Prosper Personal Loans Review 2022 – Great Offers for Great Credit Score and Serious Income!

Last Update: December 19, 2021 Loan Reviews

Prosper in a nutshell

Prosper is one of the best peer-to-peer lending marketplaces, which connects good-credit borrowers with investors who can choose to fund their loans. Prosper’s personal loans are great for people who:

  • Have good to excellent credit scores. People with fair credit or no credit can still try, but there are better options for them. If your credit score is less than 640, Prosper is not a great option for you.
  • Have substantial annual income. The average for Prosper borrowers is about $89,000.
  • Want a personal loan from an experienced online lender.
Loan Amount: $2,000 – $40,000
APR: 7.95% – 35.99%
Min. Credit Score: 640
Approval: 1 – 3 Days
Terms: 3 – 5 years
Origination Fee: 2.4% – 5%
DTI Ratio: 50%
Check rates

What You have to Know about Prosper Loans?


  • Origination fee: 2.4% – 5%
  • Later fee.
  • No application fees.
  • No pre-payment fees.
  • No check processing fees.
  • No returned check fees.
  • No annual fees.


  • Min Credit Score: 640
  • Debt-to-income ratio: 50%
  • Income requirement: Not specified, but the average for Prosper borrowers is about $89,000.
  • Credit history: Min 2 years

Best for

  • People with great credit scores and high income.

Other Facts about Prosper

  • Prosper offers unsecured loans.
  • Prosper offers fixed loans.
  • They have great customer support.
  • Type of credit check: Soft
  • Prosper is not so flexible because of its late fee.

The Application Process

  • Register and check your rate. There are no application fees and no obligations. There will be no hard inquiry on your credit.
  • Check your terms select the offer that works best for you, and finish your application.
  • Verify your info.
  • Receive your funds. You have to know that Prosper will make a hard inquiry on your credit if you approve the offer.

Now Let’s Review Prosper in Details

Prosper is Peer to Peer (P2P) lending the way of the future? It might seem this way with borrowers looking for better terms than brick-and-mortar banks and investors looking for better returns. Online lending has exploded in the last decade, and Prosper is known as the industry trailblazer. In fact, this platform was the first P2P lender in the US when it was created in 2006. P2P lending can be risky, but this platform connects good-credit borrowers with savvy investors. Let’s look at’s processes for borrowers and lenders below!

Prosper vs. Other Top Companies

Loan Company: Amount: Min. Credit Score: APR:
Prosper $2,000 – $40,000 640 7.95% – 35.99%
PersonalLoans $1,000 – $35,000 580 5.99% – 35.99%
Upgrade $1,000 – $50,000 600 5.94% – 35.97%

How Can Borrowers Benefit? could be a good match for borrowers who:

  • Have above the average credit scores. Although the minimum score is 640, Prosper’s borrowers have an average score of 710.
  • Have a solid income. There is no income requirement, but average borrowers on the platform bring in $86,400. Luckily, most of these borrowers aren’t strangers to money management and have experience with successfully managing multiple debts.
  • Want to utilize an experienced lender. This lender was founded in San Francisco in 2006 and was the first online lender to be established in the US.
  • Like wealth management apps. Prosper has its own version of called Prosper Daily. It allows borrowers to monitor payments and spending. Like, it offers free monthly credit scores.

Prosper at a Glance

Unlike other online lenders, doesn’t use its own money to create loans. The company conducts underwriting with applicants and charges a fee to connect investors with approved borrowers. Some lenders like Lending Club use this same process, while others use their own capital to produce loans.

After applying for a loan, this platform will assign you a grade by analyzing your past spending habits, credit data, and ratios such as your debt to income ratio. You can see your grade, which determines your interest rate along with origination fees. Investors can see your stats on the flip side and use them to determine if they should invest in your loan.

How Are These Loans Different?

Unfortunately, doesn’t offer the same degree of flexibility as other online lenders. For example, you can’t change your payment schedule and receive a late fee if you fail to make a payment. Other online lenders, such as Lending Club, have more flexibility with loan terms and lower loan minimums. It also allows borrowers to file joint loan applications and payment modification plans.

This online lender is a bit more rigid than other sites, but The Prosper Daily app is one of its main benefits. In fact, this app helps borrowers manage their spending in various ways. One main feature is subscription alerts, which tell you if you have old subscriptions, such as a magazine you don’t read, and when those prices are raised.

But What About Investors?

Before investing in this online platform, investors need to know there have been two versions of The first version was Prosper 1.0, which was in effect from 2006 to 2008 when underwriting standards were less stringent. For example, the minimum credit score was only 520, leading to negative returns. Fortunately, Prosper 2.0 was created in 2009 and is the current version of the site. Loan requirements became stricter with a minimum FICO score of 640 and other standards like debt-income ratios. Thus, returns have significantly improved for investors, and the following images show the returns per loan grade. The safer grades like AA have lower returns, while riskier grades like HR have higher returns.

Loan Grades and Prosper Scores

As shown above, this lender has 7 ratings called prosper rates, which are AA, A, B, C, D, E, and HR in order from safest to riskiest. Rates begin at 5.99% for a short-term (3-5-year duration) AA loan up to approximately 32% for a high-risk HR loan. Prosper dedicates a page on its site for borrower FAQ called the borrower help page. It has a section called “What are loan interest rates” found under the Applying section.

Besides a loan grade, borrowers are ranked with a score ranging from a minimum of 1 to a maximum of 11. This score has been developed internally based on Prosper’s borrowers’ typical payment records. In addition, to use a loan grade, Prosper ranks borrowers with a Prosper score, ranging from 1-11. This is a score that they have developed internally based on actual borrowers’ payment history on their platform. Thus, this score and individual borrowers’ credit information determines the interest rate.

Investor Requirements and Minimums has specific standards that are required of all potential investors.

  • Age requirement: You must be at least 18, with a Social Security number in addition to an active checking or saving accounts.
  • You need to live in a state that permits this marketplace. Currently only, AK, CA, CO, CT, DE, DC, FL, GA, HI, ID, IL, LA, ME, MI, MN, MS, MO, MT, NV, NH, NY, OR, RI, SC, SD, UT, VT, VA, WA, WV, WI, and WY allows Prosper.
  • Other states like AK, ID, MS, NV, NH, VA, and WA have strict eligibility requirements, like requiring at least a $70,000 annual gross income along with a net worth of $70,000. Also, residents can only invest 10% of their net worth in these loans.
  • Minimum Loan Investment: $25 per loan. It’s recommended to buy at least 100 different loans at 25 dollars than 10 loans for $250 each. Like all investing, P2P lending is no different and diversification is king. Per, every investor with at least 100 loans has seen a positive return since July 2009.

P2P has risen in popularity among borrowers and lenders. Online lending defies traditional lending by letting others participate in the action besides banks. Nothing in life is without risk, but’s system makes it easier for borrowers and lenders to mitigate risk. Prosper is a leader in this industry, and click here to create an account for either lending or borrowing!

Additional Information BBB – A+

Company Address and Phone:

1-(866) 615-6319
Monday – Friday
8 am – 9 pm (ET)
5 am – 6 pm (PT)Saturday
9am – 5:30pm (ET)
6 am – 2:30 pm (PT)
1-(877) 646-5922
Monday – Friday
11 am – 8 pm (ET)
8 am – 5 pm (PT)


Send loan payment to:
Prosper Marketplace Inc.
P.O. Box 396081
San Francisco, CA 94139–6081

Office location:

Prosper Funding LLC
221 Main Street, Suite 300
San Francisco, CA 94105



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