Avant Personal Loans Review

Avant is an online lender of unsecured personal loans, primarily serving individuals with fair to poor credit scores. Prospective borrowers will enjoy a fast application process, with prequalification allowing you to see if you're approved without impacting your credit score. Their interest rates and fees are on the higher end of the market, so they may not be a good option for well-qualified applicants.

Loan Options

• Avant offer unsecured personal loans between $2,000 and $35,000, with some state-specific exceptions to the minimum amount.

• Loan lengths range from 24 to 60 months.

• Avant does not currently support joint loan applications or the inclusion of cosigners, as well as loans secured with collateral.

Interest & Fees

• APR: Avant offers loans with rates of 9.95%-35.99%. The best rates will be reserved for borrowers with excellent credit history.

• Administration Fee: Avant will charge an administration fee of up to 9.99% of the approved loan amount. Sometimes called an origination fee, this is deducted from the loan proceeds before they are transferred to the borrower's bank account. Their disclosure adds that the fee "is deemed part of the loan principal and is subject to the accrual of interest", so you are charged interest on money that never reaches you.

• Prepayment Penalty: Borrowers do not incur any fees if they wish to pay off their loan early.

• Late Payment: Avant's fee page says a late fee may apply if a scheduled payment is missed, and that the amount and the timing of it vary by state. It is reported by Credible as $25 once a payment is 10 calendar days past its due date.

• Unsuccessful payment: Avant charge a dishonored payment fee if a scheduled payment is returned unpaid, reported by Credible as $15. This fee may be on top of those that are imposed by your bank.

How long to receive funds?

Avant state that personal loan funds are generally sent by ACH for delivery the next business day, provided the loan is approved by 4:30pm CT Monday to Friday. Approval decisions are usually returned within minutes, though the process can take longer if Avant ask for additional documents. When the money lands in your account after that also depends on your own bank.

Geographical Availability

Avant personal loans are available in 44 states and Washington, D.C. They do not currently accept applications from residents of Hawaii, Iowa, Maine, Massachusetts, Washington or West Virginia, according to NerdWallet.

Loan Eligibility

Avant state that a minimum credit score of 550 is needed to qualify for one of their loans, and that most of their customers have scores between 600 and 700.

It's highly likely that Avant have additional requirements (e.g. Debt to Income thresholds), though there were no specific details disclosed online.

Income Requirements

Avant do not publish a minimum income threshold. NerdWallet report it as $1,200 of monthly after-tax income, or $14,400 a year. Avant will consider a range of different income sources, such as employment, benefits, alimony, etc.

Are they legit?

Yes. Avant, LLC (NMLS ID #1246731) is a Chicago-based financial technology company that has been lending since 2012 and says it has served over 4 million customers. It is not itself a lender: Avant branded credit products are issued by WebBank. Avant handles the customer service, application process and loan management, while the actual funds are provided by the bank.

Reviews

At the time of writing, Avant had approximately 82% 5-star reviews on Trustpilot from a total of just over 32,000, with an average rating of 4.3/5.

Their BBB profile reads very differently. Avant is BBB accredited and holds an A+ letter grade, though BBB state that customer reviews are not used in calculating it. The customer rating on the same profile is 1.06/5 from 249 reviews, with 259 complaints closed in the last 12 months and 831 filed over the last three years.

Do They Report to the Credit Bureaus?

Yes. Avant report monthly snapshots of loan and payment status to the three major credit reporting agencies: Equifax, Experian and Transunion. Regular on-time payments will likely increase your credit score and improve your chances of qualifying for credit in the future. However, failure to satisfy your repayment obligations could damage your credit score, making it more difficult to borrow again.

Get in touch

You can call Avant at 800-712-5407 Monday- Friday between 7AM-10PM CST and at weekends between 7AM-8PM CST. Alternatively, you can email support@avant.com or submit a form via the dashboard when you log into your account.

What we like?

Fast process: Avant aim to provide approval decisions within minutes of the application, though the process may take longer if additional documents are requested (e.g. income verification). If approved, you should expect to receive the funds in one business day, though the exact timing may depend on your bank.

Check your rate: Borrowers can check their rate on the Avant website, without any impact to their credit score. If you choose to proceed with their offer, a hard credit check will then be performed, which will be recorded on your credit file.

Well-rated app: The free Avant app makes it easy to manage your account—you can make payments and receive updates on your loan. The app is available for both Apple and Android.

What we don't like?

Bad customer reviews: Avant has a very low customer rating on the Better Business Bureau (BBB), with many complaints relating to billing disputes, late fees, payment processing issues and customer service responsiveness. While many online lenders receive complaints, the volume and consistency of these issues is worth considering before applying.

Origination fees: Avant will charge administration fees of up to 9.99% on the approved loan amount. Also known as an origination fee, this is automatically paid at the time of funding. For example, if you are approved for $10,000 loan with a 4% origination fee, you'll only receive $9,600 in your bank account. Many lenders don't charge origination fees, so you may wish to look elsewhere to avoid them.

No joint/cosigned loans: Avant does not support loans with multiple applicants, either joint or cosigned applications. A cosigner or joint applicant can sometimes increase your chance of approval or give you better terms, so it might be worth checking out alternative lenders that provide this option.

No rate discounts: Some lenders give a small interest rate reduction—typically 0.25%-0.5%—if you set up autopay or let the lender pay your creditors directly in the case of debt consolidation loans. Avant does not offer this benefit.

Summary

Avant boasts a user-friendly website and app, allowing borrowers to check their rate without impacting their credit score. However, with their interest rates and fees on the higher end of the market, they likely only represent a good option for borrowers with poor credit that are unable to qualify elsewhere.