LendingClub Auto Refinance Review

LendingClub auto loans at a glance

You could save hundreds on your car payments by refinancing your current loan with LendingClub, and your credit won’t take a hit when you apply to check your rates. LendingClub’s competitive auto refinance rates and lack of fees make its loans potentially some of the cheapest on the market.

LendingClub reviews are positive. In fact, LendingTree customers who have used LendingClub recommend the lender for auto refinancing 96% of the time. Here’s why:

• Check rates without damaging credit: When you prequalify for an auto refinance loan with LendingClub, it’ll send you the rates and terms you’re likely to qualify for without damaging your credit with a hard credit pull.
• No upfront/early payment fees: While auto lenders often charge upfront origination fees and prepayment penalties for paying off a loan early, LendingClub only charges late fees.
• Easy application: LendingClub offers a fully online application process that you can do directly from your phone or laptop. You can even use your phone to upload documents — just take pictures and upload them directly to your LendingClub application.
• Same-day loan approval: You’ll see your loan offers right away if you qualify for refinancing.
• Best for borrowers who want to shop around: LendingClub allows you to check your rate before you submit a formal loan application and will send you multiple loan offers if you qualify. You can compare these loan offers without worrying about how it will affect your credit.

LendingClub auto loan requirements

LendingClub is transparent about its eligibility requirements, which makes it easy to check whether you’re likely to qualify for a refinance. Here are LendingClub’s criteria:

• Minimum credit score: 660
• Location: LendingClub doesn’t offer auto refinance loans in Alaska, Hawaii, Maine, New Hampshire, North Dakota, Vermont, West Virginia, Wyoming, Washington, D.C., or the U.S. territories.
• Loan requirements: Your current loan must be open for a minimum of one month with at least 24 months of payments left and a balance of $4,000 to $55,000.
• Car age: 10 years old or newer
• Mileage: Less than 120,000 miles
• Vehicle restrictions: Car must be for personal use only. LendingClub doesn’t refinance loans for these makes and models: Hummer, Pontiac, Saab, Saturn, Daewoo, Isuzu, Suzuki, Oldsmobile and Nissan Leaf.
• Special vehicles: LendingClub doesn’t refinance motorcycle loans or RV loans.

LendingClub pros and cons

Like all loans, LendingClub’s auto refinances come with pros and cons. Here’s what you need to know before you apply.

It’s worth checking your rates with LendingClub if you meet its loan eligibility requirements. You could save money on your current loan with LendingClub’s low rates, and you won’t need to pay a fee to refinance.

But not all borrowers will qualify for a refinance loan with LendingClub. The lender doesn’t offer loans in eight states and restricts loans by make, model and year.

LendingClub company overview

LendingClub launched in 2007 as a peer-to-peer lender but moved away from this model in 2020. It now offers personal loans, business loans and auto loan refinancing along with traditional banking products like checking and investment accounts.

According to LendingClub, borrowers who refinance with one of its car loans save an average of $43 per month on their monthly car payments for a total of $2,500 worth of average savings.

Remember that while refinancing can decrease your monthly payments, it can also increase the time it takes to pay back the loan and the total cost of your loan.

LendingClub auto loan types offered

LendingClub only offers auto refinance loans, so you’ll need to look elsewhere for a new car loan.

How to get an auto loan with LendingClub

The steps you’ll take to refinance your car loan with LendingClub are simple and straightforward. Here’s what to expect:

1. Fill out a form: Select your state from the dropdown on the LendingClub auto refinance page and click “Check Your Rate.” You’ll fill out the form that pops up by answering basic questions about your personal information, your income and the car you’re refinancing.
2. Choose your offer: You’ll be given up to two loan offers to choose from if you qualify. Use an auto refinance calculator to calculate your monthly payments and the total cost of the loan so that you can confidently choose the best refinance loan for you.
3. Upload documents: LendingClub asks you to submit photos of your driver’s license, vehicle registration and proof of insurance. In certain situations, it may also ask for additional documents such as a W-2 or pay stubs to prove your income.
4. Accept the terms of the loan: LendingClub will review your documents and send you a loan contract once you’re approved. After you accept the terms of the loan, LendingClub will pay off your previous lender.

Is a LendingClub auto loan right for you?

If you’re shopping around for the best auto refinance rate, it’s worth your time to check your rates with LendingClub. It has competitive APRs, no upfront or early payment fees and an easy application process.

Plus, there’s no need to sweat if you don’t like LendingClub’s offers, since checking your rates won’t damage your credit.

How LendingClub auto loans compare

Car refinance loans with LendingClub come with competitive interest rates and flexible terms of 24 to 84 months. But if you need to refinance a car loan larger than $55,000 or stretch out your car loan further than 84 months, you may want to check out other lenders.

Here’s how LendingClub’s refinance loans stack up against competitors:

Read our Autopay marketplace review and our RefiJet auto refinance review for more detailed breakdowns.