LightStream Personal Loan Review
NMLS#1136
Read more about how we rated LightStream.LightStream offers personal loans online ranging from $5,000 to $100,000. As the online lending division of Truist Bank, this lender specifically caters to good-credit borrowers and funds loans up to $100,000.
- Same-day funding: LightStream can sometimes disburse personal loan funds the same day you apply. However, your application will need to be approved, verified and closed by 2:30 p.m. Eastern Time.
- Doesn’t charge fees: As a LightStream customer, you won’t have to worry about paying any fees — this includes prepayment penalties or origination fees, a common personal loan administrative fee.
- Autopay discount: If you sign up for automatic loan payments during the application process, you can receive a 0.50% APR discount. To qualify, you’ll need to sign up for autopay before your loan is funded.
- Flexible loan features: LightStream offers one of the widest ranges of repayment terms on the personal loan market (24 to 144 months) as well as some of the largest loan amounts (up to $100,000).
- No option to prequalify: Unfortunately, if you want to see the rates and terms you may qualify for, you’ll have to officially apply and submit to a hard credit check. LightStream doesn’t allow borrowers to prequalify for a loan.
- Only available to those with good credit: LightStream only offers loans to those with good to excellent credit. However, the lender also reviews other factors like debt-to-income ratio (DTI) and the age of your credit history when assessing your ability to repay a loan.
- Best for excellent-credit borrowers: If you have a good credit score, solid credit history, variety of accounts and assets, consistent payment history and low debt-to-income ratio, you’ll have a much better chance of getting approved for a LightStream personal loan and all the benefits that come with it.
LightStream pros and cons
LightStream personal loans have many strengths, but no financial product is a perfect fit for every consumer. Before applying with this lender, be sure to weigh its benefits and drawbacks.
| Pros | Cons |
|---|---|
Doesn’t charge any fees Same-day funding available (conditions apply) APR discount available when signing up for autopay Offers Rate Beat Program | Exclusive to good- to excellent-credit borrowers No option to prequalify for a loan Requires at least several years of credit history High minimum loan amount |
LightStream customers don’t have to pay any fees and can receive funds the same day they apply for a personal loan — as long as they meet the lender’s requirements. By signing up for autopay before you receive your loan funds, you can qualify for a 0.50% APR discount. LightStream also features a Rate Beat Program: The lender will beat a competitor’s interest rate by 0.10 percentage points, as long as it’s an unsecured loan.
On the other hand, LightStream may not be good for those seeking small loans, since its loan amounts start at $5,000. In addition, this lender doesn’t allow borrowers to prequalify for a loan, so checking your rates can negatively impact your credit score. This lender also has strict personal loan requirements, and you’ll need at least several years of credit experience as well as an excellent credit score.
LightStream requirements
LightStream doesn’t provide many details on its personal loan eligibility requirements, but here’s what we do know:
| Minimum credit score | Must have good or excellent credit |
| Other requirements |
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If you meet the basic requirements listed above, you may need to disclose how you plan to use your personal loan. While LightStream does allow borrowers to use its funding for a variety of purposes, there are certain expenses you cannot put the money toward.
| LightStream loans CAN be used for… | LightStream loans CANNOT be used for… |
|---|---|
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If LightStream’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 LightStream
LightStream doesn’t offer the option to prequalify for a personal loan. While this allows you to skip a step, it also means that you can’t check your potential rates and terms without impacting your credit score.
Fill out an application
Start by filling out a LightStream personal loan application and providing details like your personal information, whether you’re filing an individual or joint application, how much you want to borrow and how you plan to use the loan. If you apply with a cosigner, they will also need to provide their information.
Once you submit your application, LightStream will run a hard credit pull, which will allow them to view the information on your credit reports. This process can cause your credit score to drop by a few points, but the effect is temporary.
Verify your information
Before offering you a personal loan, LightStream will need to verify the information you provided in your loan application. You may need to provide copies of bank statements or recent pay stubs to show proof of income. You’ll also need to provide a copy of a government-issued form of ID, like a driver’s license or passport.
Close on your loan
To complete the personal loan application process, you’ll officially accept the loan offer and sign a loan contract with LightStream. Be sure to read the fine print before signing to be sure you fully understand the terms of your contract.
If LightStream has denied your personal loan application, it may be time to improve your chances of getting approved for a personal loan. You may need to expand your credit portfolio to include other forms of credit, pay down current debt or take steps to improve your credit score.
How LightStream compares to other personal loan companies
Even if you believe LightStream aligns with what you’re looking for in a personal loan, it never hurts to shop around and compare other lenders. Here’s how LightStream stacks up against similar personal loan lenders.
| LightStream | SoFi | Wells Fargo | |
|---|---|---|---|
| LendingTree’s rating | 4.4/5 | 4.5/5 (Read review) | 3.9/5 (Read review) |
| Minimum credit score | Good-to-excellent credit | 680 | Not specified |
| APRs | 7.49%-25.49% *with autopay and excellent credit | 8.99%-25.81% *includes autopay discount | 7.49%-23.34% *includes autopay discount |
| Loan amount | $5,000-$100,000 | $5,000-$100,000 | $3,000-$100,000 |
| Repayment term | 24 to 144 months | 24 to 84 months | 12 to 84 months |
| Origination fee | None | 0.00%-6.00% (optional) | None |
| Funding timeline | Potentially receive funds the same day you apply | Potentially receive funds the same day you apply | Receive funds within one to three business days |
| Bottom line | LightStream offers flexible features similar to SoFi and Wells Fargo, but works exclusively with borrowers who have good to excellent credit. | SoFi is a close competitor with LightStream but charges an optional origination fee in exchange for lower rates. | LightStream and SoFi offer far more accessibility than Wells Fargo Bank, as this lender’s personal loans are only available to existing Wells Fargo customers. |
How we rated LightStream
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 also 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.
*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 5.99% APR with a term of 3 years would result in 36 monthly payments of $304.17. Truist Bank is an Equal Housing Lender. © 2024 Truist Financial Corporation. Truist, LightStream, and the LightStream logo are service marks of Truist Financial Corporation. All other trademarks are the property of their respective owners. Lending services provided by Truist Bank.
LightStream’s Rate Beat Program: LightStream will offer a rate .10 percentage points lower than the rate offered on any competing lender’s unsecured loan provided that you were approved for that lower rate (with the same loan terms offered by LightStream) no later than 2 p.m. Eastern time two business days prior to loan funding. The Rate Beat Program excludes secured or collateralized loan offers from any lender, and the competitive offer must be available to any customer with a similar credit profile. Terms are subject to change at any time.
Frequently asked questions
LightStream doesn’t specify its credit score requirement, but it does state that it only offers loans to those with good to excellent credit. It’ll also consider the length of your credit history, DTI ratio and payment history.
LightStream may approve and fund your personal loan the same day you apply, if you sign your loan agreement by 2:30 p.m. ET and meet other requirements. This may make it a good fit for consumers looking for quick loans.
LightStream is a popular online lender that offers loans to those with strong credit. As of publication, this lender has had no major regulatory actions against it within the last three years.