Prosper is America's first peer-to-peer lending marketplace, with more than 1,350,000 members and over $347,000,000 in funded loans. Prosper allows people to invest in each other in a way that is financially and socially rewarding. On Prosper, borrowers list loan requests between $2,000 and $25,000 and individual lenders invest as little as $25 in each loan listing they select. In addition to credit scores, ratings, and histories, investors can consider borrowers’ personal loan descriptions, endorsements from friends, and community affiliations. Prosper handles servicing of the loan on behalf of the matched borrowers and investors.
Prosper Reviews
The WalletHub rating is comprised of reviews from both WalletHub users and ratings on other reputable websites. The rating was last updated on 12/25/2020.
Prosper will lend anywhere from $2,000 to $40,000, to be repaid over a period of either 36 or 60 months. Plus, it’s not especially difficult to get a personal loan from Prosper. The minimum credit score required is 640, which is right at the start of their fair credit rage and below the average American’s credit score. Prosper’s score requirement is also 20 points lower than what many other major lenders ask for.
Loans from Prosper, a WalletHub partner, have a relatively low minimum APR at 7.95%. But Prosper’s maximum APR is 35.99%, which is fairly high. So Prosper is more suited for people with excellent credit, who will be able to secure rates on the low end of the spectrum. At the same time, people with excellent credit can also find deals that are a bit better elsewhere. Prosper charges an origination fee of 2.41% to 5% of the loan amount. There are other lenders that offer both lower APRs and no origination fees.
Prosper Review Highlights:
• Prosper interest rates: 7.95% to 35.99%
• Origination fee: 2.41% to 5%
• Loan sizes: $2,000 to $40,000
• Loan lengths: 36 or 60 months
• Late fee: $15 or 5% of the payment amount, whichever is greater
• Approval/funding timeline: It takes up to 7 business days to get approved, and 1 to 3 business days to get the loan funded after that.
• Prosper credit score requirement: 640+
• Other approval requirements: Applicants should be 18+ years old and a U.S. citizen or permanent resident. They should also have a Social Security number.
• Pre-qualification: You can pre-qualify for a personal loan with Prosper, but you’ll have to create an account on their website first.
• Joint applications: Available
• Trustworthiness: Prosper has an A+ rating from the Better Business Bureau, and around 50 customers have complained to the Consumer Financial Protection Bureau.
Prosper offers average terms but can’t compete with the best offers on the market. Despite this, Prosper has built a large customer base. The company had nearly 950,000 borrowers and loaned $15 billion between 2005 and 2019. Below, you can see how WalletHub rates these loans in our three major categories: Terms, Requirements & Application, and Reviews & Transparency.
DO NOT APPLY! I applied for a personal loan and agreed to ONE hard credit pull and now I am getting alerts that my credit has dropped 15-20 points due to multiple hard credit pulls from Prosper. Additionally, the company definitely should be investigated for falsely advertising. They sent me an email saying I was "approved" for a loan. NOT "pre-approved" or "pre-qualified", "APPROVED". Then, after submitting all my documents and information needed for a hard pull, I find out I wasn't actually approved yet and that everything I submitted was not meant to verify my information, but instead meant to be used for a loan approval process. NOT OKAY!
show more
show less
Product: Prosper Personal Loans
Comment
0
0
Prosper
John Feathers @andyliving
Scam. Confusing victimizing contract. Loan shark. Victimizes low income people. Contacted Attorney General. Charged me hidden interest and fees. A short 3-year $8,000 loan cost me total $19,226. Contract didn't list that!? Now spending $1,000+ on a lawyer. VERY ANGRY!!!
show more
show less
Product: Prosper Personal Loans
Comment
0
0
Prosper
TARA COLLINS @4tncollins
If you ever have to take a personal loan out from Prosper. Please don't! They have a ridiculous interest rate. After you complete the loan agreement, then they say they have a right to keep your bank information on their file for 7 years. This they stated is in the Privacy agreement that you signed when you got the loan. In addition to that on my last payment, they withdrew from my account twice, and have the audacity to tell me, sorry, you will get it back in 10 days after they complete their process. Freaking thieves! I need my money back with interest!
show more
show less
Product: Prosper Personal Loans
Comment
0
0
Prosper
charlesbarkely588 @charlesbarkely588
The origination fee is literally 5% Thats absurd. I will never use them again. Very unpleased with this company. The rate was not horrible, but a little high. The quickness and easiness of the application was not bad.
show more
show less
Product: Prosper Personal Loans
Comment
0
0
Prosper
Kim @kimb_65
Verified Customer
Love their quick and professional service. They funded my loan request within a few days and the funds were available in my bank account shortly after that. I would definitely recommend them to family and friends.
show more
show less
Product: Prosper Personal Loans
Comment
0
0
Prosper
sherrilealane @sherrilealane
Verified Customer
I had a $10,000. loan and was paying on time. Covid hit and I asked for some some time to make smaller payments via email. I never heard from them, never received a past due bill, email or phone call. Then they turned me over to hateful people at Superlative RM debt collector, in the middle of a pandemic! I don't think that's even supposed to happen. All of my other debt is being paid and I called them to ask them to take my account back, so that I can pay them the $3,162.38 that I owe them. They said they can't do it. I paid almost all of my loan and this is how I was treated. I collection agency!! Really! I would like to pay but not paying anyone at Superlative RM. Sharon Lane
show more
show less
Product: Prosper Personal Loans
Comment
0
0
Prosper
jamesf_235 @jamesf_235
I just bought my first house and used my credit cards to buy furniture, kitchen stuff, bedding, bathroom towels, and a washer and dryer. I used prosper to consolidate all of these cards and took three days from start to finish and was funded in one day. Now my credit score will go through the roof since my credit utilization will go to 7%. Thank you prosper.
show more
show less
Product: Prosper Personal Loans
Comment
0
0
Prosper
Cheryl @cherylb_120
Verified Customer
Easy to deal with. A little expensive rate a little high .
show more
show less
Product: Prosper Personal Loans
Comment
0
0
Prosper
Rebecca @sissystone
Prosper is MISLEADING and not professional. Kept getting notifications on my credit report sites and email ads about Prosper for a debt consolidation loan. They said I was pre-approved, and for 3 days I thought I was. Then they tell me they can't verify my income and would not take in consideration funds from my husband that I deposit into my bank account monthly. They said my application was suspended and to try again in 90 days. By then I could probably pay off most of the debts I wanted to consolidate. What a waste of time and now I have the inquiry on my credit report which will negatively affect my credit score.
show more
show less
Product: Prosper Personal Loans
Comment
0
0
+1 user submitted a rating without writing a full review
Prosper offers medical loans through its “Healthcare Lending” division, which works with doctors to provide loans to their patients. But patients can't apply for one of those loans unless their doctor is part of the program. Prosper doesn't really give details on terms, and they only work with doctors in bariatric surgery centers, cosmetic dental offices, cosmetic and plastic surgery centers, and fertility clinics. However, there is a good alternative for people with all kinds of medical bills, and it doesn't require doctor participation.
Prosper offers general personal loans that can be used for just about anything, including medical expenses. With a Prosper personal loan, you can borrow between $2,000 and $40,000 for either 36 or 60 months. Your APR will be somewhere between 6.95% and 35.99%. People with better credit and higher incomes will get lower rates, and you'll need at least a credit score of 640 to qualify at all.
Prosper charges an origination fee of 2.41% to 5%, but luckily it's just built into the APR range. So that range of 6.95% to 35.99% already includes those fees. Once you get your Prosper loan, you can use the funds to pay your medical expenses, then repay Prosper in equal monthly installments. You can also pay the loan off early if you'd like, with no penalty.
If you're interested in Prosper for healthcare lending, it's a good idea to pre-qualify first to estimate your approval odds and rates without affecting your credit. Keep in mind also that you'll need to be at least 18 years old and a U.S. citizen or permanent resident with an SSN to be eligible to apply. To learn more, check out WalletHub's full Prosper loan review.
Prosper has two debt consolidation options: personal loans and home equity lines of credit. Both options allow you to borrow money for any purpose, including paying off old debts, but there are some key differences that make each option appealing to different types of borrowers.
Using a Prosper personal loan for debt consolidation allows you to combine up to $40,000 in debts (after factoring in the origination fee). The loan is not secured by any collateral, and you may be able to get funded in 6 to 9 business days.
Using a HELOC from Prosper to consolidate debt could enable you to borrow larger amounts, depending on how valuable your house is and how much you have left on the mortgage. But the loan is secured by your house and can take weeks to get.
Prosper Debt Consolidation Loan Options Compared
Category
Personal Loan
Home Equity Line of Credit
Collateral
None
Your house
APRs
6.95% to 35.99%
5.33% to 10.75%
Funding
Lump-sum up front
As needed during 10-year draw period
Additional fee
2.41% to 5% origination fee
$75 annual fee
Payoff timeline
3 - 5 years
20-25 years
(10-year draw period; 10 - 15-year repayment period for remaining balance)
Aside from the collateral requirement, the biggest difference between the two types of Prosper debt consolidation options is how the money comes to you.
With a personal loan, you get all of the money upfront and must pay it back over 3 to 5 years.
With a HELOC, you have a certain credit limit that you're able to borrow up to at any time during the designated draw period. But you don't get any money until you actively choose to borrow.
You can borrow as many times as you want within Prosper's 10-year draw period, though, as long as you never exceed the credit limit. So after you're done consolidating your debt and paying that amount off, you could use your HELOC for other things like home improvements or medical bills.