Author Topic: How do I get a Prosper account or Lending Club Account?  (Read 11216 times)

wgailey24

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How do I get a Prosper account or Lending Club Account?
« on: January 02, 2014, 07:30:20 AM »
Every time I try to get an account all I get is:
Unfortunately, we are unable to approve your application

So I have to magically pay all my old medical debts (that seem to go up every time I've made a payment) and then I can get a account to get a debt consolidation loan for debts I no longer have?

My credit score is about 650...

New Jersey Guy

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Re: How do I get a Prosper account or Lending Club Account?
« Reply #1 on: January 02, 2014, 09:02:46 AM »
Credit score is just part of the approval process, but I don't think your score is going to cut it for Lending Club (but might for Prosper)

Peter has a really nice section for new borrowers that goes into more detail about getting a loan.  You may want to read this over and see where you're lacking.

http://www.lendacademy.com/p2p-lending-borrower-resources/
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As of April 30, 2014

wgailey24

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Re: How do I get a Prosper account or Lending Club Account?
« Reply #2 on: January 02, 2014, 10:10:54 AM »
Like I said I tried both lending club and prosper, I'm guessing they don't use transunion scores or a combination of the 3 because his page you linked mentions a credit score of 640

    Experian - 634
    Equifax - 629
    TransUnion - 685

core

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Re: How do I get a Prosper account or Lending Club Account?
« Reply #3 on: January 02, 2014, 02:47:38 PM »
Like I said I tried both lending club and prosper, I'm guessing they don't use transunion scores or a combination of the 3 because his page you linked mentions a credit score of 640

Prosper pulls Experian so your 634 score there wouldn't make the cut.  I'm pretty sure LC still pulls Transunion so your 685 score should have been enough there to at least get past the FICO hurdle.

Where did you get those scores?  Unless you bought the scores from myfico.com they aren't going to be real FICO scores.  The "FAKO" scores may sometimes be very close (and sometimes not!) but when you're dealing with these kinds of margins, close doesn't count.

At any rate, it matters little at this point since they have already denied you.  I don't know if LC allows borrowers to call and request a manual review.  Sometimes that works with other companies in borderline cases.  At the very least they might be able to tell you that your TU score was not in fact anywhere near 685.

About the only things that will improve your score "overnight" (read: about a month) is to lower your util% on revolving debit, if you have any, and get some "errors" removed from your report.  If these "old" medical bills are old enough to have gone to collections and are being reported as such then the damage has already been done.  Paying them off isn't going to make your score substantially higher.  If it were me I'd be negotiating lump sum payoffs with each of them in exchange for them removing it from my credit report.  If they don't play ball (and they usually don't on the first attempt) I might consider not paying them until they come around.  Once you pay it off you have lost all negotiating power and you are stuck with a rotten score for 3+ years.

Peter

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Re: How do I get a Prosper account or Lending Club Account?
« Reply #4 on: January 04, 2014, 08:08:16 AM »
Like I said I tried both lending club and prosper, I'm guessing they don't use transunion scores or a combination of the 3 because his page you linked mentions a credit score of 640

    Experian - 634
    Equifax - 629
    TransUnion - 685
Core is right. Prosper pulls from Experian and Lending Club pulls from Transunion. The fact that you are over 660 (assuming your number is correct) and were denied by Lending Club means there is something else on your credit report that is preventing you from being approved. It may be you were declined because of high number of credit inquiries, a short credit history or high revolving credit utilization. You should be able to request from Lending Club the reason they denied you.

Regardless, that won't help you now. Here are a couple of other options for you:
https://lendstreet.com
https://www.freedomplus.com/

Best of luck.
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Rob L

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Re: How do I get a Prosper account or Lending Club Account?
« Reply #5 on: January 04, 2014, 12:38:04 PM »
FWIW, I read somewhere that US law requires a lender to give a reason (perhaps the top 3 reasons?) why a borrower is rejected if the borrower requests it.

core

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Re: How do I get a Prosper account or Lending Club Account?
« Reply #6 on: January 04, 2014, 02:00:58 PM »
FWIW, I read somewhere that US law requires a lender to give a reason (perhaps the top 3 reasons?) why a borrower is rejected if the borrower requests it.

This is true, and in most cases I've received a letter automatically.  (I used to get many such letters.)  I wouldn't be surprised if one was already in the mail here.  I doubt it will be helpful.  "Score too low" isn't one of the reasons, rather the letter will just list a few reasons why the score was too low.  I think we can already guess at the items in that letter.  And it won't tell you what the score was.  My money is still on a fake score.

It just occurred to me:  What would such a letter say (if the borrower requested one) if the only reason a loan was denied was because no lenders funded the note?

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Re: How do I get a Prosper account or Lending Club Account?
« Reply #7 on: January 05, 2014, 10:10:21 PM »
It just occurred to me:  What would such a letter say (if the borrower requested one) if the only reason a loan was denied was because no lenders funded the note?

Interesting concept.  It will have to remain a theory as it will likely never happen again.  LC would package them up with their other offerings and sell them at a ~1-2% mark up to banks and insurance companies, among others.

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