Best Egg has helped fund over one million personal loans. The company is headquartered in Delaware and owned by Marlette Funding, LLC. The parent company first began in 2014 and has since expanded its strength as a financial lender to over 350,000 individuals. Best Egg provides a wide range of options such as credit cards, financial resources and personal loans. The company offers unsecured personal loans that can be used for a wide range of funding needs such as debt consolidation and credit card refinancing. Benzinga reviewed Best Egg and determined that the company provides a personal loan that addresses various needs and is best used by people with fair credit scores and above. However, the company offers higher APR rates and multiple fees that could potentially deter an interested borrower. Research your options and find one that works best for you before applying for a loan.
- People interested in consolidating debt
- Providing a wide range of personal loan options to individuals with fair-to-excellent credit scores
- Provides a wide range of loan usage
- Offers lower minimum loan amounts starting at $2,000
- Individuals can apply for a loan online
- Higher APR rates
- Origination fees
Best Egg Personal Loans Ratings at a Glance
|APR||Between 5.99% and 35.99%|
|Origination Fee||Between 0.99% and 5.99%|
|Late Fee||Yes, but not clearly stated|
Best Egg provides a varied fee structure where potential borrowers pay origination fees between 0.99% and 5.99%. Origination fees are taken from the loan amount intended for a borrower. Keep origination fees in mind when deciding on your total loan amount to ensure that you have the funds available to meet your needs. Origination fees are typically charged to help lenders cover the fees associated with a loan.
The company also charges additional fees such as late fees. Late fees often have a grace period, but the loan payments are still considered in default once the payment date is missed. Defaulting on a Best Egg loan can negatively impact your credit score or legal consequences.
Alternatively, Best Egg does not charge prepayment fees. The lack of prepayment fees on personal loans encourages borrowers to make extra and larger loan payments that are not penalized by the company. Borrowers have the flexibility to make multiple loan payments and can pay off loans earlier than expected.
The company ranks high in customer service and offers multiple ways that customers can receive information while interacting with customer service representatives. Best Egg offers direct communication over the phone Monday through Thursday with an agent between the hours of 8 a.m. and 10 p.m. The hours are stated in Eastern Standard Time, and the company offers shorter hours on Friday and Saturday. The website also indicates an email address where concerned customers are able to discuss account issues and concerns. Best Egg provides a physical address on the contact section of the website that specifies where customers send payments. The wide range of communication and payment options appeals to different customers and their technological preferences.
The company further boosts its accessibility with a strong social media presence through applications such as Facebook, Instagram, LinkedIn and Twitter.
Customers report positive customer experiences and an overall elevated level of satisfaction with the assistance that they received. Websites such as Trustpilot rank Best Egg high in terms of customer sentiment.
The website provides a comprehensive FAQs section for current and potential customers to use to troubleshoot different needs and concerns. The FAQ section makes information more available to the curious borrower and assists people with questions outside of the standard customer representative service hours.
However, Best Egg does not offer a chat option on the website.
It’s important to research reviews published on various websites to have a better understanding of customer sentiment. Reviews from customers placed on third-party websites provide a different perspective of both the loans and companies. If possible, read the most recent reviews as well as the lower-rated and higher-rated reviews to have a better understanding of the different experiences of customers. Customer reviews indicate patterns of behaviors within companies and provide insight into how you will possibly be treated as a customer.
|J.D. Power Rating||N/A|
Loan terms range between 3 and 5 years. Best Egg has a clear minimum of 3 years for its personal loan terms.
Best Egg requires borrowers to have a good-to-excellent credit score to be considered for funding. The company also expects a low debt-to-income ratio. A debt-to-income ratio helps explain how much money a person earns versus spends, and a low ratio is considered positive because it indicates a potential borrower spends less on their debt.
Best Egg also requires a minimum credit score of 640 and verifiable income. Potential borrowers are expected to have a source of income to be able to make the required payments on the loan.
Repayments are set at a fixed monthly amount based on a fixed interest rate. Fixed interest rates cannot increase over the lifetime of the loan, which offers borrowers a certain amount of predictability and stability. When taking out a loan, avoid stretching your finances too thin to better guard against unforeseen circumstances such as sudden job loss.
Defaulting on a personal loan from Best Egg will likely negatively impact your credit score. Lowering your credit score also makes it more difficult for you to obtain low interest rates and optimal terms on future loans. Prompt repayments can help you to avoid the repercussions of defaulting on a loan and facing late fees.
|Term Options||3 or 5 years|
|Loan Amounts Available||Between $2,000 and $50,000|
Loan amounts range between $2,000 and $50,000 depending on factors such as how much you require for your personal loan as well as your personal financial history and credit score. However, the minimum loan amount depends on your state of residence. For example, the minimum loan amount allowed for residents of Massachusetts is $6,500.
The loans can address needs such as debt consolidation, credit card refinancing, moving loans and vacations. Best Egg provides a baby and adoption loan to help to support people on their journey as parents. Baby- and adoption-specific personal loans offer the opportunity for low APR rates and use clear terms to further inform an interested borrower.
Research loan providers to see if a specialized personal loan will more effectively meet your needs. Personal loans often provide a sense of freedom in terms of how you can use your loan, but specialized personal loans have the option of more precisely working to accommodate your needs with relevant terms and rates.
|Minimum Credit Score Requirement||Over 650|
Best Egg requires a minimum credit score of over 650. Credit scores usually range between 300 and 850. Higher scores are considered better, so it’s important to try to continuously improve your score to have a better chance of obtaining favorable terms and rates. The company states that it is recommended to have a score over 700 and an annual salary over $100,000 to have the option of having the best-offered loan terms and rates.
Pre-approval can help streamline the loan process, but it’s not required to receive a loan. The pre-approval process does not mean automatic loan approval, but it helps to indicate that you are likely to obtain a loan. Pre-approval can be earned through special mail offers.
The application process can take less than 5 minutes. During the loan process, have additional financial content available such as financial documents in case Best Egg needs to verify your information. Funds can take between one and three business days to be received.
Best Egg vs. Competitors
Best Egg stands out from the competition by providing customers with a variety of personal loan options. The loans can start as low as $2,000, which provides potential borrowers with the opportunity to obtain lower loan amounts that more accurately match their needs. However, Best Egg has the potential to use higher APR rates depending on additional information such as your financial history and credit score.
- securely through SoFi Personal Loans's websiteBest For:No origination fees
The following payment example depicts the APR, monthly payment and total payments made during the life of a personal loan with a single disbursement. All loan rates below are shown with the autopay discount (0.25%) and direct deposit discount (0.25%). The monthly payment for a $30,000 loan with a 60-month term and a fixed annual percentage rate (APR) between 12.95% – 25.03% would be $681.82 – $881.07 in monthly payments, with total payments between $40,909.47 – $52,864.05. Your actual interest rate may be different than the loan interest rates in these examples and will be based on term of loan, your financial history, and other factors, including your cosigner’s (if any) financial history. Lowest rates reserved for the most creditworthy borrowers. See SoFi.com/eligibility for details.
Fixed rates from 8.99% APR to 25.81% APR reflect the 0.25% autopay interest rate discount and a 0.25% direct deposit interest rate discount. SoFi rate ranges are current as of 05/19/23 and are subject to change without notice. Not all applicants qualify for the lowest rate. Lowest rates reserved for the most creditworthy borrowers. Your actual rate will be within the range of rates listed and will depend on the term you select, evaluation of your creditworthiness, income, and a variety of other factors.
Loan amounts range from $5,000– $100,000. The APR is the cost of credit as a yearly rate and reflects both your interest rate and an origination fee of 0%-6%, which will be deducted from any loan proceeds you receive.
Autopay: The SoFi 0.25% autopay interest rate reduction requires you to agree to make monthly principal and interest payments by an automatic monthly deduction from a savings or checking account. The benefit will discontinue and be lost for periods in which you do not pay by automatic deduction from a savings or checking account. Autopay is not required to receive a loan from SoFi.
Direct Deposit Discount: To be eligible to potentially receive an additional (0.25%) interest rate reduction for setting up direct deposit with a SoFi Checking and Savings account offered by SoFi Bank, N.A. or eligible cash management account offered by SoFi Securities, LLC (“Direct Deposit Account”), you must have an open Direct Deposit Account within 30 days of the funding of your Loan. Once eligible, you will receive this discount during periods in which you have enabled payroll direct deposits of at least $1,000/month to a Direct Deposit Account in accordance with SoFi’s reasonable procedures and requirements to be determined at SoFi’s sole discretion. This discount will be lost during periods in which SoFi determines you have turned off direct deposits to your Direct Deposit Account. You are not required to enroll in direct deposits to receive a Loan.
Best Egg ranks 3.5 out of 5 stars. The company provides excellent customer service as noted by positive customer feedback over different websites as well as upbeat customer sentiment. It provides multiple options so that current and potential customers are able to interact and communicate with the company. Best Egg publishes information at a variety of outlets such as social media channels and through its FAQs section on its website where interested individuals can learn about loan options.
The company has room for improvement with high APR rates, fees and a much higher minimum credit score requirement. The APR rates have the potential to reach 35.99% which can make it difficult for some borrowers to pay off their loans. The origination fee varies, but borrowers should account for the fee when deciding on their intended loan amount.
Overall, Best Egg provides a strong personal loan for people interested in obtaining more specified loans with the opportunity to consolidate debt.
Frequently Asked Questions
Consider the many available loan options and research various types of funding to better understand your financial position. If possible, consult with a financial professional to gain a broader perspective about the variety of funding options available such as loans and credit cards. Examine your credit score before applying for a loan. Think about boosting your credit score before applying for a loan to have a higher chance of receiving improved terms and rates.
Is it possible to have multiple Best Egg loans?
Yes, it is possible to have multiple Best Egg loans at the same time. The company states that a borrower can have a maximum of two loans at the same time. However, the website says that a borrower must be current on loan payments to be considered for a second loan. Best Egg takes into account your credit score and financial history to understand the likelihood that you will repay another loan. In addition, Best Egg stipulates that both loans when combined cannot be larger than $50,000. Refinancing current loans is not an option.
Does Best Egg use a hard inquiry for credit?
The answer depends on if you decide to accept a loan offer from the company. Best Egg first does a soft inquiry before it executes a hard inquiry on your credit. For example, the company first uses a soft inquiry of your credit when you are applying for a loan. A soft inquiry does not impact your credit score. Soft inquiries do not impact credit scores because they are not typically tied to an application or new credit line. However, a soft inquiry from Best Egg will remain on your credit report.
In contrast, Best Egg does a hard inquiry once a potential borrower accepts a personal loan offer. Hard inquiries differ from soft inquiries because they often momentarily lower your credit score. The hard inquiry is also visible on your credit report for an amount of time.
Avoid requesting too many hard credit inquiries at once because it has the potential to negatively impact your credit score. Even multiple soft credit inquiries will likely raise questions because they too show up on your credit report. Before entering into a hard credit pull, understand your personal credit score as well as the likelihood that you will receive the loan. Having a higher credit score and strong financial history helps to boost your odds of being approved for a loan with optimal terms and rates.
What is Cross River Bank?
Cross River Bank was first founded in 2008 and has since assisted customers obtain over $89 billion in loan funds. The bank is based in New Jersey and has over 800 employees. It provides a variety of services to partners and interested individuals. For example, the bank offers partner services such as marketplace lending and banking services.
Best Egg offers personal loans in combination with Cross River Bank. Overall, Best Egg works with Cross River Bank to offer both secured and unsecured loans.