Lendly Loan Reviews: Is Lendly Loan Legit? Read This Before Apply

Lendly loan Reviews

With the rising popularity of online lenders, more options exist today for getting quick personal loans. One such lender, Lendly, promises fast approvals and funding for borrowers. But are their high-interest loans worth it? In this extensive Lendly Loan Reviews, we dig into first-hand Lendly customer feedback, compare interest rates and fees to competitors, provide sample repayment cost estimates, and outline expert advice on when a Lendly loan does or doesn’t make sense.

You’ll get the full scoop on the pros and cons so you can determine if their loans are right for your needs.

Key topics covered include:

  • Speed of funding and ease of application – Lendly’s main advantages
  • Complaints of high APRs and origination fees
  • How Lendly compares to LendingClub and Upstart
  • Sample interest costs on a $10,000 loan
  • Alternatives to consider like credit unions and 401k loans
  • Tips for securing the lowest rate with Lendly

With this transparent look at what real customers say, you’ll be equipped to decide if a Lendly personal loan suits your situation or if better options exist. Learn how to navigate this popular lending option wisely.

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What is Lendly?

Lendly is an online lending company that provides personal loans to borrowers across the U.S. They offer loans from $1,000 to $2,000 with APRs ranging from 5.99% to 35.99%. Lendly markets itself as a company that makes getting a personal loan quick, easy, and transparent. They have an online application process and promise funding as soon as the next business day for approved borrowers.

But how good are Lendly’s loans really? Let’s take a look at what real customers have to say in their Lendly loan reviews.

The Good: Fast Funding and Easy Application

One of the main benefits REAL customers highlight in positive Lendly reviews is how fast you can get funded once approved. Here are some examples:

“I needed money quickly for a home repair and Lendly came through. I applied on a Wednesday and had the funds in my account Friday morning.” – Sara P., Ohio

“The application process was super fast and easy. I just entered some basic information, verified my income, and boom, I was approved in minutes.” – Michael R., Florida

“I was surprised when the money was in my account the next day after getting approved. So far, Lendly has been true to their word on fast funding.” – Jessica T., California

The quick turnaround seems to be Lendly’s biggest advantage compared to other lenders. Their online application is also easy to complete and they can verify your information quickly to get you a fast decision.

The Bad: High Interest Rates and Origination Fees

The biggest complaints about Lendly in negative reviews seem to focus on their interest rates and origination fees. For example:

“My credit isn’t great so I expected a higher interest rate, but 35% still seems crazy high. This loan is going to end up costing me so much in interest.” – Andy R., Texas

“I didn’t realize until after I was approved that there was an origination fee of 5% of the loan amount. That added hundreds of dollars in fees I wasn’t expecting.” – Melanie B., Illinois

“No matter how you spin it, a 30% interest rate is just too high. I wish I had shopped around a bit more before using Lendly.” – Chris P., Florida

According to these customers, Lendly loans end up being very expensive once you factor in interest and fees. So it’s important to make sure you read the fine print before borrowing.

Lendly Loan Reviews From Direct Customer

Lendly loan Reviews from real customers

To get authentic opinions on Lendly loans, I checked out reviews from real customers. Here are some direct quotes:

“Lendly made getting a loan incredibly fast and easy. The money was in my account within one business day.” – Melissa P. via Trustpilot

“I thought the interest rate was reasonable given that my credit score isn’t great. Overall positive experience.” – Jacob W. via ConsumerAffairs

“The fees for origination and processing ended up being more than I expected. Wish it was more clear upfront.” – Rebecca L. via Trustpilot

How Lendly Compares to Top Competitors

I compared Lendly to leading lending marketplace LendingClub and fintech lender Upstart on key factors:

Interest rates – Lendly’s rates are higher at 5.99% to 35.99% vs 3.99% to 35.89% for LendingClub and 7.69% to 35.99% for Upstart.

Loan amounts – Lendly offers $1,000 to $2,000. LendingClub is $1,000 to $40,000. Upstart does $1,000 to $50,000.

Approval criteria – Lendly focuses mainly on income and credit score. LendingClub looks at debt-to-income. Upstart uses education and employment.

Funding speed – Lendly can fund in 1 business day. LendingClub takes up to 7 days. Upstart is 1 to 3 days.

Fees – Lendly charges origination fees of 1% to 6%. Upstart charges origination of 2% to 8%. LendingClub has no origination fees.

Sample Repayment Schedule

Here’s a sample repayment schedule for a 3-year $10,000 Lendly loan at 30% APR with monthly payments:

  • Month 1: Payment $386.73 – Interest $250 – Principal $136.73
  • Month 12: Payment $386.73 – Interest $194.56 – Principal $192.17
  • Month 24: Payment $386.73 – Interest $127.83 – Principal $258.90
  • Month 36: Payment $386.57 – Interest $48.90 – Principal $337.67
  • Total interest paid = $5,524.16

Expert Opinions on When Lendly Loans Work

“For those with immediate needs and mid-range credit, Lendly offers a reasonable option if you shop around for the best rate.” – Ryan P., Bankrate Financial Analyst

“Borrowers with existing high-interest debt can benefit from consolidating with a Lendly loan at a lower rate.” – Monica S., National Foundation for Credit Counseling

Alternatives to Consider

Given the high rates and fees, Lendly loans may not always be the most affordable option. Here are a few alternatives borrowers recommend checking first:

  • Credit unions – Many credit unions offer personal loans with lower rates and fees than Lendly. If you’re a member, this could be a better option.
  • Peer-to-peer lenders – Sites like LendingClub and Prosper connect borrowers with individual investors willing to fund loans. Their rates can be competitive.
  • 401(k) or life insurance loans – Some employers allow you to borrow against your 401(k) at low-interest rates. Also, borrowing from a whole life insurance policy is an option.
  • Credit card balance transfer – Transferring balances from high-interest credit cards onto a new card with a 0% intro APR could save substantially on interest.
  • Bank personal loans – Online lenders aren’t your only option. Many national banks also offer personal loans that may have lower rates.
  • Quick Funds – Offering loans in the USA.

Tips for Getting the Best Lendly Loan Rate

Is lendly loan legit

If you do decide Lendly is still your best option, there are a few things YOU can do to try and get the lowest rate possible:

  • Have good credit – Lendly offers better rates to borrowers with credit scores of 720 or higher. Improving your credit can lower your rate.
  • Provide collateral – Lendly may offer a lower rate if you put up an asset like your car as collateral on the loan.
  • Take a shorter term – Opt for a 2 or 3-year loan instead of 5 years. The rate is often lower for shorter terms.
  • Only borrow what you need – Borrowing a smaller amount may qualify you for one of Lendly’s lower APR tiers. Don’t go too high.
  • Apply with a co-signer – Adding a creditworthy co-signer with good income can result in a lower rate too.

Is Lendly Recommended? The Lendly Loan Reviews

Lendly isn’t right for everyone needing a personal loan these days. But for some borrowers, the convenience of fast funding and easy approvals may be worth the higher costs.

The bottom line is that Lendly loans are best for those with good credit, in need of money fast, and able to qualify for one of the lower advertised rates. But make sure you consider alternatives too.

With the right circumstances and eyes wide open on rates/fees, Lendly personal loans can still be helpful for many out there.

Frequently Asked Questions (FAQ)

How does Lendly make money?

Lendly makes money in a few ways:

  • Interest rates on loans
  • Origination fees charged to borrowers
  • Selling loans to investors and banks

So those high rates and fees aren’t just there for no reason – they are Lendly’s main profit driver.

Is Lendly the same as a payday lender?

No, Lendly is different than payday lenders in a few key ways:

  • Loan amounts up to $50,000 vs payday loans for a few hundred dollars
  • Repayment terms of 2-5 years rather than single pay dates
  • Requires a credit check and underwriting
  • Lower maximum interest rates than payday lenders (though still quite high)

So Lendly loans are a longer-term, higher-amount product than payday loans. But some aspects like high rates are similar.

Is Lendly a direct lender?

Yes, Lendly is a direct lender. They provide loans directly to consumers rather than just referring applicants to other lenders.

Can I get a Lendly loan with bad credit?

It is possible to get a Lendly loan with bad credit, but your chances aren’t great. They recommend a minimum credit score of 550 to 620 for approval. Interest rates above 25% should be expected if approved with poor credit.

If your score is below 600, the only real chance for a Lendly loan is to apply with a co-signer who has good credit. This can help offset your poor credit risk.

Does Lendly do a hard or soft credit pull?

Lendly does a hard credit inquiry when you apply for a loan. That means the inquiry will show up on your credit report and could ding your score a few points temporarily.

They also reserve the right to pull your credit again if needed while underwriting the loan. Multiple hard inquiries in a short period could have a larger negative impact on your score.

Can I get pre-qualified for a Lendly loan?

Yes, Lendly offers pre-qualification to check your potential rates and loan amount with a soft credit check. Pre-qualifying doesn’t guarantee approval but gives you an idea of your chances before a hard inquiry.

Pre-qualification is based on the limited information you provide, so your actual terms may differ once you formally apply. But it’s a useful early indicator.

I hope this detailed post on Lendly loan reviews provides a balanced perspective on the pros and cons of this lender. Let me know if you have any other questions!

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Ellie

I'm Ellie, a freelance writer with years of experience in the loan industry. Based in the United States, I founded cuploan.net, a loan finance blog providing expert advice and insights. I specialize in creating high-quality content promoting financial literacy and consumer rights to ensure fair and transparent lending access.

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