Lending Club Weekend Loan Approvals: What You Need To Know

LendingClub offers personal loans that are approved within a few hours to a few days. The exact time depends on the lender, the applicant's credit score, and how quickly they submit the required documents. The process involves confirming the applicant's identity, employment, and income. Once approved, the funds are transferred to the applicant's bank account, which usually takes 2 to 4 business days. However, there have been instances where applicants faced confusion and delays in the approval process, with some receiving updates only after calling LendingClub.

LendingClub loan approval time

Between October 1, 2024, and December 31, 2024, personal loans issued by LendingClub Bank were approved within 2 hours on average. It's important to remember that loan approval times and credit decisions are not guaranteed and can vary based on individual circumstances.

The entire LendingClub loan timeline typically spans 3 to 7 business days. This includes the application process, which can take around 1 to 3 business days, and the funding process, which usually takes an additional 2 to 4 business days after approval. It's worth noting that these timelines represent a typical applicant's experience, and in some cases, the process could take longer.

To expedite the loan approval process, it's advisable to ensure that all information provided on the application is correct and complete. This helps eliminate potential delays caused by LendingClub having to request additional information. Additionally, checking your credit report for errors beforehand and ensuring your credit score meets the minimum requirement of 600-640 can improve your chances of a quicker decision.

Once your loan is approved, LendingClub will send you a DocuSign email notification to review and sign the loan documentation. If you encounter any confusion during the process, such as unclear status updates, it's recommended to call LendingClub directly to understand where your application stands.

Factors affecting loan approval

LendingClub's approval process is fast, with most members approved within a few hours. However, the exact turnaround time depends on individual circumstances. LendingClub starts by confirming the applicant's identity, employment, and income. If additional details or documents are required, LendingClub will notify the applicant through their To-Do List.

• Creditworthiness: Lenders evaluate an applicant's creditworthiness, including their credit score and history. A higher credit score indicates better creditworthiness, and a score in the 700s or 800s is ideal. Lenders may also consider the total amount of debt, repayment history, and frequency of loan applications.
• Income and Employment: Lenders assess the applicant's ability to repay the loan by considering their income and employment status. The income requirement varies based on the loan amount, with higher borrowing amounts typically requiring higher income. Steady employment is generally preferred, and part-time workers or self-employed individuals may face additional scrutiny.
• Collateral: For certain types of loans, such as those for purchasing a car or a home, establishing a business, or paying for school, lenders may require collateral. Collateral can include assets such as accounts receivable, inventory, equipment, cash, or commercial real estate. The loan amount may be based in part on the assessed value of the collateral.
• Age and Financial Stability: Age is a factor in loan approval as it indicates financial stability and earning potential. Most lenders require borrowers to be between the ages of 23 and 55. Younger applicants may have a lower chance of approval due to their shorter employment history and reduced financial stability.
• Outstanding Obligations: Lenders consider an applicant's existing loan obligations, credit limits, and monthly payments. A high number of current liabilities may negatively impact the chances of approval.
• Economic Conditions and Industry Trends: The state of the economy, industry trends, and pending legislation related to the applicant's business or industry may be considered during the loan evaluation process.
• Personal Integrity and Standing: Lenders assess the personal integrity and standing of the applicant, as well as that of key individuals closely tied to the success of the business. Candid communication with the lender about the business's opportunities and challenges is essential.

It is important to note that each lender may have specific eligibility requirements, and understanding these factors can help improve the odds of loan approval.

Loan approval status

The loan approval process at LendingClub typically takes a few hours to a few days. The exact turnaround time depends on various factors, including the applicant's creditworthiness, credit score, and the speed at which they submit the required documents.

Once an application is submitted, LendingClub starts confirming the information provided, including identity, employment, and income details. If additional information or documents are required, LendingClub will notify the applicant through their To-Do List, and it is advisable to check this regularly. Applicants can also sign in to their Member Center to check their loan status.

In some cases, applicants may receive an email notification that their application has been approved and is in the "funding process." However, it is important to note that loan approval and the time it takes to issue a credit decision are not guaranteed and may vary based on individual circumstances.

According to a LendingClub FAQ, between October 1, 2024, and December 31, 2024, personal loans were approved within 2 hours on average. Additionally, according to a third-party source, it typically takes 1-3 business days to get approved for a LendingClub loan and another 2-4 business days to receive the funds after approval.

It is worth noting that applicants can increase their chances of a quicker decision by ensuring their credit score meets the minimum requirement of 600-640.

Loan funding process

LendingClub offers loans of $5,000–$300,000 for businesses with at least $50,000 in annual sales and 12 months in business. It also offers personal loans of up to $40,000. The whole application, approval, and funding process can take as little as a week, although it may take longer depending on the lender, your credit score, and how quickly you submit the required documents.

The first step in the loan funding process is to submit your application. Once you've done this, LendingClub will start confirming the information you entered about your identity, employment, and income. If they need any additional details or documents, they will let you know. You can also sign in to your Member Center at any time to check your loan status.

Most members are approved within a few hours, although the exact turnaround time will depend on your unique details. Once your loan is approved, LendingClub will send the money to your bank account or pay your creditors directly.

In one case, a person applied for a loan on September 28, 2022, and uploaded their income documents. They called on October 4, 2022, and were told that they were approved and that the loan was in the "funding process". On October 8, 2022, the to-do list updated to say, "Congratulations, your information is confirmed. Next, we'll look for investors for your loan."

In another case, a person applied for a loan and received an email stating that their application had been approved and that it was just waiting on funding. The email said, "Great news! Our credit department reviewed your application and everything looks good. Right now, investors are still committing funds to your loan and this is the final step. This process can happen quickly, but sometimes it can take several days." In this case, the person was applying for a debt consolidation loan, which is generally very quickly funded, especially for a small loan.

Loan application process

The loan application process can be simple and fast, with some lenders offering approval within a few hours. However, it is important to note that the time it takes to get approved for a loan can vary depending on the lender, your credit score, and how quickly you submit the required documents. Here is a step-by-step guide to the loan application process:

Step 1: Compare Lenders and Loan Options

Before applying for a loan, it is important to compare quotes from at least three lenders to understand what you qualify for. Review each offer's APR, repayment terms, fees, monthly payments, and overall cost of borrowing. A long repayment term may offer lower monthly payments, but you will pay more interest over the life of the loan.

Step 2: Check Your Credit Score and Lender Requirements

Your credit score plays a crucial role in the loan application process. Lenders rely on your credit score to predict how likely you are to repay the debt. A higher credit score can translate to lower interest rates, larger loan amounts, and fewer fees. Understanding lender requirements and doing research before applying can increase your chances of approval.

Step 3: Gather Required Documents

To complete a loan application, you will need to provide documentation to verify your identity, income, and address. Proof of identity can include a birth certificate, driver's license, passport, or state-issued ID. Income verification can be done through pay stubs, bank statements, tax returns, or 1099 forms for self-employed individuals. Lenders may also ask for proof of address, such as utility bills, lease agreements, or credit card statements.

Step 4: Complete and Submit the Loan Application

The loan application process can typically be completed online or in person at a local bank or credit union branch. During the application, you will need to provide your personal information, employment details, and desired loan amount.

Step 5: Wait for Approval and Funding

After submitting your application, the lender will review your information and confirm the details. If approved, the lender will prepare the final loan documents and arrange for funding. The time it takes to receive funding can vary, and in some cases, it may take several days.

It is important to note that each lender's process may vary slightly, and it is always a good idea to carefully review the terms and conditions before agreeing to any loan.

Frequently asked questions