Many people turn to personal loans to cover unexpected expenses, such as medical bills. These unsecured loans typically require decent credit for approval.
If you have poor credit, options are often scarce. That’s where PersonalLoans.com steps in to help.
This platform connects people with bad credit to potential lending partners. The question remains: is it truly worth using? In this PersonalLoans.com review, we’ll examine everything you need to know about this site, including the application process, pros and cons, and more. By the end, you’ll determine whether this platform suits your loan needs.
Ready? Let’s dive into this PersonalLoans.com review!
What is PersonalLoans.com
PersonalLoans.com operates as a broker that connects borrowers with personal loan lenders. Founded in 2001, it ranks among the oldest online marketplaces for personal loans.
Through its straightforward online application, you can apply for a loan within minutes and connect with lending partners offering suitable terms you’re likely to qualify for.
Since PersonalLoans.com isn’t a direct lender, it maintains a lending network to facilitate loans. As the intermediary, PersonalLoans.com presents borrowers with loan amounts, terms, and rates from various lenders.
What are Personal Loans?
A personal loan is a credit product that helps fund expensive purchases or consolidates high-interest debts. The loan is repaid through monthly installments.
Loan terms typically range from two to seven years. Most personal loans are unsecured, meaning they’re not backed by collateral (unlike car or home loans).
Consequently, many lenders impose stricter credit score requirements when determining loan eligibility.
These loans can serve virtually any purpose. Common uses include:
- Paying medical bills
- Home improvement projects
- Debt consolidation
- Paying for unexpected expenses
- Vacation
- Education
- Wedding
- Down payment for a home
- Moving/relocation
Personal loan interest rates may be lower than credit card rates, potentially making them an attractive option.
Types of Personal Installment Loans
PersonalLoans.com offers three loan types to borrowers. Here’s a breakdown of these installment loan options:
Peer to Peer Loans
These loans connect investors directly with borrowers, bypassing traditional financial institutions like banks.
Your funding comes from another company or individual investor.
Personal Installment Loans
These represent the most common type of personal loan. They’re typically straightforward and fast, requiring monthly payments to gradually repay the balance.
Bank Personal Loans
Bank loans come from various banks, potentially including local institutions. For these products, you can apply through PersonalLoans.com’s website for a specific bank’s loan.
However, applying directly through the bank’s website is usually more straightforward. In most cases, you’ll need to complete your application with the bank regardless.
PersonalLoans.com Requirements and Features
Through its lender network, PersonalLoans.com can assist even poor credit applicants. To see what online personal loans you qualify for, you must meet these basic requirements:
- Must be at least 18 years old
- Must be a US citizen or permanent resident
- Have an active bank account
- Earn sufficient income to cover the repayment plan
Meeting these criteria allows you to use PersonalLoans.com’s service to find a personal installment loan. No minimum credit score is required, and you must have a valid checking account for fund transfers.
A credit score of at least 600 is recommended, as most online lenders work with applicants above this threshold.
PersonalLoans.com’s goal is connecting borrowers with its lender network for financing. Terms and pricing depend on the specific lender, but here’s what you can generally expect:
Loan Amount
You can request between $1,000 and $35,000.
Repayment Terms
PersonalLoans.com’s platform offers a wide range of loan terms from multiple lenders, with some offering terms under a year.
Terms range from 90 days to six years. Making on-time payments is crucial when taking out any loan.
Some lenders require payments as frequently as bi-weekly.
Annual Percentage Yield
The annual percentage rate (APR) represents the yearly interest charged to borrowers, including origination fees and other costs.
Lower interest rates benefit borrowers most. APRs on PersonalLoans.com’s platform range from 5.99% to 35.99%.
PersonalLoans.com Application Process
To use PersonalLoans.com’s platform for finding reputable lenders, the loan request process begins on the homepage.
Simply click “Get Started” after selecting your loan purpose. You’ll complete an online form requesting information like your name, date of birth, and loan amount.
You’ll also provide bank account details and credit information. After submitting the form, you’ll start receiving proposals from willing lenders within minutes.
Each loan offer includes a loan agreement detailing amount, interest rate, and terms. Upon accepting an offer, funds transfer to your bank account.
Funding speed depends on the direct lender, ranging from one to five business days.
After loan approval and receiving funds, your next steps are crucial, especially if you have bad credit and poor credit history. Here’s how to improve your credit score:
Improving Your Credit Score
Make Timely Monthly Payments
Payment history significantly impacts your credit score. Even old late payments continue affecting your credit.
Establish a system for payment reminders before due dates. Most lender portals offer bill pay reminders.
Better yet, automate monthly payments to ensure they’re made without manual intervention.
Pay back your Loan Fast
Building consistent on-time payment history improves your credit score. Additionally, try paying off the loan faster.
For higher loan amounts, paying only the minimum extends repayment time. Extra payments save money on interest.
This matters because lowering credit utilization improves your credit score. Credit utilization compares your used credit against available credit.
This includes credit cards and installment loans.
For example, having a $500 balance on a $1,000 credit limit card plus a $4,000 balance on a $5,000 personal loan equals 75% overall credit utilization.
Ideally, maintain credit utilization below 30% to build good credit.
PersonalLoans.com Customer Reviews
When researching credit options like personal loans, thorough research is essential. Customer reviews provide valuable insights.
Hearing customer experiences helps determine if you want to work with them.
The Better Business Bureau offers excellent review resources. PersonalLoans.com isn’t BBB accredited but holds a B+ rating with a 4.17/5 average customer review score.
PersonalLoans.com Pros and Cons
Pro: Matched with Personalized offers
Your financial profile and needs are considered for optimal loan matches. Navigating unsuitable loans or unqualified requirements is challenging.
PersonalLoans.com eliminates the hassle of researching irrelevant lenders and options, making it among the top online personal loan brokers.
Pro: Has Partnerships with Multiple Lenders
Its lender network includes unique opportunities like peer-to-peer loans. Nearly 20 years in business allowed PersonalLoans.com to build relationships with trustworthy, reputable lenders.
This variety provides more options, with good chances for bad credit borrowers to find suitable choices.
Pro: Fast Decision
Providing accurate information on the online form should generate offers within minutes. After reviewing loan details and selecting an offer, you may receive funds within one business day.
Pro: Receive Higher Loan Amounts
PersonalLoans.com partners with lenders offering $1,000 to $35,000 loans—a substantial range for personal loans.
Pro: Flexible Terms
You might find terms up to 72 months on PersonalLoans.com’s platform, exceeding the typical 60-month maximum for most personal loans.
Additionally, terms as short as a few months are available, while typical personal loans require 12-month minimums.
Pro: Qualified Borrowers can access low APRs
Borrowers with solid credit histories can qualify for low APRs, with PersonalLoans.com advertising rates as low as 5.99%.
Pro: Soft Credit Pull
PersonalLoans.com applications use soft credit pulls that don’t affect your credit score. This particularly benefits individuals with bad credit who worry about further score damage.
Remember that selecting a lender’s loan may trigger a hard credit pull.
Con: Not a Lender
PersonalLoans.com isn’t a direct lender—it’s the intermediary connecting borrowers and lenders. Once you select an offer, you’ll work directly with the chosen lender.
Con: Fees will Vary
Lender fees remain unknown until you’re matched with them, creating uncertainty when applying for loans.
Con: Potentially high APR
APRs can reach 35.99% for poor credit borrowers—higher than many credit card rates.
Bottom Line PersonalLoans.com Review
PersonalLoans.com stands among the longest-running loan platforms available. It offers a streamlined application process, maintains a network of reputable lenders, and delivers an excellent web experience. Borrowers with poor credit who typically don’t qualify for traditional loans may discover viable funding options. Its marketplace provides loans funded within days, ensuring fast access to money.
