Upstart vs. Best Egg: Which Is Right for You?

Upstart and Best Egg are online personal loan lenders that offer loans to borrowers who have fair credit, with fast funding and generous maximum loan amounts. But which one suits your borrowing needs best?

Upstart features higher maximum borrowing amounts for unsecured loans and slightly lower minimum APRs. However, Best Egg offers secured loan options with higher borrowing limits and more flexible terms. This guide compares Upstart vs. Best Egg to help you find the best loan for you.

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Upstart vs. Best Egg: Overview

Upstart and Best Egg can both put money in your account in just a few days — or, in some cases, as soon as the next day — even with fair credit.

Upstart leans on an AI-powered platform to evaluate more than just your credit score, so you could qualify for a personal loan between $1,000 and $75,000 with a credit score of 620 or higher. Best Egg stands out for its secured loan options, letting you tap up to $100,000 or get a significant APR discount by pledging your car or items in your home as collateral.

In short, Upstart offers speedy and flexible unsecured loans, while Best Egg may be the better fit if you want lower, adjustable payments and need a larger loan backed by collateral.

Upstart personal loans

The Upstart lending platform partners with more than 100 financial institutions to fund personal loans for borrowers. Upstart's AI-powered technology evaluates all applications to speed up the process and make fair decisions regarding a borrower's ability to repay a loan. That means you could qualify even if you have less-than-perfect credit.

You can borrow up to $75,000 through Upstart, but your loan could come with an origination fee of up to 12%, depending on the lender. Upstart often funds loans within one business day of approval.

Best Egg personal loans

Best Egg is an online lending platform with a small network of lenders that fund personal loans. To date, Best Egg has helped fund more than 1 million loans. Catering to fair-credit borrowers, the company offers unsecured and secured loans to help you find a loan product that fits your budget and financial needs.

You can use Best Egg personal loans for debt consolidation, home repairs, credit card refinancing, and major purchases. Best Egg's unsecured loans are available for up to $50,000 for three- to five-year terms, while secured loans can range up to $100,000 with two- to seven-year terms. The company also offers an average APR discount of 20% for homeowners who want a secured loan using items in their home, like cabinets and light fixtures, as collateral.

Tips on choosing between Upstart and Best Egg

Compare key features of Upstart vs. Best Egg personal loans below.

APR range

An annual percentage rate, or APR, affects what you pay to borrow a personal loan. It includes your interest rate and any upfront fees, like an origination fee, that increase the cost of borrowing.

Upstart and Best Egg personal loans have very similar APR ranges. Because Upstart has a slightly lower minimum APR, borrowers with excellent credit could potentially qualify for a slightly lower rate compared to Best Egg. However, the larger differentiating factor could be the origination fee. Best Egg has an obligatory origination fee of 0.99% to 9.99%. However, you could pay an origination fee of up to 12% with Upstart.

Minimum credit score

When applying for an Upstart personal loan through the Credible marketplace, it's best to have a FICO credit score of at least 620, but you could be eligible with a score as low as 300 if you apply directly with Upstart. Best Egg requires a credit score of at least 600.

Loan purpose

Upstart and Best Egg allow you to use your loan for home improvements, vacations, debt consolidation, and other major purchases. You can also use a loan from either lender to refinance high-interest credit cards to get a lower interest rate or lower monthly payments.

The lenders both restrict borrowers from using a personal loan for illegal activities.

Repayment terms

You can have three or five years to repay an Upstart loan. Best Egg allows between three and five years, so you may qualify for a four-year repayment term. A vehicle-secured loan through Best Egg offers more flexible terms of two to seven years, giving you more time to pay off your loan if needed.

Loan amount

You can borrow $1,000 to $75,000 from Upstart. Best Egg's unsecured personal loans offer $2,000 to $50,000. However, its vehicle-secured loans allow you to borrow as much as 250% of your vehicle's value, for a maximum of $100,000, giving more wiggle room for larger financing needs. But if you need to cover a major expense without using your vehicle as collateral, Upstart may be a better option.

Time to fund

Expect to get your loan funded relatively quickly from Upstart or Best Egg. Best Egg usually funds loans within one to three business days of approval. Upstart typically sends funds the next business day for loans accepted before 5 p.m. ET Monday through Friday. Keep in mind that some banks process transactions faster than others, so your funds may not clear your bank the same day the lender sends them.

How to apply for a personal loan

When you're ready to apply for a personal loan, follow these steps:

1. Check your credit score with Credible's free credit monitoring tool to see where your credit stands and find a lender that fits your credit profile.
2. Prequalify with Upstart and Best Egg. You can do this directly on their websites or by submitting one form on Credible. Prequalification gives you an idea of estimated loan amounts, terms, and rates you may be eligible for without affecting your credit.
3. Compare the monthly payments and APRs for different loan quotes and choose the most suitable one for your budget and financial goals.
4. Gather documents, like pay stubs or tax returns, and apply with the lender. Lenders typically run a hard credit inquiry when you apply. You may notice a small dip in your credit score, but it's temporary.
5. Review and sign the loan agreement and submit it to the lender.
6. Wait for your loan funds — money should arrive within a few business days with either Best Egg or Upstart. Once you receive your loan, you'll enter into repayment, so make note of your first payment due date.

Which lender is best for you?

You may notice several similarities between Upstart vs. Best Egg. Still, if you're looking for something specific as a borrower, such as a small loan or a secured loan option, one lending platform may have an edge over the other. Here are a few key differences to help you decide.

Best for flexible payments: Best Egg

Best Egg's Payment Pathway is an optional program that lowers your monthly payment as you pay off your loan. Just be sure to opt in to Payment Pathway when you apply for your loan. You must also enroll in autopay to take advantage of this payment option.

Best for smaller loans: Upstart

Upstart lets you borrow as little as $1,000, compared to Best Egg's minimum of $2,000. A personal loan from Upstart might be a better choice if you want to refinance a couple of low-balance credit cards or cover a small expense, like a minor car repair or vet bill, without taking on more debt than you need.

Learn More: Where To Get a $1,000 Loan and What To Know

Best for secured loans: Best Egg

In addition to unsecured loans, Best Egg has secured loan options using your vehicle or items in your home as collateral (as opposed to the home itself, as is the case with a home equity loan or HELOC).

Vehicle-secured loans from Best Egg also offer more flexible repayment terms of two to seven years and higher borrowing limits, up to $100,000. Plus, you may qualify for a lower APR if you secure the loan with your home's fixtures, which reduces the loan's APR by an average of 20% compared to unsecured loans.

Learn More: Secured vs. Unsecured Personal Loans

Best for quick funding: Upstart

Upstart and Best Egg fund most loans relatively quickly, but Upstart could be faster for some borrowers. Best Egg funds loans within one to three business days after approval. Upstart usually funds loans the next business day, as long as you accept your loan before 5 p.m. ET on a business day. Upstart states that 99% of its loans fall into this timeline.

According to Credible personal loan marketplace data, Upstart funded loans in an average of two days over a 12-month period, while Best Egg's average funding time was three days.