Best Egg vs. Upstart: Which Personal Loan Is Right for You?

Updated: October 23, 2023

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Best Egg and Upstart are great options if you want a personal loan to help with debt consolidation, moving expenses or a significant purchase. Both lenders offer next-day funding after loan request approval. However, Upstart is the best option for borrowers with poor credit, while Best Egg is the best option for those with good-to-excellent credit.

MoneyGeek gathered relevant, current data about Upstart and Best Egg personal loans to help consumers choose between the two lenders. We considered interest rates, credit requirements, loan amounts and terms.

Key Takeaways

Best Egg and Upstart are two top-rated personal loan lenders in the U.S. They have comparable rates and terms, although a closer assessment shows Best Egg is a better match for borrowers with high credit scores, while Upstart is best for borrowers with bad credit.

Consider various factors when choosing a lender, including interest rates, repayment periods, credit score requirements and payment terms. Knowing this information will help you make an informed decision.

Most lenders consider the borrower’s credit score, income stability and work experience before approving a personal loan.

WHAT WE’RE GEEKING OUT ON

Best Egg or Upstart: Overview

MoneyGeek compared Best Egg and Upstart loans in terms of their APR ranges, minimum credit score requirements, available loan amounts, repayment terms and fund disbursement times.

Both lenders offer the same maximum loan amount ($50,000) and repayment term (five years), but Best Egg is more stringent on its minimum credit score requirement, which must be 700 or higher. However, if your credit score is less than perfect and you need a personal loan with a lower interest rate, Upstart may be the better option.

Best Egg


  • Best Egg

    Best for borrowers with good credit and stable income

    • 4.99% to 35.99%APR Range
    • 700Minimum Credit Score
    • $2,000 to $50,000Loan Amount Range
    • 36 to 60 monthsRepayment Terms
    • Next DayTime to Receive Funds

    Best Egg has been in business since 2014 and has more than $1 million in funded loans and a 95% customer satisfaction rate.

    Best Egg’s personal loan services include debt consolidation, home improvement, moving loans, credit card refinancing, vacation loans, major purchases, moving expenses, special occasions and baby and adoption.

    Best Egg’s minimum loan amount varies in some states, such as Massachusetts ($6,500), New Mexico and Ohio ($5,000) and Georgia ($3,000). With Best Egg, you can apply for a second loan while paying an existing one. However, your total Best Egg loan balances cannot exceed $50,000. To get approved for a Best Egg loan, you will need a verifiable income, proof of identity and address and a credit score of at least 700.

    Pros

    • Transparent with rates
    • A+ rated with the BBB
    • Offers unsecured and secured loan options
    • Loan amounts start at just $2,000 in most states
    • No prepayment penalty

    Cons

    • Charges origination fee of 0.99%–8.99%
    • High minimum credit score of 700
    • High maximum APR
    • Loan amount: $2,000 to $50,000
    • Repayment terms: 36 to 60 months
    • Minimum credit score: 700
    • Time to receive funds: Next day
    Best Egg

Upstart


  • Upstart

    Best for borrowers with a non-existent or poor credit score

    • 3.22% to 35.99%APR Range
    • 300Minimum Credit Score
    • $1,000 to $50,000Loan Amount Range
    • 36 to 60 monthsRepayment Terms
    • Next DayTime to Receive Funds

    Upstart is an AI lending platform that offers loans to borrowers with low credit scores or no credit history. Founded in 2012, the company has originated $28.6 billion in loans. In most states, the Upstart minimum loan amount is $1,000. However, this varies in Georgia ($3,100), Hawaii ($2,100), Massachusetts ($7,000), New Mexico ($5,100) and Ohio ($6,000).

    Upstart conducts an initial soft credit inquiry to prequalify you and another hard credit inquiry that will impact your credit score if you accept the offer.

    Upstart looks at factors other than your credit score when determining whether to give you a loan.

    Pros

    • Conducts a soft credit inquiry
    • No prepayment penalty
    • Next-day funding available
    • Minimum credit score of 300

    Cons

    • Potentially high origination fees
    • Potentially high interest fees
    • Debt-to-income limit of 45%
    • Loan amount: $1,000 to $50,000
    • Repayment terms: 36 to 60 months
    • Minimum credit score: 300
    • Time to receive funds: Next day
    Upstart

APR Range

Lender
APR Range

Best Egg

4.99% to 35.99%

Upstart

3.22% to 35.99%

APR stands for annual percentage rate, the loan’s interest rate expressed as a yearly rate. A higher APR means you will pay more interest over the life of your loan. The APR may also vary depending on factors like creditworthiness, job history and other financial information.

Best Egg's personal loan APR ranges from 4.99% to 35.99%. On the other hand, Upstart offers variable APRs between 3.22% and 35.99%, depending on one's creditworthiness. Although its maximum loan amounts are the same, Upstart offers a lower minimum.

While getting a personal loan with the lowest APR is preferable, it shouldn't be your only consideration.

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MONEYGEEK’S VERDICT

Upstart’s minimum APR is lower than Best Egg's minimum, making Upstart the winner of this category. Lenders give the lowest APRs to borrowers with the best credit.

However, a low APR shouldn't be your only consideration when shopping for personal loan providers. Other factors, such as the lender’s repayment term, loan amounts and credit requirements, are also important.

Minimum Credit Score

Lender
Credit Score

Best Egg

700

Upstart

300

Best Egg personal loans require a minimum credit score of 700, while Upstart’s minimum is 300. A high credit score will help you get better loan terms with either company.

Credit bureaus assign you a credit score ranging from 300 to 850 based on your credit history. Lenders consider your credit score when determining whether to grant you a loan and setting your APR.

Note that factors like your credit and payment history, outstanding balances, types of credit accounts (credit cards, mortgages and loans) and new applications for credit accounts can affect your score.

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MONEYGEEK’S VERDICT

With a good-to-excellent credit score, your interest rate will be lower, and it will be easier to qualify for the loan. The best option for those with good credit is Best Egg. However, if your credit is less than stellar, Upstart may be your best option, as the company caters to borrowers with no credit history or low credit scores.

Loan Amount Range

Lender
Loan Amount Range

Best Egg

$2,000 to $50,000

Upstart

$1,000 to $50,000

A personal loan amount range encompasses the minimum and maximum amount a lender will offer borrowers. Best Egg and Upstart will lend up to $50,000. Upstart offers a lower minimum of $1,000 compared to Best Egg’s $2,000 minimum.

In addition to loan amount ranges, numerous factors affect your loan amount, including your creditworthiness, the loan's payback term, the loan's purpose and other lender conditions.

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MONEYGEEK’S VERDICT

Best Egg and Upstart offer the same maximum loan amount but provide different minimum amounts. Upstart takes first place in this category because its minimum personal loan amount is lower than Best Egg’s.

Your situation and how you plan to use the funds will determine how much you need to borrow. A larger loan is good for debt consolidation and home improvements, while a smaller loan is suitable for more moderate expenses. Know how much money you need, and only borrow that amount.

Repayment Terms

Lender
Repayment Terms

Best Egg

36 to 60 months

Upstart

36 to 60 months

The repayment term of a personal loan refers to how long a borrower may take to repay it. You can repay Best Egg and Upstart personal loans over a minimum of 36 months to a maximum of 60 months.

Short-term loans may last between 12 and 24 months, while long-term loans can last up to 84 months. Longer payment terms usually come with lower monthly payments but can cost more in the long run. It is in your best interest to get a loan with the shortest payback period and affordable payments. However, your particular situation will determine your ideal payback period.

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MONEYGEEK’S VERDICT

Best Egg and Upstart provide identical loan repayment terms, resulting in a tie in this comparison.

Your credit score can affect the length of your loan's payback period. Your debt-to-income ratio and monthly income will also determine your ability to pay, so lenders often consider those factors when establishing your payback period.

Time to Receive Funds

Lender
Time to Receive Funds

Best Egg

Next day

Upstart

Next day

Both Best Egg and Upstart offer speedy loan disbursement. Conventional lender timeframes might range from a few days to a few weeks. On the other hand, Best Egg and Upstart disburse your borrowed cash the next business day after you sign your personal loan agreement.

Best Egg may be the preferable choice for those with excellent credit who urgently need a loan. Upstart, on the other hand, may be best for those with poor credit. You should also examine factors like APR, loan terms and loan amounts.

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MONEYGEEK’S VERDICT

The sooner a lender disburses your cash, the sooner you can use it, which is important in a financial emergency. Both lenders release funds as soon as the next working day. Although speedy loan disbursement is desirable, it should not be your only consideration.

Final Thoughts

Because of their similarities, choosing between Best Egg and Upstart for a personal loan might be difficult. Both lenders provide the same loan amount maximum and disbursement timeframe.

However, if you have a poor credit score, Upstart will be the better choice. Borrowers with solid credit can also benefit from Upstart's affordable interest rates.

Based on the information provided above, MoneyGeek concludes:

  • Best Egg is ideal for borrowers with good credit who want to take advantage of favorable loan terms.
  • Upstart is perfect for customers who want a lower-interest loan or have bad or no credit.

Frequently Asked Questions About Personal Loan Lenders

MoneyGeek answered some frequently asked questions about personal loans to help you find the right lender for your situation.

What documents do I need to provide to personal loan lenders?
How do I know what my credit score is?
Do lenders conduct a hard inquiry?
Are interest rates on personal loans the same for all lenders?
Do lenders charge fees for personal loans?
What are the advantages of applying for a personal loan online?
Is prepayment allowed on personal loans?

Read More on Personal Loans

sources
Shield Insurance

The content on this page is accurate as of the posting/last updated date; however, some of the rates mentioned may have changed. We recommend visiting the lender's website for the most up-to-date information available.

Editorial Disclosure: Opinions, reviews, analyses and recommendations are the author’s alone and have not been reviewed, endorsed or approved by any bank, lender or other entity. Learn more about our editorial policies and expert editorial team.

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