Lending Club offers three year and five year unsecured loans to qualified borrowers which are funded by other people. The company has some requirements for borrowers, but they are not necessarily as strict as what you might see when applying from a loan from a bank. Currently Lending Club requires that borrowers have a credit score of at least 660 to get a loan and a debt-to-income ratio of less than 25%.
Lending Club also lists the following requirements on their website: “at least 3 years of credit history, showing no current delinquencies, recent bankruptcies (7 years), open tax liens, charge-offs or non-medical collections account in the past 12 months, no more than 10 inquiries on your credit report in the last 6 months, a revolving credit utilization of less than 100%, and more than 3 accounts in your credit report, of which more than 2 are currently open.”
Borrowers from the following states cannot currently get a loan on Lending Club: Iowa, Idaho, Indiana, Kansas, Maine, Mississippi, North Carolina, North Dakota, Nebraska, and Tennessee. Borrowers from the other 40 states can get a loan from Lending Club. Lending Club does not accept loans from borrowers outside the United States.
If you are interested in getting a loan from Lending Club, you can visit their website and fill out the application process. You will be asked for some basic contact information and your social security number. Lending Club will then offer you a loan at a specific interest rate based on your credit history. At this point, you can accept the loan and it will go into a funding period or you can turn down Lending Club’s loan offer.
After getting to the funding stage, Lending Club investors will then have the opportunity to fund part of your loan. Lending Club investors may have questions for you to determine if they want to fund your loan. Don’t hesitate to answer their questions. After your loan has been fully funded, the money will be transferred to your checking account on a specified date.
