LendingClub vs. SoFi: Which Personal Loan Is Right for You?

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Edited byMorgan Hull
Edited byMorgan Hull

Updated: July 25, 2023

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MoneyGeek collected information about LendingClub and SoFi to help you choose between the two lenders. We strive to keep our information up-to-date to make relevant comparisons of different personal loan lenders. Through these efforts, MoneyGeek remains a trusted source of information, guiding you in comparing the most prominent personal loan lenders in the U.S.

Based on the data we collected, LendingClub and SoFi have their individual strengths. SoFi personal loans waive certain fees and offer unemployment protection. LendingClub, on the other hand, has different types of personal loans to cater to a wide array of your financial needs.

Key Takeaways

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LendingClub is best for borrowers with fair credit scores who need small loans. SoFi may be best for people with good-to-excellent credit profiles who want to avoid fees.

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Your choice of lender determines the rates, loan amounts, repayment terms, fund disbursement, credit requirements and other factors. By researching each lender’s unique terms, you can decide which one best fits your needs and preferences.

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Personal and financial aspects can influence your choice of lender. These include your ability to pay off your loan, your credit score and the features you’re looking for in a loan.

LendingClub or SoFi: Overview

MoneyGeek compiled the pros, cons and key information that you might consider when choosing between LendingClub and SoFi. We found that there are significant differences in their APRs, loan amounts, credit score requirements, repayment terms and fund disbursement.

There may be other factors that can affect your decision since each lender has unique features. For example, LendingClub allows borrowers to change their payment dates and gives them a 15-day grace period. One of SoFi’s most notable features is that it does not have fees.


  • LendingClub

    LendingClub offers several personal loans for borrowers with different financial needs.

    • 7.04% to 35.89%APR Range
    • 600Minimum Credit Score
    • $1,000 to $40,000Loan Amount Range
    • 36 to 60 monthsRepayment Terms
    • Next DayTime to Receive Funds

    LendingClub offers several types of personal loans: balance transfer, emergency, moving, credit card consolidation, funeral, wedding, debt consolidation, home improvement and small loans. All these loans have fixed rates, which means your monthly dues will remain the same throughout your repayment period.

    Your rate will range from 7.04% to 35.89%, depending on your credit score. Although you need a credit score of at least 600, you need a good credit profile to qualify for the lowest rates. This lender is great for borrowers with fair-to-excellent credit. Otherwise, you could face the possibility of having a high APR on your loan.

    The application process for a LendingClub personal loan is fast. Most borrowers receive an application decision within a few hours. Once your application has been approved, funds can be released the next day.


    • No prepayment penalties
    • 15-day grace period for payments
    • Fixed rates offered
    • Wide range of personal loan types offered
    • Allows a one-time or permanent change for your payment deadline


    • Origination fee of 3% to 6%
    • Only two repayment terms available
    • Potentially high APR
    • Loan amount: $1,000 to $40,000
    • Repayment terms: 36 to 60 months
    • Minimum credit score: 600
    • Time to receive funds: Next day


  • SoFi

    SoFi personal loans have no fees and offer unemployment protection.

    • 5.74% to 20.28%APR Range
    • 680Minimum Credit Score
    • $5,000 to $100,000Loan Amount Range
    • 12 to 60 monthsRepayment Terms
    • Two DaysTime to Receive Funds

    SoFi personal loans don’t have added costs, like origination fees, late fees, closing costs or prepayment penalties. This helps you save money on your loan as compared to ones that have several fees. For this reason alone, a SoFi personal loan is a great option for those that meet the lender’s minimum credit score requirement of 680.

    Borrowers also have a built-in level of assurance in case they lose their jobs while repaying their loans. SoFi offers unemployment protection for up to 12 months, which adjusts your monthly dues in three-month increments. It also provides job placement assistance to help you find a new job.


    • No origination fee, late fees, closing costs or prepayment penalties
    • Check your rate within a minute without affecting your credit score
    • Unemployment protection
    • Fixed-rate loans


    • Minimum credit score requirement of 680
    • Co-signers not allowed
    • Loan amount: $5,000 to $100,000
    • Repayment terms: 12 to 60 months
    • Minimum credit score: 680
    • Time to receive funds: Two days

APR Range

APR Range


7.04% to 35.89%


5.74% to 20.28%

The annual percentage rate (APR) reflects the annual amount that you will pay for your loan. It includes the fees and charges attached to your loan. Lenders are required to disclose the APR so that you’re aware of the true cost of your loan. Your credit score, loan terms, payment history and other financial factors affect your APR.

LendingClub’s APR range is 7.04% to 35.89%, while SoFi’s APR range is 5.74% to 20.28%. SoFi has a significantly lower APR than LendingClub. These comparisons matter when you’re trying to assess which lender’s APRs would work best for you, as the APR you receive will be based on your credit score.

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If you have an exceptional credit profile, you might qualify for the lowest rate from SoFi. On the other hand, if you’re not confident about your creditworthiness, LendingClub might be a safer choice.

Having a lower interest rate on your loan means you’ll be paying less for your loan over time. It can help you save money throughout your repayment term, although your APR may also depend on the term you choose.

Creditworthiness and loan terms are just two of the many factors that can influence your APR. Your loan amount and lender of choice’s underwriting process can also impact the APR you receive.

Minimum Credit Score

Credit Score





Your credit score is a significant factor that determines the approval of your loan application. A higher credit score increases your chances of approval, but every lender has different credit requirements.

For instance, borrowers need to have a credit score of at least 680 to qualify for a SoFi personal loan. Meanwhile, borrowers only need a credit score of 600 to get a LendingClub personal loan. Though LendingClub has lower credit score requirements, there are other factors that may influence your application.

A credit score is a measure of your financial stability and responsibility. Your payment history, debt-to-income ratio and your credit history are some of the most important factors that influence your score.

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Borrowers with poor credit scores may still be eligible for a personal loan with LendingClub, as the provider has a minimum credit score requirement of 600.

Lenders that have low credit score requirements permit more borrowers to obtain loans. However, if you have a low credit score, you’ll likely pay more in interest. As a result, you will have to pay more over the life of your personal loan compared to a borrower with a good credit score.

Aside from credit scores, lenders consider other factors, like employment and educational status. Learning more about these factors can help increase the likelihood that you’ll be approved for a loan.

Loan Amount Range

Loan Amount Range


$1,000 to $40,000


$5,000 to $100,000

LendingClub personal loans range from $1,000 to $40,000. SoFi, on the other hand, provides loans of $5,000 to $100,000. Take note, however, that the amount that can be approved for your loan depends on several factors, including creditworthiness.

The better option for you depends on how much funding you need. This is why it’s important to know the purpose of your loan and the amount you need before applying.

Additionally, knowing the loan amount ranges of lenders helps narrow down your options. For example, if you need funds for large expenses, SoFi is the better option since it can give you as much as $100,000 in loans. If you’re only looking for a small loan, LendingClub can give you a loan of at least $1,000.

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SoFi has a more flexible loan amount, but it’s best for borrowers looking to fund larger expenses, rather than those that need small loans. So, if you only need to take out a loan of $1,000, LendingClub could be a better fit for you.

Because of this, it’s best to know your expenses and goals before taking out a loan. It helps you know how much funding you need and which lender to choose, although it’s always better to consider other factors when looking for a loan.

Repayment Terms

Repayment Terms


36 to 60 months


12 to 60 months

Repayment terms refer to the period of time over which you’ll repay your loan. LendingClub offers repayment options from 36 to 60 months, while SoFi personal loans feature repayment terms from 12 to 60 months.

The repayment term you choose impacts your monthly dues. For example, choosing a longer repayment term of 84 months will allow you to make smaller monthly installments, but you may end up paying more in interest since it will take longer to repay.

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SoFi has more flexible repayment terms that are great for short-term and long-term loans. A lender that gives you more options for repayment terms allows you to explore your possible rates and monthly installments. It’s best to consider these terms along with other factors while you’re picking a lender.

In choosing a term, pay close attention to your ability to meet your dues. It might feel great to pay off your loan as fast as possible, but it also means paying more every month.

Time to Receive Funds

Time to Receive Funds


Next day


Two days

Once your loan application has been approved, LendingClub can release your funds the next day. SoFi provides funding relatively quickly, too, with funds typically disbursed after two days. Between the two lenders, LendingClub has faster loan disbursement, making it great for borrowers who need urgent funding.

Since these disbursement periods are based on the average cases for each lender, your fund disbursement time may vary. Factors like an incomplete or incorrect application can affect the disbursement time. Online applications may also be approved faster than in-person applications.

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LendingClub has a faster fund disbursement as it releases the funds the day after approval. Choosing a lender that has a short disbursement time may be a priority for borrowers who need funds quickly.

Situations like emergencies, paying off debts and home repairs may require urgent funds. So, sooner fund release means borrowers can use them as fast as possible. At the end of the day, the disbursement time should be factored in with other features of the loan when looking for a lender.

Final Thoughts

LendingClub and SoFi have their own strengths, depending on what you’re looking for. LendingClub’s personal loans are more accessible because of their lower credit score requirement. It’s also great for borrowers looking for smaller loan amounts.

SoFi personal loans are best for borrowers with good credit who want to save money on fees, especially if they’re taking out large loans. Its repayment terms are more flexible as you have more options to choose from.

It’s important to explore a wide range of factors when looking for a personal loan. These factors come into play based on your personal circumstances. For instance, the differences in APRs may be more beneficial to you depending on your credit score. SoFi’s maximum APR may be more favorable if you have bad credit.

Frequently Asked Questions About Personal Loan Lenders

MoneyGeek answered commonly asked questions to give you more information about factors, application processes and other inquiries about personal loans and lenders.

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?
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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.