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For a P2P Loan, Your Credit Isn’t “Too Good”

If you have excellent credit, you may not think that a P2P loan from Lending Club is necessary. You may feel confident that you can get approved for a loan at your bank. You may also think that Lending Club is only for people with no other alternatives who are forced into a non-traditional lending path. Many of these thoughts are wrong, or simply incomplete. Below are some • Lending Club is Designed Specifically for People With Good to Excellent Credit

In order to qualify for a loan from Lending Club, you need a credit score of at least 640. Even then, some people with scores above 640 are turned down if their Debt-to-Income ratio is too high. Lending Club is committed to maintaining a high standard of creditworthiness among its borrowers. This isn’t a website for sub-prime lending. It’s a site for saving money for people with good credit who want to cut out the middleman and bypass the bank.

    • Lending Club Saves Money for People with Excellent Credit

While most would agree that rate comparisons show Lending Club as an inexpensive way to borrow money, some people may think that those comparisons aren’t valid for their particular situation. They may incorrectly assume that Lending Club loans aren’t competitive for people with excellent credit. That assumption is quickly corrected if you consider the rate comparison found on the Lending Club homepage, which cites data from for people with excellent credit.

These rates were shown on September 18th as follows:

Lending Club: 7.37%
Discover More Card: 10.99%
Citi Platinum Select® MasterCard: 12.74%
Capital One No Hassle Cash™: 13.90%

And don’t even get me started on personal loans from banks, which are extremely expensive. For example, look at some of the latest rates for loans in Arizona that are listed on As all of this data shows, Lending Club is clearly the best option listed. The source of your money isn’t what matters; it’s the interest rate that determines how much you’ll save.

    • P2P Lending Isn’t Non-Traditional, It’s Just New

Just because P2P lending hasn’t been around for a long time, you shouldn’t think that these loans are non-traditional. Obviously, there were loans long before banks came into being. If anything, P2P lending is restoring the way people used to lend for thousands of years.

This type of lending is gaining significant momentum as more and more people, many of whom are fed up with the higher rates and fees of banks, discover how much they can save. I believe that the increased efficiency of P2P lending makes it a superior method of lending money. As with other new concepts, however, it can take time for people to see the advantages of and be compelled to try a new way of lending or borrowing money. Saving money is an excellent motivator, which has surely been a factor in the million dollars’ worth of loans issued in Lending Club’s first 100 days alone!

Everyone who is approved for a P2P loan on Lending Club stands to save money compared to his or her more expensive alternatives. Having excellent credit doesn’t exclude you from these savings; it likely qualifies you for them. The only way to know for sure how much Lending Club can save you is to submit an application. Like every aspect of the Lending Club experience, the application is simple to fill out and doesn’t take much time. Your journey to cashing in on your excellent credit may only be moments away.

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