Oportun Personal Loans: 2024 Review

Oportun is an online and storefront lender that makes installment loans to low- and moderate-income applicants with limited or no credit history. The lender says it provides loans to fair- and good-credit borrowers, too, but those consumers likely qualify for lower-cost personal loans elsewhere.

Oportun’s rates are high, but below the 36% maximum annual percentage rate that many financial experts and consumer advocates consider affordable. Though Oportun helps borrowers establish and build credit, a personal loan may not be the best way to go about it. If your only goal is to build credit, consider other options first.

This lender is a federally certified community development financial institution, which means its primary mission must be promoting community development. The lender offers free financial coaching to customers and provides financial support through partnerships with other organizations.

Table of Contents

Oportun loans at a glance

Where Oportun personal loans stand out and fall short

How to use Oportun personal loans

Oportun personal loan customer reviews

Do you qualify for an Oportun personal loan?

How to apply for an Oportun personal loan

Compare Oportun to other lenders

How we rate Oportun personal loans

Oportun personal loans at a glance

• Disclosure from Oportun

  This is an advertisement for a consumer loan, subject to credit eligibility. Not available in CO, CT, IA, MA, ME, MD, NY, WV and Washington, D.C. Loans in AZ, CA, FL, ID, IL, MO, NJ, NM, TX, UT, and WI are originated by Oportun Inc. California loans made pursuant to a California Financing Law license. NV loans originated by Oportun, LLC. In all other states, loans are originated by MetaBank, N.A., member FDIC. Terms, conditions, and state restrictions apply. See oportun.com for details.

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Where Oportun personal loans stand out

Accepts borrowers new to credit: Oportun says it aims to help borrowers establish and build credit history, and a credit score isn’t required to qualify. The lender reviews alternative data like income, rent payments and cash flow to qualify you.

Accepts low-income borrowers: Oportun requires borrowers to have a $500 monthly net income, which is lower than most other lenders’ income requirements. Oportun accepts income from a variety of sources, including employment, retirement, alimony, child support and Social Security payments.

Small loans: Oportun loans can be as small as $300, which is a much lower minimum amount than most other personal loans. These loans can be used for small but necessary expenses like a dental procedure, an auto repair or another emergency expense. An Oportun personal loan may be an affordable alternative to getting a payday loan.

» MORE: Best emergency loans

Secured loan option available in some states: Borrowers in Arizona, California, Florida, Illinois, New Jersey and Texas can secure an Oportun personal loan with a vehicle to improve their chances of qualifying or getting a lower rate. The maximum loan amount for secured loans is $18,500. Keep in mind that if you default on a secured loan, Oportun can repossess your vehicle and may charge a fee of up to $500.

Free access to a money saving app: Oportun borrowers get a free one-year membership to the lender’s Set and Save app. This mobile app lets borrowers set savings goals and uses an algorithm to automate savings based on the user’s spending habits.

Where Oportun personal loans fall short

Rates are high compared to other lenders: Though Oportun loan rates are below 36%, the lender’s starting rate is high compared with other online lenders whose APRs can start below 10%. Compare rates from other lenders to be sure you’re getting the best offer.

Origination fee: Oportun may charge an origination fee up to 10% of the loan amount. The lender takes this fee from the loan before sending the funds. This is a common fee among online lenders, but it means you should check that the loan amount is still enough to cover your expense after it is applied.

No large loan amounts: The maximum amount a borrower can get on an unsecured personal loan from Oportun is $10,000, while other online lenders offer loans up to $50,000 or even $100,000. Smaller loan amounts mean that Oportun may not be ideal for large expenses, such as a home remodeling project.

No option to change your payment date: Before signing a loan agreement, Oportun says it allows borrowers to choose their payment date. After that, however, the date cannot be changed. Other lenders let borrowers change their payment date at least once during repayment to accommodate changes in income or expenses.

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How to use Oportun personal loans

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Oportun personal loan customer reviews

As of August 2024, Oportun has 4.8 stars on Trustpilot, a website that collects consumer reviews. Customers mention the company’s customer service and quick approval process. Oportun is also accredited with the Better Business Bureau and has an A+ rating with the organization. The lender’s mobile app received 4.1 stars across nearly 48,000 reviews on Google Play and 4.7 stars across almost 287,000 reviews on the Apple App Store.

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Do you qualify for an Oportun personal loan?

Oportun is a borrowing option for those with thin or no credit history, but the lender says it may not be the right choice for those with damaged credit. A low credit score may not disqualify you from getting an Oportun loan, but a history of missed or late payments toward credit cards and other loans won’t get you far with this lender.

» MORE: How to rebuild credit

Borrowers must be at least 18 years old and have a government-issued ID, proof of address and a Social Security number or Individual Taxpayer Identification Number to apply for an Oportun loan.

Oportun’s borrowing requirements

• Minimum credit score: None.

• Minimum monthly net income: $500. Borrowers must provide proof of regular income.

• Oportun’s average borrower snapshot

  • Average monthly net income: $4,400.

  • Average loan amount: $3,252.

  • Average APR: 33.5%.

  • Most common loan purposes: Bill payments, debt consolidation, emergencies, to build credit and to buy or repair a car.

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How to apply for an Oportun personal loan

Here are the steps to apply for an Oportun loan.

1. Pre-qualify on Oportun’s website. Click “Apply Now” under “Personal Loans” on Oportun’s website. You’ll enter information such as your ZIP code, name, birth date, contact information and monthly income. There is no hard credit pull at this stage.

2. Preview loan offers and submit an application. Applicants who meet the lender’s criteria will see the potential loan amount they’re approved for, but not the loan’s potential APR and repayment term. To move forward with an offer, you’ll need to submit a formal personal loan application, which may require more documents like W-2s or pay stubs. Though this lender accepts borrowers with thin or no credit history, there’s still a hard credit pull before final approval.

3. Make a plan to repay the loan. Oportun reports payment to all three credit bureaus, so on-time payments will help build your credit score, but missed payments will hurt it. Setting up automatic payments and keeping an eye on your budget are two ways to manage your loan payments.

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Compare Oportun to other lenders

Personal loan lenders offer different rates, loan amounts and special features, so it pays to weigh other options. The best personal loan is usually the one with the lowest APR.

Like Oportun, OneMain Financial and Zable both offer small to mid-sized loans and accept borrowers with less-than-perfect credit.

OneMain Financial

» MORE: Read our review of OneMain Financial

Zable

» MORE: Read our review of Zable

Borrowers in need of small loans may consider alternatives, such as “buy now, pay later” plans or cash advance apps, which may cost less than Oportun loans. These options typically don’t require borrowers to have good credit, but repayment terms are shorter.

Charging a few hundred dollars on a credit card is another option that may be less costly than an Oportun loan, but it’ll depend on your credit card’s APR and how quickly you pay off the debt. NerdWallet recommends paying your full credit card balance before the end of the month when possible to avoid paying interest.

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How we rate Oportun personal loans

NerdWallet writers rate lenders against a rubric that changes each year based on how personal loan products evolve. Here’s what we prioritized this year:

• Category definitions

  Affordability (25%)

  An affordable loan has low rates and fees compared to other similar loans and may offer rate discounts.

  Customer experience (20%)

  A good customer experience includes allowing borrowers to choose and change their repayment date, a fully online application process, a mobile app to manage the loan and a customer service team with wide availability.

  Underwriting and eligibility (20%)

  The lender reviews borrowers’ credit reports and credit history and tries to understand their ability to repay a loan. It offers loans in most states and doesn’t restrict eligibility by requiring a pre-existing relationship.

  Application process (20%)

  Borrowers can pre-qualify to check their potential rate, loan amount, repayment term and APR without affecting their credit score. They can easily find answers to questions about the personal loan on the lender’s website. The application process is fast enough to allow funding within a couple of days or less.

  Loan flexibility (15%)

  A flexible loan is one that offers a wide range of loan amounts and repayment term options. It includes common features like additional loan types and direct payment to creditors on debt consolidation loans.

  Discretionary

  A lender’s star rating can be reduced if the lender is sued by a state or federal regulator for unfair consumer practices or has been accused by a reputable source of suspicious business practices.

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