LendingClub Bank review 2024
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“Verified by an expert” means that this article has been thoroughly reviewed and evaluated for accuracy.
BLUEPRINT
Published 8:00 a.m. UTC Jan. 30, 2024
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LendingClub Bank
Pros
- No service fees or minimum balance requirements.
- Competitive rates.
- Cash deposits and free ATM card with a savings account.
Cons
- No in-person branches.
- No money market account.
- Fewer CD term options than some competitors.
LendingClub Bank basics
- Checking accounts: LendingClub Rewards Checking.
- Savings accounts: LendingClub High-Yield Savings.
- Certificates of deposit (CDs): LendingClub certificates of deposit.
- Other Accounts: Personal loans, auto refinancing and medical loans.
- Bank branches or online only: Online only.
About LendingClub Bank
LendingClub Bank is a fully online bank with no physical locations. The lack of brick-and-mortar operations means that the bank is able to keep fees low and offer higher interest rates. However, customers also need to be comfortable with online and mobile banking.
The bank was previously known as Radius Bank until it was acquired by LendingClub Corp. in 2021.
Account details and annual percentage yields (APYs) are accurate as of April 9, 2024.
LendingClub Rewards Checking
LendingClub’s checking account comes at a low cost: There are no monthly maintenance fees, no overdraft fees, no ATM fees and unlimited fee rebates for charges you may get from using other banks’ ATMs. While there’s no minimum balance requirements after opening this account, there is a low $25 minimum opening deposit required.
Rewards Checking accounts that maintain an average monthly minimum balance of $2,500 or receive at least $2,500 total monthly qualifying direct deposits are rewarded with 1% cash back on qualified debit card purchases after meeting eligibility requirements.
The accounts also come with an opportunity to earn interest: Earn 0.10% APY on balances between $2,500 and $99,999.99 and 0.15% APY on balances of $100,000 or greater (balances below $2,500 don't earn interest).
LendingClub also offers early direct deposit, allowing you to receive your paycheck two days early.
LendingClub High-Yield Savings
LendingClub’s high-yield savings account currently offers a very competitive 5.00% APY on all balances and has a $100 minimum opening deposit, but it does not have a minimum balance requirement after opening the account.
Unlike many banks, LendingClub offers an ATM card with your savings account. While the bank only has a digital footprint, it still makes it relatively easy to deposit cash: You can do so at any MoneyPass “deposit taking” ATM.
LendingClub certificates of deposit (CDs)
LendingClub offers competitive CD rates with terms that range from six months to five years. The highest CD rate, 4.60% APY, is currently offered on its 12-month term. All CDs require a minimum opening deposit of $2,500, which can be tough for new savers.
Other products
- Personal loans. With a LendingClub loan, you can borrow up to $40,000 for a wide range of reasons, including refinancing your credit cards, consolidating debt and improving your home.
- Auto refinancing. You can qualify for LendingClub auto refinancing as long as your car is only for personal use, no more than 10 years old and under 120,000 miles. Your existing loan has to have been open for at least one month and have a balance of between $4,000 and $55,000, and at least 24 months of payments remaining.
- Medical loans. LendingClub offers medical loans from $500 to $65,000 from six to 84 months for specialties including dentistry, fertility, hair and bariatric.
How LendingClub Bank stacks up
LendingClub Bank vs. Sallie Mae Bank
Sallie Mae offers savings, money markets and CDs, but does not offer a checking account.
If you’re looking for a savings option, Sallie Mae offers two: the Sallie Mae SmartyPig Account allows you to set specific savings goals and has a 4.25% yield and the Sallie Mae High-Yield Savings Account which has a 4.50% yield — both slightly lower than the yield on LendingClub’s high-yield savings account.
Sallie Mae certificates of deposit also offer many more terms than LendingClub does, with the highest yield being 5.15% on both the 12- and 13-month terms. Unlike LendingClub, Sallie Mae offers a money market account. The Sallie Mae Money Market Account’s yield is 4.65%.
While LendingClub will give you an ATM card with a savings account, none of the Sallie Mae accounts come with ATM cards.
LendingClub Bank vs. Synchrony Bank
While Synchrony may beat LendingClub when it comes to saving options, it lacks elsewhere. Synchrony Bank does not offer a checking account or loan options.
The APY on the Synchrony Bank High Yield Savings account is 4.75%, slightly lower than that of LendingClub. Also offered is the Synchrony Bank Money Market Account, which has a 2.25% yield, and more term options on Synchrony Bank certificates of deposit than LendingClub CDs.
If you are choosing between the two, LendingClub may be able to cover more of your banking options. But if you are simply looking for a high-yield savings account or money market account to open in addition to another bank account, Synchrony may be the way to go.
LendingClub Bank vs. American Express® National Bank
Despite being best known for its credit cards, American Express also offers several bank accounts, including checking, savings and CDs.
The American Express® Rewards Checking account offers an above-average 1.00% yield and earns Membership Rewards® points, but it is only available to those who already have an American Express credit card. The American Express® High Yield Savings Account and American Express® certificates of deposit both offer competitive yields — though not as high as those on LendingClub Bank’s.
Like LendingClub, American Express’ accounts don’t have monthly maintenance fees or minimum account balances.
American Express also offers a wide swath of credit card offerings. LendingClub, on the other hand, doesn’t offer any credit cards.
Frequently asked questions (FAQs)
LendingClub Bank is FDIC-insured, meaning that your money is protected up to $250,000 per depositor, per account type.
LendingClub is an online-only bank with no brick-and-mortar locations.
To use LendingClub, you need to be comfortable with digital banking and using the mobile app. However, the bank does have a live chat feature via the website and a customer service phone number.
LendingClub doesn’t charge overdraft fees for its savings or reward checking account.
LendingClub’s savings account is a high-yield savings account. Currently, it offers a 5.00% APY on all balances.
Blueprint is an independent publisher and comparison service, not an investment advisor. The information provided is for educational purposes only and we encourage you to seek personalized advice from qualified professionals regarding specific financial decisions. Past performance is not indicative of future results.
Blueprint has an advertiser disclosure policy. The opinions, analyses, reviews or recommendations expressed in this article are those of the Blueprint editorial staff alone. Blueprint adheres to strict editorial integrity standards. The information is accurate as of the publish date, but always check the provider’s website for the most current information.
