What is the difference between prosper and lending club

Credible Operations, Inc. NMLS , is referred to here as "Credible. Neither lender has the option of a cosigner, but you do have the option of applying for a joint personal loan with another borrower. Compare personal loan rates from LendingClub, Upstart, and other top lenders in 2 minutes. LendingClub was established in and helped pioneer online personal loans and peer-to-peer lending.

Prosper was founded in and was one of the first peer-to-peer lenders in the U. Like LendingClub, Prosper also charges origination fees — 2.

Personal loans can be used for a wide variety of reasons, including home improvement , debt consolidation, and more. NerdWallet does not receive compensation of any sort for our reviews. Read our editorial guidelines. LendingClub might be a better option if you:. Have a co-borrower. Need a small-business loan. Check rates at LendingClub. Prosper might be a better option if you:.

Carry substantial debt. Check rates at Prosper. Shop around to find the best personal loan. Pre-qualify on NerdWallet. On a similar note Dive even deeper in Personal Loans. Explore Personal Loans.

This fee is deducted from your loan amount. The fee is applied when your payment is more than 15 days late. Both lenders allow borrowers who have fair credit scores to qualify, with minimum credit score requirements of Factors other than your credit score, like your ability to repay your loan will also be considered when you apply for a new loan. Prequalifying for a personal loan helps you get an idea of what your APR and terms could be before you submit your application.

Prosper and LendingClub allow you to do this without impacting your credit score. Unfortunately, LendingClub and Prosper do not offer this as an option.

But both lenders allow you to apply for a loan with a co-borrower. A co-borrower is someone who shares equal responsibility for repaying the loan. Even if you qualify on your own, adding a co-borrower who meets all the requirements and has a strong income could help you receive a lower interest rate or larger loan amount. Applying for a personal loan with Prosper instead of LendingClub could also be a better decision if it offers you a lower APR.

Related: Prosper Personal Loans Review. To see which lender offers you a better deal, prequalify for a loan with both lenders. Jerry Brown is a personal finance writer based in Baton Rouge, La. He's been writing about personal finance for three years.

Financial products he enjoys covering include credit cards, personal loans, and mortgages. Jordan Tarver is the assistant editor for loans at Forbes Advisor.

Before joining Forbes Advisor, Jordan was an editor and writer for multiple finance sites, focusing on loans, credit cards and bank accounts. His goal is to create actionable content that enables people to make sound personal financial decisions. When he is not working on personal finance content, Jordan is a self-help author and world traveler who helps people experience the world and discover themselves.

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