Late payment policy
A late payment occurs when a borrower fails to make a payment to a marketplace lender on a specified due date. In general, if you miss a payment, you may be subject to late fees and additional interest charges. If you continue to miss payments, the lender may choose to accelerate your loan, meaning that the full amount of your loan becomes due immediately. If you're unable to make a scheduled payment, contact your lender immediately to discuss alternative terms that may help you avoid additional fees and/or interest charges.
A non-payment occurs when a borrower fails to make multiple payments to a marketplace lender - usually 3 consecutive missed payments. If you missed multiple payments, your lender may choose to pursue collection through legal means or sell your debt to a third-party collection agency. In any event, a non-payment will likely be reported to the credit bureaus, which will negatively impact your credit score and your ability to borrow in the future.
Loan renewal policy
A loan renewal (also known as a rollover) is an extension of a loan for an additional term. Most of the lenders in our marketplace offer loan renewals however, each lender has their own criteria that you must meet. When you renew your loan, the loan terms (i.e., loan amount, interest rate, fees, repayment period) may change. If you wish to renew your loan, you must contact your lender directly and make the request before your loan's maturity date.
Disclosure of loan terms
The Truth in Lending Act requires lenders to disclose the terms of your loan so that you can compare it to other loan offers. You have the right to receive this information in writing before accepting a loan offer. The disclosure should outline your exact rates and the total cost of your borrowing. It is in your best interest to take your time to review the disclosure before signing it. Visit our Consumer Disclosures page to learn more about the various consumer protection laws that protect your rights and interests as a borrower.