2020 Laurel Road Review – Personal Loans
Laurel Road Review Summary: Laurel Road personal loans are for people with a credit score of at least 660. Laurel Road also offers one of the lowest maximum interest rates on the market, at 16.55%. However, their lowest interest rate is 8.26%, which is pretty cheap but not elite. Therefore, Laurel Road personal loans are best for people in the fair credit range, as other lenders would likely charge much higher APRs. But people with excellent credit scores will likely find 8.01% too high compared to the 6% minimum that some other lenders offer.
Another selling point of Laurel Road personal loans is that they have no origination fees. On top of that, they can be useful for debt consolidation because Laurel Road will lend up to $45,000. One more thing to note about Laurel Road is that they were acquired by KeyBank in April 2019. They still offer loans under the name Laurel Road, but those loans are ultimately serviced by KeyBank. In addition to personal loans, Laurel Road offers student loans, student loan refinancing and mortgages.
Below, we’ll show you how WalletHub rates Laurel Road personal loans in three key categories: Terms, Requirements & Application, and Reviews & Transparency. You’ll also see how they measure up to other lenders’ offers.
Below, you’ll find more information on Laurel Road personal loans and how they measure up to other lenders’ offers.
Laurel Road Bank Personal Loan Terms
|APRs||8.26% - 16.55%|
|Loan Amount||$1,000 - $45,000|
|Loan Terms||3, 4 or 5 years|
|Late Fee||5% of payment (min $28)|
|Minimum Credit Score||Fair*|
|Minimum Income||Not disclosed|
|Loan Purpose||Debt Consolidation, Home Improvement, Big Purchase|
|Time to Receive Loan Money||2 - 30 days|
Laurel Road Rates, Fees & Other Terms
Category Rating: 5/5
Laurel Road rates have a narrow range. They go from 8.26% to 16.55%. While many lenders start their interest rate ranges closer to 6%, few have maximum APRs equal to or less than Laurel Road’s. Therefore, people with excellent credit may want to consider other lenders, but people who just meet Laurel Road’s credit score minimum of 660 will be able to get a great deal. Laurel Road has fixed APRs, so you’ll always have the same rate.
Laurel Road also has no origination fee and does not charge you extra if you pay off your loan early. The only fee they do charge is a late fee of $28 or 5% of the payment amount, whichever is greater.
Finally, people looking for large loans will find plenty of funding with Laurel Road, which offers $1,000 to $45,000 with 3 to 5 years to pay loans off. Because of their low rates and big loans, Laurel Road gets a perfect score in this category.
Laurel Road Personal Loan Requirements & Application Info
Category Rating: 3.8/5
The Laurel Road credit score requirement is 660 or higher, according to representatives from the company. They don’t disclose a minimum income requirement, but you must have a debt-to-income ratio of 43% or less. That means your monthly debt payments can’t be more than 43% of your before-tax income. In order to take out a Laurel Road personal loan, you will also have to be a U.S. citizen or permanent resident and have a Social Security number.
To get pre-qualified for a loan with Laurel Road, click the “check my rates” button on their website. After you enter some personal information, Laurel Road will do a soft pull of your credit to figure out what rates you’re eligible for. Soft pulls don’t hurt your credit. But if you decide to apply for a loan afterward, Laurel Road will do a hard pull, which should cause your score to temporarily dip a few points. You may apply for a personal loan with a co-signer if you wish. You can only submit an application online.
Laurel Road loses a few points in this category for things like their lack of multiple ways to apply and the fact that they won’t accept an ITIN or passport as an alternative to an SSN.
Laurel Road Reviews & Transparency
Category Rating: 4.1/5
- Better Business Bureau: Laurel Road has an A- rating from the bureau but is not accredited. However, KeyBank, which acquired the Laurel Road brand in 2019, has and A+ rating as well as accreditation.
- Consumer Financial Protection Bureau: There are no complaints with the CFPB that specifically mention Laurel Road. But KeyCorp, the parent of KeyBank which now owns Laurel Road, has around 20 complaints regarding personal installment loans. KeyBank acquired Laurel Road in April 2019, and almost all complaints are from March 2019 or prior.
- WalletHub: There is not enough data to assign a user score to Laurel Road, but KeyBank receives 3.4/5 stars across almost 600 reviews.
- Transparency: Laurel Road’s personal loan terms are easily accessible, and customers can check if they’re pre-qualified for a loan. On top of that, Laurel Road’s representatives disclosed the company’s credit score requirements and required debt-to-income ratio, though these are not available on the website.
Because of Laurel Road’s good reputation and clarity about their terms, they receive a good score.
Laurel Road Personal Loans vs. Popular Competitors
Laurel Road Bank
|APRs||8.26% - 16.55%||6.98% - 19.98%||5.99% - 18.72%|
|Loan Amounts||$1,000 - $45,000||$3,500 - $40,000||$5,000 - $100,000|
|Loan Terms||3, 4 or 5 years||12, 24 or 36 months||24 - 84 months|
|Minimum Credit Score||Fair*||Fair*||Fair*|
In order to provide the most accurate review of Laurel Road personal loans, WalletHub used 17 key metrics grouped into three overall sections: Terms, Requirements & Application, and Reviews & Transparency. We rated each section on a scale of 0 to 5, with 5 being the best, and then averaged the scores of the three sections to produce an overall rating for the loan.
- The “Terms” section includes information about how expensive the loan is, including rates and fees. It also takes into consideration how much consumers can borrow and how quickly they must pay it back.
For companies where APR and fee ranges differ greatly by state, we used data from the most populous state serviced by the company. Laurel Road loan terms do not fluctuate significantly by state, however.
- The “Requirements & Application” section examines how easy it is to apply for a loan and how long it takes to receive the money. It also looks at exactly who is eligible to apply.
- The “Reviews & Transparency” section measures the loan provider’s reputation as well as how clearly the lender discloses its terms and requirements. This takes into account user reviews and information from watchdog organizations.
The average of these three scores reflects how close a loan offer is to WalletHub’s definition of a 5-star loan. For more information, please read WalletHub’s full methodology.
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