The personal loans can be very expensive and in some cases, they can even be a ripoff. In my opinion light stream loans is 100% worth looking into, if you’re looking into getting a personal loans. So, in today’s contact, I’ll give you my full personal loans review of light stream loans and why I think they’re one of the best loan companies out there. I’ll also cover the cons as well because in my opinion I don’t think that they outweigh the pros but it is good to see what’s going on with both sides.
Personal Loans / light stream loans
Let’s get into personal loans review for light stream loans. I’ll start by disclosing that if you are interested in checking them out. Light stream loans is actually a division of Sun Trust Bank. They mainly offer personal loans and auto loans with really good rates and really good terms but for people with really good credit. You can always try applying with them but just keep in mind, if you’ve got bad credit. You’re probably not going to get alone with them and that’s not the end of the world. They can offer such great rates and really good terms, I’ve done a lot of research with different personal loan companies and light stream actually earned my business simply.
I got in the end and the fact that they don’t charge any fees. Now, one of the best reasons to look into them is because they don’t charge any stupid origination fees. They don’t have any prepayment penalties, which a lot of the other lenders do and that can cost you a lot of money. So, pay attention here an origination fee is just a stupid fee that lenders charge you to set up the loan and a lot of personal loans have these. So, the average origination fee is about 5% of the total of the loans value and they’re actually going to charge that to you at the very beginning. It’s just a complete waste of money. So, if you’ve got a $40,000 loan with a 5% origination fee, then you’d instantly have to pay $2,000 off the loan. You’d only start with $38,000 because of the stupid feet. So, just be aware that origination fees are real but when it comes to a personal loan.
I definitely don’t want you guys one of these stupid fees and then the other fee that you can run into is called a prepayment penalty. What this just means is that if you pay off the loan early, you have to pay a fee and that’s super dirty because why should you be penalized for paying off your loan early. I said earlier light stream does not charge any fees and they make sure that they advertise that all across their website to make that very clear the rates and terms are also some of the best in the industry. Just remember that you’ve got to have good credit in order to qualify for a loan with them. They currently have rates as of June 2019 that start at four point nine nine percent and then they go up to sixteen point nine nine percent which is actually really good. If you look at any of the different competitors out there for all the rates and the terms but just keep in mind that naturally rates will go up or down just depending upon a whole bunch of different factors. So, rates could be a little bit higher or a little bit lower because of their usage factor. They also keep in mind that rates fluctuate based on the type of personal loan, that you’ve chosen.
So, for example you can’t just expect that medical bills are going to have the same rate as a vacation would be because those are in different categories of personal loans. They’ll be close but certain categories are always going to have better rates than others and that’s totally normal whether you’re going with light stream or anybody else. The light stream is that if you find a rate from a competitor that’s actually for the same type of loan then light stream will beat it by a tenth of a point. So, that they can earn your business and that’s pretty cool and that’s obviously not a huge savings but the cool thing is that you can confidently shop around with different companies and then eventually you can go back with lightstream.
You know that they can at least try to beat that rate by a tenth of a point now as far as borrowing goes light stream will let you borrow between 5,000 and $100,000, which is actually the most. I’ve ever seen for a personal loan. The loans can be paid back between twenty four months. One hundred and forty four months, which is actually twelve years but just keep in mind that that only qualifies in the home-improvement category. The everything else is going to max out at eighty four months. Just keep in mind, that if you wanted to get a loan for five thousand bucks and finance at over 12 years that’s also not going to qualify. It has to fit within their borrowing tiers, which I’m an ex a little bit.
So, basically on light streams mobile website and their desktop they have a rate simulator that’s actually a really good way to see what you can expect to pay with them, without actually running your credit. It’s never going to be as accurate as running your credit through a full application. Just keep in mind that it is a really useful tool and here Let discuss, how it works? Just start by selecting the loans purpose, so right here I’ll just choose credit card or debt consolidation. Here at the bottom then just select the amount which I’ll set at $18,000 and then I’ll set the loans term to 36 months with auto pay selected. If, you choose to pay with invoice then you’ll have to pay half a point more.
So, just don’t do that now we can easily see what we could expect to pay for that specific loan, which is super handy. You don’t want to waste your time applying and have your credit checked only to find out that the loans too expensive for the one. You selected now scroll down and you’ll see these tiers that you can mess around with which are super helpful to just open up the different tiers. You can quickly see, how much you’ll have to pay for different amounts and terms for the specific debt consolidation category. You already selected obviously, everything will fluctuate based on what you want. It’s a great tool to use as a preview of what to expect. It’s 100% worth using the simulator, if you’re looking into different loan amounts and terms. Now, with light stream; there are a couple cons. In my opinion. I don’t really think that they’re that big of a deal for instance the minimum amount that you can borrow with them is $5,000 so if you wanted to get a loan for less than that then you are going to have to look for a different company because with light stream 5000 is where they start. The other con in my opinion is that if you already have a loan with light stream and you want to get another one, you can’t actually pay off your old loan with the new light stream loan.
So, hopefully I made sense there because all I’m saying is that you can’t refinance a loan directly through light stream with another light stream loan. If you wanted to refinance, you’re going to have to go with a competitor and then pay off your light stream loan because that’s the only way you can do it. I feel like the pros always outweighed the cons in my opinion. So, with light stream it was never a hard decision for me to make just because of all the pros versus the cons because at the end of the day. They have very good rates and they have no fees and that’s why they earned my business. So, you should definitely check out light stream, if have an interest in a personal loan.