Finder makes money from featured partners, but editorial opinions are our own. Advertiser Disclosure
Compare LendingClub vs. LendingTree personal loans
When you're not sure which lender to pick, a side-by-side comparison can help guide your choice.
A huge part of the lending process is comparing lenders — after all, it can make an impact on how much you borrow and how much your loan costs. LendingClub and LendingTree are two different services that can get you funding when you need it, but before you dive into either, you’ll want to make sure you know how each works.
Winner snapshot
|
|
|---|---|
| A peer-to-peer lender offering fair rates based on your credit score. | Receive up to five loan offers in just minutes through LendingTree's simple online form. |
| Best for borrowers with good credit looking to check their rates before applying. | Best for comparing multiple offers by filling out one online form. |
| US citizen or permanent resident, verifiable bank account, steady source of income, ages 18+. | Regular source of income, US citizen or permanent resident, ages 18+ |
| $1,000-$40,000 | $1,000-$50,000 |
| Starting at 2 | If you apply during work hours on a business day you can get access to approved funds within 24 hours. |
| 36 months-60 months | 12 months-120 months |
| 600 | 585 |
| 850 | 850 |
| 8.05%-36% | 5.99%-35.99% |
| Fixed | Fixed |
| Not stated | Not stated |
| 3%-6% | Not stated |
LendingTree won three out of five categories. Is this legit?
Yes. Our analysis is based on both providers’ stated APR ranges, loan amounts and listed fees. Reputation is judged from an outside source that gathers user reviews. However, LendingTree is a loan-connection service whereas LendingClub is a peer-to-peer lender. LendingTree’s advertised benefits may not apply to you if you don’t qualify for a specific lender’s terms after you’re connected.
An overview of LendingClub and LendingTree
Despite the similar names, LendingClub and LendingTree aren’t the same company. In fact they’re completely unrelated and offer financing in different ways.
How they’re different
The main difference is that LendingClub is a peer-to-peer lender, while LendingTree is an online lending marketplace. This means that LendingClub relies on investors to fund your loan while LendingTree can help you prequalify for multiple lenders with one application.
However, the rates you get through LendingTree can widely vary depending on which lender you go with. LendingClub rates your creditworthiness using a unique grade system that impacts your origination fee.
How they’re similar
Both lenders have been around for a while — though LendingTree, founded in 1996, has a decade on LendingClub.
Both also allow you to apply with a cosigner to get a better rate or help meet eligibility requirements.
What are the eligibility requirements?
LendingClub
- Have a credit score of at least 660
- Have a steady source of income
- Be a citizen or permanent resident of the US
- Not a resident of Iowa or West Virginia
LendingTree
- Have a steady source of income
- Be a citizen or permanent resident of the US
Other requirements vary by lender, but provided you have decent credit and meet these two criteria, LendingTree may be able to connect you with a lender.
Which offers lower interest rates?
LendingClub
When you apply, LendingClub assigns your application a “Loan Grade” of A1 to G5 based on your credit that it uses to determine your APR and origination fee. Because of this, LendingClub’s APR ranges from 8.05% to 36%.
LendingTree
Because LendingTree aggregates loans from many different companies, it doesn’t advertise a set APR range. Its network of providers is extensive — with LendingClub included in the mix — so you’ll have to see which provider you’re matched with to know your potential APR.
- Winner: LendingTree
LendingTree has LendingClub within its network, which means you could potentially have the same APR. And because there are other providers within LendingTree’s network, you also have the opportunity to receive a lower APR than those provided by LendingClub.
Which comes with fewer fees?
LendingClub
LendingClub has a wide range of fees that may apply to your loan. At the base, it has an origination fee between 1% to 6% based on your loan grade. If you’re more than 15 days late on a payment, you’ll be charged either 5% of the amount due or $15, whichever is greater. And if you choose to pay by check, you’ll face another $7 processing fee.
LendingTree
LendingTree doesn’t charge a fee to use its service. However, the lenders in its network may have a variety of fees. You may be stuck paying more fees than with LendingClub, or you might not have to pay any fees at all.
- Winner: LendingTree
LendingTree has lenders in its network that don’t charge an origination fee or high late fees. But you might be connected with a lender that does.
Case study: Hugo looks to expand his home
Picture this scenario. Hugo and his son have just adopted a fairly large Saint Bernard. With the new addition to the family, Hugo finds that his current space doesn’t quite fit his needs.
Luckily, Hugo already planned renovations to open up his house a little more. To take out a non-load-bearing wall, it’s going to cost Hugo about $3,000. Since Hugo has to get a loan for the home renovation, he decides to look into LendingClub and LendingTree.
LendingClub | 6.34% – 35.89% | An origination fee of $30 to $180, depending on loan grade | Application takes a few minutes to complete, but you can also check your rates without affecting your credit. |
LendingTree | Varies by lender | Varies by lender | A simple application can get you up to five offers from different lenders. |
Hugo reviews the facts and decides to go with LendingTree, since LendingClub is part of LendingTree’s network. This way, he has a chance of getting LendingTree’s decent rates while also having the ability to compare it against other lenders that might offer a better deal.
Which has a better reputation?
LendingClub
LendingClub has mixed reviews as of December 2018, but many are negative. Only 14 people have left a review on Trustpilot. Half rate it with five stars while the other half gives it one star, leaving LendingClub with a solidly mid-range score of 5.3 out of 10. And while it’s accredited by the Better Business Bureau (BBB), It has a B rating and the majority of its reviews are negative.
LendingTree
With over 6,500 reviews, LendingTree holds an excellent score of 9.1 out of 10 on Trustpilot. But unlike LendingClub, it isn’t accredited by the BBB. It still has an A- and more intermediate reviews, but because there are so many, you might have some trouble sifting through to find the places LendingTree really shines and the places it falls short.
- Winner: LendingTree
LendingTree has a significantly higher review presence than LendingClub. The higher rating from those reviews also helps LendingTree surpass LendingClub for this category.
How much can I borrow with each lender?
LendingClub
LendingClub offers personal loans from to to its borrowers.
LendingTree
With 46 lenders offering personal loans in its network, LendingTree offers a broad variation of minimum and maximum terms.
- Winner: Tie
While LendingTree has a network of lenders that can offer large personal loans that surpass LendingClub’s maximum limit, there’s no guarantee that you’ll be paired with one of those lenders. In this case, it may be better to apply with both to see what kind of preapproval offer you receive.
Which lender can get me money faster?
LendingClub
You can complete the application in just a few minutes and receive funding in as little as a few business days.
LendingTree
LendingTree claims that it can get you the funding you need in as little as 24 hours, but you have to qualify.
- Winner: Tie
LendingTree’s marketed 24-hour turnaround time is hard to beat, but that’s not a guaranteed funding speed. Most borrowers probably won’t be connected with an eligible lender that can process an application and provide funds the next day. And since LendingClub’s turnaround time of just a few business days is shorter than most competing direct lenders, you may actually get your money faster through it.
Bonus round: Which lender offers risk-free quotes?
LendingClub
LendingClub allows borrowers to check which rates, terms and loan amounts they might qualify based on a soft credit pull, which won’t affect your credit score. However, if you continue with your application, LendingClub will eventually conduct a hard credit inquiry that may impact your credit
LendingTree
LendingTree also allows borrowers to prequalify with multiple lenders based on a soft credit pull that has no affect on your credit score. And while LendingTree never conducts a hard credit check itself, your lender likely will if you continue with your application.
- Winner: Tie
Both LendingClub and LendingTree offer ways to find out which rates you might be eligible for without hurting your personal credit score.
What other types of loans do these lenders offer?
Both of these lenders offers several financing options in addition to personal loans.
LendingTree
- Car loans
- Student loans
- Business loans
- Home equity loans
- Mortgages
Neither standing out? Compare more personal loan options
1 – 6 of 6
Bottom line
At the end of the day, there are many similarities between LendingClub and LendingTree. As a direct lender, LendingClub has a fair system for breaking down APR qualification and origination fees. It can be a good choice if you’re looking to work with one company for the duration of your loan.
If you want to shop around without having to compare lenders and complete multiple applications, LendingTree might be a better solution. However, although LendingTree includes more than 40 personal loan lenders in its network, it only shows you offers from a maximum of five of those lenders. This can limit your results, meaning you may not get the best deal.
Before you borrow, learn more about how peer-to-peer lending works and take a look at other personal loan connection services so you can be sure you’re getting the best available deal on your next loan.
See how other top lenders compare
SoFi vs. Prosper | |
SoFi vs. Best Egg | |
SoFi vs. LendingClub | |
Prosper vs. LendingClub vs. Upstart | |
Upstart vs. Prosper | |
LendingClub vs. Prosper | |
Prosper vs. Best Egg |
Frequently asked questions
More guides on Finder
-
Best short term personal loan providers
Compare 6 top personal and installment loan providers that offer short and small lending options.
-
OneLoanPlace connection service review
A simple online form to find lenders — but it lacks specific information to help guide your choice.
-
BHG Money personal loans review: An option for professionals needing high loan amounts.
Bankers Healthcare Group isn’t just for licensed healthcare workers. Compare large loans up to $200,000 with this legit online lender.
-
Universal Credit personal loans review: Borrow up to $50,000, but you’ll pay an origination fee.
It may be owned by a top lender, but that doesn’t mean it’s upfront.
-
Worst drivers by state in 2021
TBH, we’re a bit surprised.
-
Lenme peer-to-peer lender review
Lenme connects borrowers to investors through its simple app.
-
Lendtable cash advance for 401(k) matching review
This lender offers cash advances to up your employer’s 401(k) or ESPP contribution for a flat fee starting at 6% of your returns.
-
How to finance water storage tanks
Options for everything from small tanks that fit under your sink to complicated underground installations.
-
Americor Debt Relief review
This debt settlement company doesn’t have many details online, but it’s highly rated.
-
Deferred-interest loans
You could get a no-cost loan — or pay more than you would have with another lender.
Ask an Expert