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Compare Prosper vs. Best Egg personal loans

How a peer-to-peer pioneer and a highly rated online lending platform stack up.

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Anna Serio
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When it comes down to it, Prosper and Best Egg are very similar. Both have simple online applications in addition to comparable rates and loan amounts. Even the eligibility requirements are almost the same. Prosper might be better if you need a large loan. But if you’re looking for funding fast, Best Egg may have the edge.

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First, am I eligible for a loan with Prosper and Best Egg?

Here are the minimum requirements for each lender:

Prosper

  • Credit score of at least 640
  • Not live in Iowa, North Dakota or West Virginia
  • Must be a US citizen or permanent resident
  • Must be over 18 years old

Best Egg

  • Credit score of at least 640
  • Not live in Iowa, Vermont, West Virginia, Puerto Rico or Guam
  • Must be a US citizen or permanent resident

It can also be difficult for self-employed applicants to qualify for a loan from Best Egg.

An overview of Prosper and Best Egg

Here’s how the two lenders stack up in terms of time in business, number of loans funded and more:

Prosper

Founded in 2005, Prosper is one of the first peer-to-peer lenders to set up shop in the US. Since then, it’s funded over $13 billion in loans to over 852,000 borrowers. Prosper specializes in debt consolidation, though you can use your funds for any legitimate purpose.

Instead of providing the money itself, Prosper connects borrowers with investors. The application process is similar to working with a direct lender, though it can take longer for investors to approve your funds.

Best Egg

Best Egg is nearly a decade younger than Prosper, opening its doors in 2014. Since then, it’s funded over $6 billion in loans to over 420,000 customers. It’s an online lending platform that offers personal loans for almost any need, from covering moving expenses to adopting a child.

Its easy-to-use interface is what really sets Best Egg apart from the crowd, and it has the rave customer reviews and industry awards to show for it. Its customer service team also has a strong reputation.

Which offers lower interest rates and better loan terms?

Prosper

  • APR range: 7.95% to 35.99%
  • Loan terms: 36 or 60 months

Best Egg

  • APR range: 5.99% to 29.99%
  • Loan terms: 3 to 5 years

  • Winner: Best Egg

    Best Egg barely wins by offering rates that start and end slightly lower than Prosper. They both have the same two loan terms, however. If you want a different amount of time to make repayments, another provider might be a better choice.

Which comes with fewer fees?

Prosper

  • Origination fee: 2.41% to 5%
  • Late fee: $15 or 5% of the amount due, whichever is greater
  • Insufficient funds fee: $15
  • Check fee: $5 or 5% of the amount due, whichever is less

Best Egg

  • Origination fee: 0.99% to 5.99%
  • Late fee: $15
  • Insufficient funds fee: $15

  • Winner: Prosper

    While Best Egg’s origination fees start lower, they also end higher than what you’d find with Prosper. But the real kicker is the $7 fee that Best Egg charges for each payment if you choose not to sign up for automatic payments.

Aden consolidates his credit card debt

Aden has $10,000 in credit card debt with high interest rates that are quickly adding up. He wants to take out a personal loan to pay off his creditors and have one fixed monthly repayment at a lower rate.

After researching several lenders, he’s narrowed down his options to Prosper and Best Egg. He prequalifies with both and compares his options.

ProsperBest Egg
Loan amount$10,000$10,000
APR11%9%
Origination fee3%2.5%
Loan term3 years3 years

It’s a close call, but he decides to go with Best Egg. The APR and origination fee are both lower, plus he wants to work with a company that has a fast turnaround and strong customer service team.

Which has a better reputation?

Prosper

Prosper is accredited by the Better Business Bureau (BBB) and earns an A+ rating as of November 2018. But customer reviews tell a different story. It only scores 2 out of 5 stars on the BBB site and a 4.1 out of 10 on Trustpilot.

Many customers experienced hiccups with the application or repayment process, with several calling out poor customer service. However, the few positive reviews praised its easy application and quick turnaround time.

Best Egg

Best Egg is also accredited with the BBB and earns an A+ rating as of November 2018. But unlike Prosper, it has stellar customer reviews. Nearly 1,900 BBB reviewers give it an almost perfect rating of 5 out of 5 stars. And it scores a 9.5 out of 10 based on over 1,800 reviews on Trustpilot.

Borrowers were happy with the quality of customer service and how quick and easy it was to get approved. On top of this, Best Egg’s won several awards, including being named #1 in customer satisfaction from LendingTree in 2017.

  • Winner: Best Egg

    Not only does Best Egg have all-around better ratings than Prosper, it’s also won awards for its stellar customer service.

How much can I borrow with each?

Prosper

  • Minimum amount: $2,000
  • Maximum amount: $40,000

Best Egg

  • Minimum amount: $2,000
  • Maximum amount: $50,000

  • Winner: Prosper

    You can borrow slightly more with Prosper than Best Egg, though it’s a close call.

Which can get me money faster?

Here’s how soon you can get your funds with each:

Prosper

  • Typical turnaround time: Up to five business days

Best Egg

  • Typical turnaround time: 1 business day

  • Winner: Best Egg

    While both may be able to get you your funds within a day of approval, online lending platforms like Best Egg have to jump through less hoops than a peer-to-peer lender like Prosper.

See how other top personal loan providers compare

SoFi vs. Best Egg
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Upstart vs. Prosper
LendingClub vs. Prosper
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Best Egg vs. LendingClubSee comparison

Bottom line

In the end, Prosper and Best Egg offer very similar personal loans. Which option is best for you depends on your priorities. Prosper offers larger loan amounts, but Best Egg has a stronger reputation. The only way to truly know how they stack up for you is to prequalify with both.

Not ready to do that yet? Check out our personal loans guide to compare other options.

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