CircleBack Lending is an established online consumer lender catering to those with good to excellent credit. CircleBack's stated goal is to provide those qualified with a quick way to borrow up to $35,000. Their low interest fixed-rate unsecured loans make them an attractive consumer lending option for those who can meet the CircleBack standards for the best rates.
Streamlined Application Process
The personal loan application process at CircleBack is done entirely online. Potential borrowers can quickly determine their interest rate at the site without dinging their credit score. The lender offers an easy application and prompt approval process. Next day funding is available if you submit all necessary documents by 10 a.m. eastern time. Certainly, borrowers can go from their initial application through approval to backup documentation and funding within a week.
CircleBack targets lenders with good to excellent credit. Personal loan applicants should have a minimum FICO score of 660. Circleback Lending takes a close look at applicants credit history, so those with no missed payments or other blemishes on their credit report have the best chance of approval, and subsequently get the best rates.
Specifics of Loans and Fees
You can apply for a personal loan from Circle Back Lending for amounts from $3,001 to $35,000 at 36 or 60 month terms. The APR on 36-month loans ranges from 6.63% to 36.00%, with the APR on 60-month loans running from 12.88% to 36%. When you apply, the lender assigns you a grade from A to H based on your creditworthiness, A being the best and H being the riskiest. The grade determines the APR that you qualify for.
There is a loan origination fee at CircleBack, with the amount determined on the credit grade you've been assigned. Your loan fee can be as low as .99% of the loan total with an A grade, all the way up to a fee of 4.99% with an H grade. This fee is deducted from your loan proceeds before the funds are turned over to the borrower.
There are a few other fees that can pop up. If your payment does not go through for any reason, there is a $15 fee. CircleBack Lending charges this fee each time the payment fails, where other lenders limit it to once per billing cycle.
Payments made more than 16 days late lead to a $15 or 5.00% charge of your monthly payment amount – whichever is greater. This a longer grace period than most of CircleBack's competitors offer.
If you make your payments by check, CircleBack charges a $15.00 check processing fee, again more than the competition charges for the same service.
Interest Rate Factors
Your interest rate depends on several factors. These are the amount your borrow, the term of the loan and your credit grade. Shorter loan terms get lower interest rates, as do lower loan amounts. For example, a highly qualified borrower with an A grade could qualify for a 36 month loan of r $20,000 in a rate range of 6.63% to 12.82%. Should their credit grade be G or H, they'll pay a much higher interest rate between 24.06 to 36%. While CircleBack delivers good rates to those with great credit, their rate advantage disappears for those lacking a sterling credit rating.
You must be 18 years or older to apply for a loan with CircleBack Lending. At present, loans are available only in these states: Alabama, Alaska, California, Connecticut, Delaware, District of Columbia, Florida, Georgia, Indiana, Kansas, Kentucky, Michigan, Missouri, Montana, New Hampshire, New Jersey, New Mexico, New York, Ohio, Oklahoma, Rhode Island, South Carolina, South Dakota, Tennessee, or Virginia.
Details of a CircleBack Loan
For borrowers with high interest credit card debt, CircleBack Lending can help save on interest payments. Additionally, CircleBack offers a range of consumer loans, above and beyond credit card debt. With these fixed rate loans, there are no surprises in interest rates, or on the overall amount of interest you'll pay. The question is, can you consolidate or refinance existing debt with CircleBack at a better rate than you are paying now?
The clear drawback of CircleBack is the APR cap of 36%, flirting with territory usually worked by payday lenders. Other peer-to-peer lenders such as Upstart, Prosper and Lending Club offer lower APR caps. Additionally, the starting APR on 60 month loans of 12.88% is fairly high for those with the best credit grade, although it's still better than many credit card and personal loan rates.
Customer Service and the CircleBack Experience
CircleBack Lending has a simple, straight forward online presence. The site offers a menu of personal loan categories, each with it's own landing page. There is a financial blog on the site with general personal finance advice not directly connected to their loan business.
Clients can contact CircleBack via a toll free phone number, and a customer support email. The "help desk" section of the web site lands on a page that reads "coming soon". Consumer reviews of CircleBack Lending are mixed.
CircleBack Lending is a marketplace lender in Boca Raton, Florida. The company was founded in 2012 with seed capital of $250,000 and has made over $200 million in personal loans since then. In 2015, Pine River Capital, an asset management company, provided equity capital to fund the growth of CircleBack. In addition, Pine River has the option to buy up to $500 million worth of loans with CircleBack. CircleBack has an A+ rating with the Better Business Bureau.
The CircleBack website includes profiles of the CircleBack team, as well as press clips about the company.
CircleBack Lending is user friendly with an easy online application process and a soft credit check. Consumers can tailor rates, loan amounts and terms to meet their needs.
If you are holding debt at a higher rate than 12.88% and have excellent credit, you can benefit from a personal loan from CircleBack, saving money on interest. Keep a close eye on rates offered by CircleBack as some of their online competitors may give you a better rate. Before borrowing with CircleBack, make sure you can afford the payments on their short three to five year loan terms.