LoanMe is a lender based in Anaheim, California and was founded in 2013. They offer unsecured personal loans and small business loans.
LoanMe advertises itself as an alternative to short-term lenders because their loans can be paid back between one and 15 years (two to 10 years for their small business loans). Borrowers typically use LoanMe’s loans for one-time purchases and debt consolidation. Making consistent, on-time payments on these loans can also help borrowers rebuild their credit score.
The company touts a fast application process– completely entirely over the internet, phone, and tax– with funds deposited in the borrower’s bank account in as little as three to four hours. LoanMe offers fixed monthly payments and no penalties for paying off loans early.
Note that LoanMe only lends to people who reside (or have businesses) in the following states: Arizona, California, Delaware, Idaho, Kentucky, Missouri, New Mexico, South Carolina, Utah, and Wisconsin.
Here’s a detailed review of LoanMe’s personal and small business loans.
Who is LoanMe designed for?
LoanMe is best for people who need a streamlined loan process and quick access to funds upon approval. The best outcomes happen for applicants with good credit and the ability to make loan payments on time. It’s even better for those who can pay off their loans ahead of time to avoid paying exorbitant interest rates.
The reason this company cannot lend in many states is that the high interest rates violate their usury laws.
However, there are times where this financial product could come in handy. The key is to understand what you are paying for, avoid overextending yourself, and remain compliant with payments.
Personal Loans for Poor and Fair Credit
|Lending Partner||Minimum FICO Score||APR Range|
|No Min||36% – 299%*||Apply|
|No minimum||36% – 199%*||Apply|
|600||15.49% – 34.99%*||Apply|
|600||5.99% – 35.89%*||Apply|
|No Min||35% – 155%*||Apply|
|580||9.95% – 35.99%*||Apply|
LoanMe personal loans
LoanMe offers unsecured personal loans starting at $2,600 up to $100,000, with a maximum repayment term of 15 years.
Rates and fees
As mentioned, LoanMe is licensed to lend in 10 states. Each state has a loan matrix with unique requirements and loan rates. LoanMe indicates that the best loan rates are extended to customers with excellent credit.
Your specific rates and terms will be largely dependent on your income, credit score, state of residence and other underwriting guidelines set forth by the company.
The lender charges a loan fee, which could be a percentage of the loan or a flat-rate fee. There are also late payment and returned payment fees, which are disclosed in the promissory note (lending agreement) you sign before receiving the loan funds.
It is important to read the promissory fine print to understand the ramifications of late or missed payments and the effect they could have on your credit.
Visit our LoanMe review page for current rates and fees.
Approval, disbursement, and repayment
If you are approved, you’ll be sent a promissory note that will include all the terms of the loan: length, fees, APR, and late payment terms. If you submit all required documents and agree to loan terms by 1 PM PST, it is possible to receive your loan funds the same day.
This is best case scenario, as LoanMe doesn’t guarantee this will be the case for every applicant. Payments can be deducted directly from your checking account or via ETF, Western Union Speedpay, or MoneyGram.
Here is a step-by-step process to get pre-qualified and apply for a LoanMe personal loan.
1) Visit the lender’s website and click on “Personal Loans.”
2) This is LoanMe’s home screen. Click “Get Pre-Qualified.”
3) Enter some basic information about yourself and click “See How Much I Qualify For.” Again, this will not affect your credit.
4) If LoanMe’s pre-approval algorithm cannot verify your income, address or date of birth, you’ll get a message saying you couldn’t be matched with a product. There’s an option to call them if you feel like you received the message in error.
If you qualify, you’ll receive a message indicating the loan amounts for which you are qualified (pending verification of your identity and final underwriting review). You’ll also have the option to finish the application process to see exactly how much you qualify for along with related fees– just click “Next” on that screen.”
The documents you’ll need for approval include:
- A bank statement
- Proof of income
- Valid ID (must be at least 18 years old)
5) Give your income information by choosing “Employed (W2),” “Self-Employed (1099),” or “Other.”
6) Review the notices and disclosures, and enter your social security number.
7) Create an account.
8) Review your offer and summary. You will immediately receive an email from LoanMe with some details about your credit score, which they receive from Experian. You will also receive a call from a LoanMe representative.
Loan Me small business loans
LoanMe offers unsecured small business loans ranging from $3,500 to $250,000 with repayment terms between two and 10 years. The lender indicates that their small business loan is ideal for small business owners that cannot be serviced by traditional lending sources like a bank loan or a credit card.
Rates and fees
The annual percentage rate (APR) on these loans start at 24% and go up to 149%. You’ll also get charged an origination fee ranging from 5% to 10% with a minimum of $500. Your rate and origination fees will be largely dependent on your personal credit, business sales, and length of time in business.
Approval, disbursement, and repayment
The minimum loan amount varies by state. There are no hidden fees for prepayment. These loans come with a fixed monthly payment, and funds can be transferred as quickly as the same day you applied.
LoanMe also says that business owners with bad credit can apply for their small business loans. Of course, they cannot guarantee you’ll be approved or that you’ll have the best interest rate, but borrowers with bad credit can still be eligible for a loan.
Here are the starting underwriting requirements for a LoanMe small business loan:
- Business must be profitable and at least two months old
- Proof of income
- Have a business bank account in the name of the business
- The guarantor must have a personal credit rating of 500+
Various types of business are eligible for a small business loan from LoanMe, including sole proprietorships, internet-based companies, and home-based consultants. New businesses can also apply for funding.
Borrowers should know that LoanMe will report monthly loan performance to both personal and business consumer reporting agencies. Payments can be deducted directly from a business checking account or remitted via check, cashier’s check, and ACH.
You can apply for a small business loan with LoanMe directly from the website or by calling a LoanMe representative.
LoanMe loan review
LoanMe, like many emerging online lenders, has a streamlined, no-hassle loan application process. Their quick approval and disbursement process is a plus for people who find themselves strapped for cash for any reason.
However, with this convenience comes a price in the form of higher interest rates, so proceed with caution. Ideally, this kind of loan would help you in a bind and be paid off early to avoid paying excessive amounts of interest.