In this Review..
Opportunity Financial, better known as OppLoans, was established in 2009 and is based out of Chicago. They are an online personal loan provider that specializes in being the alternative to payday loans. OppLoans focuses on giving borrowers the opportunity to move up the credit ladder. They compete with payday loans as the lender of last resort for those with poor credit. They specialize in providing personalized loan services by helping borrowers with poor credit avoid predatory lending.
OppLoans Loan Pros & Cons
As we know, each lender has its own pros & cons – here are the relevant things we found for potential borrowers:
Loan Amount Range
Interest Rate Range
9 to 24 months
0%-3% Varies by state
Late Payment Fee
Up to $15 Varies by state
Returned Payment Fee
Up to $30 Varies by state
Minimum Credit Score
Minimum monthly income
As low as $1,500, Varies by state
Typically 1 day
What Can an OppLoans Personal Loan Be Used For?
OppLoans provides very little information about what their loans can be used for or what their restrictions are. Opploans should be used as a lender of last resort. With such a high-interest rate, OppLoans should be used sparingly; for example, in cases of emergency or if you happen to have terrible credit and cannot get financing through other institutions. OppLoans does list what their loans can be used for auto repair, family needs, rent, medical expenses, to pay off other loans, or for a major purchase.
The OppLoans application process is quick and easy. The application process takes place all online. You begin by clicking, “apply now.” The first page is a simple form to be filled out with basic information about yourself including name, address, phone number, social security number, and date of birth. You also create an account. Then on the second page you will fill out some financial information such as your employer, monthly expenses, and the frequency in which you get paid.
You will then provide the amount you would like to borrow and banking information. OppLoans will then give you some disclosures and submit for your loan. You may need to provide additional documentation verifying information on the application. Many loans are approved and funded within 24 hours.
One thing that OppLoans does differently than most personal loan providers is that they do not actually check your credit report from the big three credit bureaus. They check your report from a company called Clarity Services. They are owned by Experian but they use different data. Clarity Services uses this data to help lending institutions with high-risk borrowers.
OppLoans will never check your credit report with the big three credit bureaus so your FICO score will not be affected when applying with them. OppLoans will also do a scan on your bank account to determine your cash flow.
OppLoans does have some basic requirements. The borrower needs to be employed for at least 3 months and not self employed. They need to have a minimum of $1,500 of monthly gross income, but this varies by state. The borrower needs to have a bank account with 90 days of history. And paychecks must be directly deposited into your checking or savings account.
Alternatives Lenders For Consideration
Here are our 3 choices of lenders which can use as a great alternative to OppLoans personal loan:
This lender is a good option for those with poor credit. Borrowers can use OneMain loans for any purpose, including debt consolidation, home improvements, buying a car, weddings, or personal expenses.
You can apply online or connect to a live loan specialist for a more personalized experience. OneMain also has brick and mortar branches throughout the country.
Loans are accessible to all, regardless of background, but if you have a better credit score, you’re likely to access better rates.
The company also offers fast loan processing. You may receive your loan approval within 10 minutes, with funds deposited in your bank account the same day.
OneMain also offers secured loans. These require security, but they are lower risk, so they offer lower APRs and may be an option for those struggling to qualify.
Upgrade is an online direct lender established in 2017. The company offers both personal loans and lines of credit called “Upgrade Card”. To date, 8 million people have applied for an Upgrade personal loan or Upgrade Card.
According to representatives, Upgrade looks for a credit score of at least 620. However, the company may consider other factors to establish your creditworthiness.
One issue to be aware of is the Upgrade fees. While there is no prepayment fee, Upgrade charges an origination fee of 2.9 to 8% on personal loans. There is also a $10 late payment fee, which applies after a 15 day grace period.
Earnest is a subsidiary of Navient and has been around since 2013. This company offers loans to “financially responsible” applicants. The company offers competitive rates from 5.99% with no fees. You can use your Earnest personal loan for any purpose.
You can take out an Earnest personal loan for amounts between $5,000 and $75,000. However, if you’re a resident in California, the minimum loan amount is $10,000. Earnest offers fixed rates that ranges from 5.99% to 17.24% APR. However, Earnest offers no additional discounts.
Earnest offers loan terms of three, four and five years. There are some qualification requirements for an Earnest personal loan. This includes:
- A minimum credit score of 680
- Proof of consistent income
- History of payments made on time
- No open collections accounts
- No bankruptcy declarations in the last three years.
OppLoans Loan is Best for..
OppLoans is best for borrowers with poor or little credit. They are a good alternative to payday loans, title loans, or constantly having overdraft fees. They may be a good fit for you if you have trouble getting financing through traditional methods.
If you have ok to excellent credit you should look at other personal loan providers. They will have better rates and fees. OppLoans can be used to get out of a financial jam or if you need money quickly.
OppLoans has great customer service and works with poor credit borrowers, helping them up the credit ladder so they can apply for better and more reasonable interest rate loans in the future.