About Lender
Avant Loan is one of the leading online lending platforms in the United States. It offers personal loans, lines of credit, and other financial products to consumers with good or bad credit almost entirely online. The platform was founded in 2012 with a headquarters in Chicago, Illinois.
Since then, Avant has established a solid reputation in the online loan market. You may now borrow personal loans and acquire a credit card. As stated by the CEO during an interview with CNBC and many newspaper articles, the company's goal is to reduce fees and barriers that middle-income consumers face when seeking credit. You can get a loan with a FICO score of 580 or lower despite earning $20,000 per year.
Avant provides a convenient and straightforward way for consumers to access cash when they need it. The application process is quick and intuitive, and funding can be deposited into your bank account as soon as the next business day. It also offers flexible repayment terms and a wide range of personal loan amounts, so you can find a loan that fits your specific needs.
Avant offers personal loans with terms ranging from 24 to 60 months, starting at $2,000 and topping out at $35,000, with an administrative fee of 4.75%. Avant already provides standard unsecured and secured consumer installment loans with an Avant twist. All offers on the website allow you to finance your purchase over time with simple, equal monthly payments using Simple Interest and Equal Monthly Payments. Personal loans through their website amortize over time.
Avant offers a user-friendly mobile banking system, despite being a technology company rather than a bank. Through Evolve Bank & Trust, FDIC Member, it serves as a technology-focused financial services organization and a Banking-as-a-Service provider. You can use Avant Banking with Venmo, PayPal, and Cash App by linking your Avant Banking. You can learn more about their credit card and mobile banking in the Additional Services section.
Key Features
Avant is an American online lending platform that offers personal loans to consumers with less-than-perfect credit. Here are some of the key features of Avant:
- Avant-branded credit products. Avant offers personal loans ranging from $2,000 to $35,000 issued by WebBank, member FDIC. Borrowers can use the funds for a variety of purposes, including debt consolidation, home improvement, and unexpected expenses.
- Fast funding. Avant offers a quick online application process, and borrowers can receive a loan decision in as little as 15 minutes. Once approved, funds can be deposited into a borrower's account as soon as the next business day.
- Fixed interest rates. Avant offers fixed interest rates, which means that the interest rate will not change over the life of the loan. This can be helpful for borrowers who want to budget for consistent monthly payments.
- Flexible payment terms. Avant Loan lengths vary from 24 to 60 months, allowing borrowers to choose a payment plan that fits their budget.
- No prepayment penalty. Avant does not charge a penalty for paying off the loan early, which can be a benefit for borrowers who want to save money on interest charges.
- Accessible customer service. Avant offers customer support through phone, email, and chat, making it easy for borrowers to get answers to their questions.
- Credit-building tools. Avant offers a credit education section on its website, which can help borrowers improve their credit scores over time.
Overall, Avant is a solid option for borrowers with less-than-perfect credit who need access to funds quickly. Its fixed interest rates, flexible payment terms, and accessible customer service make it a competitive choice in the personal loan space.
Pros and Cons
Pros
- Range of loan amounts from $2,000 to $35,000.
- Preapproval won't hurt your credit.
- Open opportunity for low-income borrowers (according to an Avant representative, the minimum credit score is 580 as opposed to the average of 600-700).
- Unsecured personal loans are available to individuals with less-than-perfect credit score reports.
- The platform has a mobile app.
- Instant approvals/feedback, minimal waiting periods (as soon as the next business day).
- The credit determination is quick.
- The platform does its funding fast and issues no prepayment fees.
- Excellent customer service stands out for its online experience, mobile app, and range of customer support hours.
Cons
- There is an administration fee.
- The platform doesn't provide a co-borrowing loan opportunity.
- High APR caps with more fees compared to similar lenders.
- The company operates in a few states and is only available there.
- Lack of transparency about eligibility requirements.
Avant is a competitor to other low-credit lenders in its less stringent attitude towards consumers with modest salaries or imperfect credit. However, if your credit is damaged, you are probably unlikely to be accepted for the lowest-rate loan. Consider the advantages and disadvantages to determine which option is ideal for you.
Products
Avant is an online lending platform offering consumers a range of personal loan products. Here are some of the key products offered by Avant:
- Personal Loans. Avant's flagship product is its secured and unsecured loans. These loans range from $2,000 to $35,000, with repayment terms ranging from 24 to 60 months. Personal loans can be used for a variety of purposes, including debt consolidation, home improvement, and unexpected expenses.
- Credit Cards. Avant also offers credit cards to eligible consumers. These cards come with competitive interest rates and no annual fees. Additionally, cardholders can earn rewards points for every dollar they spend, which can be redeemed for cash back or statement credits.
- Installment Loans. In addition to personal loans, Avant also offers installment loans. These loans have fixed payments and fixed interest rates, making them a predictable way to finance large purchases or unexpected expenses.
- Home Improvement Loans. Avant offers home improvement loans specifically designed for homeowners who need to repair or renovate their homes. These loans are typically larger than personal loans and can be used for projects such as roof repairs, kitchen remodels, or new windows.
- Avant offers emergency loans to help consumers who are facing unexpected expenses or financial hardships. These loans can be funded quickly, often as soon as the next business day, and can range from $2,000 to $35,000, depending on the borrower's needs and creditworthiness. Emergency loans from Avant are typically personal loans with fixed interest rates and repayment terms ranging from 24 to 60 months. These loans can be used for a variety of purposes, including medical bills, car repairs, or home emergencies. Additionally, Avant's easy online application process and accessible customer service make it easy for borrowers to get the help they need when they need it most.
- Debt Consolidation Loans. Avant also offers debt consolidation loans, which can be used to consolidate high-interest credit card debt into a single, more manageable monthly payment. These loans typically have lower interest rates than credit cards, making them a smart choice for consumers looking to reduce their overall debt load.
Overall, Avant offers a range of loan products designed to meet the needs of different consumers. Whether you're looking to consolidate debt, make home improvements, or finance a large purchase, Avant's products may be worth considering. Additionally, Avant's easy online application process, quick funding, and accessible customer service make it a convenient option for many borrowers.
Reliability
When it comes to reliability, Avant has a good reputation in the online lending space. The company has been in business since 2012 and has originated over $8 billion in loans to date. Avant is also accredited by the Better Business Bureau and has an A+ rating, which is a testament to the company's commitment to customer service and ethical business practices.
In addition to its strong reputation, Avant uses advanced technology to ensure that its loan application and funding processes are efficient and secure. The company uses 256-bit SSL encryption to protect borrowers' personal and financial information, and it has a robust fraud detection system in place to prevent unauthorized access to its platform.
Overall, Avant is a reliable option for borrowers seeking personal loans or credit cards. The company's strong reputation, commitment to customer service, and use of advanced technology make it a trustworthy choice in the online lending space. However, as with any financial decision, it is important for borrowers to do their own research and carefully consider the terms and conditions of any loan offer before accepting it.
Funding a Loan
Avant loans' funding process might be as quick as the next business day following the approval whenever feasible. Working with an internet lender has many benefits, including that money comes fast and that loan documents are simple. Remember that bank transfer times will vary from one bank to the next.
Loan Conditions
Conditions for the First Loan
- Avant provides loans starting at $2,000 and rising to $35,000.
- Minimum loan amounts in each state vary.
- The loan annual percentage rates range from 9.95% to 35.99%.
- The best APRs go to customers with excellent credit histories.
- Note that your credit score and income influence eligibility for the loans.
- The administration fee is up to 4.75%.
While qualifying for a loan is determined by your state and creditworthiness, Avant's loans have terms of 24 to 60 months of repayment. You can pay your loan back early without a prepayment fee. Paying off your loan early will decrease the amount you'll pay in interest over the life of your loan.
Conditions for Following Loans
You can't get a second loan until your first one is paid off, but Avant doesn't provide very transparent information about their proposal. However, you may refinance it into a larger loan and increase your loan quantity. There is no information on an administration fee changing after the first loan.
Additional Services
In addition to its loan and credit card products, Avant offers a few additional services that can be helpful for borrowers:
- Free credit score tracking. Avant offers free access to borrowers' credit scores and credit reports through its online dashboard. This can help borrowers stay on top of their credit health and identify any errors or inaccuracies on their credit reports.
- Online financial education. Avant provides a range of educational resources on its website, including articles, videos, and tools to help borrowers improve their financial literacy and make informed decisions about borrowing and money management.
- Referral program. Avant's referral program allows borrowers to earn up to $600 for each friend or family member they refer who takes out a loan with the company.
These additional services can help borrowers make more informed financial decisions and manage their finances more effectively. Overall, Avant's focus on financial education and debt management tools sets it apart from many other online lenders and can be a benefit for borrowers seeking to improve their financial well-being.
Avant vs. Upstart
Avant and Upstart are both online lending platforms that offer personal loans to consumers. However, there are some key differences between the two companies:
- Eligibility requirements. Upstart is designed for borrowers with less-than-perfect credit, while Avant focuses on borrowers with strong credit histories. To qualify for an Upstart loan, borrowers typically need a credit score of 300 or higher, while Avant considers borrowers with credit scores as low as 580.
- Loan terms. Avant offers loan terms ranging from 24 to 60 months, while Upstart offers terms ranging from 36 to 60 months. Additionally, Upstart offers the option to defer up to one monthly payment per year, which can be helpful for borrowers who experience a temporary financial setback.
- Interest rates. Avant offers fixed interest rates ranging from 9.95% to 35.99%, depending on the borrower's creditworthiness. Upstart also offers fixed interest rates ranging from 6.50% to 35.99%.
- Loan amounts. Avant offers personal loans ranging from $2,000 to $35,000, while Upstart offers loans ranging from $1,000 to $50,000. This may make Upstart a better option for borrowers who need to finance larger purchases or expenses.
- Funding time. Avant typically funds loans within one business day, while Upstart can fund loans as soon as the next business day.
Overall, the choice between Avant and Upstart may come down to the borrower's credit score, loan amount needed, and preferred loan term. Avant may be a good choice for borrowers with less-than-perfect credit who need access to funds quickly. At the same time, Upstart may be a better fit for borrowers with strong credit who want to borrow larger amounts and have some flexibility in repayment.
Avant vs. Credit One
Avant and Credit One are both finance companies, but they have some key differences:
- Types of Products. Avant offers personal loans and credit cards, while Credit One is a bank that specializes in credit cards. Credit One offers a variety of credit cards to meet the needs of different consumers, including cashback rewards, travel rewards, and gas rewards cards.
- Eligibility Requirements. Avant offers personal loans to borrowers with credit scores as low as 580, while Credit One offers credit cards to consumers with a range of credit scores. However, Credit One cards are generally designed for consumers with fair to good credit, with some cards requiring a credit score of at least 670.
- Fees. Avant charges origination fees on its personal loans, ranging from 0.95% to 4.75% of the loan amount. Credit One credit cards typically come with an annual fee, which can vary depending on the specific card and the borrower's creditworthiness.
- Rewards Programs. Avant does not offer rewards programs on its personal loans, while Credit One credit cards offer a variety of rewards programs, including cash back, points, and miles.
- Credit Reporting. Avant reports borrowers' payment history to credit bureaus, which can help borrowers build credit over time. Credit One also reports payment history to credit bureaus, but some borrowers have reported inaccurate or delayed reporting issues.
Overall, the choice between Avant and Credit One may come down to the borrower's needs and credit history. Avant may be a good fit for borrowers who need a personal loan and are looking to improve their credit score over time, while Credit One may be a better option for borrowers who want to earn rewards on their credit card spending and have fair to good credit. As with any financial decision, borrowers should carefully consider the terms and conditions of any loan or credit card offer before accepting it.
