Upstart is an online lending platform that facilitates personal loans by connecting borrowers with banks and credit unions. While it offers fast approval and funding times, it comes with some limitations. Upstart doesn't provide options for joint, co-signed, or secured loans, and it offers only two repayment term choices.
One of Upstart's distinguishing features is its unique underwriting model. Instead of relying solely on traditional credit factors, it employs artificial intelligence and unconventional data, such as educational background, employment history, and residential information, to assess borrowers. In contrast, traditional lenders, like banks, primarily focus on a borrower's credit report, income, debts, and assets.
Summary of Upstart personal loans:
Minimum credit score: None.
APR: 4.60% - 35.99%.
Origination fee: 0% to 12%.
Late fee: 5% of the unpaid amount or $15; whichever is greater.
Returned check fee: $15.
Loan amount: $1,000 to $50,000.
Repayment terms: 3 or 5 years.
Time to fund after approval: 1 day.
Loan availability: Loans are available in all 50 states and Washington, D.C.
Please keep in mind that the specific terms and conditions of Upstart loans may vary based on individual circumstances and lender policies. Borrowers should review all details and fees before applying for a loan.