LendingClub offers a streamlined personal loan application process and relatively low rates, which are helpful if you’re seeking simplicity and low borrowing costs. However, its loan terms aren’t as flexible as some competitors’, and its loans don’t have many extra features or perks.

LendingClub is highly rated among the lenders we evaluated. Besides offering a simple application process and competitive rates, borrowers also benefit from the following:

• High customer satisfaction: Past customers seem happy with LendingClub, with Trustpilot reviewers praising its frictionless and convenient application process and customer service team.

• Quick funding: LendingClub can fund its loans within 24 hours of approval, which is relatively fast compared to some competitors.

• Grace period for late fees: You’ll have a 15-day grace period before LendingClub applies a late payment fee. However, late or missed payments can be reported to the major credit bureaus.

• No prepayment penalties: LendingClub doesn’t ding you for repaying your loan early. It charges no prepayment penalty.

• Co-borrowers allowed: If you’re worried about getting approved for a personal loan on your own, you can ask a co-borrower with better credit or a higher income to sign onto your application. A co-borrower will be equally responsible for loan payments.

Despite its high ratings, LendingClub does have some drawbacks. Be aware of the following if you apply for its personal loans:

• Limited customer service: LendingClub only offers one channel for reaching customer service: by phone. There’s no option to email or live chat with a representative.

• Charges origination fees: You may or may not pay an origination fee for a LendingClub personal loan. It charges origination fees of 0% to 8.00%, but doesn’t specify when or why fees may be lower or higher.

• Limited features and perks: Some lenders offer added perks like autopay discounts, hardship support, or credit-builder tools. Unfortunately, LendingClub doesn’t offer notable benefits that set it apart.

Check out all our picks for the best personal loans of 2025

LendingClub offers an online application process for its personal loans, as do many other lenders. You can prequalify before formally applying, which is an important step. Prequalification lets you get a sense of the rates and terms you might qualify for, and it only requires a soft credit check. Unlike a hard credit check, a soft credit check won’t impact your credit score.

If you’ve compared estimated rates and terms and decide that LendingClub is your top choice for a personal loan, the formal application process is simple and quick. Expect to provide your personal and financial information as you would with another lender. LendingClub will request proof of income, identity, and address. You’ll likely need to provide a few documents for verification, which could include:

After submitting your application, you’ll need to wait for a loan decision. LendingClub indicates that many applications are approved within an hour, and loan funds are often sent within 24 hours.

Read more: Can you get a fast personal loan in an emergency?

Overall, past customers have positive things to say about LendingClub and its personal loans. On Trustpilot, LendingClub has an average of 4.6 stars out of 5 stars across over 7,000 customer reviews. Users praise its easy application process, helpful customer service, and fast loan processing and funding. That said, some frustrated reviewers mention things like receiving loan funds after being denied and ongoing phone calls marketing loan offers.

The Federal Trade Commission (FTC) also sued LendingClub in 2018 for charging unexpected fees to its customers after marketing specific loan amounts with “no hidden fees.” LendingClub settled with the FTC in 2021, and approximately $9.7 million was paid out to LendingClub customers who incurred unexpected fees.

This lender may be a great fit if you:

• Have excellent credit

• Are seeking competitive rates

• Want a simple, intuitive application process

• Need fast funding

It may not be the best option if you:

• Prefer to communicate by email or chat

• Are seeking a loan larger than $60,000

• Don’t want to pay an origination fee

• Want added perks like autopay discounts and hardship support

If LendingClub isn’t right for you, consider these personal loan lenders:

• SoFi: Better for member benefits, including referral bonuses and autopay discounts

• LightStream: Ideal for low rates, promising to beat competitor rates by 0.10%

• Wells Fargo: Known for fast funding, with the majority of borrowers receiving funds the same day they sign

LendingClub has a strong personal loan offering, and it could be worth prequalifying if you’re seeking a competitive rate, a simple application process, or quick funding. That said, it’s important to compare rates and terms from different lenders before you formally apply.

Ultimately, LendingClub may have the best loan offer, and in that case, moving forward with an application makes sense. But it’s essential to shop around, especially if you’re seeking a large loan.

This article was edited by Alicia Hahn.

Starting your credit-building journey early can help secure your financial future and set you up for increased opportunities, such as accessing lower interest rates and better benefits on different credit products. But how do you start building credit as a youth, teen, or young adult?

Comparing different strategies, such as using , can help you determine which ones make the most sense as you work to build and maintain a .

A looks and functions like a normal credit card, but you have to put down a cash deposit that typically acts as your credit limit. For example, you might put down $500 as your security deposit, and then you would have a $500 credit limit.

Using if done responsibly. That means using it to make purchases and then paying off the credit card balance in full and on time. Secured credit cards tend to have less strict eligibility requirements, making them more appealing if you’re building or rebuilding your credit and can’t qualify for an unsecured card.

Related:

Two top secured credit cards include the and the . If you want to earn rewards while building your credit, the Capital One Quicksilver Secured Cash Rewards is the better choice.

are specifically designed for college students who want to build their credit history. Since students tend to have little or no credit history and want to open their first credit card, these cards don’t have as strict eligibility requirements as many non-student cards. Most student cards are only available to actively enrolled and eligible college, university, or trade school students.

Student credit cards work the same as traditional cards, allowing you to make purchases on a line of credit and help build and establish a positive credit history. Some student cards provide useful benefits, such as earning cash back or receiving protections on eligible new purchases.

Two of the top student credit cards include the Capital One Savor Student Cash Rewards Credit Card and Discover it® Student Cash Back. They both offer cash-back rewards, giving students the opportunity to earn rewards and build credit at the same time.

An authorized user is someone added to another person’s credit card account. For example, a parent might add their child to their credit card for multiple reasons:

• To give their child access to funds

• To teach their child how to use a credit card and learn good financial habits

• To help build their child’s credit history

The primary account owner can decide whether they even want the authorized user to have access to the account. So, a parent could add their child and not give them their own credit card or let them use the account.

However, the child’s credit history can still benefit from being on the account if the account owner is using it and making on-time payments. This is a great strategy if you’re not sure whether you want to give your child a credit card of their own quite yet, but you also want to help them build their credit history.

Learn more:

It’s essential to remember that, throughout your credit-building journey, you should always focus on tracking and managing your money responsibly, especially if using credit cards. If you want to increase and maintain your credit score, consider these best practices:

• Make on-time payments: Your payment history is one of the most important factors affecting your FICO score, a popular type of credit score. Missing or making late payments can have a huge impact on your score.

• Only open what you need: Your length of credit history, or the average age of your credit accounts, affects your credit score. If you open too many new accounts, your average age will drop, along with your credit score.

• Keep accounts active: Similarly, closing your oldest accounts can also drop the average age of your accounts. If possible, it’s often best to keep your oldest accounts open and active.

• Keep utilization low: Your is the percentage of your available credit that you’re using. It’s typically best to keep your credit utilization low so your credit score isn’t impacted.

Related:

It’s possible to have errors on your credit reports. Some errors can impact your credit score, so they should be disputed.

You can at AnnualCreditReport.com. This is the only federally authorized source for free credit reports. However, you may have access to your credit reports through other means, such as a service from your credit card issuer.

The major credit bureaus, Equifax, Experian, and TransUnion, have easily accessible online processes for disputing errors on your credit report.

Related:

A can help you build your credit by using a loan rather than a credit card. Similar to a credit card, you make payments, and your lender reports those payments to the credit bureaus.

Just about any type of loan could help you build your credit, including student loans and car loans. As long as you make your payments on time and the lender reports them, you should see your credit score improve over time. You might need a trusted co-signer for a loan if you have no credit history.

Some bill reporting services, such as Experian Boost, could increase your credit score by reporting different bill payments, including your cell phone, utilities, and rent. Experian Boost doesn’t always work, and there’s no specific amount your score could increase, but it’s free and easy to try.

Young adults can build their credit history in multiple ways, including:

• Using secured credit cards

• Using student credit cards

• Becoming authorized users on established credit card accounts

You can work toward achieving an 800 credit score in your 20s by responsibly using different credit products, such as credit cards and loans. This includes making on-time monthly payments, not opening too many accounts, and keeping your oldest accounts active. It’s also important to maintain a low credit utilization ratio across your credit accounts.

One of the safest ways for young people to build credit is to get added as authorized users on established credit card accounts of trusted individuals, such as parents or other family members. Using this strategy, they can build a strong credit history without even having their own credit card. An authorized user can benefit as long as the account owner keeps the account active and makes on-time payments.

Editorial Disclosure: The information in this article has not been reviewed or approved by any advertiser. All opinions belong solely to the Yahoo Finance and are not those of any other entity. The details on financial products, including card rates and fees, are accurate as of the publish date. All products or services are presented without warranty. Check the bank’s website for the most current information. This site doesn’t include all currently available offers. Credit score alone does not guarantee or imply approval for any financial product.

If you’re buying a new laptop or pair of shoes today, you may encounter a host of payment options: a credit or debit card, PayPal, Apple Pay, or buy now, pay later plans.

Soon, you could see another option at checkout: stablecoins.

President Trump recently signed the Guiding and Establishing National Innovation for US Stablecoins Act, or GENIUS Act, establishing federal regulations for stablecoins. Many observers believe that by establishing clear rules, lawmakers have paved the way for cryptocurrency to go mainstream as a means of payment.

Even if you’ve never dabbled in crypto, the new law could change the way you shop, send money, get paid, and bank.

Stablecoin is a form of crypto, meaning it’s digital currency that runs on a blockchain network. But it’s a bit different from many mainstream cryptocurrencies.

Many popular coins on the crypto market, like bitcoin and ethereum, are notorious for their wild price swings. That volatility makes them popular with investors seeking to profit from those ups and downs. But it also makes them impractical to use as currency.

As the name implies, stablecoins are intended to have a stable value. Their value is pegged to the value of another asset, usually the US dollar. For example, one token of tether or USDC (two of the most popular stablecoins) is worth exactly $1.

Because its value doesn’t have the dramatic highs and lows associated with most crypto assets, it’s a viable way to pay for goods and services or transfer funds. At the same time, it also avoids a lot of the headaches associated with traditional banking.

“Many traditional cards charge merchants 2% to 3% in fees, a cost that is ultimately passed on to consumers,” said Himal Makwana, senior vice president and head of strategy and new initiatives at Fidelity National Information Services Inc. “Stablecoin transactions, on the other hand, can cost just pennies regardless of transaction size. For consumers, this means no more waiting days for funds to clear, no more exorbitant fees for sending money abroad, and no more banking hours limiting when you can move your money.”

Even before the passage of the GENIUS Act, stablecoins were surging in popularity. Circulation has doubled to about $30 billion in daily transactions over the past 18 months, according to a July 2025 McKinsey & Co. report.

But stablecoins still aren’t a fixture in consumer payments and spending. They’ve largely been used for trading into and out of other types of crypto and, to a lesser extent, sending cross-border payments.

Read more: Stablecoins go mainstream after Circle’s blockbuster IPO. Here’s what they do.

The GENIUS Act is the first major federal law regulating crypto. The CLARITY Act, a second crypto regulation bill, recently won approval from the US House of Representatives.

Upon signing the act into law, Trump — whose family owns a stake in World Liberty Financial, which recently launched a stablecoin of its own — said the GENIUS Act “creates a clear and simple regulatory framework to establish and unleash the immense promise of dollar-backed stablecoins.”

The law establishes who can issue stablecoins and requires a 1:1 reserve backing with cash or short-term US Treasury securities. In other words, if you buy $1 of stablecoin, the issuer must keep $1 in cash or cash equivalents in reserve. It also establishes various marketing rules, like prohibiting issuers from advertising that their stablecoins are federally backed or insured, as well as anti-money laundering regulations.

“The GENIUS Act is a major step toward making stablecoins safer and more widely used,” said Erick McAfee, director of growth at pay-as-you-go app Supertab. “With clear rules in place, people will start to see faster, simpler ways to pay and get paid, especially online. Over time, this could change how we think about everyday payments, making them feel more like messaging: quick, easy, and reliable.”

The specifics of the GENIUS Act may sound wonky at first blush. But if the law does end up propelling stablecoins into the mainstream of the financial system, here are a few things you can expect.

Credit card processing fees can run as high as 3.5%, plus merchants pay a flat fee for each transaction. Meanwhile, traditional payment methods can often take several days to settle.

By comparison, stablecoin transactions typically cost less than $0.1 and offer near-instant settlement. Not surprisingly, many businesses are expected to embrace stablecoins and the potential cost and time savings.

As a customer, you may not reap many benefits by paying with stablecoin instead of your credit card right away.

“In the short term, there aren’t that many advantages to paying with a stablecoin compared to a traditional payment card,” said Mike Hudack, CEO of Sling Money, a fintech company that uses stablecoins to facilitate payment transfers. “Traditional payment cards have consumer protections that stablecoins don’t. This will change over time. There’s lots of work going on to address this gap.”

It’s possible that merchants will find ways to incentivize stablecoin payments. For example, a merchant could pass on a portion of their savings from processing fees by giving you a discount when you pay with stablecoins instead of a credit card.

In the long term, you could see retailers issuing their own stablecoins. Both Amazon and Walmart have reportedly toyed with the idea. Doing so would keep customers spending within their ecosystems while also saving retailers money.

But the wider benefit to customers isn’t entirely clear. Investment banking giant Morgan Stanley compared the prospect to digital prepaid gift cards in a recent report to clients. Essentially, you’re giving money to a retailer to hold on to so that you can spend it at a later date.

Credit card processing fees make it prohibitively expensive for businesses to accept micro-payments of a few cents to a few dollars. But micro-payments could gain acceptance if stablecoin usage takes off.

“Before, sending someone a few cents wasn’t worth it because the fees were higher than the payment itself,” McAfee said. “With stablecoin, you can support creators, pay per article or feature, or tip someone instantly, without worrying about cost or delays. It supports entirely new monetization models that reward engagement, not just big purchases.”

If you’ve ever sent funds to loved ones in another country, you’re no doubt familiar with the pain points of making international transfers and cross-border payments. The World Bank estimates that remittances cost the sender about 6.62% of each transfer, which amounts to about $31 of a $500 transfer. International wire transfers can also take anywhere from one to five days to complete.

Wider adoption of stablecoins could be a game-changer for international transfers, given the low costs and speed. Cross-border stablecoin foreign transaction fees are minimal, and transfers can be executed immediately.

“What used to take days and cost $30-plus now takes seconds and costs less than a penny,” Hudack said.

Given the potential disruption to traditional payment rails, major financial institutions are exploring whether to issue their own stablecoins. Bank of America, JPMorgan & Chase, Wells Fargo, and Citigroup have explored the possibility of issuing stablecoins, both independently or by teaming up.

But the impact on you and your bank account has yet to be seen. Under the GENIUS Act, stablecoin issuers are banned from paying interest on stablecoins held in reserve. Unlike money you might park in a high-yield savings account and earn 3% or 4% interest on, funds held in stablecoins aren’t earning interest.

Also, funds held in stablecoins aren’t insured by the Federal Insurance Deposit Corp. or the National Credit Union Association.

If the idea of converting your dollars to stablecoins gives you a headache, rest assured: A lot of the changes you could see as the result of broader stablecoin usage won’t require you to understand how stablecoin works.

“At first, stablecoins will just be implemented in the background. Instead of routing through banking rails, your payment might move over a stablecoin network and settle instantly,” Hudack said. “You won’t need to think about ‘converting’ into stablecoins any more than you think about how Netflix streams video through fiber.”

He points to his own platform, Sling Money, as an example: It uses stablecoins to facilitate transfers, but users move money in the same way they would with other platforms.

“The only difference for the end-consumer is that the transaction is near-instant and near-free,” Hudack said. “But the fundamental physics of stablecoins are different than fiat money and enable a lot of new experiences that aren’t otherwise possible.”