Our experts answer readers’ personal loan questions and write unbiased product reviews (here’s how we assess personal loans). In some cases, we receive a commission from our partners; however, our opinions are our own.
The bottom line: Upstart Personal Loans could be the right lender if you have a strong work and education history, but you have a low credit score or limited credit history. The best personal loan for you depends on your credit score, which will determine what you qualify for and can lower your rate.
Who is Upstart Best For?
Upstart is best for borrowers who may not qualify for a loan solely based on their credit score. The lender includes other pieces of information in its approval decisions.
When you apply for a personal loan such as a home improvement loan, Upstart also considers employment history and education history, such as where you went to school and your area of study. While this could be an advantage for people with lots of college experience, it may work against borrowers without that experience.
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Upstart Personal Loan Features
Regular annual percentage rate (APR): Upstart Personal Loan – Regular APRMinimum credit score: 300Loan amount range: Upstart Personal Loan – Loan Amount RangeLoan term lengths are either three or five yearsCan have origination fees up to 8%Considers employment and education history when making loan approval decisionsLoans made through one of several Upstart-powered bank partners
Upstart Personal Loans Pros and Cons
Upstart Pros
Approval isn’t dependent solely on credit scores. For people who have struggled with credit in the past, Upstart will factor in a few other pieces of information for a better shot at approval.
Low credit score requirements. While Upstart does consider factors other than credit scores, it also has a low minimum credit score requirement at 300.
Get your loan quickly. If you accept your loan by 5 p.m. ET, Upstart will deposit loan funds into your designated bank account on the next business day. It may take a little longer if you’re using funds for education purposes or to pay off your credit card.
Small loans are available. Upstart offers loans with a minimum loan amount of $1,000. Many competing lenders start their minimum loan amount higher.
Upstart Cons
Only 3-year and 5-year terms to repay. While other lenders offer several options on how long you’ll have to repay, Upstart only offers three-year and five-year terms. This choice could be impractical for borrowers on either extreme of the borrowing scale. However, there is no prepayment penalty, so you can pay your loan off at any time without a fee.
Potential for high origination fees. Upstart’s personal loans can have origination fees up to 8%. Compared to competing lenders, this is a very high maximum — similar lenders Avant and LendingClub top fees at 4.75% and 6%, respectively.
How to Apply for an Upstart Personal Loan
1. Prequalify for a loan on Upstart’s website. Submit an online form to find out your interest rate and APR. You’ll need to input your basic contact information, details about your education, income, savings, and past loans. The company will run a soft credit check, which won’t impact your credit score. You’ll get your rate quote within minutes.
2. Review different loan offers and pick one. The company will present you with multiple loan offers with different rates and term lengths. Change the loan amount to see different offers. Choose one you can afford to make monthly payments on.
3. Submit an application and await approval. When submitting a formal application, you’ll need to send in proof of income, like a W-2, tax returns, or other financial documents. Upstart uses an AI-driven system that approves a majority of applications immediately.
4. Sign loan agreement and get your money. After you sign your loan agreement, you should get your funds within one to two days.
5. Make a plan to repay your loan. Work your monthly payments into your budget, and make sure you have enough money to cover all of your financial responsibilities.
Upstart Frequently Asked Questions
Is Upstart legit?
Upstart Personal Loans has an A+ rating from the Better Business Bureau, which evaluates companies by analyzing a business’ responses to consumer complaints, honesty in advertising, and clarity about business practices. However, BBB scores don’t guarantee you’ll have a good relationship with the company and are merely a starting point on your search for a personal loan provider.
Is it hard to get a loan from Upstart?
Relative to other companies in the personal loan space, Upstart is relatively easy to qualify for, as it has a low minimum credit score requirement of 600.
Does Upstart impact your credit?
Submitting a full application for a personal loan from Upstart or any other lender is likely to cause a slight dip in your credit score because it includes a hard credit inquiry. However, you can prequalify with Upstart before applying to get an idea of the rates and terms the company may offer you. Prequalification has no credit impact.
How can I contact Upstart customer service?
You can reach Upstart’s customer service by phone at 855-438-8778 Monday to Friday from 6 a.m. to 5 p.m. PST.,
How long does it take for Upstart to approve a loan?
Borrowers will get an instant approval decision after applying for a loan with the company.
Upstart Competitors
Upstart vs. Avant
Both Avant and Upstart allow borrowers with poor credit to get approved. For borrowers who meet Upstart’s minimum credit score requirement of 600, this lender could have an advantage with a wider range of interest rates and higher loan amounts.
Upstart vs. LendingClub
While Upstart has a clearly defined minimum credit score of 600 to apply for a loan, LendingClub is a little vaguer on requirements. Upstart has lower starting interest rates, but LendingClub has lower origination fees.
Quick tip: To make sure you find the best rate available, check for prequalified offers from multiple lenders in a loan marketplace.
How We Rated Upstart
We rate all personal loan products in our reviews and guides on a 1-5 scale. The overall rating is a weighted average that takes into account seven different categories, some of which are judged more heavily than others. They are:
Interest rate (20% of rating)Fees (20% of rating)Term lengths and loan amounts (15% of rating)Funding speed (15% of rating)Borrower accessibility (15% of rating)Customer support (7.5% of rating)Ethics (7.5% of rating)
Each category’s weighting is based on its importance to your borrowing experience. Rates and fees have the most direct impact on the overall cost of your loan, so we weigh those the most heavily. Customer support and ethics are still very important parts of the borrowing experience, but do not directly tie to a personal loan’s terms, so they have less of an impact on the overall rating.
See more on how we rate personal loans >>