Upgrade Personal Loans Review 2024

Upgrade personal loans are available from just $1,000 to $50,000, making it best for borrowers who need access to smaller loans. And, while Upgrade may help borrowers with fair credit get approved, applicants with higher scores are more likely to avoid the company’s highest APRs. Upgrade personal loans are generally unsecured, but the company may offer eligible applicants a secured loan to make it easier to qualify or access a lower rate.

When considering Upgrade, keep in mind that the company does not offer loans in Iowa, West Virginia or Washington, D.C.

Upgrade Personal Loan Purposes

Permitted uses	Prohibited uses
Debt consolidation	Post-secondary education, including tuition, room and board, supplies and other related expenses
Credit card refinancing	Investments
Home improvements	Illegal activities
Large purchases	Gambling of any kind

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Loan Amounts & Terms

• Loan amounts. Upgrade personal loan amounts are based on the applicant’s credit profile and generally range from just $1,000 to $50,000. However, most loan amounts are limited to $25,000 or less. Borrowers in Georgia must borrow a minimum of $3,005 and Massachusetts borrowers must borrow a minimum of $6,400.
• Loan terms. Upgrade offers loan repayment terms from two to seven years—or 24 to 84 months.

Loan Costs

• APR. Upgrade personal loans are available with APRs between 8.49% to 35.99%. Rates are fixed and, therefore, do not increase over the life of the loan. A borrower’s APR depends on her credit score, credit usage history, loan term and other factors. To obtain the lowest available rates, qualified borrowers must also sign up for automatic payments and be directly paying off another outstanding debt.
• Origination fees. All Upgrade personal loans come with an origination fee equal to between 1.85% and 9.99% of the loan amount. This fee is subtracted from the loan proceeds.
• Late fees. A borrower who makes a payment that is more than 15 days late is charged a late payment fee of up to $10 once per late payment.
• Prepayment penalties. Upgrade does not impose prepayment penalties, meaning borrowers can pay off their loans early without increasing the overall cost of the loan.
• Title transfer fee. A personal loan secured by a vehicle may require a one-time title transfer fee. This government filing fee is calculated by the relevant local motor vehicle agency, and Upgrade does not receive any of the funds.
• Insufficient funds fees. Likewise, Upgrade borrowers are charged a non-refundable $10 fee if a payment fails to go through properly.

Note: According to the Better Business Bureau (BBB), Upgrade’s name and logo have been fraudulently used as part of loan scams. Upgrade does not charge any advanced fees in exchange for receiving a loan, so if a company claiming to be Upgrade charges such a fee, it should be reported as a scam. These fraudulent advanced fees stand in contrast to Upgrade’s standard origination fees, which are always subtracted from the total loan disbursement.

Perks & Features

• Autopay discount. Upgrade offers borrowers a rate discount for signing up for automatic payments. The company does not disclose the exact amount of that discount on its website, but it is reportedly 0.5% off the APR.
• Payment flexibility. Upgrade lets borrowers change their payment dates to better fit their budgets.
• Credit monitoring and educational tools. In addition to personal loans, credit cards and checking accounts, Upgrade offers a credit monitoring program called Credit Health. This free service lets borrowers monitor their VantageScore 3.0 credit score, simulate their score based on different scenarios and get recommendations on how to improve their score, among other useful tools.
• Mobile app. Upgrade’s mobile app is available on both Android and iOS devices. Borrowers can manage their loan by viewing the balance, making payments and updating personal information from the app’s dashboard. Users can also access the Credit Health tool through the user-friendly mobile app.

Personal loan applications are approved or declined based on a number of factors. All lenders have their own unique underwriting requirements, but these typically include information from an applicant’s credit profile and other factors that demonstrate the ability to repay the loan, such as income. Meeting the requirements below won’t guarantee approval, but they can help you decide if a personal loan is the right fit for you.

Credit Score Requirements

Upgrade requires a minimum credit score of 580. This makes Upgrade a good option for borrowers with fair or poor credit who need access to small loan amounts. Still, the most competitive rates are reserved for the most creditworthy applicants.

Income Requirements

As with credit score requirements, Upgrade does not publish its debt-to-income (DTI) ratio requirements. That said, Upgrade reportedly gives extensive weight to free cash flow, with approved borrowers having a minimum of $1,000 in free cash flow each month and a DTI of around 40%.

Co-signers and Co-applicants

Upgrade allows for co-applicants who meet minimum credit score requirements but not co-signers. This can help less creditworthy borrowers qualify for a larger loan or a more competitive APR. Luckily, Upgrade makes it easy to see what rate you’ll qualify for as an individual or joint applicant. Just select “Joint Application” when prompted during the online prequalification process.

Applying for a personal loan typically involves prequalifying for a rate, submitting a formal application and awaiting loan approval. Follow these steps to apply for an Upgrade personal loan:

1. Check your rate. Like many of its competitors, Upgrade offers an online prequalification process that won’t impact your credit score. To check the APR you’re likely to qualify for, indicate how much you want to borrow, the purpose of the loan and personal information. At this point, you’ll also be asked whether you plan to submit an individual or joint application.
2. Submit a formal application. When you’re ready to apply for a loan, submit a formal application online. In addition to providing a form of government-issued identification, this includes submitting documentation such as recent pay stubs and bank statements. Once you submit all of the necessary documents, you can check the status of your application by logging into your Upgrade account online. You will also receive application status updates via email.
3. Accept an offer. If you receive a loan offer that meets your needs, you can accept it and submit your bank information. Upgrade conducts a separate soft credit inquiry at this time, but this will not show up on your credit report.
4. Await funds. When your loan is funded, Upgrade conducts a hard credit inquiry to confirm your creditworthiness. This will show up on your credit report and can cause a temporary drop in your score. Upgrade personal loan funds are typically available within four business days after approval, but the exact period of time depends on the financial institution receiving the funds.
5. Start making payments. The first personal loan payment is due within 30 days of the funds being disbursed. This payment is made automatically from the bank account provided during the application process, but this information can be changed through the online account dashboard. Payments are due on the same day each month, but Upgrade lets you choose a payment date that works with your budget.

Time to Receive Funds

According to Upgrade, customers can receive their loan funds as soon as one day after the necessary verifications. So, while the availability of funds ultimately varies based on each customer’s bank processing times, customers can expect to receive funds within four business days of loan approval. Loan funds being sent directly to third-party creditors can take up to two weeks to clear, though this timing depends on each individual creditor.

In general, Upgrade has positive customer reviews because of its straightforward application process and accessibility—even to less creditworthy applicants. For example, Upgrade has a 4.6-star rating on Trustpilot, and many customers report that the company’s customer service team makes it easy to apply for a loan and receive funds quickly. Upgrade’s reviews through the BBB are also positive, and the company has an A+ rating and 4.73 out of five stars.

Negative Upgrade loan reviews tend to focus on issues related to long customer service wait times and lengthy loan approval periods. Customers also complain that the APRs are high and the origination fees are excessive.

The best personal loans offer competitive rates, flexible loan amounts and a wide range of terms. Here’s how Upgrade personal loans stack up against other popular lenders:

	Upgrade	SoFi	LightStream	Marcus
Best for	Credit scores below 670	Large loan amounts and borrowers with high credit score	Lengthy loan terms	Small loans with flexible terms
Loan amounts	$1,000 to $50,000	$5,000 to $100,000	$5,000 to $100,000	$3,500 to $40,000
Term length	Two to seven years	Two to seven years	Two to twelve years	Three to six years

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Upgrade Vs. SoFi®

SoFi personal loans start at $5,000 and go up to $100,000 based on loan purpose—much larger than loans available through Upgrade. APRs start at 8.99% with autopay, which is similar to the starting rates offered by Upgrade, but SoFi’s rates peak at 29.99% with autopay. SoFi’s loans are also appealing because, unlike Upgrade, the lender does not charge any origination fees.

Related: SoFi Personal Loans Review

Upgrade Vs. LightStream

LightStream personal loans range from $5,000 to $100,000, and APRs start below 3% with autopay for certain loan purposes. This makes LightStream loans much more flexible—and affordable—for the most qualified borrowers who need a large loan at competitive rates.

Like Upgrade, loan terms start at just two years, but LightStream offers more extensive terms ranging up to 12 years depending on loan size, purpose and creditworthiness. What’s more, LightStream does not charge origination fees, which further reduces the overall cost of a loan, especially as compared to Upgrade.

Related: LightStream Personal Loans Review

Upgrade Vs. Marcus

Like Upgrade, Marcus offers smaller personal loans from $3,500 to $40,000. Rates start around 7%—slightly lower than Upgrade’s minimum APR—and they max out at around 20%, which is much lower than Upgrade’s highest rates. Furthermore, Marcus does not charge origination or late fees. These lower rates come with a catch, Marcus has a higher recommended minimum credit score of 660.

Related: Marcus Personal Loans Review

Featured Partners

1

SoFi®

Minimum credit score

650

APR range

8.99% to 29.99%

Loan amounts

$5,000 to $100,000

1

SoFi®

Compare Rates

Via Credible.com's Website

2

LightStream

Minimum credit score

660

APR range

7.49% - 25.49%

Loan amounts

$5,000 to $100,000

2

LightStream

Compare Rates

Via Credible.com's Website

3

Avant

Loan amounts

Example: A $5,900 loan with an administration fee of 4.75% and an amount financed of $5,619.75, repayable in 36 monthly installments, with an APR of 29.95% would have monthly payments of $250.30. If approved, the actual loan terms that a customer qualifies for may vary based on credit determination, state law, and other factors. Minimum loan amounts vary by state.

$2,000 to $35,000

APR range

If approved, the actual loan terms that a customer qualifies for may vary based on credit determination, state law, and other factors. Minimum loan amounts vary by state.

9.95% to 35.99%

Minimum credit score

580

3

Avant

Compare Rates

Via Credible.com's Secure Website

We reviewed Upgrade based on 16 data points in the categories of loan details, loan costs, eligibility and accessibility, customer experience and the application process. We rated Upgrade based on the weighting assigned to each category:

• Loan cost: 35%
• Loan details: 20%
• Eligibility and accessibility: 20%
• Customer experience: 15%
• Application process: 10%

Within each category, we also considered several characteristics, including available loan amounts, repayment terms, APR ranges and applicable fees. We also looked at credit score requirements, whether the lender accepts co-signers or joint applications and the geographic availability of the lender. Finally, we evaluated Upgrade’s support tools, borrower perks and features that simplify the borrowing process—like prequalification options and mobile apps.

To learn more about how Forbes Advisor rates lenders, and our editorial process, check out our Loans Rating & Review Methodology.