Lendly Loans

Are you finding it hard to pay all your bills each month? You probably may have thought about getting a personal loan but you are not sure where to start or even if you will qualify for a loan.

I’ve been in that tough situation! I remember living check to check, worrying how I’d cover the next car repair or doctor bill. But taking out a personal loan changed everything for me.

That’s why I put together this guide about Lendly loans.

In this post, we focus on how lendly loans work, the good and bad parts to know and more

My goal is to give you all the information to decide if a Lendly loan is right for you.

What Are Lendly Loans?

Lendly offers personal loans that you pay back in installments. You can borrow from $1,000 to $40,000. You apply for and manage the loans totally online.

Here’s how it works:

• You apply and manage everything on their website or app – no bank visits.
• The entire application and funding process is done on Lendly’s website or app. You don’t have to visit a bank branch.
• If approved, you can have funds deposited in your bank account in as little as 1 business day.
• Lendly loans have fixed interest rates ranging from 5.99% to 35.99% APR depending on your credit profile. This means your monthly payment won’t change.
• Loan terms range from 2 to 5 years so you can spread out payments over time.
• Lendly loans don’t require collateral like a house or car. This makes qualification easier.
• In addition to credit scores, Lendly looks at other factors like utility payment history to make a lending decision. This helps those with limited credit.

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Pros of Lendly Loans

Lendly loans have several advantages compared to other personal loan options:

• It only takes about 5 minutes to complete Lendly’s online application. You don’t have to gather piles of paperwork.
• You’ll know in seconds if you’re approved after submitting your application. No waiting around.
• Depending on when you apply, funds can be deposited in your bank account in as little as 1 business day.
• Lendly loans are unrestricted, so you can use the money for any purpose – debt consolidation, home improvement, auto repair, medical bills, or anything else.
• If you make on-time payments with a Lendly loan, it can help improve your credit score over time. This may help you qualify for lower rates on future loans.

Cons of Lendly Loans

While Lendly loans have advantages, there are some potential downsides to consider as well:

• The maximum 35.99% APR is quite high. But this rate is only for borrowers with the weakest credit profiles. Those with good credit can qualify for rates under 10%.
• Some consumer advocates worry Lendly’s marketing targets desperate borrowers and the high rates can lead to cycle of debt. But rates are clearly disclosed.
• Lendly loans can’t be prepaid. You have to pay all the interest charges over the full loan term.
• If money is tight one month, you can’t skip a payment like with a credit card. Late fees apply if you miss a due date.
• Lendly does a hard inquiry when you apply, which can temporarily lower your credit score by a few points.

Lendly Loan Requirements

Here are the basic eligibility requirements for a Lendly loan:

• Credit score – You’ll need a minimum credit score of 550 to qualify. The better your score, the lower interest rate you can get.
• Income – You must have regular income from employment, self-employment, retirement, or other sources. Minimum before-tax income of $20,000 per year.
• US resident – Currently, Lendly only lends to US citizens or permanent residents.
• Age – You must be at least 18 years old to apply.
• Bank account – You’ll need a valid checking account for the funds to be deposited into if approved.

Meeting these requirements doesn’t guarantee approval. But they are needed for Lendly to even consider your application.

How to Apply for a Lendly Loan

If you meet the basic requirements, here is a step-by-step guide to applying for a Lendly loan:

1. Go to Lendly.com and click on “Apply Now”
2. Provide your personal information – name, DOB, SSN, address, income, employment.
3. Link your bank accounts so Lendly can review your income deposits and payments.
4. Select your desired loan amount and repayment terms – typically 2 to 5 years.
5. Review your loan offers, including the interest rate and monthly payment amount.
6. If satisfied, e-sign your Lendly loan agreement to complete the application.
7. If approved, your loan funds will be deposited as soon as the next business day!

The whole process can be completed in as little as 15 minutes if you have all your information handy.

Tips for Getting Approved

Here are some tips that can help boost your chances of getting approved for a Lendly loan:

• Accuracy – Provide accurate information on your application. Even minor mistakes could lead to denial.
• Link all accounts – Let Lendly see a full picture of your banking by linking checking, savings, retirement accounts.
• Co-signer – Adding a creditworthy co-signer may help you get approved if your score is close to the minimum.
• Start low – Only apply for the amount you absolutely need. Larger loans are harder to qualify for. You can get another loan later if needed.
• Verify income – Have pay stubs, tax returns, or bank statements handy to verify your income sources if asked.
• Check your reports – Make sure there are no errors or red flags on your credit reports with Equifax, Experian, and TransUnion before applying.

Alternatives to Lendly Loans

Lendly isn’t your only option. Here are a few alternatives to consider:

• Banks and credit unions – These traditional lenders often have lower rates but stricter underwriting. Useful if you have good credit.
• Peer-to-peer lending – Sites like LendingClub let investors fund personal loans. Also may offer lower rates for good credit borrowers.
• Payday and title loans – Provide very quick access to cash but have astronomical interest rates and put your assets at risk. Should be a very last resort.
• 401(k) or retirement loan – Lets you borrow against your own retirement savings. Interest goes back into your account but reduces balance.
• Credit cards – Can be an expensive way to borrow but are widely accessible. Balance transfer cards offer 0% intro APR periods.
• Friends and family – An interest-free loan from loved ones may be possible if you have a good relationship and agree on terms.

Conclusion

Lendly provides a personal loan option tailored to those with limited credit history. But be sure to compare interest rates and fees before borrowing.

While Lendly loans can provide fast cash in a pinch, the high rates mean they should not be used as long-term credit. Weigh all your options and borrow responsibly.