Compare peer lending sites to get the best possible rate for your personal loan
Years ago, p2p online loans seemed only for those with no other alternative. Rates were insanely high and there just were not enough investors to get good loans funded.
Things have changed and there are now hundreds of p2p and personal loan sites competing for your application.
That's brought down interest rates and credit score requirements but it's also made finding your best loan offer so much more difficult. How do you find the p2p site with the best rates for your credit score?
I've been there. I used peer loans when I couldn't get money anywhere else. I've used peer loans to consolidate my debt, improve my credit score and to remodel our home. I've even invested in peer lending.
I'm putting everything I learned about peer lending and peer loan sites into this blog, a resource for everyone that needs money now but doesn't know where to turn.
Understand Peer Lending before You Compare Loans
I've posted more than 200 articles on the blog to help you ditch your debt, understand your credit report and control your credit score. These articles will help you with everything you need to know before choosing a peer lender and filling out an application.
- How to Avoid the Biggest Debt Mistakes Everyone Makes
- How does your Credit Score and other Factors Affect Your Interest Rates
- Fast Hacks to Increase Your FICO Score to Get Lower Loan Rates
Once you're ready to tackle your debt, you'll find no-nonsense reviews of the different p2p loan sites as well as special offers they've extended to readers of the blog. These reviews will help you find the best fit between your credit history, type of loan and the credit score requirements of the different peer lenders.
Not all peer lending sites are created equal and not all will get you the best rate on your loan.
|Peer to Peer Lending Site||Loan Fees||Credit Score Needed||Loan Rates||Notes|
|5%||580||9.95% to 36.0%||Best p2p loan site for bad credit borrowers. Lower credit score and three options including peer loans, bank loans and personal loans.|
|1% to 6%||640||5.3% to 31.0%||Low rates on p2p loans for good credit borrowers.|
|No Fee||Not available but higher than most, around 680 FICO||5.95% to 14.2%||Special discounts for variable rate loans. Offering $100 cash back on peer loans.|
|1% to 6%||620||6.25% to 30.0%||Best peer loans for graduates and no credit history.|
What is Peer Lending?
For borrowers, there is no difference between getting a peer loan and getting a loan from your local back. You fill out an application and how much money you need, your credit score is checked and you are offered a rate on your loan. If you accept the loan terms, the money is deposited directly in your bank account and you make monthly payments.
Ok, there is one difference between peer loans and traditional bank loans…
With a peer loan, you don't have to dress up and try to impress some bank loan officer that only sees you as $$$!
Peer lending is completely online, from the application to getting your money and paying back the loan. You don't have to go down to the local bank branch, begging for the money you need.
P2p loans can be a great alternative to traditional bank or credit card debt. First, unlike credit cards, the rate on your peer loan will not increase. Rates for peer loans are also often much lower than those on credit cards, especially if you have less than perfect credit. This makes debt consolidation one of the most popular loan types on PersonalLoans and Net Credit. More than 80% of all loans are to pay off high interest credit cards.
Getting started with p2p online loans
Getting started with the process of getting a p2p online loan is extremely easy through one of the personal loan sites. I’ve put together a couple of articles to guide you through the process and a few tips to getting the best rate and getting your loan funded.
Once you're ready to check out some of the peer lending sites to find your best rate,
- Check out my favorite sites for loans on bad credit, including the p2p sites I used
- Check out this special $100 cash back offer from SoFi
- Check out PersonalLoans, our most recommended loan site