The online personal loan business is booming and Avant is a major player. It uses sophisticated computer algorithms to make lending decisions where users can borrow between $1,000 and $35,000. Since 2012, Avant has raised over $1 billion in venture capital and credit facilities and issued almost 200,000 loans in 46 states and the UK.
What makes Avant different from Prosper and LendingClub? Instead of relying on individuals and institutions, they assume 100% of the risk for every loan they make. The model is interesting but with so many defaults in the industry, only time will tell if it’s profitable. One big plus is they claim to be able to deposit funds within one business day which is days faster than peer-to-peer lending sites. Exact timing depends on your banking institution and proper verification of your application.
Depending on where you live, APR’s start at 19% and are capped at 36% due to state usury laws. Loans are paid in monthly installments and terms range from 24 to 60 months. Unless you live in the lovely state of Maryland, you never pay additional fees except the interest accrued on your loan. An additional monthly minimum charge only applies in MD.
The deciding factors of an Avant personal loan are similar to other lending institutions including credit, income, and employment history. Some of their customers have FICO scores as low as 600 but it’s impossible to determine if you qualify without applying as each loan is specific to your unique financial situation. Requesting a loan from Avant will not impact your credit score as they do a “soft” inquiry instead of “hard”.
Do you know someone that needs a personal loan? Refer them and receive a $50 gift card after they take out a loan and make the first monthly payment. Visit www.avant.com
for more information. Talk to a loan specialist by calling (800) 712-5407
or emailing firstname.lastname@example.org.