LendingClub Business Loans

LendingClub Business Loans Review

Lending club is a business financing offering by LendingClub Inc, based in San Francisco, CA. Founded in 2007, LendingClub Inc offers access to small business loans in 49 states (and Washington, DC).

Lending club FAQ

What are Lending club’s rates?

Lending club offers a fixed APR business financing product that ranges from 9.77% APR up to 35.71% APR.

Does Lending club charge an origination fee?

Yes, Lending club charges a loan origination fee of 1.99% to 8.99% of the business loan amount. Lending club deducts the fee directly from your business loan amount before disbursing loan proceeds, so make sure you take this fee into account when deciding how much you need to borrow.

What limitations does Lending club set on the purpose of the business loan?

Lending club considers business loan applications for business purposes, such as:

• Equipment Purchase
• Hiring
• Lease Improvement
• New Location
• Product or Service Expansion
• Working capital

What types of small business loans does Lending club offer?

Not all small business loans are made equal. The type of business loan you choose will determine the range of interest rates and terms you receive. Lending club provides access to the following business loan types:

• Unsecured Term Business Loans

Does Lending club charge prepayment fees?

No, Lending club does not charge prepayment fees. This means you will not have to pay additional fees if you decide to pay the business loan off early.

How much can you borrow from Lending club?

Business loan amounts start at $5,000 and go up to $300,000.

What is the maximum business loan term you can get with Lending club?

Lending club offers small business loans with terms ranging from 12 to 60 months. Having the option of longer terms allows borrowers to take on larger loan amounts while keeping monthly payments more affordable. However, the longer the term of your loan, the more interest you will pay.

What do you need to qualify for LendingClub Business Loans?

LendingClub Business Loans requires companies to be in business for at least 12 months. Businesses must have a minimum annual revenue of $50,000 to be considered.

The Military Lending Act (32 C.F.R. § 232) prohibits lenders from charging service members more than 36% APR on credit extended to covered borrowers. APRs for the LendingClub Business Loans product fall outside of the MLA limits, and as a result, the product cannot be issued to these applicants. Active duty service members and their covered dependents are considered “covered borrowers" under the Military Lending Act.

U.S. citizens and permanent resident / green card holders are eligible to apply for the services offered by LendingClub Business Loans. Not all companies will work with visa holders. LendingClub Inc does offer its services to temporary resident visa holders such as F1 or H1B holders.

To qualify, applicants may need to provide the following documentation:

• Proof of income
• Proof of identity

What is the estimated funding time for a business loan via Lending club?

Lending club can approve (or deny) a business loan application within 1 hour and fund small business loans within 2 business days of approval.

Does LendingClub Business Loans report your account activity to credit bureaus?

Yes, LendingClub Business Loans reports your account activity to the following credit reporting agencies:

• Equifax
• Experian

Making regular on-time payments to a creditor that reports to one or more credit bureaus will demonstrate your financial responsibility and may help improve your credit.