Throughout your life, you might need loans for any number of reasons. LendingTree seeks to help match you to the best deal.
You may have seen one of the company’s TV commercials with the tagline “When banks compete, you win.” That’s essentially the model around which LendingTree revolves: Depending on what you need — whether that’s a mortgage loan, personal loan, student loan, or even a credit card — LendingTree finds out a bit about you and matches you to banks that can best help you.
What is LendingTree?
You can acquire loans through LendingTree, but it’s not a lender. Rather, LendingTree is an online marketplace where you can get matched with loan offers.
Essentially, LendingTree works by pointing you toward different lenders. The basic process works like this:
- Fill out an online form. Tell LendingTree the type of loan you’re looking for, as well as basic information about yourself.
- See offers from multiple lenders. You’ll see several offers that are customized to your profile.
- Accept an offer and start working with the lender. When you find a loan offer you like, you’ll be forwarded to a representative with whom you can finish the process.
It doesn’t cost anything to use LendingTree; however, you may need to pay fees assessed by the lender, including processing fees or closing costs.
How does LendingTree make money?
LendingTree isn’t a lender, and it doesn’t make money by offering loans. So, how does the company make money?
As an online loan marketplace, LendingTree makes money by directing you to lenders. Banks find customers through LendingTree, and in turn they pay LendingTree for the referrals.
Keep in mind that you are never under any obligation to pay LendingTree any fee, and you are never required to accept any loan offer you’re presented.
Loans and products you can find through LendingTree
Here’s a quick rundown of what types of loans and products you can find through LendingTree:
With a mortgage loan, you can borrow money from a bank to buy a house. You can find different types of mortgages through LendingTree, including:
- Refinancing: Refinancing means you’re taking out a new mortgage to replace your original one.
- Home loan: If you’re buying a house, you’ll look for this type of loan.
- Home equity loan/line: With a home equity loan or line of credit, you can take out a loan backed by the equity you have in your home.
- Reverse mortgage: A reverse mortgage lets you take the equity you have in your home and convert it to cash.
You may occasionally need to borrow money for an important purpose — perhaps to buy a car or to pay for education fees. At that time, you might take out a personal loan. You’ll find these types of personal loans through LendingTree:
- Debt consolidation: If you’re currently paying off multiple loans, you can take out one loan to pay off all of them. Then you’ll just pay off that one loan.
- Credit card consolidation: Like debt consolidation, you might consider credit card consolidation if you’re paying off debt from multiple credit cards.
- Home improvement: If you need to make repairs or additions to your home, you might consider a home improvement loan.
- Home buying: You can request between $1,000 and $35,000 toward buying a home.
- Major purchase: Maybe you need to make a big purchase like a washer and dryer set. In that case, choose this option.
- Car financing: Loans for car purchases are very common.
- Green loan: With a green loan, you can upgrade your home appliances to energy-saving ones.
- Business loan: A loan you can take out toward business expenses.
- Vacation loan: You can use a vacation loan to finance things like a honeymoon or a long-awaited family vacation.
- Wedding expenses: Weddings can be expensive, and a loan can help you cover costs that you can’t currently pay out of pocket.
- Moving and relocation: You can take out a loan for any expenses you encounter while moving.
- Medical expenses: Medical bills can add up quickly; you can take out medical-expense loans to cover the costs.
LendingTree will show you different credit cards depending on your credit score. The site has cards tailored to these ranges of credit:
- Excellent/good credit (640 to 850)
- Fair credit (550 to 639)
- Poor credit (549 or less)
You’ll also be able to filter cards by different categories, including:
- Balance transfer
- Cash back
- 0% intro APR
- No foreign transaction fees
- No annual fee
You can look for business loans tailored to different types of businesses, such as:
- Sole proprietorship
- S Corporation
- Limited liability company (LLC)
LendingTree offers auto loans for different needs, including:
- New car purchase
- Used car purchase
- Lease buyout
- Boat loans
- RV loans
- Motorcycle loans
You can find a student loan if you’re a new student or need to refinance your existing loan.
If you’d like to find your credit score, you can do so for free through LendingTree. Just like how LendingTree receives commissions for connecting you to lenders, the site makes money from a free-credit-score offer by matching products (like credit cards) to you based on your credit profile.
Things to look out for
Before proceeding with LendingTree, protect yourself by keeping these things in mind:
- You are never under any obligation to follow through with an offer. Offers presented on LendingTree are just that — offers. Browsing on LendingTree does not mean you are locked into taking out a loan, and you can stop using the site at any time without paying anything.
- You can use LendingTree at no cost. LendingTree does not assess fees for you to use its site. However, you may need to pay fees (like closing costs) when you finalize a deal with a lender.
- Expect calls from lenders. When you use LendingTree to look for a loan, your contact information will be passed on to banks. At that point, expect to be contacted by various banks.
Questions? We’re here to help
Looking for loans can be a confusing process, and we’re here to help. Don’t hesitate to contact us anytime if you have any questions!
Frequently asked questions
How do I stop calls from LendingTree?
You can sign up for LendingTree’s Do-Not-Call List here.
How long has LendingTree been in business?
LendingTree was founded in 1996. It was acquired in 2003 by InterActiveCorp, which owns web properties like About.com, CollegeHumor, Investopedia, and The Daily Beast.
Why is LendingTree free?
LendingTree makes money by directing consumers to various lenders. Banks pay LendingTree to reach potential customers. For that reason, LendingTree is free to use for consumers.
Will LendingTree help me if I have bad credit?
LendingTree will find loan options for you even if you have poor credit. Keep in mind, however, that lenders will offer better loan terms for better credit.