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Prosper Loans: 2019 Personal Loan Review

May 14, 2019
Loans, Personal Loans, Personal Loans Reviews
At, we strive to help you make financial decisions with confidence. To do this, many or all of the products featured here are from our partners. However, this doesn’t influence our evaluations. Our opinions are our own.
4.0 rating

Good for: Good credit, debt consolidation

Prosper is one of the pioneers of peer-to-peer, or marketplace, lending, which connects good-credit borrowers with investors who can choose to fund their loans.

Prosper personal loans are a good fit for borrowers who:

  • Have good to excellent credit scores. Prosper’s minimum score is 640, but its customers average 717.
  • Have substantial annual income. There’s no minimum requirement, but the average for Prosper borrowers is about $89,000.
  • Want a personal loan from an experienced online lender. San Francisco-based Prosper was founded in 2005 and has facilitated more than $15 billion in loans.

Prosper loan rates and terms

Loan amounts$2,000 - $40,000
Typical APR6.95% - 35.99%
  • Origination fee: 2.4% - 5%.
  • Late fee: $15 or 5% of unpaid amount (whichever is greater).
  • Insufficient funds fee: $15.
Time to funding1 to 3 business days after approval
Repayments3 or 5 years
Soft credit check?Yes
How to qualify
  • Minimum credit score: 640, but average is 717.
  • Minimum credit history: Two years, but average is 11.
  • Minimum annual income: None, but average is $89,000.
  • Maximum debt-to-income ratio: 50% (excluding mortgage).
Best forBorrowers with good credit, debt consolidation
Click "Check rates" to get started with Prosper.

» MORE: Best loans for good credit

Prosper personal loan review

To review Prosper, collected more than 30 data points from the lender, interviewed company executives and compared the lender with others that seek the same customer or offer a similar personal loan product. Loan terms and fees may vary by state.

Prosper provides unsecured personal loans that can be used for nearly any purpose, including debt consolidation and home improvements. The company says popular uses of its loans include medical expenses and weddings.

To qualify applicants, Prosper says it uses a proprietary risk-rating system that takes into account hundreds of data points, including credit history. Prosper’s ratings are used by investors to decide whether or not to fund your loan. Your application expires if your loan request isn’t funded.

Fees: Prosper charges an origination fee between 2.4% and 5% of the loan amount, which is deducted from the loan proceeds. The loan also carries a $15 late fee, and you’ll be charged a similar amount if you don’t have enough money in your account for a payment.

Payment options : Unlike some lenders, does not directly pay your creditors for you if you’re consolidating debt. It allows borrowers to change their payment due dates.

Loan example: For a borrower with excellent credit, a $10,000 personal loan with a repayment term of three years at 13.9% APR would carry monthly payments of $341, according to’s personal loan calculator.

How Prosper loans compare



6.95% - 35.99%

Minimum credit score


Origination fee

2.4% - 5%

Best for

Debt consolidation


6.95% - 35.89%

Minimum credit score


Origination fee

1% - 6%

Best for

Good credit borrowers


5.81% to 15.37%

Minimum credit score


Origination fee


Best for

Flexible payment options

Click “Check Rate” to pre-qualify and receive a personalized rate from multiple lenders on

Compared to Prosper, LendingClub has slightly more flexible loan terms and a lower minimum loan amount. It lets borrowers file joint loan applications and offers a payment modification plan when borrowers have trouble making payments.

Compare Prosper

SoFi offers similar rates, but its “members” also receive social perks like networking and educational opportunities, more flexible payment options, no late fees and unemployment protection. SoFi also offers higher maximum loan amounts up to $100,000.

How to apply for a Prosper loan

You can apply directly on Prosper’s website, submitting information including your employment status, income and monthly housing payment. Once approved, Prosper says funds will be transferred to your bank account within one to three business days. recommends comparing loans to find the best rate for you. Click the button below to pre-qualify and receive a personalized rate from multiple lenders on


Before you shop for a personal loan:’s ratings for personal loans award points to lenders that offer consumer-friendly features, including: soft credit checks, no fees, transparency of loan rates and terms, flexible payment options, accessible customer service, reporting of payments to credit bureaus, and financial education. We also consider the number of complaints filed with agencies like the Consumer Financial Protection Bureau. This methodology applies only to lenders that cap interest rates at 36%, the maximum rate financial experts and consumer advocates agree is the acceptable limit for a loan to be affordable. does not receive compensation of any sort for our reviews. Read our editorial guidelines.

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