You are always looking for a lender, who can offer you the best rate Personal Loan. Simultaneously, you can save your time and energy. In the competitive market of the U.S.A, you can come across lenders, who can lend you a financial help with the best offers. Here, we would like to make a comparison between two renowned lenders.
To make the consumers dream comes true; various lending companies in the USA are supporting them such as Avant, Lending Club and more.
Avant Vs Lending Club
Avant Overview
Avant has it’s headquartered at Chicago and was founded in 2012. The prime aim of the company is to cover a large section of the population, so as to support them effectively and for the same Avant offers the loan to the borrowers who have a low credit score.
Lending Club Overview
Lending Club is one of the leading lending companies in the USA and maintains headquarter at San Francisco, California. Peer to Peer process is the secret of their success and through this; the Lending Club has served more than 2 million borrowers. However, the company offers loans to borrowers who have a high credit score.
Rating Factor
- Agencies usually do the rating of the company as per the performance and the customer’s complaints and feedback. These rating will help you to distinguish between them effectively.
- Avant: In March 2015, Avant was accredited as BBB and also got A+ for the customer service, especially the resolution of complaints in a quick span of time.
- Lending Club: In January 2008, Lending Club was accredited as BBB and also received A+ rating by the agencies for its performance. However, the major drawback is the billing issue as per the complaint registered by the customers.
- So, as per the rating, Avant is leading the game.
Avant Personal Loan Vs Lending Club Personal Loan
- Avant personal loan rates vary from 9.95% to 35.99% of APR. The rate is obviously high, but it does not charge any prepayment fee.
- Well, Lending Club personal loan rates lies in the range of 6.95% to 35.89%. The rate is low as compared to the Avant and the Lending Club does not charge any prepayment fee.
Originating Fee
- The originating fee is the one- time fee charged by the lender when the borrower’s loan is approved. In this process, the borrower doesn’t have to pay additional money for the originating fee; the amount will be deducted after the approval of the loan.
- The Avant Originating fee lies in between 1.5% to 4.75% to the loan amount. The Avant offers the grace period of 10 days for the repayment, if the borrower fails to pay the amount in the scheduled date, then the lender will charge $25 as late fee.
- Lending Club Originating fee range is broader than Avant, the scale lies in between 1% to 6%. However, if the borrower fails to pay the payment on the scheduled date, then the company will charge 5% of the due amount.
- Hence, the originating fee of Avant is less than the Lending Club.
Credit Score
Avant offers the loan to the borrower whose credit score is less than 580, but the Lending Club provide the loan to such borrower whose credit score is more than 640.
Credit score is something, which is indispensable to get the loan approved. However, lenders fund personal loans for low CIBIL and high CIBIL. Explore more –
Have few clicks on your mouse, and you will easily find out how you improve your low CIBIL and make a winning loan application.
Moving over to Application Process
- The mode of the application process for both companies is online. In the case of Avant, it only asks the borrower to provide the name, housing number, and income status.
- The application process of the Lending Club is a lengthy one and consumes a week. The essential documents required by the Lending Club are income proof, identity proof, residential proof, and much more.
- In case of application process the Avant is in a good position as it takes a day or two to finish the process, while Lending Club takes a week.
Avant Vs Lending Club differences
- Lending Time of Avant lies in between 24 months to 60 months, and the Lending Club takes 36 months to 60 months.
- Avant offers the loan amount up to $35,000 and the Lending Club loan amount restricts at $40,000. So, in this case, the Lending Club offers $5000 more than Avant.
Hence, these were the key differences between the Avant and the Lending Club; both the lenders are best at their place and service. Now, you choose the one as per your requirement and after selecting, fill the application form, submit the necessary documents and get your loan approved.
