Peerform Review

Peerform Review [Peer-To-Peer Lending Loans 2022]

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Peerform Review

People take out loans for a variety of reasons, including debt consolidation, home renovation projects, medical bills, and wedding expenses. However, rather than alleviating the financial necessities for which the loan was initially considered, many lenders and lending products simply push debtors deeper into debt. Moreover, by acquiring loans with such terms on a regular basis to service the ongoing debt, the cycle of debt accumulation continues unabated.

However, with Peerform, a platform where borrowers are matched with investors ready to take some risks and loan them their personal funds, such debt accumulation can be avoided. By inviting numerous investors to its platform, Peerform offers borrowers loan options with varying terms to choose from.

With traditional lenders, obtaining a no-collateral loan is contingent on a variety of factors, including the debt-to-income ratio, work status, and, most importantly, the credit score of the loan applicant. With Peerform however, even borrowers with relatively weak credit scores stand to obtain a considerable amount of loans.

There are always two sides to a coin, though, and while the platform has its benefits, it also has some drawbacks that may affect your decision to use it. Let’s take a closer look at Peerform to see if it’s a good fit for your financial needs.

Onto our Peerform review!

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Peerform Pros And Cons

Here are some of the key benefits and drawbacks of using the Peerform platform. 


  • Low-Interest Rate: You can get one of the best interest rates in the market on Peerform. Borrowers with strong credit can get annual rates as low as 5.99 percent if they have a good credit history.
  • No Prepayment Penalty: Peerform does not charge borrowers for prepayment. If borrowers can pay off their debt before the due loan tenure, they can without inviting a penalty.
  • Liberal Credit History Threshold: Online lenders typically require applicants to have a credit history of at least three years. Peerform, fortunately, just requires a one-year credit history and has no limit on the number of accounts an applicant can have on their credit history.
  • Soft Credit Check On Prequalification: During prequalification, Peerform runs a soft credit check to see what rates and amounts a borrower qualifies for. However, this is typical of most lenders.


  • High Fees: Peerform may be the best alternative for applicants with bad credit, but it is also one of the most expensive lenders in the market. Despite the lack of a prepayment fee, expenses such as the origination fee, check processing fee, and late payment fee make the lender an unpleasant alternative for many.
  • High Minimum Loan Amount: The minimum loan available on Peerform is $4,000, meaning that loans for small needs are not available. Most of its competitors outperform it by lending as little as $2,000 or less.
  • Low Amounts Compared to Others: While Peerform doesn’t offer loan amounts lower than $4,000, they also do not offer high amounts compared to other lenders, which can offer $30,000 and up. 
  • Single Repayment Term: The interest rate and amount a borrower pays is determined by the repayment term. A shorter repayment term decreases the monthly payment while a longer-term lowers the interest. In most cases, borrowers can pick between a lower interest rate or lower monthly payments based on their financial capabilities. Unfortunately, Peerform does not provide such flexibility in terms of repayment; borrowers are limited to a single loan period of three years.
  • Unable to Change Payment Due Date: Unlike other lenders, including banks and online financial platforms, you cannot change the payment dates you are given by Peerform. This can create additional struggles, for example, if the payment is due before payday or if you encounter additional financial strains. Unfortunately, these are common events, which make Peerform a rigid lender. 
  • No Option For Co-borrowing: Peerform, unlike other lenders, does not allow for co-borrowing. Co-borrowing could have alleviated the financial strain of repaying a debt.
  • Only One Bureau Report: compared to other financial institutions such as traditional banks or online lenders, Peerform only reports to one of the three major credit bureaus. The top three are Equifax, Experian, and TransUnion, and why this is a downside is because each bureau may calculate different scores. Having reports with at least two bureaus can offer higher chances of qualifying for loans. 
  • Not Available in Some States: Unfortunately, even if Peerform sounds like the lender for you, you might be out of luck because this lender is not available in six states. These states include the District of Columbia, Vermont, Connecticut, North Dakota, West Virginia, and Wyoming.

Services Offered

The primary service offered on Peerform is, not surprisingly, peer-to-peer (P2P) lending, via institutional lenders. It, therefore, offers users the opportunity to either pursue a loan or to invest their own funds by lending them to a prospective borrower. The platform also has a debt consolidation program as well. 

  • Peer-to-peer lending (P2P)
  • Debt consolidation
Peerform Lending

About Peerform Lending

Peerform began as a lending platform in 2010, but in 2014, it transitioned to a peer-to-peer loan marketplace after reaching an agreement with institutional lenders to have an interest rate determined by the platform’s algorithm. Mikael Rapaport, Meytal Benichou, and Elie Galam, all of whom have considerable backgrounds in finance and technology, formed the company and has since had its headquarters in New York City.

The founders’ objective was to establish a platform where borrowers easily and promptly receive credit at competitive rates. The company also has a mission to provide qualified investors with investment opportunities that will bear them favorable returns. The founders claim that they were motivated by the observation that traditional lending channels were unwilling or unable to meet the demands of individuals and small companies.

Each investor allowed into the platform decides whether to fund a percentage of a loan or opt outrightly for a whole loan. A circumstance where one investor singlehandedly funds the loan request of an applicant is dubbed a ‘whole loan’. A fractional loan, on the other hand, describes a circumstance in which multiple investors fund a loan to a given borrower.  

Peerform was acquired by Versara on November 7, 2016, and has since become a subsidiary of the parent group.

More of our Peerform review below.

Features of Peerform

Peerform allows users to compare loans from various institutional lenders. Given the plethora of partners available to suit your financial goals, the website provides tools to make that search easier as well as ensure that proper financial goods and services are chosen. It has the following characteristics.

  • Marketplace That Facilitates Customized Request: A variety of loan companies are represented on the Peerform platform. They’re all organized into search categories to make it easier for users to compare the services they provide. The platform delivers results that are in line with your preferences by adding more parameters about the load type you require. During pre-qualification, you will be asked for additional information to help the tool better understand your request. This way, the lender that can best meet your requirements is fetched.
  • Debt Consolidation Loans: As described earlier, Peerform has a debt consolidation function that helps you simplify your finances by allowing you to make one monthly payment rather than several. Peerform’s credit card debt consolidation loan program is available to qualified people with high-interest credit card debt, with loan offers ranging from $10,000 to $35,000.
  • Zero Collateral Loans: Because Peerform loans are unsecured, you will not be asked to put up a car, house, or other property as collateral to secure your loan. In addition, the unsecured loan has a set repayment amount and interest rate over the repayment period.
  • Loan Analyzer: According to Peerform, FIFO scores alone cannot determine a loan applicant’s eligibility for a loan. The financial services firm uses an algorithm to assess a potential borrower’s creditworthiness. The program filters out candidates who are ineligible for a loan based on FIFO scores and a few other characteristics. The factors include among other things the borrower’s total current debt-to-income ratio and the number of credit inquiries into the applicant’s credit history. Peerform says that utilizing an empirical method rather than the usual method employed by competitors can better determine an applicant’s credit risk.

Other loan options the Peerform offers include:

  • Installment Loans: Installment personal loans are a great option for multi-purpose uses. This option is paid over a span of three years and is preferred if you only need a small amount of money. Peerform also states that even if you have poor credit, an installment loan is still an obtainable option. 
  • Wedding Loans: Weddings can be pricey, and Peerform offers a unique loan option specifically for your special day. Whether the money is for the ceremony and after party or for your honeymoon, a wedding loan is available, even to those with not-so-great credit. 
  • Home Improvement Loans: Improving your home is great for its’ value and for your family, but your plans could easily cost a small fortune, averaging between $3,000 and $12,000 according to Peerform. In order to qualify, you need at least a FICO score of 600. 
  • Medical Expense Loans: Medical debt is a common reality in the United States and Peerform offers low interests rate for loans designated for medical expenses. Paid over a course of three years, Peerform doesn’t only look at your FICO score to determine eligibility. 
  • Relocation Loans: Whether for work or other life changes, Peerform also offers loans designated for moving and relocation, which can be especially costly if you are moving across the country. 
  • Car Financing Loans: A car finance loan is great for those who need a car soon, but cannot afford to put a down payment down or did not qualify for outstanding loan agreements with traditional lenders. 

Minimum Requirements For A Loan

Unlike traditional lending companies, Peerform is quite considerate in its requirements for loans. This is because the company has a large number of investors affiliated with the company. Generally, a FICO score of at least 600 is good enough to obtain a loan via the platform. Your debt-to-income ratio must also be less than 40%, excluding mortgage debt. However, the higher your credit score is the more competitive the rates that Peerform will be able to offer you. 

Other requirements are that your credit history must be at least one year old, your yearly income must be at least $10,000, and most importantly, you must be a United States citizen or permanent resident.

  • US citizen or permanent resident
  • Credit history of at least one year
  • Income of 10k or more
  • FICO score of 600 or more
  • Debt-to-income ratio less than 40%

Fees And Rates

While Peerform is liberal in its loan eligibility conditions, the fees it charges can add up quickly into a huge sum. Peerform loans are generally known to be expensive. The interest it charges are quite competitive, however, those from some other lenders are better. 

After interest, another fee borrowers are charged is an origination fee. This cost, which can range from 1% to 5%, is deducted from your loan amount.

Additionally, borrowers who do not make their monthly payment 15 days after the due date are assessed a late payment fee. You will be charged either a $15 fee or 5% of the amount of your unpaid payment, depending on which is bigger.

There are other fees like the check-processing fee and an unsuccessful payment fee. The latter is fined if an automatic deduction of the monthly payment is rejected by your bank whilst the former is charged for each check payment you make. The price for processing checks is normally $15.

According to Peerform’s website, the interest rates for loans are broken down into a grading system, which shows the approximate rate for grades ranging from AAA to DDD. The lowest interest rates start at level AAA, which is 5.32%, and range up to 26.06% at the Peerform grade of DDD. This system also provides example payments for each level, ranging from $150.58 to $201.62. Before taking out a loan or applying for loan offers, Peerform allows potential borrowers to request a loan quote for free. 

Loan application

Loan application eligibility across various lenders varies, however, they are competitive with other online lending platforms that are out there. The application process is broken down into four parts:

  1. Registration: This step takes a few minutes to complete, requiring some basic information about your borrowing needs.
  2. Loan Selection: With your information having been reviewed, the next step is to select which loan offer is the best for you. However, this step does not guarantee that you will receive multiple offers, based on your information.
  3. Loan Listing: Your inquiry for a loan will then be posted for potential investors to find and evaluate. 
  4. Verification: Lastly, you will need to verify all personal information. This is done by providing legitimate documentation of your identity, for the purpose of fraud protection. 

In most cases, eligibility is assessed initially as part of the prequalification procedure. In addition to the loan amount, the reason for which the money will be used will be requested. Most lenders also require basic personal information such as your name, address, and date of birth. After entering those details, some lenders will return the best rate available; unfortunately, this is not the case with Peerform.

Before returning a rate, the moneylender will ask for information about your income in order to analyze your financial situation. After you’ve filled in those details, you’ll be asked to sign a consent form and agree to the terms and conditions. Your loan request will then be sent to the marketplace for consideration by investors after a successful application.

According to Peerform’s website, the provided list of benefits for borrowers includes:

  • Custom Loan Offers: The loan amounts listed can range between $4,000 and $25,000. The average personal loan amount in the United States is $9,000, so this amount range is quite flexible. 
  • Fixed Rates: The financial world fluctuates constantly, so having a fixed rate for loans and large investments is helpful because the amount you pay on interest will not increase. 
  • Automatic Payment Option: One common struggle that many borrowers have is remembering to make steady payments every month, on time. This common mistake is avoided with Peerform’s automatic payment system, which not only looks great for future loan endeavors but is great for your credit. 
  • No Prepayment Penalty: Unlike other loan services, Peerform allows borrowers to increase how much they pay every month and how frequently they pay, which means you can pay off your loan sooner. Paying off sooner helps to save the money you would pay on loan interest. 

Alternatives To Peerform

Consider these alternatives if a Peerform loan isn’t suited for you:

  • LendingClub: This lending company allows loans of up to $40,000, starting at $1,000, to be obtained without the necessity of collateral. However, strict conditions are placed to establish the worthiness of prospective borrowers. LendingClub also makes loan consolidation easier. LendingClub also has higher APR rates, ranging from 7.04% up to 35.89%.
  • Lightstream: Lightstream is an excellent alternative to Peerform. The lending company facilitates loan offers of up to $100,000 to borrowers in all the US states. To get a loan from Lightstream, you’ll need a good credit score of at least 660 as well as adequate proof of income and assets. Lightstream loan amounts start off higher than Peerform at $5,000, but the APR is lower, starting at 4.49% and up to 20.49%.
  • Super Money: This financial service company allows users to look for and compare various forms of loans, as well as other financial instruments. Because of the company’s large number of partners, the products and services offered on this platform are priced competitively. The platform also includes educational information that is relevant to each of the website’s featured services and products.
  • Payoff: Payoff offers up to $40,000 in loans, and APR ranges between 5.99% and up to 24.99%. It, like Peerform, collaborates with lending partners to make these loans available to borrowers. However, with Payoff, borrowers are able to change their payment date and payments are reported to all three top credit bureaus. Unlike Peerform, this financial service company does not charge prepayment or late fees. Co-signers are also not permitted when applying for a loan.
Peerform Reviews

Peerform Reviews & Complaints

Peerform loan reviews vary. The Better Business Bureau has granted Peerform an “A+” rating even though the company is not accredited by it. On Trustpilot, the platform has no rating and has yet to be profiled.

Aside from that, there are no other favorable customer reviews of the site available online. According to several reports on certain online pages, the financial company’s claim of exceptional service is deceptive because the company is riddled with flaws.

Frequently Asked Questions (Faq)

Peerform review faq questions are answered below.

Is Peerform legit?

The rates offered on Peerform are normal and they are within the range of rates offered by other lending companies, therefore they aren’t suspicious. The business offers phone service, however, its social media presence is barely available.

Will Peerform require access to my personal financial information?

To obtain an unsecured loan, some information about your resources like your monthly income will be needed. These details will be used by Peerform when reviewing your loan application.

Peerform Review Parting Thoughts

By creating a lending platform with a low credit barrier, Peerform empowers borrowers with poor credit scores to obtain access to the funds they need. The moneylender is also highly recommended for those looking for low-interest loans. As a result, borrowers with poor credit scores will be able to receive low-cost loans. Another benefit of the lending platform is its simplicity and convenience of use. Any internet user can access the platform and interface with it without any assistance.

Peerform does have its shortfalls, however. The platform does not allow for a co-signer. And if you had someone ready to pair with you, the unavailability of the cosigner option can be irritating. Also, Peerform charges a lot of fees on its loan. From origination fee, check processing fee, to late payment fine, the charges can add up to a sizeable sum. As a result, if you have a good credit score and can cope with somewhat higher rates, you should consider another lender.

Overall, Peerform is great for those who do not want to accept offers from a bank and who have lower credit scores. If you are looking for a lender who will offer credit card consolidation, Peerform is also a preferred option. 


Thanks for reading our Peerform review.

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