Loans

Reach Financial personal loan review: Fast offers and payment pauses

Image: A couple sit on a sofa while reviewing documents and using a laptop to look into a loan from Reach financial.

In a Nutshell

Reach Financial can provide a loan offer within minutes, and you may be able to pause your payments if you run into financial difficulty. You may need to pay an origination fee, though, and interest rates can run on the high side.

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Pros

  • Ability to pause payments for up to 90 days
  • Loan offers are available within minutes
  • Customizable monthly payment

Cons

  • High interest rates for people with fair credit
  • Origination fee for some borrowers
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What you need to know about a Reach Financial personal loan

Reach Financial is an online lender founded in 2015 and based in New York City. The lender says it focuses on helping people consolidate debt and improve their finances, noting that its customers have paid off a cumulative total of $1 billion in debt and boosted their credit scores by 50 points on average.

You may or may not need to pay an origination fee

An origination fee is an upfront charge you may pay when borrowing money, typically taken out of your loan before receiving it. The best personal loans don’t require you to pay any such fees. At Reach, you may or may not be charged a fee. The company says its fees range from 0% to 5% of the loan amount. You won’t know for sure until you apply for a loan.

You may be able to pause your payments for up to 90 days

If you run into financial difficulties after taking out your personal loan, Reach Financial may be able to work with you to avoid having your account go delinquent. The company says it will pause your loan payments for up to 90 days, though you’ll need to provide documentation of your financial hardship. You’ll also still be responsible for interest during periods when your payments are paused.

High interest rates for borrowers without excellent credit

The maximum interest rate you can be charged on a Reach personal loan is 35.99%, a high rate that could prove too expensive for many. Before accepting a personal loan with a high interest rate, make sure to calculate monthly payments against your income and budget accordingly. The higher your rate, the higher your monthly payment may be and the more interest you’ll pay over the life of your loan.

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A closer look at a Reach Financial personal loans 

  • Average window of loan amounts — Loan amounts range from $3,500 to $40,000, a similar maximum to some comparable lenders.
  • Flexible loan terms within a relatively short range — Loan terms range from two to five years.
  • Wide range of interest rates — APRs range from 5.99% to 35.99%.
  • U.S.-based service — All of Reach’s customer support is based in the U.S.
  • Little information about qualification online — You’ll find the Reach website relatively sparse. For example, Reach’s website doesn’t disclose a minimum credit score needed to qualify.

Who is a Reach Financial loan good for?

A Reach Financial loan may be a good choice for someone with good credit looking to consolidate debt less than the maximum loan amount of $40,000. The lender may also work well for people who want help and guidance as they work through the application process. Reach promises that all its support is based in the U.S. and can be reached by phone and email.

How to apply for a Reach Financial personal loan

Applying for a personal loan with Reach Financial starts with the company’s website. First, you’ll enter the loan amount you’re seeking and what you plan to use the money for — consolidating debt or refinancing credit cards. You’ll then be prompted to fill out a short form with details.

Once Reach has your information, you may receive a loan offer if you qualify. This typically includes the maximum amount you can borrow, and at what interest rate. You can then customize your loan with the specific term you’re looking for, giving you some control over your monthly payment.

Not sure if Reach Financial is right for you? Consider these alternatives.

  • Happy Money: A Payoff loan from Happy Money could be a good way to pay off debt. You can choose to have the company pay your credit card companies directly or deposit funds into your bank account.
  • Avant: You can use a loan from Avant for many different costs, such as medical bills, home projects or unexpected expenses.
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About the author: Andrew Dunn is a veteran journalist with more than a decade of experience as a reporter and editor at North Carolina news organizations, including the Charlotte Observer and the StarNews in Wilmington. In those roles,… Read more.

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