Upgrade was launched in 2017 and provides online and mobile banking and credit services accessible in all states except Iowa, Vermont and West Virginia. Although maximum APRs are high compared to other online lenders, Upgrade makes loans available to those with poor credit histories – scores as low as 580.
Wedding loan amounts, which start at just $1,000, are flexible but capped at $50,000, less than lenders who focus on low-risk borrowers. Three and five year loan terms are available. The upgrade charges an origination fee of between 2.9% and 8% of the loan, and borrowers will incur a $10 fee if their payment is more than 15 days late or payment is not made . There is no discount for automatic payment.
That said, upgrade borrowers aren’t subject to a prepayment penalty, so you can reduce the overall cost of the loan if you’re able to pay it off sooner.
In addition to offering accessible personal loans, Upgrade streamlines the loan process with a mobile app that lets borrowers view their balances, make payments, and update their personal information. Upgrade’s Credit Heath tool also makes it easy to track your credit score throughout the life of your loan.
Eligibility: Prospective borrowers must have a minimum score of 580 to be eligible for an upgrade wedding loan (the average borrower score is 697), making it an accessible option for those with fair credit. Additionally, the lender does not require applicants to meet a minimum income requirement, although borrowers earn an average of $95,000 per year. Applicants must have a maximum pre-loan debt-to-income ratio (DTI) of 45%, excluding their mortgage.
The lender also considers each applicant’s free cash flow, which demonstrates their likely ability to make regular, on-time loan repayments. Ideally, applicants should have a minimum monthly cash flow of $1,000. Your free cash flow is the amount of money you have left after paying all your financial obligations.
The upgrade increases loan accessibility by allowing co-applicants as well.
The loan uses: In addition to covering wedding expenses, you can also use Upgrade loans to pay off credit cards, consolidate other debts, make home improvements, or pay for other major purchases. Unlike most other lenders, Upgrade allows borrowers to use personal loan funds to cover business expenses. Additionally, Upgrade will repay third-party lenders directly, making debt consolidation more convenient than with some competing lenders.
There are no specific prohibitions on the use of Upgrade Loans other than those already imposed by law.
Completion time : Once an upgrade loan is approved, it typically takes up to four business days for a borrower to receive the funds. However, if Upgrade repays a borrower’s loans directly to a third-party lender, it can take up to two weeks for the funds to clear.