Payoff Personal Loan Review

How Student Loan Hero Gets Paid

How Student Loan Hero Gets Paid

Student Loan Hero is compensated by companies on this site and this compensation may impact how and where offers appears on this site (such as the order). Student Loan Hero does not include all lenders, savings products, or loan options available in the marketplace.

Advertiser Disclosure

Student Loan Hero Advertiser Disclosure

Student Loan Hero is an advertising-supported comparison service. The site features products from our partners as well as institutions which are not advertising partners. While we make an effort to include the best deals available to the general public, we make no warranty that such information represents all available products.

Editorial Note: This content is not provided or commissioned by any financial institution. Any opinions, analyses, reviews or recommendations expressed in this article are those of the author’s alone, and may not have been reviewed, approved or otherwise endorsed by the financial institution.

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What is Payoff?

Lots of debt consolidation companies claim to have your best interests at heart. Payoff is no different in that respect. But what makes Payoff different from other lenders is that it really does offer more consumer-friendly terms than many other lenders, and that seems to stem from the company’s leadership.

The company is a part of the Happy Money umbrella. Its mission is to empower people to have a more positive relationship with their money by helping them with financial products such as holistic credit scores, savings accounts, and, yes, personal loans for credit card debt consolidation. Happy Money even employs scientists like psychologists and neuroscientists in the design of its products.

Make no mistake: Payoff is first and foremost a business, and not a nonprofit. But for a business, Payoff is one of the best that we’ve seen that can help you get out of credit card debt, and we’ll tell you why in this review.

Payoff personal loan highlights

  • Designed for credit card debt: Payoff is very clear that these loans are meant to consolidate credit card debt, not to fund your daughter’s wedding.
  • Only one fee: The only fee that Payoff charges is a Up to 5.00% origination fee.
  • Extensive support: Payoff provides free monthly FICO score updates, job loss support, cash flow assessments and regularly-scheduled check-ins to see how your progress is going.
  • Low interest rate: You could pay as low as 5.99% APR with a Payoff loan.
LENDER
APR
Credit Req.
Terms
Origination Fee
APR 5.99%
To
24.99%
Credit Req.640Minimum Credit Score
Terms2 to 5Years
Origination Fee0% - 5% of loan balance

See Offers Secureon Lendingtree's secure websiteLender Disclosure

Payoff Disclosures

  1. All loans are subject to credit review and approval. Your actual rate depends upon credit score, loan amount, loan term, credit usage and history. Currently loans are not offered in: MA, MS, NE, NV, OH, and WV.

Payoff Personal Loan Details
Terms
Fees and Penalties
  • Term lengths: 24 and 60 months
  • APR: 5.99% – 24.99%
  • Loan amounts: $5,000 – $40,000. The minimum amount you can borrow is higher in New Mexico ($5,100) and Maryland ($6,100).
  • Time to funding: One to two weeks
  • Credit check: Payoff will perform a Soft Pull credit check when you check your rate. If you proceed with the application, the company will perform a hard credit pull.
  • Origination fee: Up to 5.00% of the loan amount.
  • Prepayment fee: None
  • Late payment fee: None
  • Other fees: None

Payoff product details

Payoff provides a lot of benefits for its customers.

One of the biggest reasons for getting a debt consolidation loan (aside from getting rid of your credit card debt) is to increase your credit score. Payoff helps you track this by providing you with a monthly updated FICO score. Other lenders provide credit card scores as well in the form of VantageScores, but FICO scores are what most future lenders will really look at and so it’s the most helpful one to view.

Payoff also provides ongoing support in helping you pay off your debt for good by checking in with your debt-payoff progress at regularly-scheduled quarterly intervals. If you lose your job, Payoff also will work with you to adjust your payments until you get back on track. Finally, the company provides “scientific personality, stress and cash flow assessments,” although it’s not quite clear what these entail or how useful they may really be.

Eligibility requirements

  • Minimum credit score: 640
  • Minimum credit history: 3 years of good credit
  • Maximum debt-to-income ratio: 50%

In addition to the above requirements, you’ll need to be at least 18 years old, have a checking account and a Social Security number. Payoff is not available in Maine, Mississippi, Nebraska, Nevada or West Virginia, unfortunately.

Finally, Payoff has a few more credit requirements:

  • No current delinquencies
  • No delinquencies greater than 90 days within the past 12 months
  • No more than one installment loan within the past 12 months
  • At least two open and current tradelines (such as credit cards or other loans)

Applying for a personal loan from Payoff

You can apply for a credit card consolidation loan with Payoff online. To begin, you’ll check your rate by entering in your information on the main Payoff loan page. This will result in a Soft Pull credit check which won’t have any effect on your credit score, so there’s no harm in checking your rate to shop around.

After you’ve entered in your details, Payoff will provide you with a range of loan options to choose from with differing interest rates, terms, monthly payment amounts, etc. If you select one and decide to proceed with your application, Payoff will then do a hard credit pull which will show up on your credit report. You might also need to submit proof of income (two most recent pay stubs or last year’s 1040 tax return, if you’re self-employed), your most recent bank statement and a copy of your ID.

The approval process can take three to seven days, depending on what documents the company needs. If you’re approved, it’ll take another three to six days to deposit the money into your account, which Payoff expects you to use to pay off your credit card debt. This is quite a long funding time for a personal loan, however, so keep in mind that this loan is not for immediate emergencies. It’s to pay off your credit card debt, so you don’t necessarily need to apply for a loan that’ll guarantee the money is in your account by the next day.

Pros and Cons of a Payoff Personal Loan
Pros
Cons
  • Low interest rate: Payoff offers interest rates as low as 5.99% APR.
  • Job loss protection: If you lose your job, Payoff will work with you on your payments until you’re hired again and earning an income.
  • Few fees: Aside from an origination fee, there are zero other fees — no prepayment penalty, late fees, returned payment fees, etc.
  • Free FICO scores: Each month, you’ll get a FICO score update to track your progress.
  • Not available in all states: Residents of Maine, Mississippi, Nebraska, Nevada, and West Virginia are not eligible for Payoff loans.
  • Potentially high interest rate: If you have a less-than-ideal credit profile, you may end up on the high end of the interest rate scale up to 24.99% APR. This may be more expensive than your current credit card debt, negating the whole purpose of the loan.
  • Narrow range of uses: These loans are designed for one purpose: paying off credit card debt.
  • Slow funding time: It can take up to two weeks to get your money, if approved for the loan.

Who’s the best fit for a Payoff personal loan?

Payoff is a great choice for people looking to avoid fees and build their credit while consolidating high-interest credit card debt. You can qualify for a Payoff loan with a fair credit score (as low as 640), however you may receive higher rates.

That’s because in general, the higher your credit score, the lower your interest rate, and Payoff does provide a significant cost savings if you can qualify for its low rates. If you’re just on the cusp of being approved for a Payoff loan, chances are you’ll be toward the high end of the interest-rate spectrum. This might mean that your interest rate may not be any better than your current credit card in the first place (although this will vary depending on your current credit card’s details).

Say, for example, that you’re looking to consolidate credit card debt at an interest rate of 19.95% APR. If Payoff offers you a loan for 24.99% APR, then there’s no reason to take out a personal loan in the first place.

Alternative personal loan options

LightStream

LENDER
APR
Credit Req.
Terms
Origination Fee
APR 4.99%
To
19.99%
*
Credit Req.Not specified
Terms24 to 144 *Months
Origination FeeNo origination fee

See Offers Secureon Lendingtree's secure websiteLender Disclosure

LightStream Disclosures

*Your loan terms, including APR, may differ based on loan purpose, amount, term length, and your credit profile. Excellent credit is required to qualify for lowest rates. Rate is quoted with AutoPay discount. AutoPay discount is only available prior to loan funding. Rates without AutoPay are 0.50% points higher. Subject to credit approval. Conditions and limitations apply. Advertised rates and terms are subject to change without notice.
Payment example: Monthly payments for a $10,000 loan at 3.99% APR with a term of 3 years would result in 36 monthly payments of $295.20.

If you’re on a quest to get the lowest interest rates possible, LightStream is definitely one lender that should be on your short list. Aside from the cheaper rates, LightStream also allows you to use the funds for other items (not just credit card debt consolidation), and can get you the money much sooner than Payoff. However, you won’t get job loss support, FICO score updates, or quarterly check-ins like what Payoff offers.

Rocket Loans

LENDER
APR
Credit Req.
Terms
Origination Fee
APR 7.16%
To
29.99%
Credit Req.640Minimum Credit Score
Terms3 to 5Years
Origination Fee1% - 6%

See Offers Secureon Lendingtree's secure website

RocketLoans is another no-frills options that you can use for almost any purpose, not just credit card debt consolidation. It offers similar terms, APRs and origination fees to Payoff, so it’s another good lender to check your rates with. It does charge more fees than Payoff (just a late payment fee and a returned payment fee, in addition to the origination fee), and you may be able to take out up to $45,000 with this lender.

Best Egg

Lending Platform
APR
Credit Req.
Terms
Origination Fee
APR 5.99%
To
29.99%
Credit Req.640Minimum Credit Score
Terms36 or 60Months
Origination Fee0.99% - 5.99%

See Offers Secureon Lendingtree's secure websiteLender Disclosure

Best Egg Disclosures

*The Annual Percentage Rate (APR) is the cost of credit as a yearly rate and ranges from 5.99%-29.99%, which may include an origination fee from 0.99% – 6.99%. Any origination fee on a 5-year loan will be at least 4.99% and is deducted from loan proceeds. The APR offered will depend on your credit score, income, debt payment obligations, loan amount, loan term, credit usage history and other factors, and therefore may be higher than our lowest advertised rate. Requests for the highest loan amount may resulting an APR higher than our lowest advertised rate. You need a minimum 700 FICO® score and a minimum individual annual income of $100,000 to qualify for our lowest rate.

*Trustpilot TrustScore as of June 2020. Best Egg loans are unsecured personal loans made by Cross River Bank, a New Jersey State Chartered Commercial Bank, Member FDIC. “Best Egg” is a trademark of Marlette Funding, LLC. All uses of “Best Egg” refer to “the Best Egg personal loan” and/or “Best Egg on behalf of Cross River Bank, as originator of the Best Egg personal loan,” as applicable. The term, amount and APR of any loan we offer to you will depend on your credit score, income, debt payment obligations, loan amount, credit history and other factors. Your loan agreement will contain specific terms and conditions. The timing of available funds upon loan approval may vary depending upon your bank’s policies. Loan amounts range from $2,000–$50,000. Residents of Massachusetts have a minimum loan amount of $6,500 ; New Mexico and Ohio, $5,000; and Georgia, $3,000. For a second Best Egg loan, your total existing Best Egg loan balances cannot exceed $50,000. Annual Percentage Rates (APRs) range from 5.99%–29.99%. The APR is the cost of credit as a yearly rate and reflects both your interest rate and an origination fee of 0.99%–6.99% of your loan amount, which will be deducted from any loan proceeds you receive. The origination fee on a loan term 4-years or longer will be at least 4.99%. Your loan term will impact your APR, which may be higher than our lowest advertised rate. You need a minimum 700 FICO® score and a minimum individual annual income of $100,000 to qualify for our lowest APR.

To help the government fight the funding of terrorism and money laundering activities, federal law requires all financial institutions to obtain, verify, and record information that identifies each person who opens an account. When you open an account, we will ask for your name, address, date of birth, and other information that will allow us to identify you.

About the only difference between BestEgg and Payoff is that BestEgg is a tad more expensive. It’s not expensive enough to preclude it from being a good alternative, however. Specifically, BestEgg charges slightly higher origination fees and has more miscellaneous fees (late payment, returned payment and processing payment fees for those not on automatic payment plans). It also does not offer job loss support, free FICO scores, or any of the other random perks that Payoff offers.

Interested in a personal loan?

LendingTree allows you to compare rates from multiple lenders by filling out one easy form. How Student Loan Hero Gets Paid

How Student Loan Hero Gets Paid

Student Loan Hero is compensated by companies on this site and this compensation may impact how and where offers appears on this site (such as the order). Student Loan Hero does not include all lenders, savings products, or loan options available in the marketplace.

Advertiser Disclosure

Student Loan Hero Advertiser Disclosure

Student Loan Hero is an advertising-supported comparison service. The site features products from our partners as well as institutions which are not advertising partners. While we make an effort to include the best deals available to the general public, we make no warranty that such information represents all available products.

How Student Loan Hero Gets Paid

How Student Loan Hero Gets Paid

Student Loan Hero is compensated by companies on this site and this compensation may impact how and where offers appears on this site (such as the order). Student Loan Hero does not include all lenders, savings products, or loan options available in the marketplace.

Advertiser Disclosure

Student Loan Hero Advertiser Disclosure

Student Loan Hero is an advertising-supported comparison service. The site features products from our partners as well as institutions which are not advertising partners. While we make an effort to include the best deals available to the general public, we make no warranty that such information represents all available products.

RATES (APR)loan amount
5.99% – 18.85%1 $5,000 to $100,000
7.86% – 35.99% $1,000 to $50,000
5.94% – 35.97%* $1,000 to $50,000
99.00% – 199.00%2 $500 to $4,000
5.99% – 24.99%3 $5,000 to $40,000
7.99% – 29.99%4 $7,500 to $40,000
compare rates on Lendingtree now
NMLS #1136: Terms & Conditions Apply
1 Includes AutoPay discount. Important Disclosures for SoFi.

SoFi Disclosures

  1. Fixed rates from 5.99% APR to 18.85% APR (with AutoPay). SoFi rate ranges are current as of March 19, 2020 and are subject to change without notice. Not all rates and amounts available in all states. See Personal Loan eligibility details. Not all applicants qualify for the lowest rate. If approved for a loan, to qualify for the lowest rate, you must have a responsible financial history and meet other conditions. Your actual rate will be within the range of rates listed above and will depend on a variety of factors, including evaluation of your creditworthiness, years of professional experience, income and other factors. See APR examples and terms. The SoFi 0.25% AutoPay interest rate reduction requires you to agree to make monthly principal and interest payments by an automatic monthly deduction from a savings or checking account. The benefit will discontinue and be lost for periods in which you do not pay by automatic deduction from a savings or checking account.
  2. To check the rates and terms you qualify for, SoFi conducts a soft credit pull that will not affect your credit score. However, if you choose a product and continue your application, we will request your full credit report from one or more consumer reporting agencies, which is considered a hard credit pull.
    See Consumer Licenses.
  3. Minimum Credit Score: Not all applicants who meet SoFi’s minimum credit score requirements are approved for a personal loan. In addition to meeting SoFi’s minimum eligibility criteria, applicants must also meet other credit and underwriting requirements to qualify.
  4. If you lose your job through no fault of your own, you may apply for Unemployment Protection. SoFi will suspend your monthly SoFi loan payments and provide job placement assistance during your forbearance period. Interest will continue to accrue and will be added to your principal balance at the end of each forbearance period, to the extent permitted by applicable law. Benefits are offered in three month increments, and capped at 12 months, in aggregate, over the life of the loan. To be eligible for this assistance you must provide proof that you have applied for and are eligible for unemployment compensation, and you must actively work with our Career Advisory Group to look for new employment. If the loan is co-signed the unemployment protection applies where both the borrower and cosigner lose their job and meet conditions.
  5. Terms and Conditions Apply: SOFI RESERVES THE RIGHT TO MODIFY OR DISCONTINUE PRODUCTS AND BENEFITS AT ANY TIME WITHOUT NOTICE. To qualify, a borrower must be a U.S. citizen or permanent resident in an eligible state and meet SoFi’s underwriting requirements. Not all borrowers receive the lowest rate. To qualify for the lowest rate, you must have a responsible financial history and meet other conditions. If approved, your actual rate will be within the range of rates listed above and will depend on a variety of factors, including term of loan, a responsible financial history, years of experience, income and other factors. Rates and Terms are subject to change at anytime without notice and are subject to state restrictions. SoFi refinance loans are private loans and do not have the same repayment options that the federal loan program offers such as Income Based Repayment or Income Contingent Repayment or PAYE. Licensed by the Department of Business Oversight under the California Financing Law License No. 6054612. SoFi loans are originated by SoFi Lending Corp., NMLS # 1121636. (www.nmlsconsumeraccess.org)
2 Includes AutoPay discount. Important Disclosures for Opploans.

Opploans Disclosures

Direct Deposit required for payroll.

Opploans currently operates in these states: . *Approval may take longer if additional verification documents are requested. Not all loan requests are approved. Approval and loan terms vary based on credit determination and state law. Applications processed and approved before 7:30 p.m. ET Monday-Friday are typically funded the next business day.

  1. To qualify, a borrower must (i) be a U.S. citizen or permanent resident; (ii) reside in a state where OppLoans operates; (iii) have direct deposit; (iv) meet income requirements; (v) be 18 years of age (19 in Alabama); and, (vi) meet verification standards.
  2. NV Residents: The use of high-interest loans services should be used for short-term financial needs only and not as a long-term financial solution. Customers with credit difficulties should seek credit counseling before entering into any loan transaction.

  3. OppLoans performs no credit checks through the three major credit bureaus Experian, Equifax, or TransUnion. Applicants’ credit scores are provided by Clarity Services, Inc., a credit reporting agency.

  4. Based on customer service ratings on Google and Facebook. Testimonials reflect the individual’s opinion and may not be illustrative of all individual experiences with OppLoans. Check loan reviews.

  5.  

    Rates and terms vary by state.

3 Includes AutoPay discount. Important Disclosures for Payoff.

Payoff Disclosures

  1. All loans are subject to credit review and approval. Your actual rate depends upon credit score, loan amount, loan term, credit usage and history. Currently loans are not offered in: MA, MS, NE, NV, OH, and WV.
4 Important Disclosures for FreedomPlus.

FreedomPlus Disclosures

  1. The loan terms presented are not guaranteed and APRs presented are estimates only. To obtain a loan you must submit additional information and documentation and all loans are subject to credit review and our approval process. The range of APRs is 7.99% to 29.99% and your actual APR will depend upon factors including your credit score, usage and history, the requested loan amount, the stated loan purpose, and the term of the requested loan. To qualify for a 7.99% APR loan, a borrower will need excellent credit on a loan for an amount less than $12,000.00, and with a term equal to 24 months. Adding a co-borrower with sufficient income; using at least eighty-five percent (85%) of the loan proceeds to directly pay off qualifying existing debt; or showing proof of sufficient retirement savings, could help you also qualify for the lowest rate available. All loans are made by Cross River Bank and MetaBank®, N.A., Members FDIC.
* Important Disclosures for Upgrade Bank.

Upgrade Bank Disclosures

Personal loans made through Upgrade feature APRs of 5.94%-35.97%. All personal loans have a 2.9% to 8% origination fee, which is deducted from the loan proceeds. Lowest rates require Autopay and paying off a portion of existing debt directly. For example, if you receive a $10,000 loan with a 36-month term and a 17.98% APR (which includes a 14.32% yearly interest rate and a 5% one-time origination fee), you would receive $9,500 in your account and would have a required monthly payment of $343.33. Over the life of the loan, your payments would total $12,359.97. The APR on your loan may be higher or lower and your loan offers may not have multiple term lengths available. Actual rate depends on credit score, credit usage history, loan term, and other factors. Late payments or subsequent charges and fees may increase the cost of your fixed rate loan. There is no fee or penalty for repaying a loan early. Accept your loan offer and your funds will be sent to your bank or designated account within one (1) business day of clearing necessary verifications. Availability of the funds is dependent on how quickly your bank processes the transaction. From the time of approval, funds should be available within four (4) business days. Funds sent directly to pay off your creditors may take up to 2 weeks to clear, depending on the creditor. Personal loans issued by Upgrade’s lending partners. Information on Upgrade’s lending partners can be found at https://www.upgrade.com/lending-partners/.

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