Best Egg vs. LendingClub (Now Happen Bank): Which Personal Loan Is Better?

Best Egg and LendingClub are well-known online lenders that offer relatively similar personal loan options. Best Egg is best if you're looking for a large-dollar secured loan, while LendingClub may be best if you have good credit and hope to skip origination fees.

Choosing between the two lenders, however, might come down to which one assesses your loan application more favorably and makes the better offer.

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Key Takeaways

• Best Egg and LendingClub both offer competitive online personal loans with fast funding and similar repayment terms, two to seven years, but they differ meaningfully in loan types, borrowing limits and fee structures.

• Best Egg stands out for its secured loan options, like home or vehicle, with borrowing up to $100,000, while LendingClub stands out for its lower minimum loan amount of $1,000, potential 0% origination fee and co-borrower option.

• The right choice depends on your priorities: Best Egg works better for secured loans and large-dollar borrowing, while LendingClub works better for fee-free unsecured loans, smaller loan amounts and joint applications.

Summary generated by AI, verified by MoneyLion editors

Best Egg vs. LendingClub: A Detailed Comparison

LendingClub Is Now Happen Bank

If you searched for Best Egg vs. LendingClub, you haven't landed on the wrong comparison. LendingClub Bank officially became Happen Bank on June 22, 2026. Its parent company now operates as Happen, Inc., and the company's stock moved to Nasdaq under the ticker HAPN.

That means new borrowers should compare Best Egg against Happen Bank's current personal loan terms, rather than relying on older LendingClub reviews or rate tables.

This distinction matters because plenty of older LendingClub information is still online, including outdated APR ranges, loan limits and fees.

MoneyLion offers a service to help you find personal loan offers. Based on the information you provide, you can get matched with offers for up to $100,000 from our top providers. You can compare rates, terms and fees from different lenders and choose the best offer for you.

Interest Rates and APR

Annual percentage rates (APRs) reflect how much you're paying for your loan each year in fees and interest. The higher your APR, the higher your total borrowing costs.

LendingClub offers only unsecured personal loans with fixed APRs from 5.96% to 35.99%, depending on your credit and overall financial profile. Best Egg offers unsecured personal loans with fixed APRs from 6.99% to 35.99%. It also offers secured personal loans, which require collateral (in Best Egg's case, an eligible passenger vehicle or an owned home's permanent fixtures) to qualify for more funding, more flexible terms or lower APRs. Best Egg vehicle-secured loan APRs range from 10.99% to 29.99%, while its home-secured loan APRs range from 5.99% to 29.99%.

This chart shows the estimated monthly payments and total borrowing costs for a five-year, $20,000 loan at each lender's lowest and highest APRs.

Secured loans carry a unique risk: if you default, the lender could seize your collateral. Still, they're an option if your credit is so-so and you're having a hard time finding affordable financing.

Loan Amounts

Best Egg's unsecured personal loans range from $2,000 to $50,000. Its home-secured loans range from $5,000 to $50,000, while its vehicle-backed secured loans range from $5,000 to $100,000. LendingClub's unsecured personal loans range from $1,000 to $60,000, making it a more flexible option for borrowers who can't or don't want to put up collateral.

Plus, if you live in the following states, Best Egg unsecured loans are unavailable or subject to higher borrowing minimums:

• Iowa: unavailable

• Vermont: unavailable

• West Virginia: unavailable

• Washington, D.C.: unavailable

• Massachusetts: $6,500 minimum

• Ohio: $5,001 minimum

• Georgia: $3,001 minimum

Best Egg also has restrictions on its secured loans. For instance, its home-backed loans are unavailable in Connecticut, Iowa, Louisiana, Vermont, West Virginia and Washington, D.C.

Repayment Terms

Best Egg's repayment terms also vary by loan type, with unsecured loans lasting three to five years. Vehicle-secured loan terms range from two to seven years, while home-backed loan terms range from three to seven years.

LendingClub offers loan terms of two to seven years, though most of its loan terms are three or five years. In other words, both lenders' loan term options are quite similar and offer some flexibility when balancing an affordable monthly payment with reasonable total borrowing costs.

Fees and Costs

Best Egg charges origination fees between 0.99% and 9.99%, based largely on creditworthiness, though all loans four years or longer carry a fee of at least 4.99%. LendingClub's origination fees are lower, ranging from 0% to 8%, meaning you might be able to skip the charge with excellent credit.

These origination fees can affect the cost of your loan and how much you need to borrow, as they're charged upfront and deducted from your loan proceeds. This chart demonstrates how various origination fees can impact a five-year unsecured personal loan.

Neither lender charges prepayment penalties. Best Egg doesn't charge late fees. LendingClub charges a late fee of $15 or 5% of the outstanding amount (whichever is greater), albeit with a 15-day grace period.

Eligibility and Approval

Best Egg indicates on its website that it requires a minimum credit score of 640, and reserves its best rates for people with annual incomes of at least $100,000 and credit scores of 700 or higher. LendingClub doesn't openly disclose its minimum credit score or income requirements. However, it specifies that its best rates are reserved for borrowers with high credit scores, a low debt-to-income ratio and a proven track record of credit management.

Users on forums like MyFico and Reddit report Best Egg approvals, albeit at high APRs, with scores in the low 600s, and LendingClub approvals with scores in the mid-600s. Unlike LendingClub, however, Best Egg doesn't allow joint loan applications to increase approval odds.

Application and Funding Experience

Both lenders advertise funding in as little as 24 hours, but most borrowers receive funds within one to three business days after verification. Both lenders offer a digital-first borrowing experience:

• Pre-qualification: Both allow rate checks via soft credit inquiry, so there's no impact to your credit score. A hard inquiry only happens if you accept an offer.

• Application: Both fully online, with mobile apps for Android and iOS that let you manage payments, open new accounts and monitor your credit.

• Funding timeline: Both report one to three business days as the standard, dependent on bank processing times.

• Customer satisfaction: LendingClub placed slightly higher in J.D. Power's 2025 U.S. Consumer Lending Satisfaction Study (709 to Best Egg's 686) and edges Best Egg on Trustpilot.

Best Egg vs. LendingClub: Pros and Cons

Best Egg vs. LendingClub: What Is Each Lender Best For?

While Best Egg and LendingClub have similar personal loan offerings, there are a few times when your choice between the two might be more clear-cut.

Choose Best Egg personal loans if:

• You're looking for a secured personal loan, especially for a large amount.

• You own a vehicle or home and are willing to use either to get more funding or better loan terms.

• You have fair credit and don't qualify for any LendingClub offers.

Choose LendingClub personal loans if:

• You have excellent credit and don't want to pay an origination fee.

• You're looking for an unsecured loan under $2,000 or over $50,000.

• You have a co-borrower to split responsibility or boost approval odds.

• You live in a state where Best Egg is unavailable.

Final Recommendation and Next Steps

Best Egg and LendingClub offer similarly competitive personal loans. Best Egg is your go-to for secured loans, as LendingClub doesn't offer this loan type. However, if you're looking for an unsecured loan, you might want to check rates with both lenders. Neither does a hard credit pull during pre-qualification, and the better offer could vary by the specifics of your loan application and financial profile.

In fact, you might want to comparison-shop with other lenders to increase your odds of finding your best offer. If Best Egg's rates don't quite work for you, MoneyLion's Avant vs. Best Egg comparison breaks down which lender fits fair-to-poor credit profiles better. Borrowers who want an unsecured loan but have thin or so-so credit may also want to review MoneyLion's Best Egg vs. Upstart comparison, since Upstart's alternative underwriting model can open doors that traditional lenders keep closed.

Key Terms

• Annual percentage rate (APR): The yearly borrowing cost that reflects the interest rate plus certain lender fees.

• Origination fee: A charge for processing or originating the loan that's commonly deducted from the proceeds.

• Net proceeds: The amount of money you actually receive after upfront deductions such as an origination fee.

• Co-borrower: A second applicant who shares responsibility for repaying a joint loan.

• Secured loan: A loan backed by pledged collateral.

• Unsecured loan: A loan that doesn't require pledged collateral.

• Direct Pay: A feature that sends qualifying loan proceeds directly to selected creditors.

• Prequalification: An initial evaluation that can show potential loan terms without immediately requiring a hard credit inquiry.

• Loan term: The amount of time scheduled for repaying a loan.

• Total repayment: The combined principal, interest and applicable borrowing costs paid over the life of a loan.

Summary generated by AI, verified by MoneyLion editors

Sources

Rates, fees and lender terms were checked against first-party disclosures on Aug. 12, 2026. Personal loan pricing and availability can change, so figures should be reconfirmed immediately before publication.

• CFPB: What Is the Difference Between a Loan's Interest Rate and Its APR?

• CFPB: What Is a Debt-to-Income Ratio?

• myFICO: What Is a Credit Score?

• Best Egg: Personal Loans Official Website

• J.D. Power: 2025 U.S. Consumer Lending Satisfaction Study

Summary generated by AI, verified by MoneyLion editors

FAQ

Here's what people are asking about Best Egg vs. LendingClub personal loans:

Which is better, Best Egg or LendingClub?

Best Egg is better for secured personal loans, as LendingClub only offers unsecured funding. LendingClub is better if you have excellent credit and want no origination fee, as Best Egg charges a 0.99% minimum origination fee on its personal loans. Beyond that, the better lender is the one that offers you the most affordable terms and conditions.

Are Best Egg loans secured?

Best Egg offers secured personal loans that allow you to use a qualified vehicle or permanent home fixtures as collateral. It also offers unsecured personal loans ranging from $2,000 to $50,000.

What are the downsides of LendingClub?

LendingClub's main downsides include high maximum APRs and origination fees. It also charges late fees after a 15-day grace period. As with all financing, mismanaging or defaulting on a loan could hurt your credit and overall financial health.

How fast can you get funded by Best Egg or LendingClub?

Both lenders advertise funding in as little as 24 hours, though most borrowers receive their funds within one to three business days after full loan approval and verification.

Does checking rates with Best Egg or LendingClub hurt your credit?

No. Both lenders let you check rates and estimated approval odds through a soft credit inquiry during pre-qualification, which doesn't affect your credit score. A hard credit pull only happens if you formally accept a loan offer.