OppLoans loans are not recommended.
Personal loans from OppLoans come with high interest rates, up to 199%, and very short terms. They can quickly become expensive. OppLoans is marketed as an alternative to payday loans. It’s true that the loans have longer terms, higher loan amounts and may be subject to lower interest rates than traditional payday loans. It’s not a good choice for personal loans, however. OppLoans’ APRs exceed 36%, which is considered predatory by the NCLC. These loans should be considered as an option only if there is no alternative source of funding. Consider other personal loan lenders offering lower APRs.
Let’s suppose you take out an OppLoans installment loan of $2,000 with a nine-month repayment term at 160% APR. You would pay $395.58 per month and $1,560 interest over the nine-month loan period.
Alternatives to an OppLoans Loan
If you are looking for money and have bad credit, there are other options than the OppLoans personal loans. These are some options to consider:
Personal loans for people with bad credit. Personal loans are available to people with bad credit, with lower APRs. Ask the lender if they offer a prequalification before you apply. This allows you to compare terms and find out the best rate.
Most Popular: https://www.basicloan.us/marcus-personal-loans/
Secured loan. Secured personal loans can be backed by collateral so you might have a better chance of qualifying than an unsecured loan. You could lose your collateral if your loan defaults.
You can withdraw from your retirement account. You might also be able borrow from your 401(k), or any other type of retirement account. This is usually considered a last resort but can provide funds for an immediate need. Before you take out the money, make sure to check whether there are any taxes or early withdrawal penalties.
Outside assistance. You may be able negotiate a payment plan or get help from non-profit agencies if you are having trouble paying your bills and living expenses. A friend or relative might be able help you in a difficult situation.
How do you qualify for an OppLoans loan?
OppLoans will not pull credit scores from any of the major credit bureaus. However, it does review data provided by Experian and Clarity Services (a credit reporting agency that collects information about consumers with low credit scores).
OppLoans will examine your application to determine if you are eligible for a loan.
Your employment status. If you are receiving income from the government, you may be required to show proof of employment.
Income details. OppLoans checks that you make at least $1,500 per calendar month before taxes. You will also receive direct deposits (except for New Mexico residents).
- Bank account. A checking or savings account will be required with regular income.
- Financial history. OppLoans will review your Experian and Clarity Services credit reports.
- Location. OppLoans must be able to provide loans in your state.
- Age. To apply for an OppLoans personal loans, you must be at least 18 (or 19 in Nebraska and Alabama).
How to apply for an OppLoans loan
Due to the high interest rates, we don’t recommend OppLoans loans. OppLoans allows you to apply if you have exhausted all other options, are fully informed about the benefits and costs, and still wish to proceed. Although your credit score won’t be affected by your application, you will need to submit some personal information and identifying documents. You can also verify your income by linking your bank account. OppLoans will provide you with the terms of your personal loan and a repayment plan if you are approved. Once you have reviewed the contract and signed it, your funds may be available the next day.