Complaints About Lending Club: What are the genuine reasons?
Mostly people find the services of Myinstantoffer Lending Club the best ones. And fully satisfied with this online peer-to-peer lending company. But complaints about lending club restrict new loan applicants to avail its services.
Some complaints about lending club have some positive aspect while others are genuine. And some complaints are the result of absolute frustration. Therefore, in this post we will examine all the common complaints that borrowers have about the lending club.
You should have the idea that Lending Club is different from other financial institutions. The investors invest money in it which is catered and manages by WebBank. And this bank grants money to the qualified borrowers.
You can apply a loan for the maximum amount of $40,000 which you must pay off in 3-5 years also depending on the lender.
Five latest complaints about Lending Club
Here, we will investigate about the common problems that the borrowers get in while using Myinstantoffer.com Lending Club. Risk factors are more than the allegations but if you successfully come across the eligibility criteria then Lending club approves your loan quickly.
- Loans with large amount are not accepted
This is the most noted complaint about Lending Club. Mostly people refuse to have a loan form Lending Club. As the loan application criteria is hard to meet.
As a beginner you should have the credit score more than 600. And you can’t overlook this aspect if you want a loan of your choice.
Not only your credit score but your income, financial history, loan amount, loan repay capability all factors are to be considered.
And if you miss any of the given condition you will not have the desire loan may also get rejected.
So, after this you can avail the services of any platform other than Lending Club. But keep this in mind only Lending Club gives you the quick loans.
- High Interest Rates
Lending Club charges the minimum interest rate i.e. 7% but it goes up to the maximum 14% if you are unable to manage your finance.
To save your thousands of dollars you should follow these steps:
- Better your credit score
- Don’t apply for large amount of loans that are beyond your needs
- Take short term loans i.e. 36-month instead of 60-month.
- Don’t use credit cards while shopping as it lowers your credit score.
- Costly Loan Repayment
Some individuals are unable to pay off their loan in time as they cannot afford expensive payments. The maximum amount of loan that you can apply for is $40,000 and Lending Club charge $1000 of monthly payment that is usually higher.
Mostly borrowers cannot afford to have such a hug loan payment.
The best way to avoid this type of situation is to take loan as per your requirement or less than that.
- Irritating Customer Service
Most of the time borrowers fail to pay the monthly payment and informed through an email or a phone call.
If the borrower still doesn’t respond or make the payment, Lending Club then accumulates the loan and sends the sum.
For instance, if you don’t receive the telephone call or not reply the email and still misses the payment then Lending Club gives you reminder by sending agents which tell you about the missed payments.
This feature of Lending Club faces severe criticism from the borrowers because from constant reminding they get annoyed.
To handle this situation successfully you need to make the payments on time. If you miss the payment for some valid reason, then deal with it in 2 or 3 days.
- Inaccessibility of Loan in Certain States
Lending Club is not available for the people of West Virginia and Iowa however, it runs successfully in all other American states. If you live in the mentioned areas, then Lending Club services are inaccessible.
Therefore, avail the services of other lending platforms.
Better Business Bureau on Lending Club
The Better Business Bureau maintains that Lending Club is most suitable online lending platform and has given it an A+ rating. Also, Lending Club meets all the standards and certified.
- CBS News opinion about Lending Club
CBS news reports appreciate the loan collection that earned from the borrowers. The reporters don’t agree with the complaints about Lending Club and asserted that both the borrowers and lenders are happy customers.
Complaints recorded on other Websites
Most of the complaint websites are made to harm the repute of any business organization. The users have anonymous names without any authentic source. Some complaints that are observed on such websites are about pre-approval.
Complaints about Lending Club are diverse in nature and varied with the borrowers. If you carefully examine the complaints, you will get to know that its totally borrower’s fault not the organization.
Borrower should read all the terms and conditions consciously before getting the loan.