In this Comparison
The online lending space has never been stronger, with so many different types of leading options open for you to check out today.
This review will compare the offerings available from Upstart, FreedomPlus and Avant.
When FreedomPlus Shines?
FreedomPlus is the personal loan segment of the Freedom Financial Network and has been in operation since 2013. It generally is a good fit for people with decent credit and those who want bigger loan sizes.
When to consider FreedomPlus?
If you need a relatively large loan, you have decent credit, and you want to get a joint loan. The application process is also quite efficient and fast.
When to Consider Avant?
Avant is a Chicago-based lender that caters to people with low credit scores that offer a very easy-to-use mobile app for borrowers to manage their loans.
When to consider Avant?
Avant accepts people with low credit scores and has a quick time to the funding process. You also have a top-tier mobile app that you can use.
When Upstart Is Better?
Upstart is a unique type of lender as it relies a lot on artificial intelligence in order to decide if it should accept an application or not. As a result, it often is a lot more flexible when it comes to credit scores than many of its competitors in the space.
When to consider Upstart?
If you do not yet have a FICO score or you have a relatively low score. It also provides fast funding and has a small minimum loan size.
You are able to get a loan of $1,000 with Upstart, with the max loan size reaching $50,000. FreedomPlus has one of the highest minimum loan sizes around in the online lender space today, requiring borrowers to take out a loan of at least $7,500 and as much as $40,000. Finally, Avant offers loans of between $2,000 and $35,000.
As a result of the use of artificial intelligence, Upstart will accept credit scores of as little as 600 and it will also accept applications from people who have not yet built up enough credit to get a FICO score. You can get a FreedomPlus personal loan if you have a credit score of 620 or greater. Avant accepts lower credit scores than Upstart and Freedom Plus, accepting applications from people who have credit scores of just 580.
Upstart does want its applicants to have an annual income that is at least $12,000. While FreedomPlus does not have an income requirement in place like Upstart, it does require you to have a debt-to-income ratio of no more than 45%. Finally, Avant requires a monthly net income of at least $1,200. All of these lenders need you to be an adult, as well as being a citizen in the US or a permanent resident/visa holder.
FreedomPlus - Pros & Cons
While there is no autopay discount, FreedomPlus does offer you a discount if you get a joint loan or you are making direct pay deposits or you can showcase a certain level of retirement assets.
You are given the ability to choose your initial payment date as well as change it twice over the course of a 12-month period
FreedomPlus will usually accept your application on the same day that it has been submitted and there will then be funds provided within three business days.
You are able to get joint loans at FreedomPlus, which is not an option with a lot of lenders.
There is an origination fee of between 1.99% and 4.99% that you have to pay with FreedomPlus.
You need to take out a loan of at least $7,500, which is a high minimum loan size.
Upstart - Pros & Cons
Upstart is one of the fastest around when it comes to giving borrowers access to their funds, with this often only requiring one business day.
Upstart offers a loan of just $1,000, which is smaller than the majority of other lenders in the space today.
The due date for your repayments can be changed as you please, providing nice flexibility to you.
Upstart deals with people who have credit scores of just 600, as well as taking applications from people who do to yet have a FICO score.
Borrowers often will need to pay an origination fee when they are getting an Upstart personal loan, which can often rise to 8% of the loan size.
Upstart has only been in operation for a few years, so it does not have as much of a track record as other lenders in the space.
Avant - Pros & Cons
There is a very good Avant mobile app that allows you to easily manage your loan.
You can get support from Avant if you lose your job and have issues making repayments.
You can get a personal loan from Avant with a credit score of just 580.
Avant will often quickly approve applications and give you funds on the following business day.
You are not able to get a secured loan, joint loan, or co-signed loan when using Avant.
While not every borrower will have to pay an origination fee at Avant, there will sometimes be a 4.75% fee charged.
Upstart offers two term lengths to borrowers – three years and five years. There is ideal flexibility for making repayments as you can choose the payment due date. Borrowers can also direct funds to creditors if they are in the process of consolidating their debt. Finally, you do not have to pay a prepayment penalty if making early payments, but Upstart also does not have any sort of autopay discount.
FreedomPlus gives you the ability to choose your payment date, as well as change this date a couple of times over a 12-month period. There is no autopay discount in place, but there are also no prepayment fees that you have to face.
Like FreedomPlus and Upstart, Avant also does not have an autopay discount. It also does not allow you to make direct payments to creditors. There is the option to twice change the payment due dates and there is a refinancing option.
You can learn a lot about Upstart’s unique approach to personal loans through its website. People will be able to contact the customer service team every day of the week, but the app does not have any capabilities for you to manage your loan. Finally, there has been a B+ rating granted to Upstart from the Better Business Bureau.
You will not get access to any form of financial education through FreedomPlus. The customer service team operates between Monday and Friday, while there is no FreedomPlus mobile app available for you to use. The Better Business Bureau rating for FreedomPlus is A+.
There are various ways in which you can contact the support team seven days a week. The website is also very transparent when it comes to fees and loan requirements. The Avant mobile app is also one of the best around and has a lot of useful functions. Finally, the Better Business Bureau rating for Avant was B, but it is no longer accredited.
Which Personal Loan is The Winner?
Avant is best suited for people who have low credit scores, while Upstart offers small loans and fast funding. Finally, FreedomPlus will be suitable if you need a large loan or a joint loan. Each of these lenders has its own pros and cons when compared to one another.
Is Freedom good for debt consolidation?
Freedom is a decent option if you’re looking for a debt consolidation loan. You can borrow up to $50,000 and the lender also offers direct payment to creditors.
This means that you don’t need to wait for the loan funds to arrive. Freedom will pay out to designated creditors on your behalf, and then provide the remainder of the funds to you. However, you do need to be prepared for a loan origination fee.
Does Freedom offer more financial products besides personal loans?
Freedom specializes in lending, so all its products are tailored to this niche. In addition to personal loans, you can access home loans and mortgages. Freedom also offers credit cards with a variety of cards to suit your requirements. This includes 0% purchase deals and balance transfer cards, which you can compare on the lender’s website.
Can I add a cosigner to a Freedom personal loan?
Unfortunately, Freedom does not allow co signers on its personal loans. However, if you have concerns that your credit may not be sufficient to secure a loan, you can submit a joint application. The key difference between a joint application and using a co-signer is that the other party can also access the loan funds.
Can I pay off an Avant loan early?
Avant does not have early repayment fees, which means that you can make additional payments or clear the loan in full before the end of the loan term with no penalties.
However, if you are considering switching lenders and repaying the loan early, you will need to consider that you paid an arrangement fee at the start of your loan, which should be factored into your calculations.
Do Avant personal loans offer prequalification?
Avant does allow potential customers to pre qualify for its personal loans. You can complete the basic application and check your rate with your potential loan amount.
This process only uses a soft credit check and only if you move forward with the loan application will Avant trigger a hard credit check.
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Upstart vs LendingPoint vs LendingClub
Each of these lenders caters to people with less-than-perfect credit. If you need funds quickly, LendingPoint is probably the best option, while Upstart is a good fit for people looking for small loans.
Finally, if you are looking for a joint loan or want to get some of the most competitive rates, LendingClub stands out.
Read Full Comparison: LendingPoint vs Upstart vs LendingClub: Which Personal Loan Suits You Best?
Upstart vs OneMain
Both of these lenders make it possible for people with bad credit to obtain a personal loan. OneMain's offering is a little more limited, with loans that are relatively smaller in size but with more flexible repayment term lengths.
Read Full Comparison: OneMain Vs Upstart: Compare Personal Loan Providers
Upstart vs Rocketloans vs Prosper
Each of these three lenders shares and differs in some ways. In general, Upstart is the best option for people who need a small loan or who may not be able to obtain a FICO score. Rocket Loans is a viable option if you need quick access to borrowed funds, whereas Prosper allows you to get a joint loan and caters to people with fair credit.
Read Full Comparison: Rocketloans Vs Prosper Vs Upstart: Which Personal Loan Is Best?
Upstart vs Best Egg vs Marcus
Upstart is one of the more notable online lenders because it employs artificial intelligence (AI) to guide the process of evaluating applications. As a result of this system, it frequently deals with people who have relatively low credit scores, or even those who do not yet have a credit score.
Best Egg is an online lender that has received numerous awards in recent years for its service, which includes quick approvals and competitive rates. Marcus, a Goldman Sachs offering, is one of the most reputable online lenders you will come across. It promises no-fee personal loans as well as a variety of loan types.
Read Full Comparison: Upstart vs Best Egg vs Marcus: Compare Personal Loan Lenders
Upstart vs Payoff
Upstart and Payoff both cater to people with low credit scores and offer flexible repayment terms.
Upstart is better suited for people who want a smaller loan amount or who do not yet have a credit score. If you want to keep your fees as low as possible, payoff is the way to go.
Read Full Comparison: Upstart Vs Payoff: Which Personal Loan Is Better?
Upstart vs SoFi
Upstart is a one-of-a-kind proposition because it employs an artificial intelligence (AI)-based system rather than relying solely on FICO scores. The Consumer Financial Protection Bureau has determined that it is a reputable lender. Upstart is a good option for people who do not have a long credit history and who need funds quickly.
SoFi has been in business since 2011, and in that time it has served over 2.5 million people and funded loans totaling more than $50 million. It is regarded as one of the best in the industry and an excellent choice for those with excellent credit.
Read Full Comparison: Upstart Vs SoFi: Which Personal Loan Is Best?
Upstart vs Upgrade
Upgrade has been in operation for over 15 years and has served the needs of millions of customers during that time. It provides its borrowers with a high level of flexibility as well as a wealth of excellent educational resources.
Upstart takes a different approach than most online lenders because it heavily relies on artificial intelligence (AI) in its operations. Upstart accepts people with low credit scores and will quickly disburse your borrowed funds.
Read Full Comparison: Upstart Vs Upgrade: Which Personal Loan Is Best For Your Needs?
Freedom vs LendingPoint vs Avant
FreedomPlus is an online lender that only works with relatively large loan amounts and also provides joint loans. Avant caters to people with low credit scores and focuses on providing quick access to funds.
Finally, LendingPoint is a similar option to Avant in many ways, such as its acceptance of lower credit scores and quick application process.
Read Full Comparison: LendingPoint vs Freedom vs Avant: Which Personal Loan Is Better?
Avant vs OneMain vs LendingClub
LendingClub is a peer-to-peer online lending marketplace that prefers to work with people who have poor credit. The California-based company has over three million customers in the United States.
Avant is a Chicago-based lender that provides personal loans to people with bad credit. It also gives you quick access to funds as well as flexible repayment options. While OneMain is an online lender, it also has over 1,500 physical locations throughout the United States. This lender offers quick access to funds as well as a variety of loan options.
Read Full Comparison: OneMain Vs Avant Vs LendingClub: Which Personal Loan Suits You Best?