2023 Best Egg Personal Loan Review
NMLS#1136
Read more about how we rated Best Egg.
Best Egg, which operates under the parent company Marlette Holdings, Inc., is an online loan lender that allows consumers to prequalify for loans ranging from $2,000 to $50,000. Our Best Egg loan review will cover highlights, pitfalls and what it takes to get a loan with this lender:
- Quick funding: It can take anywhere from one to three business days for you to receive your funds after you’ve signed your loan agreement, though Best Egg states that more than half of recipients typically receive the money in one day.
- Offers secured and unsecured loans: If you’re taking out a personal loan from Best Egg, you have the option to choose from both secured and unsecured loans.
- Charges an origination fee: Best Egg borrowers may have to shell out an origination fee that can range anywhere from 0.99% - 8.99%. If you select a loan term of four years or longer, Best Egg will charge you a minimum 4.99% origination fee.
- Income requirements: To qualify for Best Egg’s lowest annual percentage rate (APR), you’ll need to have an annual income of at least $100,000 and a minimum credit score of 700. This may make it challenging for some consumers to qualify for Best Egg’s lowest rates.
- Direct payment to old lenders: If you want to consolidate your debt with Best Egg, this lender gives you the option to send your loan funds directly to your old lenders to pay them off.
- Best for borrowers looking to consolidate debt: With Best Egg’s direct payment feature, this lender may be best for debt consolidation. However, with its high credit and income requirements, this lender may be best for those with strong credit profiles and high income.
Best Egg pros and cons
While Best Egg may offer many benefits for some consumers, it may not be a good fit for others. Here’s what you need to know about the pros and cons of taking out a Best Egg loan:
| Pros | Cons |
|---|---|
Quick funding (one to three days) Flexible loan amounts ($2,000 to $50,000) No prepayment penalties Option to take out either secured or unsecured loans | High maximum APR (35.99%) Charges an origination fee (0.99% - 8.99%) No autopay discounts High income requirement for lowest interest rates |
While it can take up to three business days for some borrowers to receive their Best Egg loan, the company claims that more than half of its customers receive funds in one day. Borrowers can pay off their loans early without worrying about being charged a prepayment penalty.
Best Egg caters its secured personal loans to homeowners, advertising a 20% APR discount compared with the company’s unsecured loans. A Best Egg secured loan uses your home fixtures (like built-in cabinets and bathroom vanities) as collateral.
However, Best Egg’s APR can go as high as 35.99% and its lowest rates are reserved for borrowers with credit scores of at least 700 and a minimum income of $100,000. Best Egg also does not offer any rate discounts, unlike some lenders that cater to good-credit borrowers, such as SoFi.
Best Egg requirements
To get approved for a Best Egg personal loan, you’ll need to meet the following requirements:
| Minimum credit score | 600 |
| Residency | Best Egg only serves U.S. citizens and permanent residents. If you live in the following areas, you may not be eligible for a Best Egg loan:
|
| Minimum income | Must make at least $100,000 to receive Best Egg’s lowest rates |
If you meet the basic requirements listed above, you may need to disclose the reason for your personal loan. While Best Egg allows borrowers to use its funding for a variety of purposes, there are certain expenses you cannot put the money toward.
| Best Egg loans CAN be used for… | Best Egg loans CANNOT be used for… |
|---|---|
Debt consolidation Credit card refinancing Home improvement Medical bills Moving costs Vacation expenses Covering taxes Major purchases | Post-secondary education costs Buying or carrying securities (stocks or bonds) Illegal activity |
If Best Egg’s loan options won’t work for your borrowing needs, be sure to shop around for a lender that helps you meet your financial goals and can offer you the best-fitting rates, terms and amounts.
How to get a loan with Best Egg
Best Egg’s loan application process allows consumers to see whether they prequalify within minutes. Here’s what you need to know about getting a loan with this lender:
Prequalify
Since Best Egg allows you to prequalify for a personal loan, you can fill out an initial application to see what kind of rates you may qualify for without any impact to your credit score. You’ll need to tell Best Egg how much money you’re looking to borrow, the purpose of your loan and your personal information, employment status and income.
Choose loan details
Once you’ve finished the initial application, you can find out whether you prequalify for a Best Egg loan. If you do, you’ll need to verify your information with Best Egg. This may involve providing documentation like a government-issued identification, pay stubs and a mortgage or rental agreement. Once Best Egg has verified your details, they’ll run a hard credit inquiry, which may cause your credit score to go down by a few points.
Sign loan agreement
After you submit to and pass a hard credit inquiry, Best Egg may offer you a personal loan. At this stage, you’ll need to sign your personal loan agreement. When all the papers are signed, you can expect to receive your loan funds in one to three business days.
While Best Egg does offer the option to get a secured loan, you risk losing your collateral if you’re unable to make the payments.
How Best Egg compares to other personal loan companies
Even if you believe Best Egg aligns with what you’re looking for in a personal loan, it never hurts to shop around and compare other lenders. Here’s how Best Egg stacks up against similar personal loan lenders.
| Lender | Best Egg | Prosper | Upgrade |
|---|---|---|---|
| LendingTree’s rating | 4.3/5 | 4.3/5 (Read review) | 4.6/5 (Read review) |
| Minimum credit score | 600 | 560 | 580 |
| APRs | 8.99% - 35.99% | 6.99% - 35.99% | 8.49% to 35.99% |
| Loan amount | $2,000 - $50,000 | $2,000 - $50,000 | $1,000 - $50,000 |
| Repayment term | 36 to 60 months | 24 to 60 months | 24 to 84 months |
| Origination fee | 0.99% - 8.99% | 1.00% - 7.99% | 1.85% - 9.99% |
| Funding timeline | Receive funds within one to three days | Receive funds within one to three business days | Receive funds as soon as one business day |
| Bottom line | Though it has a high maximum APR, Best Egg’s rates are similar to other lenders on the market. Its origination fee is higher than some competitors, but it has a fairly quick funding timeline. | Prosper’s funding timeline and loan amounts are similar to Best Egg. However, its minimum APR and origination fee are slightly lower, potentially giving them an edge. | Upgrade closely matches Best Egg in terms of APR and origination fees, but it has a quicker funding timeline and longer repayment terms. |
How we rated Best Egg
To come up with our star rating for personal loan companies, LendingTree considered 22 data points across three categories:
- Accessibility: We paid attention to whether lenders offered loans to nontraditional borrowers, as well as those without excellent credit scores. We also checked if lenders offered soft credit pulls, and whether they were transparent about eligibility criteria other than credit scores.
- Rates and terms: We wanted to know if lender rates, terms, amounts and fees were not only transparent, but competitive.
- Repayment experience: We based this category on lenders’ reputations, customer support availability and unique benefits.
The data points reflect every step of the process to shop and apply for, borrow and repay personal loans. A five-star lender, for instance, has flexible eligibility requirements, offers you the chance to prequalify without commitment and supports you in zeroing your balance.
The 22 data points, culled from the lenders themselves, determine the overall rating. We score lenders consistently, sometimes awarding partial points, so that you can make apples-to-apples comparisons when shopping around.
LendingTree isn’t paid for conducting these reviews, and lenders don’t have control over their content. With our reviews and ratings, we aim to give our users the objective and exhaustive information they need to make the best possible decisions.
Frequently asked questions
Best Egg is a legitimate online lender that is run by parent company Marlette Holdings, Inc. Best Egg offers personal loans to consumers with good credit scores.
No — unfortunately, Best Egg only caters to individual applicants and does not allow joint applications. However, if you have a low credit score and aren’t sure you can qualify for a personal loan without a co-borrower, Best Egg offers secured loans, which may be easier to qualify for since these loans require collateral.
Best Egg allows users to prequalify when they initially apply for a personal loan. This has no impact, good or bad, to your credit score. However, later in the process, consumers will have to submit to a hard credit inquiry, which can cause their credit score to temporarily dip by a few points.
Yes — like most personal loan lenders, borrowers can pay off their Best Egg personal loan early without incurring a prepayment penalty. This type of fee is used by some lenders to recoup the interest profits they miss out on when you repay a loan early. Prepayment penalties typically only come with auto loans, mortgages and business loans.