Upstart and LendingClub are two of the most popular online personal loan lenders, but they serve different borrowers and have meaningfully different approval models. Here is a complete comparison to help you decide which is right for your situation.
The Key Difference
Upstart uses AI to evaluate borrowers beyond their credit score — considering education, employment history, and income. This makes it the better choice for borrowers with lower credit scores or thin credit files. LendingClub uses a more traditional credit-based model but allows co-signers, which Upstart does not. LendingClub is better for borrowers with fair-to-good credit who want the option to add a co-signer.
Side-by-Side Comparison
| Factor | Upstart | LendingClub |
|---|---|---|
| Min Credit Score | 300 | 600 |
| APR Range | 6.6%–35.99% | 9.57%–35.99% |
| Loan Amount | $1K–$75K | $1K–$40K |
| Origination Fee | 0%–15% | 3%–8% |
| Loan Terms | 3 or 5 years | 2–5 years |
| Co-signer | No | Yes |
| Funding Time | 1 business day | 2–4 business days |
| Approval Model | AI (education, employment) | Traditional credit-based |
When to Choose Upstart
Choose Upstart if: your credit score is below 600, you have a limited credit history but strong income or education credentials, you need funds quickly (same-day or next-day funding), or you need a larger loan (up to $75K vs LendingClub's $40K cap).
When to Choose LendingClub
Choose LendingClub if: your credit score is 600+ and you want to compare rates, you want to add a co-signer to improve your approval odds or rate, you need flexible loan terms (2–5 years vs Upstart's 3 or 5 only), or you prefer a lender with a longer track record (LendingClub was founded in 2006).
Best choice for scores below 600 or thin credit files. AI-powered approval. Typical APR 6.6%–35.99%, subject to change. Origination fee 0%–15%.
Best choice if you have a co-signer or want flexible loan terms. One of the few major lenders that allows co-signers. Origination fee 3%–8%.
Find Your Best Rate in 2 Minutes
Answer 5 quick questions and see personalized loan offers matched to your credit profile — no credit pull required.
Check My Options →Frequently Asked Questions
Is Upstart or LendingClub better for bad credit?
Upstart is significantly better for bad credit. It accepts scores as low as 300 compared to LendingClub's 600 minimum. Upstart's AI model also considers factors beyond your credit score that may help you qualify at a lower rate.
Does LendingClub allow co-signers?
Yes. LendingClub is one of the few major personal loan lenders that allows co-signers. Adding a co-signer with good credit can significantly improve your approval odds and lower your APR.
Which has lower fees, Upstart or LendingClub?
It depends on your loan. Upstart's origination fee is 0%–15% (can be higher). LendingClub's is 3%–8% (more predictable). For borrowers who qualify for 0% origination with Upstart, it wins on fees. For everyone else, LendingClub's fee range is narrower.
How long does Upstart take to fund a loan?
Upstart can fund loans as fast as 1 business day after you accept your offer. LendingClub typically takes 2–4 business days.