loan Review

Updated on:
Content was accurate at the time of publication.

4.5
LendingTree Rating
Accessibility
Rates & terms
Repayment experience
Jump to: Our Methodology

Our Methodology

To come up with our star rating for personal loan companies, LendingTree considered 22 data points across three categories: accessibility, rates & terms and repayment experience. The data points reflect every step of the process to shop and apply for, borrow and repay personal loans. A five-star lender, for instance, has flexible eligibility requirements, offers you the chance to prequalify without commitment and supports you in zeroing your balance.

The 22 data points, culled from the lenders themselves, determine the overall rating. We score lenders consistently, sometimes awarding partial points, so that you can make apples-to-apples comparisons when shopping around.

LendingTree isn’t paid for conducting these reviews, and lenders don’t have control over their content. With our reviews and ratings, we aim to give our users the objective and exhaustive information they need to make the best possible decisions.

Upstart
7.80%-35.99%
36 or 60 months
$1000-$50K
300
Our Verdict
While Upstart’s quick funding timeline and low credit score requirement make it more accessible, it also charges more fees and has more limited loan terms than some other lenders.
Get Your Rate
Terms & Conditions apply
NMLS#1136

  Read more about how we rated Upstart.

Upstart connects consumers with lenders on its online platform using artificial intelligence (AI). Borrowers can expect quick loans, competitive annual percentage rates (APRs) and flexible amounts.

  • Considers more than credit score: Upstart uses a nontraditional approach to lending that allows consumers with less-than-perfect credit scores or thin credit histories to qualify. Upstart uses AI to evaluate loan applications and considers factors like education and employment.
  • Fast funding timeline: Upstart may be able to fund your personal loan within one business day.
  • Limited loan terms: While many lenders offer multiple repayment term options for customers to choose from, Upstart only offers 36 or 60 months.
  • Charges an origination fee: At 0.00% - 12.00%, Upstart charges one of the highest potential origination fees in the personal loan market. Origination fees are one-time administrative fees that are taken out of your loan funds.
  • Offers prequalification: If you want to see your potential interest rates without impacting your credit score, Upstart allows you to prequalify for a loan.
  • Best for borrowers who are new to credit: Due to its unique lending model, Upstart may be a good fit for consumers who don’t have much experience with credit or those with bad credit.

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Even though Upstart’s lending model may make it easier for those with bad credit or little experience with credit to qualify for a loan, this lender may not be the right fit for everyone.

ProsCons

 Funding possible within one business day

 Bad-credit or inexperienced borrowers may qualify

 Option to change your due date

 No option for joint loans or cosigners

 Charges an origination fee

 Limited loan term options

Upstart’s use of AI and emphasis on factors like education and employment may make it easier for some consumers to get a personal loan — particularly inexperienced and bad-credit borrowers. Once you close on your loan, you may receive funding within one business day. Upstart also gives borrowers the option to change their payment due date, though you’ll have to meet unspecified eligibility requirements.

Unfortunately, if you need a co-borrower or cosigner to qualify for a loan or receive lower rates, Upstart doesn’t offer this option. You may also be stuck with a high origination fee and limited repayment terms of just 36 or 60 months. Plus, Upstart doesn’t offer a mobile app.

Other than being at least 18 years old, you’ll also need to meet the following requirements:

Minimum credit score300
Residency requirements
  • Be a U.S. citizen or permanent resident living in the U.S.
  • Not reside in Iowa or West Virginia
Minimum income$12,000
Employment requirements
  • Have a full-time job or an offer to start in six months
- OR -
  • Have a part-time job or a different source of regular income
Required documents
  • Have a valid email
  • Have a verifiable identity
  • Have a personal banking account

If you meet the basic requirements listed above, you may need to disclose how you plan to use your personal loan. While Upstart does allow borrowers to use its funding for a variety of purposes, there are certain expenses you cannot put the money toward.

Upstart loans CAN be used for…Upstart loans CANNOT be used for…

 Refinance credit cards

 Start or expand a business

 Cover medical expenses

 Make a large purchase

 Moving costs

 Travel

 Athletic training

 Home improvement projects

 Education expenses (if you live in California, Connecticut, Illinois, Washington or Washington, D.C.)

 Illegal activity

 Firearms or other weapons

If Upstart’s loan options won’t work for your borrowing needs, be sure to shop around for a lender that helps you meet your financial goals and can offer you the best-fitting rates, terms and amounts for your situation.

Upstart doesn’t originate personal loans — instead, consumers can match with multiple lenders on Upstart’s lending network. Here’s what you need to know about applying for an Upstart personal loan.

Check your credit

Before you fill out an Upstart loan application, be sure to check your credit score and budget for how much you’ll need to borrow. You can use a personal loan calculator to estimate your monthly payments.

Prequalify for a loan

Upstart allows you to prequalify for personal loans offered by lenders on its network. After answering a few questions, Upstart will run a soft credit inquiry to take a preliminary look at your credit history. This won’t impact your credit score and will allow you to see your potential rates, terms and loan amounts.

Formally apply

If you prequalify for a loan, you’ll need to choose which potential offer best matches your borrowing needs. You’ll then have to fill out a formal application and submit to a hard credit pull (this can cause your credit score to drop by a few points). You’ll also have to provide documentation to confirm your identity, income and employment.

Close on your loan

If Upstart approves your loan request, you’ll need to officially accept your offer by signing your loan agreement. Once you’ve signed and closed on your loan, it can take Upstart as little as one business day to fund your personal loan.

If Upstart denies your personal loan application, it may be time to seek ways to improve your chances of getting approved for a loan. This can involve checking your credit report for errors, cutting down on any current debt you have and boosting your credit score.

 

Even if you believe Upstart aligns with what you’re looking for in a personal loan, it never hurts to shop around and compare other lenders. Here’s how Upstart stacks up against similar personal loan lenders.

How Does LendingTree Get Paid?
LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.

How Does LendingTree Get Paid?

LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.
UpstartBest EggUpgrade
LendingTree’s rating4.5/54.3/54.6/5
Minimum credit score300600580
APRs7.80% to 35.99%8.99% to 35.99%8.49% to 35.99%
Loan amount$1,000 - $50,000$2,000 - $50,000$1,000 to $50,000
Repayment term36 or 60 months36 to 60 months24 to 84 months
Origination fee0.00% - 12.00%0.99% - 9.99%1.85% - 9.99%
Funding timelineReceive funds as soon as one business dayReceive funds as soon as one business dayReceive funds as soon as one business day
Bottom lineOf the three, Upstart offers the most competitive rates and lowest credit requirements. However, it charges a higher origination fee and has less flexible terms.Best Egg has similar features to Upstart, like a high origination fee, quick funding and flexible loan amounts. However, it does offer access to more repayment term options.Upgrade has a lot of similarities to Upstart but it does allow for joint applications and offers an autopay discount to customers. It also offers more options for loan terms.

To come up with our star rating for personal loan companies, LendingTree considered 22 data points across three categories:

  • Accessibility: We paid attention to whether lenders offered loans to nontraditional borrowers, as well as those without excellent credit scores. We also checked if lenders offered soft credit pulls, and whether they were transparent about eligibility criteria other than credit scores.
  • Rates and terms: We wanted to know if lender rates, terms, amounts and fees were not only transparent, but also competitive.
  • Repayment experience: We based this category on lenders’ reputations, customer support availability and unique benefits.

The data points reflect every step of the process to shop and apply for, borrow and repay personal loans. A five-star lender, for instance, has flexible eligibility requirements, offers you the chance to prequalify without commitment and supports you in zeroing your balance.

The 22 data points, culled from the lenders themselves, determine the overall rating. We score lenders consistently, sometimes awarding partial points, so that you can make apples-to-apples comparisons when shopping around.

LendingTree isn’t paid for conducting these reviews, and lenders don’t have control over their content. With our reviews and ratings, we aim to give our users the objective and exhaustive information they need to make the best possible decisions.

Qualifying for an Upstart personal loan may be easier for some borrowers since it has a low credit score requirement. However, you’ll also need to meet its other personal loan requirements, like income and employment.

Upstart allows you to prequalify for a personal loan at no cost to your credit; however, like most lenders, you’ll need to submit to a hard credit pull before your application can be approved, which can cause your credit score to drop by a few points. Making your loan payments on time should help to improve your credit score.

You can pay off an Upstart personal loan early without incurring a prepayment penalty. Most personal loan companies do not charge this type of fee.

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