Best Egg Personal Loans Review 2021: Fast Funding and Good Customer Reviews
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Since its founding in 2014, Best Egg has provided more than $11 billion in unsecured personal loans to customers across 47 states. The lender has an A+ rating with the Better Business Bureau (BBB) and has excellent customer reviews on its BBB page.
While borrowers may qualify with a credit score of 640, they’ll need a FICO score of at least 700 and a minimum income of $100,000 a year to get the best rates. Those who qualify may borrow up to $50,000 (exact loan limits may vary by state) to pay for just about any type of expense, from debt consolidation to credit card refinancing and funding big expenses.
After applying online, you’ll find out whether you’re approved within minutes — and the lender says about half of its customers get their funds the very next day. Here’s what to know about Best Egg before applying for a personal loan.What to Know Before Getting a Personal Loan
A personal loan is a catch-all financial product that can help you quickly access cash. But before applying, it’s important to figure out how you’ll use the personal loan funds, whether your budget can fit a monthly personal loan payment, and how you’ll pay off the balance.
When you’re ready to shop for loans, compare interest rates, loan amounts, loan terms, and any fees that may apply, such as origination fees. Some lenders will let you pre-qualify for a loan or check your rate with only a soft credit inquiry, which won’t affect your credit score. Keep in mind: The rate you receive may differ slightly from the advertised rates because rates and loan terms are based on your financial and credit profile.
Most personal loans are unsecured, which means you won’t need to put down collateral to qualify for the loan. Secured loans may offer lower interest rates, but they come with more risk because you could lose your collateral if you fall behind on payments.Alternatives to Personal Loans
Personal loans can be a great way to pay for major expenses or consolidate debt, but they’re not your only option. Consider these alternatives and weigh your options:A home equity loan, home equity line of credit (HELOC), or a cash-out refinance. These financing methods allow homeowners to borrow money by tapping their home equity. Because these loans are secured by the borrower’s home, interest rates are usually lower than rates on an unsecured personal loan. You also might be able to borrow more with a home equity loan or line of credit compared to a personal loan. But there’s a pretty big drawback as well: If you fall behind on payments, the lender can start foreclosure proceedings and take your home.A balance transfer credit card. Some credit cards offer introductory annual percentage rates of 0% for a set amount of time, usually 15 to 18 months. The interest rate typically rises once the promotional period ends. This could be a good option if you want to consolidate debt and pay down the balance over time without paying interest. But it’s important to create a plan to pay off the balance before the end of the introductory period. Otherwise, you’ll be on the hook for higher credit card APRs. Personal savings. If your money needs aren’t urgent, consider saving for your big purchase over time. Paying in cash won’t ding your credit, and you also won’t have to pay interest as you would with a personal loan. Building an emergency fund can help you avoid needing to take out loans to cover unexpected expenses in the future. Credit counseling. Credit counseling could be a good option if you don’t qualify for a personal loan and you need help managing your finances. Look for a nonprofit organization that offers free or low-cost credit counseling to get you back on track. These organizations won’t provide you with money directly, but they can provide expert financial advice and direct you to other resources that may be able to help.Pros and Cons of Best Egg Pros
Funds loans within one to three business days
Rates are competitive among fair-credit lenders
You can check your rate without impacting your credit scoreCons
Charges an origination fee of 0.99%–5.99% of loan amount
Offers only two repayment terms: 3 years or 5 years
The bank that originates Best Egg’s loans, Cross River Bank, has a history of consumer complaints
Loans not available in Iowa, Vermont, West Virginia, Washington D.C., and U.S. territoriesBest Egg Compared to Other Lenders Best Egg Payoff Prosper Current APR 5.99%–29.99% 5.99%–24.99% 7.95%–35.99% Loan Term Range 3 or 5 years 2 to 5 years 3 or 5 years Loan Amount $2,000–$50,000; (loan limits may vary by state) $5,000–$40,000 $2,000–$40,000 Credit Score Needed 640 640 640 Prepayment Penalty None None None Origination Fee 0.99%–5.99% of loan amount 0%–5% 2.41%–5% Unsecured or Secured Debt Unsecured and Secured options Unsecured Unsecured
The above rates and loan information is accurate as of July 1, 2021. The NextAdvisor editorial team updates this information regularly, though it is possible APRs and other information has changed since it was last updated. Some of the lowest advertised rates might be for secured loans, which require collateral such as your home, car, or other asset. Also, some loan offerings may be specific to where you live.How to Qualify for a Best Egg Loan
To qualify for a Best Egg personal loan, you must have a credit score of at least 640. This is in the “fair” credit range, according to credit bureau Experian. But a Best Egg representative said the lender will consider your overall financial situation, including your income and employment status, when reviewing your loan application. A low debt-to-income ratio may improve your chances of qualifying.
In addition to the credit requirements, Best Egg also says borrowers will need to:Be a U.S. citizen or permanent resident currently living in the U.S.Have a job.Provide a valid address.Show identification. Supply proof of income.Meet debt-to-income requirements.
Best Egg loans are not available to residents of Iowa, Vermont, West Virginia, the District of Columbia, or U.S. Territories.Who Should Get a Best Egg Loan
Best Egg offers unsecured personal loans with a minimum credit score requirement of 640, making it a good option for those who don’t have good or excellent credit but also want to avoid secured loans. That said, only having the minimum credit score could mean getting a higher interest rate. Borrowers need a credit score of at least 700 and an income of $100,000 or higher to get the best rates.
If you’re not sure whether you qualify, Best Egg’s “check rate” feature makes it easy to find out — without impacting your credit. You’ll be able to look over your interest rate, monthly payment, and loan term before actually applying.
You can use Best Egg personal loans for many types of expenses, including debt consolidation, home improvements, moving expenses, and adoption fees. But since Best Egg only offers two loan terms — 3 years and 5 years — those who want more flexibility when it comes to their payoff schedule might want to consider other lenders.
Best Egg is also one of the few lenders who offer secured loans in addition to unsecured loans. Best Egg secured loans use your home fixtures — things permanently attached to your home, like window shutters or built-in bookshelves — as collateral. Best Egg secured loans don’t use your home itself as collateral, though. While secured loans may provide an alternate option for those who can’t qualify for an unsecured loan, you should carefully consider the benefits and risks before taking out a secured loan.
While this may not be representative of the Best Egg brand, it’s worth noting that the bank that originates Best Egg’s loans, Cross River Bank, has a history of consumer complaints with the BBB. However, Best Egg itself is BBB accredited, has an A+ rating from the BBB, and has generally positive customer reviews on its BBB page. How to Apply for a Best Egg Loan
Before applying for a personal loan, first decide whether this method of financing is right for you. Other options, such as a balance transfer credit card or home equity loan, might be a better fit. It depends on what you qualify for and your financial needs.
If you’ve already decided that a personal loan is a good fit for you, here’s how to get one from Best Egg:Check your rate. Fill out Best Egg’s application form to see what kind of rates you can get based on your income, employment status, and credit history. This type of check won’t initiate a hard inquiry, which means it won’t affect your credit score. You’ll need to provide your personal information (including your name, birthdate, address, and phone number), the amount you need to borrow, and details about your finances.Select an offer. If you qualify for a loan, Best Egg will show you a list of offers based on the information you provided. Select an offer that best fits your needs. Submit your application and verify your information. Once you read through the terms and hit the “submit” button, the lender will perform a hard inquiry on your credit. You may need to provide documentation and allow access to your bank accounts to verify the information you included in the application. Receive the funds. After Best Egg verifies your information, you’ll receive the money in your bank account within one to three business days. The lender says about half of its approved customers receive their loan funds the next business day.Best Egg FAQs Is Best Egg good for personal loans?
Best Egg could be a good lender for people with fair to excellent credit, but watch out for the origination fee and potentially high APRs. It’s a good idea to check your rate and compare other lenders before applying.
The lender also tends to do well with customer satisfaction. Best Egg received favorable customer reviews on its Better Business Bureau page and earned a 95% customer satisfaction rating in a survey from early 2021. However, it’s worth noting that while Best Egg itself has positive consumer reviews, the bank that originates its loans, Cross River Bank, has a history of consumer complaints. Cross River Bank is a separate company from Best Egg, and their issues may not be representative of the Best Egg brand.What credit score do you need for a Best Egg loan?
Borrowers need a credit score of at least 640 to qualify for a Best Egg personal loan, and a minimum score of 700 to qualify for the lowest rates.Can I get a Best Egg personal loan with bad credit?
You might not qualify for a Best Egg personal loan with a credit score lower than 640. If your credit score is on the lower end but you need to borrow money, check out NextAdvisor’s list of best personal loans for bad credit.Does a Best Egg loan hurt your credit?
Taking out any type of personal loan may influence your credit in a couple of ways. The loan application could result in a hard inquiry, which can knock a few points off your credit score. But getting a personal loan may improve your credit mix, which could help your credit score. Additionally, making consistent on-time payments could also improve your credit in the long term.
Where can I get a loan in South Dakota?
To get a loan quickly, apply online with a personal loan provider that is known for fast approval and funding times, such as LightStream. Applying online will ensure the fastest possible application processing time, assuming that all information on the application is accurate and entered correctly. You could get your loan funded within 2-3 business days, if not the same day.… read full answer
Secured personal loans also tend to provide quick decisions, as the collateral they require greatly reduces the lender’s risk. Even people with bad credit can get approved relatively easily. Other ways to get a quick loan include borrowing from a family member or friend, using a credit card or tapping into home equity. There are also some non-ideal options, such as payday lenders, auto title lenders and pawn shops.
How to get a quick loan:
1. Apply for one of the quickest personal loans. The quickest personal loan provider, LightStream, can fund and approve loans as soon as the same day you apply. Many other lenders offer funding within 2 – 3 business days. For the fastest timeline, pre-qualify first, apply online, and fill out the application accurately.
2. Apply for a secured personal loan. Secured personal loans require collateral for approval. This ensures that the lender can still recoup its money even if the borrower is unable to repay what they owe. This makes the approval decision easier for the lender.
3. Borrow from family/friends. If you ask a family member or friend to borrow money, it’s possible you could get it pretty much instantly, since they won’t be performing a credit check or making you fill out an application. You should still take time to write down and sign a loan agreement, though.
4. Use a credit card. If you have a credit card, you may be able to charge your expenses if they add up to less than the card’s credit limit. But credit card APRs are expensive, around 19% on average for new offers and around 15% for all existing accounts.
You could also withdraw cash against the card’s credit limit at an ATM, as long as you have a PIN. However, cash advances come with high fees and start accruing interest immediately, so they’re not ideal.
5. Use a HELOC. It takes weeks to get approved for a home equity line of credit, so normally they’re not a quick way to get money. However, if you already have one open, you can use it to get a quick loan any time during its draw period. Keep in mind that a HELOC is secured by your house, so if you can’t pay, the lender can foreclose.
There are a few things you should definitely avoid when trying to get a loan quickly. Don’t go to payday lenders, which lend a small amount of money until your next paycheck comes in. They charge sky-high fees (often a 400%+ APR). Auto title lenders are bad, too, as they charge high fees (up to a quarter of what you borrow) and use your car as collateral. Similarly, avoid pawn shops, as they charge up to 25% interest per month and can keep your items if you’re unable to buy the loan back.
11 ways to pay off student loans fast
Our goal here at Credible Operations, Inc., NMLS Number 1681276, referred to as “Credible” below, is to give you the tools and confidence you need to improve your finances. Although we do promote products from our partner lenders who compensate us for our services, all opinions are our own.
It’s common for student loan borrowers to take 20 years or more to pay off their student debt. Here are steps you can take to be debt-free faster. (iStock)
Nearly seven in 10 college graduates have federal student loan debt, and they borrow an average of $30,800, according to the National Center for Education Statistics. Paying back that kind of debt can be hard work — especially when you’re just getting started in your career.
If you don’t know how to pay off student loans fast, you’re not alone. It’s not unusual for borrowers to take 20 years or more to repay their student loans.
Fortunately, there are ways to pay off your student loans faster and save money.Understand all your debts, then make a plan
Make a list of all your student loans, including the current balance, interest rate, projected pay-off date, and pay-off amount for each. Having this information available will help you make more informed financial decisions about the best actions to take.
You can find the information you need on federal student loans by logging into your account at StudentAid.gov. You’ll need to check your most recent statement or log into your online account for private student loans.Consider consolidation or refinancing
Deciding to consolidate or refinance your student loans can be complicated, especially because these terms are sometimes used interchangeably. But they don’t mean the same thing. Consolidation means combining multiple federal student loans into one Federal Direct Consolidation Loan. Pros of consolidating student loansSpreading payments over a longer period may lower your monthly payment amountYou can switch from variable- to fixed-rate loansCons of consolidating student loansA longer payment period can mean more interest paid over the life of the loanYou may lose borrower benefits associated with current loans, such as interest rate discounts, principal rebates, or some cancellation benefits
Refinancing your student loans involves getting a new private student loan with new terms and using that loan to pay off one or more existing federal or private student loan balances.Pros of refinancing student loansSimplify multiple loans into a single monthly paymentMay qualify for a lower interest rate with the new loanCons of refinancing student loansIf you refinance federal loans with a private lender, you lose access to federal income-driven or income-sensitive repayment plans, deferment, or forbearanceLose federal loan forgiveness option for borrowers working in certain government, military, education, health care, and nonprofit jobs
With Credible, you can compare student loan refinancing rates without affecting your credit score.Stick to a budget
If you’re struggling to cover living expenses, student loan payments, and some occasional fun, you might benefit from budgeting with the 50/30/20 rule. Here’s how it works:50% of your budget goes toward needs: Required expenses such as housing, utilities, insurance, groceries, transportation, and minimum student loan payments30% of your budget goes toward wants: Fun stuff such as hobbies, dining out, and other entertainment20% of your budget goes toward savings: Long-term goals like an emergency fund, retirement savings, additional principal payments on student loans, and investing
If this is your first time preparing a budget, look through your last few months of bank or credit card statements and categorize your transactions into these three buckets. The process might open your eyes to some changes you could make to pay off your student loans faster. Pay more than the minimum each month
Paying a little extra toward your loan’s principal each month can reduce the interest you pay and help you get out of debt faster. The key is to make sure those payments are applied to principal rather than applying your extra payment to accrued interest. Otherwise, you won’t see much progress on your debt.
Unfortunately, student loan servicers don’t always make it easy to pay off your loans early. To make sure your extra payments go toward your principal balance, check your loan servicer’s website to see if it gives you the option of making extra principal-only payments. If you don’t see that option on the website, call your lender and ask how to make principal-only payments.
The Consumer Financial Protection Bureau (CFPB) recommends putting your request to make extra payments in writing and even has a sample letter you can send to your servicer.Decide between the debt snowball and debt avalanche methods
If you have multiple student loans, paying a little extra toward each will help pay them off faster. But the debt snowball or debt avalanche methods are more strategic ways to get out of debt.How the debt avalanche method worksFocus on paying off your debt with the highest interest rate, putting any extra payments you can afford toward that loan while paying the minimum on your other debts.Next, move on to the loan with the next-highest rate, adding 100% of the payment you were making on the first loan to the second loan.How the debt snowball method worksTarget the loan with the smallest balance first, putting any extra principal payments toward that loan until it’s paid in full.Move on to the next-lowest balance.
While you might pay less interest under the debt avalanche method, the debt snowball method is popular because the quick win of paying a loan in full can help keep you motivated.Set up auto payments for an interest rate reduction
Federal student loan lenders and some private lenders offer a small interest rate reduction if you enroll in automatic payments. With autopay, your lender automatically drafts payments from your account rather than having you manually make payments each month.
This is a good way to ensure you’re never late making a payment, and the interest rate reduction — usually 0.25 percentage points — can add up to hundreds of dollars in savings over the life of your loan.
You can easily compare prequalified student loan refinance rates through Credible.Get a temporary side hustle
When you’re just starting your career, it can be tough to come up with extra cash to put toward your student loans. Fortunately, the gig economy offers many opportunities to make a little extra money, including:Drive for a rideshare service like Uber or LyftWalk dogs or pet sit for busy neighbors with Rover or WagFind babysitting jobs at Care.comDeliver groceries or takeout orders in your downtime through Instacart, DoorDash, or GrubHubRent out your car when you’re not using it via Turo or Getaround
You might also consider selling unused items or flipping items found at thrift stores and garage sales on eBay, Facebook Marketplace, or Poshmark.Use any increase in income toward paying the debt
What did you do with the extra money the last time you got a raise or bonus? If you’re like most people, you used it to upgrade your lifestyle. Spending more when you earn more is called lifestyle creep, and it can prevent you from paying off your student loans quickly.
The next time you get a raise, bonus, tax refund, or another unexpected cash windfall, don’t spend every penny of it. Take half (or more) and make an extra principal payment on your student loan debt. Stay on the standard repayment plan
Most federal student loans are eligible for the standard repayment plan, which has fixed payments that ensure you pay off your loans within 10 years (or within 30 years for Consolidation Loans).
Of course, the standard repayment plan isn’t the only option for repaying your student loans. But alternative repayment plans like a graduated repayment plan (that increases payments every two years), extended payment plan (which gives you 25 years to repay), and an income-driven repayment plan can all extend the amount of time it will take to fully pay off your student loans. And the longer you pay on student loans, the more likely you are to pay higher interest costs.Utilize tax breaks
Don’t forget to deduct the interest paid on your student loan on your federal income tax return. The student loan interest tax deduction allows eligible taxpayers to deduct up to $2,500 of student loan interest as an above-the-line deduction, meaning you don’t have to itemize deductions in order to take this one.
This deduction gradually phases out if your income is between $70,000 and $85,000 ($140,000 and $170,000 if you’re married and file a joint return). Ask about employer student loan repayment programs
Some employers offer help for employees with student loan debt, and the number of employers offering such assistance could grow thanks to recent legislation. The Coronavirus Aid, Relief, and Economic Security (CARES) Act allows employers to pay up to $5,250 per employee toward student loans. As a tax-free fringe benefit, these payments are deductible business expenses for the employer, but aren’t taxable income for employees.
This benefit is available through Dec. 31, 2025.
Ask your employer’s HR or employee benefits department whether they’re currently offering this benefit. It can put a big dent in your student loan repayment efforts without increasing your taxable income.
Paying off student debt can seem like an impossible goal when you’re just starting out. But there are many steps you can take to see progress quickly. And that progress will keep you motivated to continue. Even small steps can lead to big strides over the course of several years, so try out a handful of the tips above to pay off your student loans faster.
Comparison shopping for student loan refinance rates is easy when you use Credible.