Avant Personal Loans Review 2022
Pros Explained
- Low credit score requirements: Even people with poor credit may be eligible for a personal loan from Avant. This sets Avant apart from the competition, as many lenders require that borrowers have good credit.
- Android and iOS apps are available: Not only can you manage your Avant loan account by logging into your online dashboard, but an app is also available for iOS and Android devices. With the Avant app, you can manage your account, make payments, and receive notifications. Personal loan providers don’t typically offer mobile apps.
- Personal loans can be refinanced: If you decide you want to borrow more money, or if your financial situation has changed and you might qualify for a better rate, you may refinance your loan with Avant. Many lenders don’t refinance personal loans, making Avant stand out from the competition.
Cons Explained
- Origination fee may be charged: You may be required to pay an origination fee as high as 4.75% (average is 0.5-1%) if you get a personal loan from Avant. Many personal loans don’t carry any origination fees, making this a key drawback.
- Income documentation may be required: Unlike some lenders who don’t require income documentation, Avant may ask you to provide documentation to verify your income. For example, you may need to provide tax returns, pay stubs, or bank statements.
- Loan amount is relatively low: You can only borrow up to $35,000 with a personal loan from Avant. This max loan amount is smaller than average versus the competition. Even so, this may be an excellent option for people who can’t qualify for other personal loans, such as individuals with bad credit.
Introduction
Avant is an established online lender that has a good reputation with its customers. It offers an unsecured personal loan that can be used to cover many personal expenditures. For example, you can use an Avant personal loan to make home improvements, cover large personal expenditures, pay for unexpected expenses, and consolidate existing credit card debt. What’s more, this lender offers repayment terms up to five years long.
While Avant’s APR range of 9.95% to 35.95% is relatively high and its maximum loan amount of $35,000 is low compared to its peers, Avant is still a potentially great personal loan choice. This is because people with less-than-perfect credit may be able to get approved for this loan. Plus, a review of many sources suggests the company has a good reputation with its customers.
Company Overview
Avant is an online lender that was established in 2012 and is headquartered in Chicago, Illinois. Since its founding, the company has issued over $6.5 billion in loan funds to more than 1.5 million people. Avant offers unsecured personal loans that can be used to cover various expenses and to consolidate existing debt. The company is licensed to do business in 42 states across the U.S.
Types of Personal Loans Offered by Avant
Avant offers an unsecured personal loan that can be used to pay for various personal expenses and for debt consolidation. Some of the eligible uses of Avant personal loans include:
- Consolidating existing debt.
- Paying for a wedding.
- Covering medical expenses.
- Funding expensive automotive repairs.
- Making home improvements (e.g., replacing home plumbing, repairing or replacing HVAC systems, finishing basements).
- Covering the costs of emergencies (e.g., replacing a broken computer, paying vet bills to care for your family pet).
Avant lets you get a rate quote without undergoing a hard credit pull. It conducts a soft credit check during this process, which won’t impact your credit score. If you decide to move forward with the loan application, a hard credit inquiry will be performed as part of the qualification process.
You need to be at least 18 years old to apply for an Avant personal loan, and most of Avant’s customers have fair-to-good credit scores ranging from 600 to 700. Even so, you might be able to qualify for an Avant personal loan with a lower credit score.
Time to Receive Funds
Once you’ve been approved for a personal loan from Avant, you may receive your funds as soon as the next business day. Your loan funds will be delivered directly to your bank account via an ACH transfer. To receive a next-day funds transfer from Avant, your loan needs to be approved by no later than 4:30 p.m. (CT) on weekdays (Monday through Friday). Avant’s time to receive funds is better than average, relative to its competitors.
Avant Personal Loan Features
A great feature of an Avant personal loan is that you can use the loan to consolidate some of your existing debt into a single loan with a fixed interest rate.
Debt Consolidation
If you’re approved for an Avant personal loan, the funds can be used to consolidate some of your debt into a single fixed-rate loan. This can simplify the repayment process since you’ll only have one payment to make and a single loan to manage. Plus, you’ll know exactly how long you’ll have to repay the debt. Furthermore, you won’t have to worry about the interest rate on your loan changing since your rate will be fixed upfront.
Apply for an Avant Personal Loan
To apply for a personal loan with Avant, complete the following steps:
- Check your loan options online. The first step in the application process is to check your loan options by submitting a form online. This starts by providing basic personal information, including details about your monthly housing costs and income. Also, you’ll disclose how you plan to use the funds and the loan amount you’re requesting.
- Review your loan options and complete your application. Once you’ve submitted the first step, you’ll review your loan options and finish your online loan application. After you’ve submitted your application, Avant will review and verify the information you provided. This will include verifying your identity and bank account details. It will also include verifying your employment and income.
- Obtain documentation required for the verification process. During the verification process, Avant may require documentation to verify your bank account, employment, and income. Someone from Avant’s origination team will contact you directly to let you know what additional documentation, if any, is required.
- Submit the required documentation. You can also review your Avant account dashboard to confirm which supporting documentation you’re required to submit. There are several options for submitting the documentation, including uploading them directly to your account, emailing the documents to [email protected], or faxing them to 866-625-0930.
- Receive loan funding. Once your loan is approved, the funds will be distributed to the bank account you specified in your loan application as soon as the next business day.
You can expedite the approval and funding process by quickly responding to requests for documentation. The faster and more accurately you respond to these requests, the quicker you may be able to get approved and receive funding.
Can You Refinance a Personal Loan With Avant?
It is possible to refinance a personal loan with Avant. However, you’ll need to meet its standard personal loan qualifications. If you qualify for a refinance, you might be able to receive additional funds or get a lower APR, which are the primary benefits of refinancing. You may even be able to refinance your loan a second time, after which time you won’t be eligible to refinance your loan with Avant again.
When you refinance a loan, you may have a longer repayment period. For example, if you pay on a loan for 24 months and request a new 60-month loan, then it will actually take you 84 months to repay the loan. This means you may pay more in interest charges if you refinance, even if your rate is lower.
Customer Service
Avant offers a variety of customer service options, including emailing [email protected] to request help and calling 1-800-712-5407 to get phone assistance. You can reach someone from the customer service team Monday through Friday from 7:00 a.m. to 10:00 p.m. (CT) and on Saturday and Sunday from 7:00 a.m. to 8:00 p.m. (CT).
Customer Satisfaction
A review of various sources suggests that customers are generally satisfied with the level of care and support provided by Avant. Many reviewers praised the company’s quick and simple application, offered accolades to its friendly customer service team, and mentioned how easy it was to upload the required documentation.
Plus, although many reviewers noted that the interest rates offered by Avant were high, there were numerous positive reviews stating the ability to get funding was worth the price.
Account Management
You can manage your account and track the progress of your loan by logging into and reviewing your account dashboard at www.avant.com/login. If additional documentation is needed during the loan approval process, someone from Avant’s origination team will reach out using the contact information you provided in your application. You’ll also be able to see a list of the supporting documentation you’re required to provide by reviewing your dashboard.
If you have questions about your application, Avant also has an application support team that’s available by phone (1-800-712-5407) every day between the hours of 7:00 a.m. and 8:00 p.m. (CT).
What’s more, Avant has a mobile app available on both iOS and Android devices, which you can use to manage your loan account. Through Avant’s app, you can view your upcoming payments and payment history, schedule payments, make extra payments, and even view a payoff quote. Plus, you can receive account notifications via the app.
How Avant Compares to Other Personal Loan Companies
Although Avant offers a lower maximum loan amount than the competition and an average APR that’s higher than the competition, even people with bad credit might get approved. Plus, its repayment period of up to 60 months compares favorably to competitors.
Avant vs. American Express
One of the most well-known and regarded competitors to Avant is American Express, both of which offer a simple online application. You can get an unsecured loan to pay for personal, family, or household expenses, or to consolidate your existing debt. Even so, there are some differences, including the APRs, loan terms and amounts, and credit score requirements.
Some of the key differences between personal loans with Avant vs. American Express are:
- You can apply for an American Express personal loan if you’re an eligible cardholder and you’ve been pre-approved for the loan by American Express. In contrast, Avant doesn’t have any membership requirements, although all authorized unsecured personal loan users must be over the age of 18.
- Even individuals with bad credit can potentially get approved for a personal loan from Avant. Although American Express doesn’t disclose its specific qualifications, you’ll likely need good credit to be invited to apply for one of its personal loans.
- You may be required to pay an APR as high as 35.95% (with an origination fee) with Avant. In contrast, there is no origination fee with an American Express personal loan, and the highest APR is 19.97%.
- You can only borrow up to $35,000 with Avant, whereas you might be able to get up to $40,000 with American Express.
- Your loan will need to be repaid within 36 months with American Express, while you can take as long as 60 months to repay your loan with Avant.
When comparing Avant to American Express, American Express is a better option if you’re an American Express cardholder who has been invited to apply for a personal loan. This is because you’ll likely pay a lower rate and less interest over time since the repayment term is shorter. However, if you have less-than-perfect credit, need more than 36 months to repay the loan, or aren’t an eligible American Express cardholder, then Avant may be a better choice.
Read our full American Express personal loans review.
| Avant | American Express | |
|---|---|---|
| APR Range | 9.95% to 35.95% | 7.98% to 19.97% |
| Average Origination Fee | 2.38% | 0% |
| Loan Amounts | $2,000 to $35,000 | $3,500 to $40,000 |
| Loan Terms | 12 to 60 months | 12 to 36 months |
| Minimum Credit Score | 580 | Not disclosed |
| Who Can Apply | People at least 18 years old | Eligible cardholders only |
Final Verdict
If you have bad credit or you want to consolidate your debt into a single monthly payment, Avant is a great choice. Even people with poor credit scores might be able to get approved for an Avant personal loan. This makes Avant stand out from its competitors, as many lenders only offer personal loans to people with good credit.
Plus, you can use your Avant loan funds to cover unexpected expenses, make large purchases, and consolidate existing debt into a single, fixed-rate monthly payment.
The key benefits to a personal loan are your interest rate will never change, and you have a set repayment term. So, while the APRs charged by Avant are potentially high, you may end up saving money on debt repayment in the long run. This is particularly true if you choose a short repayment term and use your Avant loan to pay off variable-rate credit card debt.
Methodology
Investopedia is dedicated to providing consumers with unbiased, comprehensive reviews of personal loan lenders. To rate providers, we collected over 25 data points across more than 50 lenders, including interest rates, fees, loan amounts, and repayment terms to ensure that our reviews help users make informed decisions for their borrowing needs.
Our full personal loans methodology, including our data collection process and weighted data points, is available for review.
