Updated: October 29, 2024
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Truist, created when SunTrust and BB&T merged, offers personal loans from $3,500 to $50,000. LightStream is Truist’s online consumer lending division and offers loans up to $100,000.
To help you better understand the differences between Truist and LightStream, MoneyGeek evaluated their interest rates, minimum credit score requirements, pros, cons and more.
Truist is best for borrowers with poor credit. LightStream personal loans are best for those who need to borrow larger amounts.
Personal loan lenders set different credit score requirements, fees, interest rates, repayment terms and conditions. Borrowers should consider these factors before choosing a lender.
Lenders evaluate your credit score and history to help them determine the correct interest rate for your profile. When you know how a lender designates your APR, you can select the right lender based on your credit, lender preferences and profile.
The following sections illustrate the differences between Truist and LightStream personal loans in terms of APR ranges, loan disbursement times, loan amounts, minimum credit score requirements and repayment terms.
Truist and LightStream disburse funds quickly but have significantly different requirements. Truist doesn’t require a minimum credit score, while LightStream requires a credit score of at least 660.
The lender for those with bad credit
Truist offers personal loans from $3,500 to $50,000 without a minimum credit score requirement. This lender is ideal for borrowers with bad credit. It may not suit people looking to consolidate their debt, as Truist doesn’t provide direct payment.
Truist provides a mobile app that helps borrowers efficiently manage their accounts. It doesn’t charge origination, late or prepayment fees. However, the lender places limitations on how borrowers can use the funds.
Pros
Cons
The same-day personal loan lender
LightStream is the online lending arm of Truist Bank and offers personal loans for different purposes. Borrowers may find this lender ideal because there are no late, origination or prepayment fees. It also releases funds the same day the loan is approved.
LightStream suits borrowers who need emergency funds for medical expenses, funerals, vacations, weddings and more. However, it requires a minimum credit score of 660 and conducts hard inquiries that may affect your credit score. Borrowers who want lower interest rates may want to look elsewhere.
Pros
Cons
Lender | APR Range |
|---|---|
Truist | 8.14% to 18.99% |
LightStream | 4.49% to 20.49% |
Truist personal loan APRs range from 8.14% to 18.99%, while LightStream personal loans have APRs from 4.49% to 20.49%. Both lenders offer broad APR ranges, but Truist has the edge due to its lower maximum rate.
The annual percentage rate (APR) refers to the interest rate every borrower must pay yearly on a personal loan. Factors like credit score and risk profile affect your APR. Other variables like loan type, repayment term and size also affect the APR.
Obtaining the lowest possible interest rate is ideal, but the APR is one of many elements to consider when choosing a personal loan lender.
In the APR analysis, Truist wins because of its lower APR range. However, the lender will only offer low APRs to those with good credit. The lower your APR, the lower the total cost of your loan.
MoneyGeek suggests shopping around and gathering quotes to find the lowest APR for your needs.
Lender | Credit Score |
|---|---|
Truist | None |
LightStream | 660 |
Truist does not require a minimum credit score. So, if you have a poor credit score, you may still apply and qualify for its loan offers. On the other hand, LightStream requires a credit score of at least 660.
Your credit score indicates how well you manage your debt obligations. Credit bureaus assign you a number from 300 to 850 based on your credit report and history. The higher the number, the better your creditworthiness. Banks and lenders use credit ratings to set APRs, loan terms and to determine whether they’ll grant you a loan.
Most banks and lenders usually qualify applicants with a credit score of at least 670. If your credit score is around 670 and above, you’ll likely be considered an attractive candidate and receive quick approval.
Different factors affect your credit score, including the number and type of credit accounts you have, credit history, outstanding liability and payment history. Applying for new credit may also affect your score.
Truist wins this round. This lender has no minimum credit score requirements and allows borrowers with poor credit histories to apply for personal loans.
Remember that a low credit score can affect your APR, leading to a higher loan cost. So, consider additional factors when choosing the right lender for your preferences and profile.
Lender | Loan Amount Range |
|---|---|
Truist | $3,500 to $50,000 |
LightStream | $5,000 to $100,000 |
The loan amount range is the minimum and maximum amounts you can borrow from the lender. Always apply for the amount you need, never more. For example, LightStream loans begin at $5,000, so Truist might be a better choice if you need less.
Although lenders have different maximum loan amounts, not everyone will qualify for these. Factors affecting lender decisions regarding loan amounts include repayment terms, credit score and other lender-specific factors.
Truist and LightStream offer different loan amount ranges, and the best one for you will depend on your needs. Always know the exact amount you need before choosing a lender.
Smaller loans are optimal for minor home repairs. However, a more comprehensive loan range is ideal for those who intend to fund more significant expenses like debt consolidation, home renovations and education.
Lender | Repayment Terms |
|---|---|
Truist | Six to 60 months |
LightStream | 24 to 84 months |
A loan repayment term is the length of time the borrower has to repay the loan. Long-term loans can last up to 84 months, while short-term loans may range from one to two years. Truist offers repayment terms of six months to a maximum of five years. In contrast, LightStream offers terms of two to seven years.
Typically, the longer the repayment period, the lower the monthly payments, but the higher the interest payments. Getting a personal loan with the shortest repayment period and affordable installments is ideal. The best repayment terms for you will depend on your needs and preferences.
Remember, debt-to-income ratio, credit score and monthly income affect your loan terms.
Truist has the edge over LightStream in this category due to its flexible repayment terms of six to 60 months. Interest rates are generally lower for shorter repayment periods, although the monthly payments are higher.
The best repayment period and other factors affecting your loan terms depend on your needs.
Lender | Time to Receive Funds |
|---|---|
Truist | Same day if it’s a banking business day or the next day |
LightStream | Same day |
Lenders have different timeframes for releasing loan funds. Truist releases funds the same day your application is approved if it’s a banking business day. Otherwise, you get the funds the next banking business day. LightStream releases the funds within the same day.
Applying for a loan online is quick and easy and can result in speedier disbursement. Most lenders let you check whether you prequalify before you apply without affecting your credit score.
LightStream assures same-day funding and will suit borrowers who need emergency funds. Truist also releases funds the same or the next day. However, always consider the scope of factors when evaluating a loan and lender, not just loan disbursement speed.
Truist and LightStream are great choices for personal loans. Both offer the opportunity to get the funds on the same day. However, each has unique features that may attract different types of borrowers.
If you are worried about your poor credit, you may fare best with Truist since it doesn’t require a minimum credit score. Borrowers with fair credit can benefit from LightStream’s higher maximum loan amount.
LightStream is your ideal choice if you need funds quicker due to its same-day disbursement.
Key points:
To guide you in making an informed decision, we answered these most commonly asked questions about personal loans.
Lenders require proof of identification, pay stubs, employment history and credit records.
Truist and LightStream conduct hard credit inquiries.
No, rates vary depending on the lender and your unique profile.
It depends on the lender. Some lenders charge application, late payment, origination and prepayment fees.
Applying online saves time and may speed up your approval and funding.
Generally, yes. However, some lenders charge a prepayment penalty.
About Christopher Boston
Christopher (Croix) Boston was the Head of Loans content at MoneyGeek, with over five years of experience researching higher education, mortgage and personal loans.
Boston has a bachelor's degree from the Seattle Pacific University. They pride themselves in using their skills and experience to create quality content that helps people save and spend efficiently.
The content on this page is accurate as of the posting/last updated date; however, some of the rates mentioned may have changed. We recommend visiting the lender's website for the most up-to-date information available.
Editorial Disclosure: Opinions, reviews, analyses and recommendations are the author’s alone and have not been reviewed, endorsed or approved by any bank, lender or other entity. Learn more about
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