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When it comes to finding the right personal loan, there are plenty of options to choose from. One of those options is LendingPoint, a lending company that offers personal loans to individuals who need funds for various purposes. In this review, we’ll explore LendingPoint’s services, pros and cons, frequently asked questions, and more to help you decide whether it’s the right choice for you.
LendingPoint Summary
- LendingPoint funds the loans in certain states where they have a lending license. There are three other participating lenders.
- There is no guarantee that you will be approved.
- Personal loans are not currently available in Nevada and West Virginia.
- They do offer loans from $2,000 to $36,500.
- The interest rates range from 7.99% to 35.99%.
- Repayment terms go from 24 to 72 months.
Pros and Cons of LendingPoint
Like any other lending company, LendingPoint has its advantages and disadvantages. Here are some of the pros and cons you should consider before applying for a loan:
Pros:
- A quick and easy application process
- Fast funding
- Flexible loan options
- No prepayment penalties
- Competitive interest rates
Cons:
- Origination fees may apply
- High APR rates for borrowers with poor credit scores
- Not available in all states
- Limited loan amounts in certain states
LendingPoint Services
LendingPoint is an online lender that offers personal loans for a variety of purposes, including debt consolidation, home improvements, medical expenses, and more. The loan amounts range from $2,000 to $36,500, and the repayment terms range from 24 to 72 months. The interest rates range from 7.99% to 35.99% APR, depending on your credit score and financial history.
LendingPoint’s proprietary scoring and underwriting system helps determine the loan amount, interest rate, and repayment term that best suit your financial situation which is different from other personal loan lenders. The application process is quick and easy, and you can receive your funds as soon as the next business day after approval.
What are the interest rates for LendingPoint loans?
The interest rates for loans range from 7.99% to 35.99% APR. However, the specific interest rate you receive will depend on your credit score, financial history, and other factors determined by LendingPoint’s proprietary scoring and underwriting system. It’s important to note that borrowers with lower credit scores and good credit report may receive higher interest rates. Additionally, origination fees may also apply, which can affect the overall cost of the loan. It’s always a good idea to carefully review the terms and conditions before accepting a loan offer to ensure you understand the interest rate and any associated fees.
How does LendingPoint’s proprietary scoring system work?
LendingPoint uses a proprietary scoring system to evaluate loan applications and determine the likelihood of a borrower’s ability to repay the loan. The scoring system takes into account a variety of factors, including fair credit score, credit history, income, and other financial information. You will also need to have a verifiable bank account to qualify for a LendingPoint personal loan. It also uses alternative data sources, such as employment history, to supplement traditional credit information and provide a more comprehensive view of a borrower’s creditworthiness.
LendingPoint’s scoring system is designed to identify borrowers who may be overlooked by traditional lenders and provide them with access to credit. This can be particularly helpful for borrowers who have less-than-perfect credit or limited credit history. By using alternative data sources and taking a more holistic view of a borrower’s financial situation, it is able to make more informed lending decisions and offer loans to borrowers who may not qualify with other lenders.
What is the loan amount range for LendingPoint loans?
LendingPoint personal loans range from $2,000 to $36,500, depending on the borrower’s state of residence. The minimum loan funds for Hawaii is $2,000, for Colorado is $3,001, and for Georgia is $3,500. The loan amount offered to a borrower is based on several factors, including credit score, income, and other financial information. Borrowers should carefully consider how much they need to borrow and whether they can afford to repay the loan before applying for a loan with LP or any other lender.
What are the repayment terms for LendingPoint loans?
The repayment terms for LendingPoint loans vary based on the loan amount, interest rate, and other factors. Loans are offered with terms ranging from 24 to 72 months, giving borrowers flexibility in choosing a repayment schedule with affordable monthly payments that work for their individual financial situation.
It’s important to note that longer loan terms may result in lower monthly payments, but may also result in higher overall interest costs. Additionally, borrowers should be aware that late payments or missed payments can result in fees and negatively impact their credit scores.
To avoid potential penalties and ensure timely repayment, borrowers should carefully review their loan agreement and develop a plan for repayment that fits within their budget. Borrowers can also contact the customer service team for assistance with repayment or to discuss potential repayment options.
Is LendingPoint available in all states?
LendingPoint is a licensed lender in certain states, but not all states. The company currently offers loans in 49 states and Washington D.C., with the exception of West Virginia. However, loan availability, terms, and interest rates may vary by state.
Borrowers should check the website or contact customer service to confirm if the company is licensed to offer loans in their state and to review the specific terms and conditions that apply in their location. It’s also important to note that loan approval is not guaranteed and borrowers will need to meet LendingPoint’s eligibility requirements in order to be considered for a loan.
Does LendingPoint charge origination fees?
Yes, LendingPoint may charge origination fees on its loans. The origination fee is a one-time fee that is deducted from the loan proceeds before the funds are disbursed to the borrower. The specific origination fee charged by LendingPoint may vary based on the borrower’s state of residence, creditworthiness, and other factors.
Origination fees can range from 0% to 8% of the loan amount, and borrowers may have the option to deduct the origination fee from the disbursed loan amount if desired. If the borrower chooses to add the origination fee to the financed amount, interest will be charged on the full principal amount.
Before applying for a loan with this company or any other lender, borrowers should carefully review the loan agreement and all associated fees to ensure they understand the total cost of the loan.
What is the minimum credit score required to qualify for a LendingPoint loan?
LendingPoint offers personal loans to borrowers with a range of credit scores, including those with excellent credit (up to 850 on the FICO® scale) as well as those with less-than-perfect credit scores.
While this lender does not disclose a minimum credit score requirement, the company uses a proprietary scoring and underwriting system that considers a range of factors beyond just credit score when evaluating loan applications. This approach allows LendingPoint to provide loans to borrowers who may not meet the strict credit score requirements of other lenders.
In addition to credit score, LP considers factors such as income, employment history, and debt-to-income ratio when evaluating loan applications. Borrowers can apply for a loan online or by phone, and LendingPoint’s underwriting team will review their application and provide a decision in as little as a few hours. Keep in mind this lender reports your payments to the major credit bureaus.
How long does it take to receive funds from a LendingPoint loan?
If a borrower is approved for a loan and all required documentation is provided, the funds are usually sent via ACH transfer the next non-holiday business day. This means that borrowers may receive their loan proceeds as soon as one business day after approval.
However, the exact time it takes to receive funds may vary based on factors such as the borrower’s bank and the timing of the loan approval and disbursement. Borrowers should carefully review the loan agreement and all associated fees and timelines to ensure they understand the entire loan process.
Are there any prepayment penalties for LendingPoint loans?
No, it does not charge prepayment penalties for its personal loans. Borrowers can choose to pay off their loan early without incurring any additional fees or charges.
In fact, LendingPoint encourages borrowers to make extra payments or pay off their loans early if they are able to do so. Doing so can help borrowers save money on interest charges and reduce the overall cost of their loans.
Borrowers should carefully review the terms and conditions of their loan agreement to ensure they understand all fees and charges associated with their loan. If they have any questions or concerns, they should contact their customer service team for assistance.
LendingPoint BBB Reviews
LendingPoint is a lender that has been in business since 2014. The company has received an A rating from the Better Business Bureau (BBB) and has been accredited by the organization since 2014. This is a positive sign for borrowers who are looking for a reputable lender to work with.
According to the BBB website, LP has an average of 265 customer reviews and 220 complaints closed. It’s important to note that not all of these reviews and complaints are related to the company’s loan products, as it offers other financial services as well. However, the number of complaints closed is a relatively low percentage compared to the number of reviews, which suggests that most borrowers are satisfied with their experience with the lender.
Overall, the BBB accreditation and A rating, as well as the company’s relatively positive customer reviews, suggest that it is a reputable lender with a solid track record. However, as with any financial decision, borrowers should do their own research and carefully consider their options before applying for a loan with any lender.
Here are some LendingPoint reviews:
This company’s customer service is terrible. I asked them to set up an auto payment for 2 weeks earlier than my due date and they said they need to do a new contract. Since when does that need to happen when you are looking to make a payment earlier than you actually owe a company
I called customer service to inform them I paid my monthly payment in advance. Only to find out they were adding on more daily interest and they were taking it out of the payment. I called back to speak with someone about the payoff balance and paid the balance. They closed the loan and reopened the loan again the next. Now they are say I owe more money after I paid the agreed payoff balance. Whatever you do, do not get a loan from this company. You will definitely regret it.
What a joke sham business. I’m a sole proprietor selling through e-commerce sites and my business brings in 150-170,000 a year. I was looking for some extra capital to expand they popped up on my **** messages. I decided to try them out. I was initially approved to go through the steps lost power then got power back and went to continue the application’s final steps. Suddenly I’m not approved. I called and got the run around about underwriting not seeing I have enough revolving credit and my bank statements not showing incoming funds. There’s 15-20,000 incoming income a month coming in! I then got an email with my name spelled completely wrong. Sloppy and unprofessional I would not do business with them.
Examining Legitimacy and Troublesome Reviews
LendingPoint has recently faced scrutiny due to a plethora of negative reviews. Many borrowers have voiced their dissatisfaction, sharing their experiences of dealing with LendingPoint’s questionable practices. The pressing concern for potential customers revolves around the legitimacy of LendingPoint. Numerous individuals have questioned, “Is LendingPoint legit?” Sadly, the overwhelming consensus seems to lean towards skepticism. Unfavorable LendingPoint reviews shed light on the company’s questionable conduct and lack of transparency.
While LendingPoint operates under the umbrella of Home Point Financial Corporation, it appears that this association does not reflect positively on its operations. The legitimacy of LendingPoint’s subsidiary, “the lending pocket,” is also dubious at best. With mounting complaints regarding mortgage payments and trouble paying, customers are left feeling stranded without proper guidance or support. Should you find yourself entangled with LendingPoint, remember to gather your loan number and seek professional advice to navigate this unfortunate situation.
LendingPoint FAQs
What is LendingPoint?
LendingPoint is a financial technology company that provides personal loans to individuals. The company uses proprietary technology to assess borrowers’ creditworthiness and offer loans with personalized terms and interest rates.
Who is eligible for a LendingPoint loan?
To be eligible for a loan with them, borrowers must meet certain criteria, including being at least 18 years old, having a valid Social Security number, and having a minimum credit score of 585. Borrowers must also have a verifiable bank account and a minimum annual income of $35,000.
How do I apply for a LendingPoint loan?
To apply for a loan, borrowers can complete an online application on the company’s website. The application typically takes about five minutes to complete and requires basic personal and financial information. Borrowers may also need to provide additional documentation to verify their identity and income.
How long does it take to get approved for a LendingPoint loan?
The lender typically provides a decision on loan applications within minutes. However, the exact time it takes to get approved may vary based on factors such as the borrower’s creditworthiness, the loan amount, and the documentation provided.
What documents do I need to apply for a LendingPoint loan?
Borrowers may need to provide documentation such as proof of income, a valid ID, and proof of residency to apply for a loan. The specific documentation requirements may vary based on the borrower’s state of residence and loan amount.
How much can I borrow with a LendingPoint loan?
It offers personal loans ranging from $2,000 to $36,500. The specific loan amount a borrower is eligible for will depend on factors such as creditworthiness, income, and other financial factors.
What are the repayment terms for a LendingPoint loan?
LendingPoint loans have repayment terms ranging from 24 to 72 months. The specific repayment terms offered to a borrower will depend on factors such as the loan amount and the borrower’s creditworthiness.
Does LendingPoint require collateral for its loans?
No, this lender offers unsecured personal loans, which means that borrowers are not required to provide collateral to secure their loans.
How is the interest rate for a LendingPoint loan determined?
LP uses proprietary technology to assess borrowers’ creditworthiness and determine their interest rates. Factors such as credit score, income, and debt-to-income ratio may be taken into account when determining the interest rate for a loan.
What happens if I can’t make my LendingPoint loan payments?
If a borrower is unable to make their LendingPoint loan payments, they should contact the company as soon as possible to discuss their options. Depending on the situation, LendingPoint may be able to offer a forbearance or modification of the loan terms. However, failure to make payments on a LendingPoint loan can result in late fees, damage to the borrower’s credit score, and ultimately default on the loan.
Conclusion
In conclusion, LendingPoint is a lender that offers unsecured personal loans to consumers with FICO scores up to 850. The company has been in business since 2014 and is accredited by the Better Business Bureau with an A rating. LendingPoint’s proprietary scoring system allows them to consider factors beyond just credit scores when evaluating loan applications, which may be helpful for borrowers with less-than-perfect credit.
While the interest rates for loans can be relatively high, the company does not charge prepayment penalties and offers flexible repayment terms ranging from 24 to 72 months. Additionally, LendingPoint’s customer reviews are generally positive, which suggests that borrowers are satisfied with their experience with the lender.
However, as with any financial decision, borrowers should carefully consider their options and compare rates and terms from multiple lenders before applying for a loan. It’s also important to note that LendingPoint is not available in all states, and borrowers should confirm whether the lender is licensed to operate in their state before applying. Overall, LendingPoint may be a viable option for borrowers in need of a personal loan, but careful research and consideration is advised.
2 Comments
Visitor Rating: 2 Stars
I would like to leave a comment I use this company I paid off the loan and three months later they started taking the payment out again after I have already paid the loan off. I’ve been trying to get my money back. I have now had to go to my bank to start an investigation to get my money back. Be very careful with this company lending point personal loans will take your money even after you pay them off.