This Avant loan review is for you if you’ve had difficulties getting approved for a private loan, because Avant personal loans might be your best option. Unlike other lenders, Avant has a less strict credit policy, favoring clients with low credit scores from 580.
Avant offers personal loans from $2000 to $35000 at an interest rate between 9.95% and 35.99% APR. The loan terms range from 24 to 60 months. Personal loans from Avant come with a 4.75% administration fee. This means if you borrow $10000, you will only receive $9525 since $475 will be deducted for administration fees.
Avant also gives you a lot of flexibility regarding when and how you pay back your loan. This feature makes Avant a suitable choice for borrowers who can’t afford a typical payment plan. Before we dive deep into this Avant personal loans reviews, let’s explore who they really are.
Table Of Content – Jump straight to the part that interests you most
- Brief About Avant LLC
- Who is Avant Personal Loans For?
- Features and Benefits of These loans
- How the Application Process Works
- Is Avant Trustworthy?
- Avant Vs Other Lenders
- Frequently Asked Questions About Avant Private Loans
Brief about Avant LLC
Avant is an online lender with headquarters in Chicago, Illinois, founded in 2012. The company has distributed over $6.5 billion in loan funds to over 1.5 million customers since its inception.
Avant provides unsecured personal loans that can be used to pay for various costs or consolidate debt. The corporation has licenses to operate in 42 states across the United States.
Avant is a well-known online lender with a positive reputation among its clients. An Avant personal loan can be used to undertake home improvements, pay for major personal purchases, cover unforeseen bills, and consolidate current credit card debt, and much more.
Who is Avant Personal Loans for?
Avant personal loans credit score needed is as low as 580, unlike some prominent lenders who require credit ratings of at least 670. This makes it suitable for people with low credit ratings and those looking to rebuild their credit.
It’s worth mentioning that your APR will be expensive if your credit score is low. Nevertheless, you still get access to a personal loan that can take care of your emergencies.
Except for Colorado, Hawaii, Iowa, Nevada, New York, Vermont, and West Virginia, Avant personal loans are available in all states.
Features and benefits of Avant Personal Loans
Before applying for a personal loan through Avant, you should know the various features. Let’s take a look at 3 of these features.
1. Low credit score requirements: Avant offers personal loans for bad credit for those whose credit rating is not looking good. This feature distinguishes Avant from other competitors because most lenders require borrowers to have an excellent credit score or a score of at least 670.
2. Personal loans refinanced: If you have a personal loan with a higher interest rate, you can use Avant personal loans to refinance your current loan. Some loans come with an APR as high as 49%. So you can take an Avant personal loan to refinance high-interest loans, which means you will be paying less than before.
Not every lender offers a personal loan refinance solution to their clients. This feature makes Avant a viable option.
3. Apps for Android and iOS are available: You can manage your Avant loan account through your web dashboard and an app for iOS and Android devices. You can manage your account, make payments, and receive notifications using the Avant app.
You might be busy and not pay attention to your loan management schedule, leading to defaults and unnecessary late payment fees. But with the mobile app, you will get notifications in real-time to see if there is any action you need to take. So this makes it easy to manage your personal loan with Avant.
Avant Personal Loans Requirements
What Credit Score do you need for Avant? Although Avant does not specify a minimum credit score on its website, most consumers who acquire a loan have credit scores from 600 and above. However, the company also offers personal loans to borrowers with a credit score below 600.
Monthly Income: Avant also requires a monthly salary of $1,200 or more. There are no employment restrictions, although self-employed individuals may be needed to present supplementary documentation as part of their application.
What you can use these loans for: Like all personal loans, Avant loans are intended solely for personal use and cannot be used commercially.
Your residency: Finally, personal loans from Avant are not available in the following states: Colorado, Iowa, West Virginia, New York, Vermont, Hawaii, and Nevada.
You have a current or checking account: You must have either a current or checking account to which your funds will be transferred. If you don’t have an account, you should consider creating one before applying. You can also open an online bank account on Avant that comes with a debit card.
How is the process for getting Avant personal loans
To obtain Avant personal loans, you should take the following steps:
Step 1: Check your rate on the internet:
Fill out the pre-qualify form on Avant’s website to check your rates and receive a preliminary loan offer. Avant will ask for personal information, such as your address, salary, and social security number. Still, it will not run a rigorous credit check at this time. This means you can examine your rate without jeopardizing your credit rating.
Step 2: Accept a loan and submit official paperwork:
Once you have reviewed the loan offers from Avant, you have to choose a suitable offer and fill out the official application. Attach any supporting paperwork that is requested. Avant will conduct a hard credit check from the credit bureau at this stage. This could affect your credit score, but there is no cause for alarm since it won’t be significant.
You may be required to submit extra paperwork such as payslips and bank statements, depending on the information you provide in your Avant loan application. If Avant needs any additional information from you, it will contact you personally. Other paperwork can be submitted through fax, email, or online.
Step3: Wait for a decision:
Wait to hear whether your loan has been accepted or declined. Avant will work with its partner WebBank (the loan originator) to approve or deny your loan application once it has received all of the essential information from you.
Logging onto your dashboard will allow you to check the status of your Avant Loan application and see any tasks that need to be completed.
Step 4: Receive your funds once approved:
According to Avant, if your loan is authorized, the funds are usually electronically transferred into your bank account the next working day.
Is Avant trustworthy?
Avant is a Better Business Bureau-accredited firm with an “A” rating from the BBB, a non-profit organization dedicated to consumer protection and trust. The BBB rates businesses based on their answers to customer complaints, advertising honesty, and company practices openness.
According to the Avant loan reviews on TrustPilot, The company has a 4.7 star rating which is considered high in the industry standards. According to the data, Avant replied to a whooping 98% of all the negative comments they received.
On the other hand, positive BBB scores do not guarantee that you will have a good working relationship with a company. They’re only meant to serve as a starting point for your search for a personal loan provider.
Avant has been the subject of some recent debates. In 2019, the company settled a dispute with the Federal Trade Commission. It was found guilty of illegally asking clients to agree to automated payments from their bank accounts when taking out a loan and making unauthorized credit card charges.
But asking clients to authorize automatic deductions for their payment is not malpractice in our opinion. Automatic deductions always come with good incentives that benefit borrowers more than harm them. Additionally, automatic payments help customers avoid late payment penalties.
How the Loan Stacks Up?
Of course, Avant is not the only personal loan provider for US residents and citizens. So you might want to see how Avant is compared to other personal loan providers in the US.
Avant vs. SoFi
SoFi offers more significant loan amounts ($5,000 to $100,000) but Avant has a lower available amount if you don’t want more than $35000. Its APRs start at roughly 6% with autopay, beating Avant’s lowest rate. Similarly, Sofi’s maximum APRs top out at approximately 20%, while Avant’s rates top out at around 36%. SoFi’s loan periods are considerably extended (two to seven years).
Marcus vs. Avant
Marcus provides lower personal loans than some of its competitors, with loan amounts ranging from $3,500 to $40,000, similar to Avant. Rates start at roughly 7% and go up to around 20%, which is still much lower than Avant’s APRs. Marcus does not impose origination, prepayment, or late fees, and borrowers who enroll in autopay can save 0.25 percent on their APR.
LightStream vs. Avant
LightStream personal loans range in size from $5,000 to $100,000, with APRs starting at less than 3% (for specific loan purposes) for borrowers who enroll in autopay and peaking at slightly over 20%. This means that LightStream borrowers with the most satisfactory credit scores can get substantially lower rates than Avant’s best.
LightStream’s eligibility rules, on the other hand, make qualifying more difficult, whereas Avant has a low minimum score criterion. LightStream loans also have more extended periods than Avant loans, ranging from two to twelve years depending on the loan purpose.
Related Article: Know more about Personal Loans Eligibility and how it is calculated.
Frequently asked questions about Avant private loans.
Is Avant an excellent personal loan option?
Avant has certain advantages, like quick funding and a mobile app. Still, its rates are high, and its loans can come with a hefty administration fee. However, its minimal credit score restrictions are suitable for anyone with fair or weak credit.
What is the minimum credit score for an Avant personal loan?
According to an Avant PR official, the average minimum credit score necessary is 580. On the other hand, Avant caters to customers with credit scores ranging from 500 to 700.
Can I get a personal loan from Avant if I have terrible credit?
Avant’s standard minimum credit score requirement is 580, which is at the low end of the “fair” credit score range. On the other hand, Avant may be willing to lend to those with credit scores as low as 500, which is considered “poor” credit.
Is it true that an Avant personal loan might harm your credit?
Any new personal loan application will necessitate a severe credit check, which may result in a drop in your credit score. Taking out a personal loan, on the other hand, will not harm your credit score in the long run if you manage the loan responsibly and make all of your payments on time.
Avant personal loans are viable for borrowers with fair to bad credit scores. Although they charge an administration fee of 4.75% and an APR of 9.95% to 35.99%, they are still less expensive than other options like payday loans and other lenders.
But if you have a good credit score of above 700, you might want to consider other options because you will get a much lower interest rate.
We hope this Avant personal loans review has been helpful. You can now make an informed decision on whether you would like to try them out or not.