Prosper Loans: 2019 Personal Loan Review - NerdWallet Prosper personal loans review

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Prosper Personal Loan Review -

Prosper is a peer to peer lending company that offers personal loans at low rates. These loans are unsecured, which means you do not have to put up any collateral (like a house or car) that could get taken away if you can’t make payments. Each loan is typically funded by multiple people all over the United States. In this way, Prosper is a marketplace connecting those who need a loan to those who have extra money to lend.

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Won’t affect your credit score.

However, not everybody has had a good experience getting a loan through them. There remain a number of problems that borrowers continue to face.

Six Complaints Borrowers Have When Applying for a Loan at Prosper

Today we are going to explore six problems that borrowers can have at Prosper. If we are aware of these complaints, the process of getting a loan can be much smoother.

Complaint #1: Some Loan Applications are Denied

One of the main struggles you might have with Prosper is getting approved for your loan. Their requirements can sometimes be quite strict. Not only do they prefer you have a good salary and job, but your credit score has to be at least 640 to even be considered for approval.

Solution: A different company called Lending Club is an option. They approve peer to peer loans for some borrowers who are denied one at Prosper. You can read about the difference between Lending Club and Prosper here (Lending Club vs Prosper), but they basically offer the same loan service. It is possible you could be approved at Lending Club even though you were declined at Prosper.

Check your rate @ Lending Club (won’t hurt your credit score).

Complaint #2: Interest Rates Can Be Too High

Sometimes when people get a loan at Prosper, they realize their interest rates are higher than they can afford. This is important to mention. For example, imagine you need a loan for $10,000 and you get approved for a great interest rate of 7%. You would pay $1,150 in interest on a three year loan. However, if your interest rate was higher, perhaps 14%, you would pay $2,300 in interest over three years. $1,150 versus $2,300: a good interest rate can save you thousands of dollars.

Solution: here are four ways you can lower your interest rate:

  1. Improve your credit score. Go to and make sure your report is free from errors. Then do your best to fix any accounts which might be hurting your score.
  2. Only apply for as much as you need. People who apply for the maximum loan amount ($40,000) usually pay the very highest in loan payments. It might be tempting to get a larger loan, but you may pay for it later through high interest rates.
  3. Take out a 36-month (3 year) loan. Many people want a 60-month (5 year) loan, but this can increase their interest rate. If possible, try and stick with a three year loan.
  4. Do not shop around for credit before you apply. Each time you apply for credit your score goes down. If you have recently applied for a loan somewhere else, it might be a good idea to let some time pass (at least six months) before you apply for a peer to peer loan from Prosper.

By doing these four things, you are more likely to get the lowest possible rate.

Complaint #3: Loan Payments Can Be Expensive

Some borrowers have a difficult time paying off Prosper loans because they cannot afford the payments. Many of these loans are for amounts as high as $40,000, which can have payments over $1,000 per month. Obviously many of us cannot afford such a high loan payment.

Solution: Only borrow as much as you need. Do not borrow extra just because you have been approved for it. The more you borrow, the higher your loan payments will be. If you need $10,000 to pay off your credit cards, do not get a loan for $20,000. Take out the exact amount you need and you will be more able to make your monthly payments.

It may also help you set up a budget so as to afford these monthly payments for the full three years of the loan. This article by LearnVest “I Want to Set Up a Budget” can be a helpful place to begin.

Complaint #4: Prosper Calls Too Much

Sometimes a borrower will miss a payment, either by accident or because they cannot afford them. When this happens, Prosper is quick to notify them about it, usually over email or with a telephone call. If they continue to not make payments, Prosper will send the loan into collections. At this point, people will be assigned to contact the borrower and remind them of their payments. As a result, borrowers can get annoyed by the emails and phone calls they receive.

Solution: Be sure to make your payments on time. If you miss a payment, do your best to fix things quickly, communicating your situation to Prosper as honestly as possible. The longer you wait, the more likely your account will go into collections, which will involve even more phone calls than before.

Complaint #5: Loans are Unavailable in My State (ME, IA ND)

The following states do not allow loans through Prosper: Maine, Iowa, and North Dakota. If you live in one of these states, it can be frustrating that you cannot get a loan, but unfortunately there is no way around this. You will have to find a loan elsewhere.

Complaint #6: Is Prosper a Scam Is it Safe

Finally, one of the main questions people have with Prosper is whether or not they are a legit company since few people in the United States have ever heard of them. Is Prosper Marketplace a scam or not Are they a safe place for a loan How can you be sure

Solution: Read the news. Prosper has many positive stories online from trustworthy sites.

Additionally, Prosper has an A rating from the Better Business Bureau (BBB) as well as many security features on their site (like encryption) that should keep your information safe and secure.

Conclusion: Prosper is a Great Option

While some people who get a loan through Prosper have problems, most borrowers have no complaints. Most borrowers are satisfied with the lower payments that Prosper offers, especially compared to the 20% interest rates on their credit cards. If we follow some basic rules, Prosper can be a great option for a loan title 1 teacher loan forgiveness

Read: My step-by-step review of getting a Prosper loan

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It’s free, and you’ll get tools and info that can help you improve your financial health:

**Annual Percentage Rates, terms of loan, and monthly payments presented are estimated and were created based on analysis of information provided by the consumer and available rate information from lenders. While efforts have been made to maintain accurate information, the loan information is presented without warranty and the estimated APR or other terms presented do not bind any lender. Lenders generally have a range of available APRs (for example, a lender’s range might be 2% to 12%) and only borrowers with excellent credit will qualify for the lowest rate available. Your actual APR will depend upon factors evaluated at the time of application, which may include credit score, loan amount, loan term, vehicle information, credit usage and history. All loans are subject to credit review and approval. Additionally, model year, loan-to-value, minimum loan balance mileage, income, debt, etc. restrictions may apply. When evaluating offers, please review the lender’s Terms and Conditions for additional details.

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Prosper Personal Loans Review: My Honest Review SavingJunkie

I knew the rates on loans at Prosper were some of the lowest in the nation, but I was curious to see what interest rate they would offer me. So one Thursday morning I sat on my couch, turned on my computer, and went to their website to see for myself. Their offer was much lower than my credit card, so I accepted it. I finished the application, connected my bank account, and waited. I did not have to wait long. Later that day I received an email that said my loan had been approved.

Two business days later Prosper transferred almost $3,000 into my bank account.

What makes Prosper so special How come their interest rates are so low, and how did I receive the cash so quickly It’s all because Prosper is not a bank. They don’t have big vaults or thousands of employees like Bank of America does. Instead, Prosper operates almost 100% through the internet.

Any money that isn’t spent on buildings and employees is passed over to us, Prosper’s customers, in the form of lower interest rates and faster loan approvals. A lower rate can mean paying thousands of dollars less in interest. Also, the interest rate on a Prosper loan is fixed, meaning it will never go up, even if you make a late payment.

Check your rate
Won’t hurt your credit score.

There were basically four different steps to getting a loan through Prosper, and I have documented these below so you can see what it’s like.

Four Steps to Getting a Loan at Prosper

Step 1: Check your rate

The first thing to do is to click over to Prosper and check what rate they will give you on a loan (many use the SaveWithProsper site).

Checking your rate is super simple. You simply fill out some basic info like your address, yearly income, and the size of the loan you want (up to $40,000). Prosper will then use this info to run a soft inquiry (or a soft credit check) on your credit history to see if you qualify. This soft inquiry will not appear on your public credit report, and it will not hurt your credit score.

Once everything is ready you click the large button at the bottom of the page:

The next page will say if you are qualified for a loan, or if your request has been denied. If you do qualify, an interest rate will be shown. As seen in the graphic below, I was offered an interest rate of 8.39% and an APR of 11.92%. APR is the more important number on this page because it represents the interest rate plus the fee Prosper would charge you to get this loan.

As seen in the graphic above, I can choose to increase my loan size up to $28,000, or change my payback period from 3 years to 5 years. However, I’m going to keep my original loan request for a $3,000 loan paid back over 3 years. If you’re on this page and you like the APR that Prosper has offered you then click one of the “Get This Loan” buttons to continue.

Step 2: Verify your identity with Prosper

On the following page you will give Prosper some additional details about yourself so that they can prove your identity:

It was great how fast Prosper got me this cash. The entire experience, from application to receiving the money, was very smooth.

What are the fees on a Prosper loan

My application was for $3,000. But only $2,850 was deposited into my checking account, exactly $150 less than what I asked for. Why didn’t I get the full amount

Prosper took 5% of my loan as an origination fee ($3,000 x 5% = $150). Borrowers will pay an origination fee between 2.4% and 5%, depending on their credit history. Your fee will be displayed on the Terms Page from earlier, so make sure it is to your liking before you agree to your loan.

Note: if you need a very specific amount of money then you should consider this origination fee before you apply. For example, let’s say you need a loan of exactly $5,000. If you assume an origination fee of 5% then you should ask Prosper for a $5,264 loan. 5 percent of $5,264 is a fee of $264, leaving you with the desired amount of $5,000.

Paying back this loan is pretty simple

Prosper will begin taking payments from your bank account about one month after you receive your loan, and will continue to withdrawal money for the length of your loan (either 3 or 5 years). Helpfully, there are a few ways you can speed up your repayment:

  1. Pay your entire loan off early (no fee). You can pay off your entire balance at any time without a penalty by logging into your Prosper account and clicking the “Pay off loan” link.
  2. Make an extra payment. If you can’t pay off the loan early, this is a great second option. Just login to your account and click the “Make an additional payment” link. There’s no penalty or fee to do this either.

Is Prosper legit Is it safe

There are a lot of scams out there on the internet, so it is normal to wonder if Prosper is a scam. Many people have never heard of this company, so it can be helpful to see some proof that they are a legit company. Here are some recent articles about Prosper in the news:

Review: A fast loan with a low interest rate

Review of: Prosper Personal LoanGetting a loan at Prosper can be a great option. Not only will the interest rate be much lower than a typical credit card, but the rate is fixed. Your interest rate will never go up, even if you make a late payment. Compare that to a credit card with a variable interest rate that can go up or down.


  1. Some of the lowest interest rates in the USA
  2. Interest rate will never go up, even if you miss a payment
  3. Money can arrive quickly
  4. Pay loan off early anytime without a fee


  1. Interest rate vs. APR is confusing and probably not needed. There should be just a single percentage for borrowers to consider.
  2. Uploading or faxing documents to Prosper can be a hassle

Obviously, the best-case scenario is never needing a loan at all. But if you do need a personal loan, you might as well get one with the lowest possible interest rate, like what Prosper can offer. To check your rate, click the link below. It takes just a minute or two fha loan calculator with pmi and taxes

Check your rate

Prosper Review 2019 Are They Worth a Second Look

If you have good credit, you’re a perfect candidate for a personal loan through Prosper’s peer-to-peer lending marketplace. We connect people looking to borrow money with investors. Get low fixed rates without any of the hidden fees and red tape associated with other types of loans. Signing up is quick and easy. And of course, we always keep your personal loan information secure and anonymous.

  1. Once investors commit funds to your loan, your loan will originate and be deposited in your bank account.

That’s it! Your monthly loan payments are fixed and, if you choose, will be automatically deducted from your bank account. There are no hidden fees or prepayment penalties, and your loan’s interest rate will never change.

Looking for a loan to consolidate debt, start a small business, or remodel your kitchen, but find you lack the property or other collateral that some banks might require for such loans Good news: All loans through Prosper are unsecured. You qualify for a loan based on your credit history.

Yes. If you are sure you have bad credit, you may want to consider improving it before you apply. If you are not sure of your credit score, we can help you find out now, for free, with no obligation. You need not have “perfect credit” to obtain a loan through Prosper.

You can get your loan faster by submitting all required information and documents promptly. As we process your loan application, we’ll email you with any additional information you need to provide. You can track the progress on your loan application through our Verification Stage system which indicates how far along we are verifying the information you submitted loan amortization chart

Prosper Personal Loans Review - The Simple Dollar

I was actually very satisfied with this personal loan service up until the last couple of payments. In short, there was a system error on that was blocking my final payment from going through, resulting in 2 late payment fees that were added to the last payment on my loan. These late fees were added while trying to get the issue resolved. took several support tickets, a phone call, delayed ticket responses (if any response at all) from customer service to address this issue, and ultimately their decision was not in my favor. This really soured my experience with the company. I would not use them again.

Avoid Prosper at all costs very deceitful company. the month prior to my last payment i had a balance of $665. it was set to auto pay on the due date. i get an email from them and happened to log on to website and low and behold they increased my balance to $909. i called them for an explanation and get a run around.

I applied for a loan thru prosper, submitted all the documentation and received an email on December 11, 2017 stating that I was approved and my funds would be transferred to my bank account within 4 business days I waited 9 days and finally gave them a call to check the status of my loan only to find out that it was canceled with zero notificatio. I was already approved and a hard credit inquiry was done which lowered my credit score. Stay away from this company, they are a joke, Go to Citizens Bank, Marcus, or Lending Club.

High interest rates, harass you when you never missed a payment. I paid my loan off with a credit card from Wells Fargo that had zero percent interest for 15 months. It's been paid and now I enjoy the rewards having a rewards card. I will never do business with them again.

This company does not have a low interest rate as advertised. My local back gave me 3.5% fixed interest rate for 5 years.

Prosper is a wonderful way to invest in the asset class of consumer credit. I see negative reviews by people who couldn't make the cut for getting a loan. This makes me happy from an investor's perspective. Prosper wants people who will stay employed, pay their loans back, and act somewhat professionally. This asset class of consumer credit continues to grow and I recommend this powerful platform of peer-to-peer lending for anyone looking to diversify their portfolio. I continue to make profit by investing in dozens of upstanding citizens who pass through my stringent filters to get a loan at Prosper.

I have a good credit rating, good income and a solid credit history. Prosper made me feel like some kind of criminal and wasted so much of my time. After going through over 3-weeks of their loan process (and this is after they so-called pre-approved me); I heard nothing from them. So I call to find out what the status of the loan is. I was told it’s not approved. I asked why and they informed me they can’t tell me. I asked to talk with a supervisor because I felt that after all this wasted time, the least they can do is inform me of why they denied me the loan. After being transferred about 4 times, I’m connected with this rude supervisor claiming they could not verify me as an individual. Really His whole mannerism was like I was some kind of con artist. I requested more details on what he was talking about. He stated he’ll send it to me in five days then hung up on me. Their customer service, communication and feedback is HORRIBLE! You would get better treatment from a loan shark in a back alley.

Prosper is by far the worst business I have ever had the displeasure of working with. I am a borrower, and have had to call them every month for something or other. Their customer service reps are always polite but absolutely can't do anything, which isn't their fault, they just don't have the authority. The first month I had to have my bank account changed because I was switching banks. I called Prosper twice prior to the due date to make sure the funds would be pulled from the correct account. They were not, and I ended up with a late fee because they were trying to auto draft from a closed account. The second and third months Prosper had added my bank account to another borrower's account and he was using it to make his monthly payments. So Prosper withdrew around 1,500 dollars in fraudulent payments from my account. Even if they were great before that, the oversight of this issue is absolutely ridiculous. The next month I needed my monthly statements to view the payout total so I could pay them off and be done with this company, but when I clicked on the "statements" page there weren't any there. Of course customer service didn't know what to do, and also weren't able to simply send my statement to me. Not to mention the numerous times my phone call was cut out and I had to start over agian, explaining my situation to the newest customer service agent. Many more small incidents like this one has made this company one of my most frustrating problems. Again, customer service is always polite, but their hands are tied. They have to send all problems to their managers in a different state to be dealt with, so the time it takes to get something small done is absurd. I will never work with them again, nor would I recommend them to anyone. Whatever you do, don't borrow from Prosper.

refused to adjust due date even by a few days to help me organize my repayment schedule. I even agreed to pay lost days interest up front to accomodate this adjustment. wasn't very customer friendly in this matter.
everything else was very good.

The loan application process was quick and simple and I received my load within a week. Better interest rate than other loan companies that I looked into. Thank you Prosper!

The online application process was very easy. The followup item equally easy to forward. Front of process went very smoothly.

I have had a wonderful experience with Prosper and recommend it highly. The process is very clear and quick, and the interface is well thought out. Give it a try if you are looking for a loan!

My experience with Prosper has been great. I only recently found out about them and decided to give them a try. I had accumulated quite a sum of high interest debt, along with one account that I had started with zero interest. I found myself nearing the end of the promotional period. That would mean that interest would accrue from the initiation of that loan, unless it was paid in full. I would have been very difficult without the help I received from Prosper. Prosper has helped me save hundreds of dollars every month, and thousands in the long run. I have acquired a better peace of mind and improved my financial future. I would personally recommend Prosper to anyone with high interest debt. I was worried about attempting to get a personal loan, would I qualify, could it actually help me, or how much effort and time would be involved. I can’t believe how easy and fast it actually was. I just went to their website and everything I needed was right there. It only took a few days to get approved. I never even spoke to anyone. Communication was very simple and I never felt like my time was being wasted. I still have not spoken with anyone, but I know that I can. You can go to Prosper online, or just give them a call. Sincerely,

I was slightly hesitant to apply for this loan, so I did my online research first, which allayed my fears. The application process itself was slightly confusing--I thought that I had done everything necessary, and was waiting for some sort of reply. After a couple of weeks I telephoned to find the status of my application, and was told that I had not submitted all the necessary information. I was not told, however, where on the website I should submit this additional information. Once I figure this out, my loan came through quickly and without a hitch. I am extremely glad that I have a financial relationship with Prosper.

The initial application and submitting the requires supporting documents, was very easy. St no point was it anything like the traditional bank-funded loan process, where one has to go to a specific physical location, talk to a human, get paper documents, and/or sign things after the anxiety of waiting through a decision process; or, at best, going home and coming back whilst awaiting the decision. No, the loan was approved very quickly and funded within a day, and the money deposited directly to our checking account, all without having to talk to a human directly, other than answering the phone and providing some verifying some details with the caller. I cannot emphasize the value of that to us. My wife is autistic, and neither of us drive (we do not even have a car), so having the whole process online and effectively automated is invaluable to us! :)

I say creative because when you need help this is the way to go. When you need to get over one hurdle be creative in getting there with the help of prosper.

The process was quick and easy to understand and I got the money very quickly.

BTW, Is there anyway I can increase the current loan amount Ive had a death of a close friend and need money to fly to the funeral.

Difficult non-transparent review/ underwriting process together with an outrageous origination fee had me payoff my loan within several weeks with borrowings from another more customer friendly lender.

Matthew, We’re sorry to hear about your experience. If you would like to discuss further please reach out to [email protected]

If you need financial help apply at PROSPER, just complete the necessary requirements PROSPER asked, and your money is deposited in your bank account, it's simple, NO HASSLE.

It was the fastest loan process,but to me the service charge fee was too high.because I still have to pay a APR on this loan.i would recommend this service to others anytime personal loan agreement template

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