Laurel Road Personal Loans Review 2019
Great For: Consolidating Debt, Co-Signers, Good Credit
Laurel Road might be a good fit if:
If you need to take out loans for home improvement, medical expenses or debt consolidation. With an autopay discount, low rates and no origination fees, it can be a financially practical option, particularly for mid- to high-income professionals.
This bank is ideal for people with an annual income over $60,000 and total debt of less than 40% of their income.
In addition, Laurel Road benefits medical and dental professionals with its loan perks unique to those working in the field. It’s also a great choice if you have a cosigner, which improves your chances of qualifying for a loan or getting a better rate. With a minimum required credit score of 680, Laurel Road tends to be best for degree holders with above-average credit.
Laurel Road Loan Rates & Terms
|APR range:||8.01% – 16.30% (with autopay)|
|Available loan terms:||3, 4 or 5 years – monthly|
|Loan amounts:||$1,000 – $45,000|
|Time to fund:||5 days on average|
|Income needed:||Over $60,000|
|Soft Credit Check?||Yes|
|Best for:||Those with good credit, co-signers, home improvement, medical expenses, debt consolidation|
|Click “Check Rates” to pre-qualify and receive a personalized rate.|
» MORE: Other loans for good credit
About Laurel Road
Laurel Road’s prevalence in the financial world makes it difficult to miss if you’ve been looking online for personal loan or consolidation options.
In addition to its personal loan services, it also offers mortgages, consumer and business deposit products. Based in Connecticut, this state-chartered bank has helped thousands of degree-holding professionals consolidate and take out personal loans.
Laurel Road has helped borrowers consolidate over $4 billion in federal and private loans, while maintaining its reputation as a pioneer in the Fintech industry. Founded in 2006, this bank assists customers both online and in-person. Laurel Road simplifies the banking process by providing a seamless digital financing experience while maintaining its bank branches in Darien, Rowayton and Southport, Connecticut.
Its management also has over 115 combined years of financial services experience on its leadership team, a Net Promoter Score over 70, and an average of 19 years of industry experience among its customer service professionals.
Due to its consistent provision of a smooth online lending experience and seasoned customer service, Laurel Road remains one of the top personal lenders for borrowers with above-average credit scores and incomes.
If you’re considering applying for a loan or refinancing from Laurel Road, you’ll need a few things to secure your pre-approval:
- A minimum credit score of 680
- Be a US citizen or permanent resident with I-551 card
- A minimum $60,000 annual income
Laurel Road Personal Loan Review
Interest rates: Laurel Road provides loans with annual percentage rates ranging between 8.01% and 16.30% with a .25 percentage point discount for automatic bank payments. Its loan amounts start at $1,000 with a ceiling of $45,000.
Cost: For loans that don’t include home improvement, debt consolidation and major purposes, the maximum loan amount is $35,000. Its repayment terms start at monthly payments for a five-year repayment term with a maximum of 20 years.
How to Qualify for Laurel Road: Qualifying for Laurel Road requires applicants to pass a soft credit check and have a minimum credit score of 680. In addition, most approved applicants should have an income above $60,000.
Co-Sign Loans: A cosigner can help to ensure loan approval if you don’t meet the credit requirements and can also help with approval of a lower interest rate.
Rate Beat Program: Laurel Road promises to beat any interest rate on a competing offer by a quarter of a percentage point. Applicants who get a lower rate offered to them by another bank and pre-qualify for a personal loan from the company are eligible to submit that competing offer to qualify for the program.
The competing offer must be for a similar personal loan product and applicants must meet the company’s minimum lending requirements.
Rates, Fees: Laurel Road has relatively low fees with no origination fee and no prepayment fees. Late fees amount to whichever comes out to be the least; 5%, or $28.
Loans for medical professionals: Medical professionals may be eligible for higher maximum loan amounts, longer terms and lower rates. If you’re in residency or within 12 months of completing medical training and have a signed contract to practice, you can borrow up to $80,000. APRs are between 5.50% and 9.99% with auto pay and flexible repayment terms up to seven years.
Loan examples: For a borrower with excellent credit (720-850), a $28,000 personal loan with a repayment term of three years and a 5.50% fixed APR carries monthly payments of $849, according to Laurel Road’s personal loan calculator.
How Laurel Road Compares
Laurel Road vs Lightstream
Laurel Road and LightStream share many of the same features, but here are some aspects of LightStream that separate it from Laurel Road:
- LightStream offers lower APRs than Laurel Road for borrowers with stronger credit, starting at 3.34%
- LightStream offers higher loan amounts, with loans up to $100,000
- LightStream has a lower minimum credit score of 660
- LightStream requires several years of credit history
- LightStream funds as soon as the same day
» MORE: LightStream Loans Review
Laurel Road vs SoFi
Here are some of the ways one of Laurel Road’s top competitors, SoFi compares:
- SoFi offers lower APRs than Laurel Road, starting at 6.0%
- SoFi offers loans up to $100,000
- SoFi requires a minimum credit score of 660 or higher
- SoFi typically takes up to seven days to fund
- SoFi is better for borrowers with higher incomes
» MORE: SoFi Loans Review
Laurel Road Pros and Cons
To summarize, let’s take a look at the advantages and disadvantages of taking out a personal loan with Laurel Road:
-If you don’t fulfill all of the credit requirements, a cosigner can help you get approved
-No origination or prepayment penalties
-Easy online application and re-payment system
-Benefits if you’re a medical professional
-Autopay discount is offered
-Only borrowers with high incomes are likely to get the best rates
-The minimum required credit score is higher than its competitors
-Personal loans from Laurel Road aren’t offered above $45,000
Laurel Road For Co-Sign loans
If you do not fulfill all of the credit and income requirements to be approved for a Laurel Road personal loan on your own, a cosigner may help you get approved for a higher loan amount or a lower interest rate. The allowance for a cosigner is unusual to find among similar lenders and is a feature that sets Laurel Road apart from its competitors.
» MORE: Lenders That Accept Co-Signers
Laurel Road is an option with reasonable rates and repayment terms for borrowers who are seeking personal loans for purposes from debt consolidation to home improvement. This company simplifies the borrowing process with an easy online application and a similarly simple internet banking platform. However, if you are looking for a loan above $45,000, Laurel Road may not be the right option for you. Nonetheless, for applicants with excellent credit scores and annual incomes above $60,000 who are looking for a simple lending experience, Laurel Road might be the right choice.