Fig Loans may be a good option if you have poor credit.
Marianne Ayala/insider
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The bottom line: Fig personal loans is a solid choice for borrowers who might not be eligible for other loans due to a poor credit history. However, it falls flat compared to other personal loan lenders due to its extremely high APRs and limited loan amounts.
Fig personal loans
Depending on the state you live in, your loan terms will vary:
StateTerm lengthLoan amount rangeAPRCalifornia1 month$50 to $150211%Florida84 days$300 to $500208.56%Illinois4 months$50 to $10035.99%Missouri4 months$300 to $500199%New Mexico4 months$300 to $500175%Ohio4 months$200 to $300199%Texas4 months$300 to $500199%Utah6 months$300 to $500199%
Borrowers in some states looking for larger loan amounts (up to $1,000) may see their limit increase after developing a solid payment history with Fig.
Pros and cons of Fig personal loans
Pros
Doesn’t use your credit score to make a lending decision. Most personal loan lenders take your credit score into account to decide if they’ll give you a loan. This may make Fig a more accessible option if your credit isn’t in the best shape. Low minimum loan amount. Depending on the state you live in, you can borrow as little as $50 or $300, making Fig a good option if you only need a bit of cash to tide you over. No late fees. You won’t pay a penalty if you make a late payment.Fast funding. Almost all borrowers receive their funding within three business days, and 94% of borrowers get their funds the next day after submitting their application, according to Fig’s FAQ section.May boost your credit score. Fig reports all of your loan payments to the three major credit bureaus (Equifax, Experian, and TransUnion), so if you pay reliably and on time, your credit score will likely improve over time. However, if you fall behind on payments or default on your loan, you may damage your credit score as a result.
Cons
Extremely high APRs. With the exception of Illinois, which has a rate of 35.99% APR, all of Fig’s loans have APRs near 200% or more. You can find lower rates with most other personal loan lenders. Only available to borrowers in a limited number of states. You’re only able to get a loan in eight states — California, Florida, Illinois, Missouri, New Mexico, Ohio, Texas, and Utah. If you don’t live in one of these states, you won’t be able to get a loan.Low maximum loan amount. First-time borrowers with Fig are only able to take out up to $500. You may be able to get up to $1,000 if you have a solid payment history with Fig, but this maximum is still much lower than what other personal loan lenders offer.Income requirement. Fig requires that you have at least a three-month history of direct deposits in your bank account, and deposits should come to at least $1,400 per month.
Who is Fig best for?
Fig is a good option for borrowers who may not qualify for a personal loan elsewhere based on their credit history. Fig primarily bases its lending decisions on your transaction history and income, as shown by your bank account statement. You’ll need to show about three months of direct deposits of $1,400 per month in your account.
However, Fig’s interest rates are closer to a payday loan’s rates than to a traditional personal loan’s rates — so be very careful before taking one out. A payday loan is a high-cost, short-term unsecured loan that has a principal that is a portion of your next paycheck. They may end up costing more than you borrowed and can trap you in a cycle of debt.
How Fig personal loans compare
Fig
Opploans
Possible
Editor’s rating
2
Editor’s rating
2.75
Editor’s rating
2
APR
Fig personal loans
APR
OppLoans Personal Loans
APR
Possible personal loans
Fig personal loans
OppLoans Personal Loans
Possible personal loans
All three lenders bill themselves as alternatives to payday loans, and do come with slightly lower rates than their high-interest counterparts (many payday loans have interest rates around 400%). However, you’ll still pay a much higher interest rate with these three lenders than you would with a traditional personal loan lender.
Possible has only one term length: two months. Opploans’ terms range from nine months to 24 months, depending on the state you live in. Fig has term lengths ranging from one to six months depending where you live.
None of the three companies check your credit score, so they could be a good option for borrowers who have been denied by other companies due to a poor credit history.
Compare Personal Loan Rates
Is Fig trustworthy?
Fig Loans is currently not rated by the Better Business Bureau, a nonprofit organization focused on consumer protection and trust. The BBB rates companies by evaluating their response to customer complaints, honesty in advertising, and openness about business practices. Fig is not rated because the BBB doesn’t have sufficient information to give a rating.
Fig hasn’t been involved in any recent controversies or scandals. Though Fig isn’t rated by the BBB, its clean history may make you feel comfortable borrowing from the lender. Reach out to friends and family members before you do so to get an understanding of their experiences with Fig.
Frequently asked questions
Is Fig a legitimate company?
Yes, Fig is a legitimate company that offers personal loans to borrowers without checking their credit scores.
How hard is it to get a Fig loan?
It depends on your financial situation. To get a loan, you’ll need to show about three months of direct deposits of $1,400 per month in your bank account. If you don’t meet this requirement, you won’t be able to get a loan.
How fast do you get a Fig loan?
Nearly every borrower gets their funding within three business days, and 94% of borrowers receive their funds the next day after submitting their application, according to Fig’s FAQ section.
Can you pay off a Fig loan early?
Yes, you can pay off a Fig loan early with no penalty.