Why You Should Trust Us: How We Rated OppLoans
We rate all personal loan products in our reviews and guides on a 1-5 scale. The final rating is a weighted average that takes into consideration several different categories, some of which are judged more strongly than others. Here are the categories:
- 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)
The weighting is based on the category's influence on your borrowing experience. Rates and fees directly impact the overall cost of your loan, so those are weighted most heavily. Other categories, such as ethics, are still significant parts of the borrowing experience but are not directly tied to a personal loan's terms. This is why they carry less weight on the awarded rating.
See more on how we rate personal loans »
At Business Insider, our reviews are guided by editorial independence, meaning our recommendations and ratings are based on objective criteria, thorough research, and expert analysis. Advertisers do not dictate our content, ensuring our reviews remain transparent and unbiased.
Business Insider's personal finance team compared OppLoans to the best personal loans and concluded that it is a decent lender if you have a low credit score. But with its high interest rates and low loan amounts, you may be better off getting a loan elsewhere or looking for a credit card with a 0% intro APR.
The right personal loan for you depends on your creditworthiness, which will determine the lowest rates you can qualify for.
Pros and Cons
OppLoans Pros
- Minimal additional fees. OppLoans doesn't charge an origination fee, late fee, or prepayment penalty.
- Quick access to funds. Depending on when your loan is approved, you can get your money as soon as the next business day.
- Easier to qualify with poor credit. Many other personal loan companies and financial institutions will turn away people with poor credit, but it offers options for those with bad credit standing.
OppLoans Cons
- High minimum and maximum APR. The lenders ' APR of 160.00% to 195.00% is substantially higher than most other personal loan companies and average personal loan interest rates. For instance, Avant's APR range is 9.95% to 35.99% and LendingClub's range is 7.90% to 35.99%.
- Low maximum loan amount. You'll only be able to take out a small personal loan of $500 to $5,000, though the highest amount of money you're qualified to borrow depends on your state, creditworthiness, income, and ability to repay.
- Not available in all states. OppLoans is only available in 40 states. If you don't live in one of those states, you won't be able to take out a loan with the company. Notably, it isn't available in many Northeastern states including New York, Massachusetts, Connecticut, and Vermont.
Apply for a Personal Loan
160.00% to 195.00%
$500 to $5,000
Undisclosed
Pros
Cons
Overview
OppLoans is best for borrowers with bad credit who need a loan of no more than $500 to $5,000. While its APRs are high, it's a more accessible option compared to the best bad credit loans from mainstream lenders that often require higher credit scores.
You might consider OppLoans a last-resort personal loan lender, as it does not have a minimum credit score requirement for applicants. Instead, they assess eligibility by examining alternative credit data and bank account information. However, because of this, its interest rates are significantly higher than most competitors.
Benefits
OppLoans specializes in providing personal loans to borrowers with low or poor credit, offering loan amounts typically ranging from $500 to $5,000. Repayment terms generally extend from 9 months to 18 months, with fixed monthly payments. While this structure provides a more manageable alternative to payday loans, it lacks the higher loan limits and longer repayment options offered by traditional personal loan lenders.
OppLoans can be used for a variety of purposes including debt consolidation, medical expenses, emergency repairs, and other urgent financial needs. However, these loans are not intended for business use, educational expenses, or any unlawful activity.
How to Apply
- Fill out the OppLoans online application. Start by providing OppLoans with personal information, including your name, email address, date of birth, mailing address, and social security number.
- Verify your income. You'll need to have a checking or savings account and receive paychecks to it by direct deposit. During the application process, you'll provide your account information, which it will use to verify your income.
- Review loan offer. If you're approved, OppLoans will offer a loan with an amount, interest rate, and term aligned with your qualifications. Be sure to understand exactly how much you're paying for the loan, including the interest, and make sure you can afford to make the payments before accepting.
- Sign off on the loan and receive your money. OppLoans says you may receive money in your account as soon as the same day you are approved or the next business day.
Rates and Fees
OppLoans offers personal loans with APRs typically ranging from 160.00% to 195.00%, which is high but still lower than payday loan alternatives.
Repayment terms range from 9 months to 18 months, giving borrowers more time to repay than most short-term lenders. There is no minimum credit score required, making it ideal for those with poor or limited credit histories.
If you're approved and your information is verified before 12 p.m. CT on a business day, you may receive your funds as soon as the same business day.
OppLoans does not charge origination, application, late, or prepayment fees on its personal loans. However, it's important to note that while it doesn't impose late fees, late payments may still be reported to credit bureaus, potentially impacting your credit score.
Customer Experience
Customers generally praise OppLoans for its hassle-free borrowing process. The lender gets an average of 4.5 stars from reviewers on Trustpilot, placing it firmly in the "excellent" category. People say that while the online system is usually sufficient to take out a personal loan, the customer service representatives are also kind and helpful.
Is OppLoans Trustworthy?
OppLoans is considered a trustworthy lender. It's an accredited business with the Better Business Bureau (BBB), where it also receives an A+ grade. This grade reflects a history of promptly responding to customer complaints.
The major stain on OppLoans' record is a lawsuit against its parent company, OppFi, for charging illegally high interest rates in Washington, D.C. The lawsuit was settled in 2021, with OppFi agreeing to pay $1.5 million in restitution to over 4,000 consumers.
Alternatives
LendingClub Personal Loans
7.90% to 35.99%
$1,000 to $40,000
600
Pros
Cons
LendingClub is a solid personal loan provider, especially if you have a lower credit score and want to add a co-borrower to boost your chances of a better rate. However, you could be charged high rates and fees compared to competitors.
LendingClub- Origination fee between 3% to 8%
- You'll get access to your funds within two to four business days
- Loan amount range between $1,000 to $40,000
- Loan terms are between 24 months and 60 months
- Loans made through either WebBank, Member FDIC or LendingClub Bank, N.A., Member FDIC
OppLoans won't charge you any fees, but this comes at the cost of a significantly higher APR than with LendingClub Personal Loan. With OppLoans, you're looking at an APR range of 160.00% to 195.00%, compared with a range of 7.90% to 35.99% at LendingClub.
With LendingClub, you'll pay an origination fee between 3% and 8% of your total loan amount, which will be a part of your overall loan APR. The company may also penalize you if your payment is more than 15 days past due.
OppLoans and LendingClub are both quick lenders, meaning you could receive your funds within one business day of approval. OppLoans has a maximum loan term of 18 months, while LendingClub offers a maximum loan term of 72 months. If you want to spread out your costs over a shorter period, LendingClub might be a better choice.
Avant Personal Loans
9.95% to 35.99%
$2,000 to $35,000
600
Pros
Cons
Avant Personal Loan is a good personal loan provider, especially if you have a lower credit score and need to receive your loan money quickly. Just be prepared to pay a high APR if you do have a low score.
Avant- Loan amounts range from $2,000 to $35,000
- Loan term lengths range between 2 to 5 years
- Administration fee of up to 4.75%, which will be deducted from your loan proceeds when the loan is funded, and late fee that varies by state
- Loans made by WebBank, member FDIC
Avant Personal Loan charges an administration fee of up to up to 9.99%, which is taken out of your loan proceeds when it's funded. You'll also pay a fee if you miss a scheduled payment or if a scheduled payment is returned unpaid. With OppLoans, you won't pay any fees. Avant's APR range is 9.95% to 35.99%, much lower than OppLoans.
Both Avant and OppLoans will typically fund personal loans one business day of approval. Avant offers borrowers up to 60 months. Both lenders will likely get your loan proceeds to you within one business day of approval.
Alliant Credit Union Personal Loans
starts at 8.99%
$1,000 to $100,000
Undisclosed
Pros
Cons
- Loan term lengths from one to five years
- Loan amount range from $1,000 to $50,000
- For a small fee, you can cover death, disability, and involuntary unemployment, protecting you from unexpected events that may make you unable to pay back your loan
While it might not be as easy to qualify for a personal loan from Alliant Credit Union as it is to get an OppLoans personal loan, the interest rates are likely to be much lower. You should also have more flexibility regarding the loan amount.
Some credit unions, like Alliant, make it easy to become a member. Alliant Credit Union offers personal loans of up to $100,000 with a range that starts at 8.99% APR. This makes Alliant an excellent alternative to an OppLoans personal loan.
FAQs
Is OppLoans legit?
Yes, OppLoans is a legitimate lender offering personal loans in 40 states. Founded in 2012 by Todd Schwartz, the company has grown to become a reputable provider in the non-prime lending market. OppLoans maintains an A+ rating and is accredited by the Better Business Bureau (BBB).
How long does OppLoans take to approve a loan application?
OppLoans may take 1 to 5 business days, but funding could be available as soon as the same day.
Does OppLoans do a hard pull on your credit?
OppLoans says it may use credit information from Clarity Services and Experian as part of the application process, but it will neither appear as a hard credit inquiry on your credit report nor affect your FICO score.
Can I get an OppLoans loan if I have no credit history?
You can get an OppLoans personal loan even if you don't have any credit history. You will, however, need a bank account plus regular income that you receive through direct deposit.
What happens if I can't repay my OppLoans loan on time?
If you realize you won't be able to repay your personal loan on time, you should contact the OppLoans customer service by email at payments@opploans.com or by phone at 800-990-9130, Monday through Friday, 7 a.m. to 11:30 p.m. and Saturday and Sunday between 9 a.m. to 5 p.m. CT to explain your situation. It might be able to help you avoid defaulting on the loan.
*Subject to credit approval and verification. Actual approved loan amount and terms are dependent on standard underwriting guidelines and credit policies. Funds may be deposited for delivery to your bank via ACH as soon as the same business day if verification is completed and final approval occurs before 12:00 PM CT on a business day. If approval occurs after 12:00 PM CT on a business day or on a non-business day, funds may be delivered as soon as the next business day. Availability of the funds is dependent on how quickly your bank processes the transaction.
