PersonalLoans.com Review (2020)
PersonalLoans.com is a loan marketplace that lets people looking for a personal loan match with a network of lenders that offer loans between $1,000 and $35,000. Interest rates, repayment terms, and other conditions vary, so it's important to thoroughly research loan offers before accepting a loan.
PersonalLoans.com is not a direct lender, which means it doesn't issue loans or service them. Instead, it's a website that allows borrowers to get loan offers from a variety of lenders.
The site is free to use, which is a great perk if you're shopping for a loan and want the ability to compare different offers without the hassle of going from lender to lender. Borrowers can get anywhere between $1,000 and $35,000, and interest rates vary between 5.99% and 35.99%.
The lenders in the PersonalLoans.com network offer unsecured installment loans, which means you don't need collateral and you can pay back the loan in monthly installments. Repayment periods vary from 90 days to 72 months.
While the lenders in the PersonalLoans.com network work with borrowers who have bad credit, borrowers with a low credit score can expect to pay a higher annual percentage rate (APR).
How Does PersonalLoans.com Work?
PersonalLoans.com works by letting consumers submit their personal and financial information through an online portal. From there, a network of lenders can review and decide if they want to make a loan offer.
While each lender has its own requirements, borrowers have to meet a few criteria set by PersonalLoans.com. Every borrower must be at least 18 years old, be a U.S. citizen or permanent resident, have a valid ID and a checking account, and have a regular source of income that brings in at least $2,000 per month.
It's worth noting that the income requirement doesn't necessarily mean you have to be employed. PersonalLoans.com will accept other sources of regular income, such as Social Security, spousal support, or disability benefits.
Borrowers who meet these criteria can apply for loan offers by filling out an easy online application. Lenders in the network then review the application and determine if they want to extend a loan offer.
If a borrower decides to move forward with a loan offer, the lender might require additional information or documentation to finalize the loan.
There is no obligation to accept a loan offer, and there is no fee to use the PersonalLoan.com site. Many borrowers who accept a loan offer can get their money in as little as one business day.
Is PersonalLoans.com Legit?
PersonalLoans.com is a legitimate and trustworthy company. However, any loan offers you receive will come through a third party lender and not PersonalLoans.com directly, so it's important to make sure you research the individual lender and its policies before taking on a loan.
PersonalLoans.com is also a member of the Online Lenders' Alliance (OLA), which means it adheres to certain ethical standards in the consumer lending industry. For example, the OLA requires its members to offer fair and reasonable terms, refrain from posting any misleading information online, and comply with all federal and state laws.
Pros & Cons of PersonalLoans.com
PersonalLoans.com has its pros and cons. Here's a rundown of both the good and bad the site has to offer.
Free to use - There is no fee to apply for loan offers through PersonalLoans.com.
Soft credit pull - PersonalLoans.com won't do a hard pull of your credit when you apply for loan offers, so you don't have to worry about your application damaging your score.If you move forward with a loan offer, however, the individual lender might do a hard pull. If you rack up too many hard credit inquiries too quickly, this could lower your credit score.
High loan limit - Unlike many online lenders and loan marketplaces, PersonalLoans.com offers loans up to $35,000.
Bad credit okay - Many of the lenders in the network are willing to work with borrowers who have less than perfect credit. If your credit score is very low, however, you should expect to pay a higher interest rate.
Not a direct lender - PersonalLoans.com is a loan marketplace rather than a direct lender. This means that any loan offer you receive will come from a third party.
Bad credit could mean less flexible terms - If you have a low credit score, your options for loans will be more limited. For example, you might not be able to borrow as much, and the lender will likely require you to pay a higher interest rate.
Possibility of a high APR - As stated on the PersonalLoans.com website, your interest rate could be as high as 35.99%. This is higher than the typical rate for a secured credit card, which is available even to consumers with poor credit scores.
Distributes your information to undisclosed lenders - Loan marketplace sites like PersonalLoans.com offer speed and convenience, but it comes at the cost of turning over your personal and financial information to numerous lenders, and you can't control which banks and other financial institutions view your data.
Ways You Can Use a Personal Loan
One of the advantages of getting an unsecured personal loan is that you can use it for whatever you want. While the loan offer application on the PersonalLoans.com website asks how you'll be using the money, there is no requirement stating you must use the loan funds in a certain way.
People use personal loans for a variety of reasons. For example, you might need the money for debt consolidation or to finance a home improvement project.
Other common reasons for taking out a personal loan include wedding expenses, medical bills, or vacations. People also borrow money to launch a business or cover the bill for an auto mechanic.
The bottom line is that you can use your loan funds however you wish. Once the funds are deposited in your account, the money is yours.
Considerations for Choosing a Personal Loan
A personal loan is a big financial commitment, so it's important to make sure you carefully consider all your options. Here are four things to keep in mind as you review loan offers and compare the various terms and conditions available to you.
1. Lender Reputation
What do other people have to say about the lender? Depending how much you borrow, you could be paying installments on your loan for years.
Considering you might end up dealing with the lender for a long period of time, you want to make sure they have responsive customer service, fair policies, and a reputation for treating their customers ethically and honestly.
PersonalLoans.com will show you loan offers, but it won't give you feedback on the individual lenders behind the offers. If you're considering accepting a loan, it's a good idea to do some quick research on the lender before you sign.
2. Terms and Conditions
In other words, how much will the loan cost you? Pay close attention to things like the APR, repayment period, and monthly payments.
You should also review the fine print to make sure you won't get stuck paying hidden fees. Also ask about things like prepayment penalties, late fees, and collection practices.
To better understand the true cost of your loan, it helps to use a loan calculator. Running the numbers can help you get a clear idea of how various interest rates affect your monthly payments and overall cost.
Many people get a personal loan to cover emergency expenses. If you need your loan funds quickly, it pays to go with a lender that offers a quick turnaround.
Some lenders offer same-day funding, while others say it could take up to a week or more to receive funds. In many cases, funding speed depends on a borrower's creditworthiness, so you're likely to get a quicker turnaround if you have a decent credit score.
4. Borrower Perks
Some lenders offer special features that can make a loan offer more appealing. For example, they might waive all late fees or let borrowers choose their payment date.
Other lenders have convenient mobile apps that make it easy to keep track of your loan and make payments on the go. While these special perks might not be the biggest consideration in your decision making process, they're worth exploring.
PersonalLoans.com gets mixed reviews online, which isn't unusual for a company in the consumer lending industry.
For example, some reviewers said they got a loan with no problem and found the offers they received appropriate and fair given their credit background.
On the other hand, some reviewers were disappointed with the service they received, and others complained of receiving what they described as "spam" emails.
How to Apply on PersonalLoans.com
Applying for loan offers through PersonalLoans.com is an easy process that takes place entirely online. Here's how to do it.
Step 1: Complete the loan offer request form
Keep in mind that filling out and submitting the loan offer request form doesn't mean you're applying for a loan. Rather, you're asking to receive loan offers from a network of lenders so you can review them and decide if you want to go forward with one.
To apply for loan offers, go to the PersonalLoans.com homepage and fill out the online request form. You'll need to provide your email address, as well as the amount you want to borrow.
When you've filled out your email address and loan amount, click "get started" to go to the full loan offer application.
Step 2: Submit the loan offer application
Once you've submitted your email and loan amount, you'll get taken to the full loan offer application, which asks for additional information. You must provide your address and phone information, along with employment info, monthly income, and banking information.
When you've filled everything out, you can submit the loan offer application form online. The PersonalLoans.com system will match you with lenders, and some borrowers receive loan offers within minutes.
If you receive loan offers, review them carefully and decide if you want to go forward with a loan application. Once the lender approves your application, you could receive your money in as little as 24 hours, with some borrowers getting their funds the same day.
Best Alternatives to PersonalLoans.com
If you can't get approved for a loan through PersonalLoans.com, or you just want to shop around for the best deal, consider the following alternatives.
Opportun offers personal loans from $300 to $9,000 with no credit check required. Repayment terms vary from 6 months to 46 months.
On the downside, Opportun only offers loans in 12 states. Additionally, borrowers with no credit history or past financial mistakes can expect to pay high fees, with interest rates approaching 60% for some loans.
2. Bad Credit Loans
Bad Credit Loans is another online loan marketplace that matches borrowers with potential lenders. Unlike PersonalLoans.com, however, it accepts borrowers with credit scores as low as 500.
Borrowers can get loans between $500 and $5,000, with APRs ranging from 5.99% to 35.99% and repayment terms from three to 36 months.
CashUSA is a loan marketplace that lets borrowers connect with lenders who offer loans to people with bad credit. Interest rates go from 5.99% to 35.99%.
Repayment terms for CashUSA loans vary from 90 days to 72 months, and borrowers can get loans from $500 to $10,000.
What Is the Easiest Loan to Get with Bad Credit?
If bad credit is holding you back from getting much-needed funding, you might be better off going with a short-term loan. While these tend to be restricted to lower amounts, you have a better chance of getting approved.
For example, a payday loan alternative like Earnin lets you borrow up to $100 and in some cases as much as $500 per pay period with no credit checks and zero interest.
The app works by letting you tap into your paycheck in advance of payday. Once you get paid, Earnin will automatically withdraw the money you borrowed from your bank account.
While Earnin doesn't charge any fees or interest, users have the option to include a tip on payday. On the downside, the borrowing limit is quite low and you have to link the app to your bank account for direct withdrawals.
If you need to borrow money, PersonalLoans.com can help you save time and frustration by matching you with lenders based on your financial background and credit history. Because interest rates can be quite high depending on your creditworthiness, however, it's important to review all loan offers thoroughly before taking on a loan.
About the Author
Mike is a recognized credit expert and founder of Credit Takeoff. His credit advice has been featured in CNBC, Investopedia, CreditCards.com, Bankrate, Huffpost, The Simple Dollar, Reader's Digest, LendingTree, and Quickbooks. Read more.