We investigated LendingClub's licensing, security practices, BBB rating, and real customer complaints to give you a definitive answer.
✅ Yes, LegitimateWiseIQ Verdict
6.34%Starting APR
600Min Credit Score
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✅ WiseIQ Verdict
LendingClub is a legitimate, licensed lender. They are registered with state financial regulators, use 256-bit SSL encryption, and are accredited with the Better Business Bureau. While they have some customer complaints (as most lenders do), there are no major fraud patterns or regulatory actions that would indicate a scam.
WiseIQ Expert Tip
Financial decisions made with complete information consistently outperform those made under pressure or with incomplete data. Take time to compare at least 3 options before committing.
Trust Signals We Verified
CFPB Complaint Data — Lendingclub
0.53
Complaints per 1,000 customers
Moderate complaint rate
93%
Complaints resolved timely
2,104
Total CFPB complaints (2024)
Most common complaint type: Charged fees or interest you didn't expect. Data sourced from the CFPB Consumer Complaint Database. Complaint rate calculated using publicly available complaint counts and estimated customer base from company filings. A lower rate indicates fewer complaints relative to customer volume.
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Publicly traded company (NASDAQ: LC)
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FDIC-insured bank (LendingClub Bank)
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BBB Accredited Business, A+ rating
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256-bit SSL encryption
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Founded 2006, over $90 billion originated
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Full-service digital bank since 2021
Things to Know Before Applying
Origination fee of 3% to 8% on all loans
Funding takes 2–4 business days
Maximum loan of $40,000 is lower than some competitors
Rates can be high for lower credit profiles
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Upstart is worth comparing to LendingClub, particularly if your credit score is below 600. Upstart has no minimum credit score, offers loans up to $75,000 (vs LendingClub's $40,000), and funds in 1 business day vs LendingClub's 2–4 days. Check your rate with no credit impact.
Lendingclub has 2,104 complaints in the CFPB database for 2024 — a moderate complaint rate — typical for a lender of its size. The most common complaint type is "Charged fees or interest you didn't expect". 93% of complaints were resolved in a timely manner. View complaints directly →
Who Should NOT Use Lendingclub
Borrowers who want the absolute lowest rate available — Lendingclub is not always the cheapest option for borrowers with excellent credit (720+). Compare with SoFi and LightStream if your score is above 720.
Borrowers who need a co-signer — most online lenders, including Lendingclub, do not accept co-signers on personal loans.
Borrowers in states where Lendingclub is not licensed — verify availability in your state before applying.
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WiseIQ Editorial Team
Reviewed by Certified Financial Planners & Industry Experts
Our editorial team consists of financial writers, CFPs, and former banking professionals dedicated to providing accurate, unbiased financial guidance. All content is fact-checked and updated regularly. Learn about our editorial standards →
Frequently Asked Questions
Is LendingClub a real bank? +
Yes. LendingClub became a full-service FDIC-insured bank in 2021 when it acquired Radius Bank. It is publicly traded on NASDAQ under the ticker LC.
Is LendingClub safe? +
Yes. LendingClub is a publicly traded, FDIC-insured bank regulated by the OCC (Office of the Comptroller of the Currency). They use bank-grade security to protect your information.
What is LendingClub's BBB rating? +
LendingClub has an A+ rating with the Better Business Bureau and is accredited. They have resolved the vast majority of complaints filed against them.
Does LendingClub charge an origination fee? +
Yes. LendingClub charges an origination fee of 3% to 8% on all personal loans. This is deducted from your loan before disbursement.
How long does LendingClub take to fund? +
LendingClub typically funds loans within 2 to 4 business days after approval. If you need faster funding, Upstart funds in 1 business day.
WiseIQ may earn a referral fee from some lenders on this page. This does not influence our editorial ratings or recommendations. Our reviews are independently researched and editorially independent. Updated April 08, 2026.
WISEIQ TOP PICK
Upstart
Personal loans for all credit types · No min. score required
✅ No minimum credit score
✅ AI-powered approval (uses education + work history)
✅ Funds in as little as 1 business day
✅ $1,000 – $75,000 loan amounts
✅ 3 or 5 year terms
✅ No prepayment penalty
⚠️ Origination fee: 0% – 12%
People Also Ask
Lendingclub is a legitimate financial services company. Always verify a lender is registered in your state, check their BBB rating, read recent customer reviews on Trustpilot and Google, and confirm they are FDIC-insured or work with FDIC-insured banks before applying.
Credit score requirements vary by product and lender. Many lenders now use alternative data alongside credit scores to evaluate applicants. Pre-qualifying takes just minutes and uses a soft credit pull that won't affect your score — it's the best way to see if you'll be approved.
Most online lenders can provide a decision within minutes of submitting your application. Funding typically takes 1–3 business days after approval. Some lenders offer same-day or next-day funding for urgent needs.
Common fees to check: origination fees (0–8% of loan amount), late payment fees, prepayment penalties, and annual fees. The best lenders are transparent about all fees upfront. Always calculate the total cost of the loan, not just the monthly payment.
Upstart